i'm going to make a call, page-5

In my opinion a 1300 POG is unlikely. It is too harsh of a deficit to incur, without nominal reason. The old 1900 price was the heights, and thankfully it settled where it did. If the gold price rises too high it is probably an indication of dire straits to come.

I believe that there should be some settlement (support) level being newly introduced. Breaking below 1500 and expecting a 1300 price is a pretty big speculation based on technicals alone. This will see an entire sector of miners, as well as their stakeholders, lose abundant amounts of money.

Regarding Red 5 Limited's position in all this, the position is still excellent. To reitterate and regurgitate; Low Cost, no hedging and long mine life as well as Tax free period. This spells good news for Red 5 Limited, and the current share price is not an indicator to the strength of the company, in my opinion.

As for disclosure; I have purchased a small parcel of RED at 1.59. Todays drop in price is in my opinion directly a result of the falling Gold price. Good time to short eh?