CRND - Central Rand Gold

I just the quickest of quick looks at CRND Central Rand Gold. Sheesh, I'm gonna get real stung by these resources one day. Anyway, ultra-quick workup ...

I noticed CRND mentioned on TMF under the article "A portfolio of punished penny shares":

I'll tell you of a punished penny share. A Gold Mine that is flooded with water ,a Gold Mine that lost its mining rights. A Gold Mine that has brought pumps to get rid of said water.They will be operational in around 6 months. A Gold Mine that has got its Licence back. A Gold Mine that could produce 7000 ounces a month. Was down to 0.3p now 1.03p . I brought @ 0.78p . The name ? Central Rand ,ticker CRND as always DYOR ( do your own research)

Working on the basis of 7000 oz pm - assuming that's correct - that's 84k oz pa. Gold at 1600 USD / oz means revenues of 134.4m USD pa, which is about 87m GBP. There is 1599.68m shares in issue, so revenue is about 5.4pps. Goldies seem to be trading at 2.2X revenue, suggesting a fair price of  11.88p. Current price: 1.08p.

Although riskier thatn SHG (which in itself is risky enough), it has a lot more upside that SHG (with a FV of about 100p, against SP of 23p). I haven't checked any of the facts in the foregoing statement, or tried to gauge the level of profit from the revenues, so it's a monster DYOR on this one. Still, interesting nonetheless.

1.08p