Short Term Trading Week Starting: 25 Sept, page-204

  1. 6,951 Posts.
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    ok so here's the thing guys, everyone is talking about DEG today, but the reality is those 91 nuggets if sold of in todays gold price might get you 30k, yes only 30k, yet there market cap more than double today going from 15 million to about 40 million, so we have 30k worth of gold add 25 million to there MC, clearly the market is buying in purely based on speculation that there's lots more gold lying underneath than has been shown I think its pretty risky to be doing so, because if it doesn't prove up expect to lose your shirt on that on. while I will admit that with DEG's resource it was undervalued at a 15 million MC I think its fair value sits around a 25.30 million cap.

    point I'm getting to is with DEG there massive increase is based on speculation and possibly the announcement tipping of some fundamentalist to its underlying value, but more so speculation imo. but if VEC can get this acquisition of 3 million oz and prove up there resource to one million oz, giving us 4 million oz total, it will be an actually tangible resource we can put a real dollar amount to and new MC valuation to and not just a MC built around a stack of cards that DEG has currently.
 
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