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Message: Re: Wonder
1
Aug 14, 2009 11:44AM

Re: Wonder

in response to by
posted on Aug 14, 2009 02:56PM

One of the things I have learned over the last couple of months is that after the resource number is in, the next most important thing is cost per unit of resource. Any major looking at a takeover can decide for themselves after those numbers are known how much money can be spent on a cost recovery basis. LOM can be determined based on capital expenditures required to increase production and how many years you can amortize those costs. As an example you need to spend 10 million on a mill upgrade that will produce another 200 ounces per day you will recover your 10 million in 2 months.

So far we have shown the suitors the cost of milling our high grade ore. Next we need to show somebody how much ore we have. I personnally do not think TSX listing means anything in this case. I also do not think that a 43-101 is a big stumbling block as we saw with GEA, if the geologists from the major that is interested believes in your model they will be willing to take a calculated gamble on the unknown, assuming that it is within a resonable total. IMHO I think the delays we are facing are based on asking price, perhaps Dundee and others are playing hardball on the expectations of the gelogical model and are stalling for time in order to add more gold to the resource base. I am hoping the longer we have to wait the more likely we will get a much higher price. IMHO. Rookie I would however like to see a 43-101 as it will reassure me that I am not wrong in my belief in this company.

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