jorc ann. competition!, page-50

Some learned observer posted yesterday that they thought it may be 3million tons at about 2.4 g/t, which equates to about 230000 oz of gold. I think the grade may be higher than this, but it is awfully difficult to tell. Most seem to be thinking it will be closer to 100000 oz....I think the tonnage and grade will eat that, given the area and to-date drill results, but that is a pretty loose assessment, based on nothing more than an amateur's back of the envelope calculation. It's interesting that the MD has said that his goal is to prove up 500000 oz. I still believe his saying that would be a real belief in something much greater. I have read the most recent quarterly report 10 times or more, and I get a bit more excited each time I look at it.

I like that:-

a) they are in a good geographic area
b) some of the grades they are finding across reasonable areas are well above 20g/t..this is clearly highly prospective
c) no debt
d) plenty of dough in the bank and no need to raise more capital
e) knocked back to 2.2 after the rights issue, which to me means it will work its way back to previous highs and go above this with serious news flow and project progress.
f) strong leadership
g) keeping us well informed. I especially like the monthly shareholder updates. This tells me these people know how the game works
h) clearly have a very logical plan for the next 12 months
i) the flow of information is going to be strong...JORC results, drill results, JORC updates etc etc. No real gaps for 12 months
j) current market cap is pretty/very unassuming, when you look at comparative companies. I mean there are flea bitten explorers with $60m market caps with deposits in countries where you are likely to get skinned alive. This makes me think at some near point, the market cap will drive above $50m based on reasonable expectations and strong gold sentiment. People are starting to think about $2000US/oz gold.
h) it's in good old WA
i) clearly attracted the attention of a lot of people
j) sentiment is very good
k) the gold sentment is the best it has been for almost 30 years, and it is difficult to see how the US can reverse the trend.
l) going for a jorc resource now smells of considerable early confidence

I have many reasons to think this might go well from here. I think it will overshoot fair value by quite a ways based on expectation, which makes me think the ride should be held.

Good luck to all holders!