I have read the up beat predictions on this one and agree that...

I have read the up beat predictions on this one and agree that if it lives up to expections it will be a good one.
There are concerns for me. I look forward to those more learned than I to shoot me down and convince me to buy.
It is my understanding that the commodity use of gold (industrial and jewellery) is less than the production. This means that there must be a lot in vaults (both gov and private). This means that the real price is inflated by the out dated "gold standard". If some of these holders sell than the price will plunge. Remember the last time. $260/oz. The current price is not held up by real demand, unlike Ni and Zn.
The reason that I raise this is that a lot of IBR deposits and fairly low grade. This to me suggests high production/oz costs as compared to low cost OXR (i have had, but no longer hold) and some others. The combination of these two points make it more susceptable to a falling Au price. The size of the reserve does not matter if you can not make a profit my mining it.
Time will tell on these points so I shall take some of it to watch. I think that it is a good one for traders as it does seem to have bottomed and is due to bounce. For the longer term investors (me) it still needs to prove itself.