Topic: How To Invest

Q: Hi Pat & Team. Just a quick question. I have seen some interesting comments on OceanaGold lately. What’s your view on OceanaGold as a buy? Thanks in advance.

Article Excerpt

A: OceanaGold Corp., $3.19, symbol OGC on Toronto (Shares outstanding: 711.2 million; Market cap: $2.3 billion; www.oceanagold.com), is a mid-sized gold and copper producer. Based in B.C., the company has a portfolio of four operating mines. The Haile open pit and underground mine, located in Kershaw, South Carolina, is the largest gold mine on the U.S. East Coast. The Didipio gold and copper mine is located in Luzon, Philippines. It’s an underground and open pit mine that produces gold and silver doré bars and copper concentrate. (A doré bar is a semi-pure alloy of gold and silver. It is usually created at the site of a mine and then transported to a refinery for further purification.) (Note: OceanaGold recently completed an IPO of 20% of the outstanding common shares of OceanaGold Philippines—the owner of the Didipio mine—on the Philippines Stock Exchange. The initial public offering raised $106.0 million for OceanaGold.) The Macraes mine, located on the South Island of New Zealand, is that country’s largest…