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16:31
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Originally posted by marri:
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Hi McK....apologies as I ‘missed’ your post. MOY is no different to many other junior miners. They have short Mine lives: they dig out a bit of Gold which they now obviously don’t have anymore, so they spend the proceeds to find (hopefully) more Gold, and so it goes on. A slightly worse scenario is that the Gold they dig up does not cover exploration costs so a CR is required. Quite a few companies have a history of repeated CRs....I stay away from these as the main beneficiaries are frequently Brokers and Management. I happen to know someone who has a long history of floating mining companies: he lives a fine lifestyle however the shareholders are on bread and dripping. I reckon many punters don’t really grasp how ‘dangerous spec. miners are.
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it's not only gold miners that this can happen to oil& gas base metals all spec resource stocks are only as good as there asset reserve LOM + net cashflow + cash in bank + exploration resource upside
