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Cypress Development Corp. is a Canadian gold and base metal exploration company developing projects in Red Lake, Ontario, Canada, and in Nevada, U.S.A.

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Message: Re: A Very Interesting Position We Are In
1
Geo
Sep 06, 2008 06:35AM

Hi, fog. I agree with you wholeheartedly. It would be difficult to imagine that we don't have ANY gold at all. I believe we even hit some small amounts of gold in the bruce channel assemblage rocks in the 2006 drill program but those weren't economic and not in the right type of rock(Balmer).

Question is, will we find enough gold to be economic(meaning enough and economically minable for a potential takeout by Goldilox since we would be adding ounces to the already minable resources they have in the area including pg and the new gea acquisition).

One potential fly in the ointment might be that Goldilox now has the hammer of control in the area right now. If we don't find enough to economically mine on our own(say we only find 2 million oz AU) and they want to be nasty, they can lowball us on a bid and say take it or leave it. They would then know that we don't have enough for another company to come in and setup a whole separate camp or develop it ourselves. With gea free or bought up by another suitor other than G, we imo had leverage to create a more competitive bid because a new competitor could pair our ozs with gea to ecomomically make the development of the projects pay off.

Hopefully, Goldcorp will treat us fairly if we find enough gold to be of interest to them.

All JMO







1
Geo
Sep 17, 2008 04:56PM
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