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Golden Minerals is a junior silver producer with a strong growth profile, listed on both the NYSE Amex and TSX.

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Message: post on chithouse board worth reading, I know this is surprising
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post on chithouse board worth reading, I know this is surprising

posted on Feb 13, 2008 04:53PM
Hecla just bought the remaining 70% of the Greens Creek mine from Rio Tinto for $750 million. http://www.mineweb.net/mineweb/view/mineweb/en/page34?oid=46722&sn=Detail.. Hecla's CEO Phil Baker said he estimates they paid $4.50 to $5.00 per ounce silver. What does that put ECU's market cap at when we prove up our 800 million ounces? We could have a MC of $3.6 to $4.0 billion. Hecla's mine has infrastructure and so does ECU's. Hecla has permits and so does ECU. What Hecla has that ECU does not have is a real mill. Just a guess, but say our share count goes to 400 million once we prove the ounces and build the mill. This will put our share price at $9 to $10 plus what ever the silver price does between now and then. All we need is time. Say this takes 5 years and say the silver price gains equal inflation. This stock is like an inflation indexed bond with an annual yield of 38.7% to 41.7% from todays stock price. Does anyone really think that Micon would say we have an 800 million ounce potential if they were not sure of it, especially considering the recent Nova Gold fiasco by one of their competitors? I say put 10 drills on the mine and prove up the metal fast. The stock price represents the companies present value and the faster we get a large mill, then the higher the present value and the stock price.
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