DESCRIPTION: Guyana Goldfields Inc. is a well-financed Canadian-based junior mineral company focused on the exploration and development of gold deposits in the mining-friendly Guiana Shield of Guyana, South America. The company is currently advancing and developing its Aurora Gold Project with a resource of 4.58 million oz (AMEC, August 2009). Initiatives for 2010:
Environmental and Social Impact Assessment–Q2–Completed
Permitting–Q4
Hydropower Feasibility Study–Q3
Definitive Feasibility Study NI 43–101–Q4
Start of Aurora development and construction–Q4
First year of production is mid-2012 with an average of 250,000 oz/yr over a 16-year mine life with operating cash cost of US$364/oz. Total planned production is 4+ million ounces.
The information provided below is based on the most recent information we have received from analysts, newsletters and other contributors to Streetwise Reports' The Gold Report or The Energy Report. We encourage you to visit the company's web site and call the company for more specifics on this company before you decide to invest.
"At current levels we recommend investors buy shares of Guyana Goldfields, [which] we recommend as a 'Top Pick' in our coverage universe based on what we view as key attributes. Guyana is a gold developer on the cusp of the 'de‐risking path' with feasibility study, key permits, updated resources, financing and a production decision all expected within the next six to eight months. [It is] also a potential takeout candidate given its relevant size, low operating costs and relatively low initial capital requirements."
David West, Salman Partners
(08/12/10)
"Top Quality Asset: The Aurora project is an uncommon combination of size and grade, hosting a gold resource of 4.6 Moz. at an overall average grade of roughly 3.8 g/t. Based on our projected mine plan, life-of-mine gold production from Aurora is expected to be near 4 Moz. at an average total cash cost of roughly US$320/oz. . .The company is in the final phase of permitting on the Aurora project. This, along with a Bankable Feasibility Study (which should be completed by year-end), would give Guyana Goldfields the final pieces to move forward with a construction decision on the project.
Based mainly on our higher gold price assumptions, our new NAV for the company is Cdn$8.38 per share, up from Cdn$6.39. . .our new 12-month target price of CAD$11/share, up from CAD$8.30. Given the number of major catalysts expected over the next six months, we increase our recommendation on Guyana Goldfields to TOP PICK."
Brad Humphrey, Raymond James
(07/14/10)
"We are initiating research coverage of Guyana Goldfields Inc. with an OUTPERFORM rating and a C$9.00 target price. We recommend investors buy shares of Guyana Goldfields. We expect as the company successfully achieves key milestones, moving its Aurora project through the critical pre‐construction phase, its market value will be positively impacted. In our opinion, Guyana Goldfields is in the 'sweet spot' of the typical development company lifecycle with a feasibility study, key permits, financing and a production decision expected within six to eight months."
Adam Graf, Dahlman Rose & Co.
(06/22/10)
"We are initiated coverage on emerging miners evaluated by current value offered, leverage to underlying commodities and the cost of that leverage. With these attributes in mind, we are initiating coverage on Guyana Goldfields Inc. (BUY). . .Guyana offers investors exposure to its advanced-stage Aurora gold project in Guyana. We like Guyana and expect this high-grade project to move to construction and produce first gold by 2012. Guyana is the only English-speaking country in South America, has a democratically elected government and a long history of mining investment and gold production. The country has a moderate royalty and corporate tax rate, which we think makes it relatively stable. Management has been in Guyana a long time and has established relationships. The company has a deep roster of operational expertise and has completed significant engineering and has planned the infrastructure necessary to support mining operations. Mining and processing for the Aurora project appears to be quite conventional. Three years of baseline environmental work has been completed; submission of a full environmental and social study should be imminent. We believe that the Aurora project is quite advanced, and both building and operating permits could be received at any time. As milestones are reached and the Aurora asset is de-risked, we expect multiple expansion and positive share price performance. In addition, with continued success at Aranka, management could generate significant value."
The Gold Report Interview with Rob McEwen (06/09/10)
The Gold Report: Apparently you like the geology further north in South America, too.
Rob McEwen: Yes. Guyana Goldfields. Back in a much earlier time in earth's history, it is theorized that South America and Africa were part of the same land mass. The rocks that make up Africa's Gold Coast fit nicely into the rocks of the northern part of South America. They're the same rocks. Africa's Gold Coast has a long history of producing gold; the history of producing gold in what's called the Guiana Shield—in parts of Guyana, Venezuela, Suriname, French Guyana and northern Brazil—is spottier, but the similar geology seems to be over a large area. Guyana Goldfields went in there in 1996. Big land package. They're continuing to drill and get good results. They're getting close to 5 million ounces. I got to know Claude Lemasson, who's basically running the show there today—the operations, exploration and most of the marketing—when he ran Goldcorp's Red Lake Mine.
Aurora Gold Project: 3-D Model Video (8/25/10) 
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