TYHEE GOLD CORP

(PRESS PROFILE TAB FOR FACT SHEET & UPDATES)

Free
Message: Puplava Bashing Tyhee: An Afterthought

<< Did Ron McEwen actually say that a junior "should not excessively sell shares & invest heavily yourself in your shares?" >>

Baires, not exactly, I was stating my general recollection of his comments and of the tone of the overall interview, not quoting him.

You are right, McEwen did point out that some companies issue too many shares and raise too much money and then just sit on much of the money returning a low rate of interest.

I think at around 52+ minutes into the podcast, JP asked McEwen what he thought were the most important attributes to look for in a junior. In the first part of his response, McEwen said he looks at how much of the shares management owns.

At around 57+ minutes into the podcast, JP asked McEwen what he would tell managers of juniors to do, or put differently, what advise would he give them. In a nutshell, McEwen answered that juniors have to be delivering above expectations all the time and said something like--don't create expectations that can't be met and over deliver.

Then at some point after this, McEwen added that the message (provided to investors by a junior) should be consistent with actions. If a junior has indicated that they believe the price of gold is going much higher, he noted as an example, then they should not be going out and rushing to sell stock. Then he said something like - in order to sum up his advice - buy a lot of your shares, hold on, and deliver more.

In general, I thought the importance of not overly diluting shareholders was a major theme of the interview, and although much of the emphasis on this came from JP himself, I thought McEwen seemed largely to be in agreement.

Regarding Tyhee, however, I think the problem is not having too much money just sitting around. I think the problem for the moment is having to sell shares very cheaply just to keep going forward, let alone to build out a mining operation.

Share
New Message
Please login to post a reply