I have been reading this forum for about a week now and have come to the conclusion that some of you know a lot about the company Talk to hugh etc. I don't even know who hugh is. This latest little negative wrinkle to appear in this forum got me "thinking." I have figured out that the true value of a junior miner is the number of oz. in the ground minus the cost of production... We all know of the labour troubles everybody has had over the last number of years due to the booming economy. Imagine a new gold producer trying to find labourers to go underground in a mine shaft 5000 feet below the surface. I'm sure the line ups were huge. So since the value of SGR is dependent on ounces in the ground I would guess much of the available labour they had was diverted to the ramp that they dug over to the hinge zone. Could this possibly acount for the drop in production? Dale Ginn made a comment the other day that it was nice to get the odd resume dropped on his desk. I think that this was a significant comment and one would assume the labour shortage that led to poor production numbers is most likely going to improve. I know nothing about Gold mining yet I can see that if and it is still a big if. The 43-101 is significant the share price will soar. Weak production numbers or not.

The other point to make is that if we are hoping for a takeover, I am sure future interested majors would like to see a good 43-101 and would not care about current production levels as they could clean up that situation in a heartbeat. Secondly if the company needs more cash for drilling the other "promising targets" I wouldn't want them to dilute the shares at these levels so drilling and the 43-101 is the only thing that really matters right now.