Re: Timing of Drill Results
in response to
by
posted on
Dec 01, 2009 08:20PM
Several factors will move the share price of the new company once the deal is complete. I would expect the results of the 2009 drill program soon after and a gameplan for mining Brookbank. Hardrock will prove to be a sizable deposit as well. There will be enough ore to keep the Beardmore mill humming for several years. The land package of the newco will be huge and largely unexplored. Now the Newco gets analyst coverage and you have a stock of interest to institutional investors. Add to this a rising gold price and we have the recipe for a significant move up in share price. Throw in some surprises like a further merger with Premier or something completely unexpected like a merge with Guyana and the sky is the limit. Pie in the sky? Don't be so sure. We are witnessing much change change in the world right now and it all centers around a rising gold price and US dollar in free fall. Investors have little appetite for share in explorers and want gold producers which this company will be. Shares of gold producers will be in huge demand just look at what happened to their share prices in 1975-1980.