April, 2011 End Of Fiscal

Somebody managed to find out that GBN.V posted its financial results to the web prior to any news release. The news should have been released on this matter Friday, or at the latest, by Monday.

Dr. Faust, whose membership began today on stockhouse, posted a link to year end reports from GBN.V

http://www.stockhouse.com/MyStockhouse/ViewMyAllInfo.aspx?u=3232504

"The Company produced 2,945 ounces of gold in its first month of commercial production at a total cash cost of $908 per ounce poured (See section on Non-GAAP Financial Measures). Non-cash costs (depletion, amortization and accretion) were $470 per ounce poured.

http://www.goldenbandresources.com/images/image/file/mdanda/2011-04-consolidated.pdf

Cash costs are not necessarily defined by throwing as much garbage numbers into the mix that you can muster. This number meets with some of the assumptions in the PEA from the standpoint that the cash cost per ounce with no anticipated development is below $400/oz. U.S., and that development costs thrown in will wind up around just under ~$700/oz. U.S. with two mines.

Throw in the money paid back to Sprott and it all adds up, leaving hundreds of dollars per ounce in free cash flow. If these numbers are taken on face value, $908/oz. U.S. , the company could ostensibly pay its shareholders approx. 2¢ per share for the first quarter in dividends and still have covered just about any imaginable cost you can throw at the balance sheet.

Consider that gold prices closed above $1800/oz. U.S. in the last week and will probably close above this amount for the month. $908 is less than half the weekly close. The company has a taste for posting disappointing numbers, and this number is meant to greatly disappoint, as Netolitzky is a gold price pessimist, and sees the gold price crashing to this level. They mean to demonstrate that the mine will shut down below this level.

My personal feeling on the Gold price is that surprises are in order and that a much higher gold price is in the cards and that $900/oz. is long gone. $900/oz. is the often quoted number that is considered a 'reasonable' price by bankster-lackeys such as Jon Nadler. It would be a bankster-lackey that comes up with these numbers and a sell-side broker that wants you to think that GBN.V is not a profitable operation. This is why these reports were posted on the website without any news release or any reference link by a stockhouse member who suddenly shows up to post this during the weekend.

The 40-year inflation adjusted average gold price using shadow-stats and non-hedonic adjustements should be in the area of ~$2000/oz.

http://www.goldenbandresources.com/images/file/Financials-April-30-2011-FINAL.pdf