It Opens the Door to Extraordinary

SEAN BRODRICK, Weiss Research (02/04/2009)
"Great Panther keeps adding to its resource. Last month, it announced it discovered new, high-grade zones of mineralization along existing veins in the Topia Mine.

As for reserves and resources, Great Panther has the following at Topia:
  • Silver: 2.54 million ounces in the measured and indicated category and 10.5 million in the inferred category.
  • Gold: 4,600 ounces measured and indicated, 22,482 inferred.
  • Lead: 17.7 million pounds measured and indicated, 96 million pounds inferred.
  • Zinc: 16.3 million pounds measured and indicated, 149 million pounds inferred.
Great Panther's known ounces are probably just the tip of the iceberg, especially when you take into account it has other properties. It probably has the potential for more than 100 million ounces of silver equivalent, spread across its various projects.

The company has 86.7 million shares outstanding, or 96 million fully diluted. So it potentially has more than one ounce of silver for every share, and those shares are trading under 40 cents each. And its management has shown it has the ability to adapt to bad times, and probably come out even stronger.

If base metals prices bounce back next year - which could certainly happen - lead and zinc credits could drive costs much lower and light a fire under its stock. And Great Panther has extra capacity it is not using but will bring online when silver prices go higher. I think it could probably double its production over a two-year time period."

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