I think the dst results will be positive, hopefully it will tell them that one zone is commercial and if they get even 1 bcf per foot at leadville that would mean that one zone has got enough for the 1.50 price which we are not even half way near at the moment. If leadville was to produce 2 bcf per foot which is half of how much they produce at lisbon then that would mean over 100bcf for the one gas show.
I would think they are expecting something big in lynch dolomite i read it could be 800-1000 feet thick in some areas. They wouldnt do a dst then keep drilling for no reason. They would of been drilling at latest from yesterday morning aswell.
The company only reports what is Needed to be told to shareholders. No point writting long reports if no one can even understand the short ones, and this does show in the share price.
They like most people thought announcing a positive report on a uranium project which gdn now will get 30% of which can be producing in 12 months would have pushed the share price up, if i looked at that report for first time and read it without knowing anything about gdn i would assume share price would go up just because last week they didnt have any reserves of uranium and today they do.
If they looked at it like that and they are too busy working on all the projects they dont have time to look at the share price and see it falling when it shouldnt have. So would just release news on the well a drilling report with dst on the monday after a few more days drilling.
Can someone explain to me the difference with a company like adi who holds only 20% of a project to gdn recieving 30% of a uranium project on top of their 100% owned gas well? Reason i ask this is positive news for adi will see share price go up, we added a project with a delayed announcement on dst and price goes down.
If you look at adi it was trading over 1 dollar based on 20% of a project thats already 5 times less then gdn on one project in percentage ownership and the prices of the 2 at moment aernt that far apart, just we now have a uranium project added to the list of projects they have.
2 questions i have are, if the company says leadville is commercial from a 61 foot minor show and can produce 50-100bcf that means a share price of 1.50-3 for that one zone by the reports on the website, with the way people are valuing gdn today will it really move to a price where its real value is at?
second question is would people think the other major shows and major intervals higher up be commercial if a positive result came from leadville?
GDN Price at posting:
0.0¢ Sentiment: Hold Disclosure: Held
