Ann: Quarterly Activities/Appendix 5B Cash Flow Report, page-39

most of that is true - though anyone assuming no CRs is kidding themselves

you should always assume CRs will occur for any mining proposition thats not deep cashflow positive. mining is highly capital intensive

imo the main current probability on MKR is gold/silver will break higher in the next 2-3 months - mkr will re-rate - a cr will occur mid re-rate - and then after 2 days trading halt the sp re-rate will continue higher

amateurs worry about CRs - pros worry about the timing of CRs. Crs during a bear market are bad for a stock - CRs in a gold/silver bull market are basically meaningless in a short term sp sense

the stocks rerate on momentum as much as fundamentals+ the increased shares is netted off against the cash they brought in and so the Enterprise Value is basically unchanged in the short term

mkr being such a high leverage vehicle should show more momentum than nearly any other producer - at least until its above NTA value

gold and silver are very close to breaking higher as we speak - the 50/200 'death cross' in gold last night saw gold simply pull back to the night's start price

that is quite bullish - because that big technical risk is now to the upside - ie if gold turns up from here it will perform a golden cross

some death/golden crosses are huge events - some are meaningless. but its always a cause for relief if a death cross doesnt bring a massive plunge in the gold price


after NFP this week - or next US CPI - unless there's a massive negative shock to bonds or a drastic fall in inflation - I think PMs will be allowed to start a march higher