Shanta Gold (LON:SHG) - 31.4p/£56m
It explores gold in Tanzania. The company looks bad on valuation metrics (loss-making, PBV 11.9), although it does have net cash of £1.5m. What caught my attention was recent director buying at 29.5p, for £43k. A management statement last month looked good, too: "The Company is delighted with the
drilling results achieved in the 2010 RC programme and the likely positive
impact these will have on the New Luika Gold Mine resource and the mine's
financials. The improved accuracy of our DTM will ensure successful
implementation of the mine plan and achievement of our goals, significantly
adding to shareholder value."

A broker comment looks positive, too: “The average enterprise (EV) per resource ounce is valued at around $159/oz with Shanta valued at just $63/oz,”

Worth a punt.

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