SILVERBACK

I said in the commentary on the AGM that I was holding. You questioned that and also commented on people not asking pointed or hard questions.

First, why Holding: consider the alternative, selling at under a dollar. Nope. The concept is buy low, sell high. Do I wish I'd sold some along the way? Yep. But that is old news. Although there is much I criticize or disagree with re: management, me complaining at a meeting will solve little. They don't ask me for info, and most advice given, which is not asked for, won't be taken. there were many pointed questions and George certainly was given reasons to consider some of his decisions. And his bonus whoul come in SGR stock. Yet he and Hugh and Dale still have great faith in SGR, and that helps tip the scales.

Why no more hard questions? Many were answered before questions started. Many were asked along the way. George was clearly becoming angrier and more frustrated as the meeting progressed, and he was less flexible with ongoing questions. He was clearly shaken when asked about the new tailings pond which will drain into the Wanipigow river and which will affect the Natives at Hollow Water and the cottagers at Wanipigow. His smooth talk had vanished; his sureness was gone. This in itsefl may be good. When you answer the concerns about the tailings drainage with commentary about where you grew up and your youthful mining stories it becomes clear the questions have cut deep. I only hope that his decsions re: SGR might be positively affected.

I became involved with SGR partly because of sentiment, and that has negatively effected some of my investment choices along the way. Also there is the basic battle between Fear and Greed. SGR is, finally, a company that is progressing, slowly and with bumps and grinds, towards ongoing profit. It sells something that the world wants. Unfortunately there is a battle going on between Paper and Gold and huge money can move Gold price quickly and unpredictably. That accounts for much of SGR's downward movement lately. I think that there will be some sorting on that issue. Our world economies are a mess, and no one knows what will transpire.

So I don't recomment SGR the way I used to, though right now is the time to buy if it does succeed. Darkest before the Dawn stuff, which I hope is true for SGR. All gold is down, even Barrick and Goldcorp, so who knows what will prevail. A lot of this stuff is just chance anyway, but SGR still has, in my mind, a great chance. Especially buying at these prices.