Topic: How To Invest

I would like your opinion on Volta Resources. Is it a buy, sell or hold?

Article Excerpt

Volta Resources, $0.75, symbol VTR on Toronto (Shares outstanding: 155.4 million; Market cap: $116.6 million; www.voltaresources.com), is mainly focused on exploring its Kiaka gold project, located in Burkina Faso, and moving towards a development decision. Volta was formed from the 2008 merger of Birim Goldfields Inc. and Goldcrest Resources Ltd. The company believes that the deposit could hold as much as 4.3 million ounces of gold. As well, ongoing drilling continues to reveal strong gold mineralization, and indicates that the boundaries of the deposit still have room for extension. Volta has completed a pre-feasibility study on the Kiaka project that envisions an open-pit mine with initial capital costs of $609.7 million. The mine would have annual production of 340,000 ounces of gold over a mine life of 10.3 years. The company holds cash of $42 million, or $0.27 a share, so it has the funds to continue its exploration and development work as well as move forward on a full feasibility study. Burkina Faso…