Hey John don’t be so down on yourself - catching the falling...

First 65 Last

Share
Profile

Follow
meric

1,591 Posts.

42

07/05/18

06:17

Post #: 32919076
Share

Originally posted by JID ↑

Hi Guys,

Eshmun has a very good point about the situation, IMO.

SJ is trying to raise capital, not for the first time since his appointment. He has tapped the pockets of his network previously and, without exception, if these guys had held, they are down significantly.

Fool me once ... blah blah.

As such these institutions will be very circumspect now and will want either a hefty discount to compensate for risk or will need to do a lot of DD prior. It will not help that sector sentiment is poor once again as the USD looks to be breaking out and USD gold at risk of breaking down.

Now is not the time to be brave for a retail investor.

Speaking from personal (and costly) experience, I was involved in a similar situation in 2011-2012 with a small miner with operational issues in Tasmania but, what I thought was a lot of possible upside (this was when silver was approaching >$40 oz).

I was the main participant in a private placement to allow the Company to overcome 'temporary' start up issues and plug a liquidity gap until production ramped up and sales/ cash flooded in.

My vision was that I/ we were like the Bear Cavalry, coming in to save the day, and others would follow when they saw that things were turning in our favour:

View attachment 1091098

However, I found out very quickly that the real situation was more like this:

View attachment 1091101

The point being, it can be very expensive not to face the reality of the situation.

I will continue to watch and see what happens here .... but I ain't getting on some clapped out donkey again !! And I would think a lot of money managers in Toronto and Vancouver are thinking the exact same thing.

Cheers
John

Expand

Hey John don’t be so down on yourself - catching the falling knife is akin to charging at machine guns, and cavalry is not good for frontal assault against machine guns; but you were certainly brave.

You’ve got to have infantry in trenches to tie down the enemy frontline and let the cavalry charge while the enemy is tied down facing somewhere else. A frontal assault against machine guns or a phalanx of pike man isn’t a good idea.

Sprott might be making the same demand - ? They want someone to be buying the capital issues before they are willing to part with their loan? Who’s willing to be SJ’s infantry?

For now BDR want to rely on soldiers other than conscripts (retail)??!

BDR Price at posting: 8.3¢ Sentiment: Hold Disclosure: Held
1 Upvote

0 Great analysis

Reply