Re: A question for Fishbeecee and Others
in response to
by
posted on
Feb 10, 2010 07:09PM
Edit this title from the Fast Facts Section
Richkat,
I gave it a three out of ten as a chance of succeeding because of the existing infrastructure. Namely the Northern Empire Mill.
From everthing I have read it seems as though they have a resource, and the ability to exploit it. What they have done is put the cart in front of the horse. Most companies after putting out their NI43101 will conduct a pre-feasability study followed by a more in depth development plan that would include everything from engineering requirment to how capital will be raised to finance it. GRC or more precisely Roxmark instead did some thing more akin to a back of napkin calculation and decided to move forwrd as fast as possible to bring the mill up and begin taking feed stock from the surrounding properties, thus skipping all the normal DD that takes place before investors are convinced to put up their money.(Not investors like us but rather banking syndicates and others that can raise hundreds of millions). These type of folk do not like change or doing things different so I think they have shied away from it. After looking at the managements ability to obtain financing and accomplish goals they have set out, for me this Mill and its potential is the most compelling reason to own this stock. It may allow GRC to become a producer faster than most in our position and take advantage of the higher trending gold price.
So with all that said this is what I think will make this stock go up. First off any anouncement regarding an acceleration of the future delivery of feed stock to the mill and moving toward the 200tpd capacity and the money to update and improve to a 500tpd capacity. Aslo ongoing favorable drilling results, PG's NI43101. A take over or merger and lastley the higher trending gold price.
Cheers
Fish