Another option in a high POG environment to RXL after releasing a good DFS would be to exchange Youanmi for a gold royalty. If RXL sold Youanmi to a large player for a 5- 10% royalty, it could:
1) develop other assets (eg the current non core assets could become core assets). 2) there would be no dilution of shareholders as cash flow would be substantial enough to fund drilling. 3) result in an acquiring company making plenty of cash with a very high margin mine. 4) pay dividends to shareholders with the excess cash.
A high price of gold opens options and the higher the price goes the more the options open. Good management will review all options.
RXL Price at posting:
16.5¢ Sentiment: Buy Disclosure: Held
