Like I said yesterday , won't go up in a straight line. Would be...

Like I said yesterday , won't go up in a straight line. Would be a few stale amx bulls still looking for the exit and plenty of traders that have made ~40% since the new year keen to lock in profits. Some people only have limited patience and understanding.

But net on net, the buyers look to be set of trending this higher for quite a while to come. 10dma well supported and bounced off it today.

Goodone - from your bloomberg article:

"The average ore grade of reserves at 12 large producers including Iamgold fell 51 percent to 0.028 ounce per ton in 2011 from a decade earlier, the data show."

0.028oz/per ton = 0.8g/t average ore grade of reserves for large producers ........... is this correct? seems very low...

If accurate , would explain why AMX's 1.8g/t average resource grade , and its 2.9g/t for 1.3mill/oz highgrade component is so lucrative for the majors and why they've been sniffing around in the last few years.

Looks possible that the majors are heading for a round of "forced" acquisitions over the next couple of years to replace reserves, as global gold discoveries have not kept pace with demand and more specifically , the majors green/brownfeilds exploration success has been disappointing and sometimes non-existent. The smart majors will be getting in early while juniors like AMX are still cheap. Management need to hold their nerve and tell majors with shitty deals to "hit the bricks".

Here's a prediction for what its worth: I reckon we'll start to see some deals this year with over 100% premiums being paid. In some cases, possibly well over 100%. Or maybe thats just wishful thinking on my part ;) Dreams are free ....

Should that occur, and once the market figures out that its not just the majors who will soon be in control of the world's "ground bank" of gold , but also the successful explorer/developers , we may see a decoupling between the two ends of the gold sector. Juniors with scale and multidecade production potential , well ....rare as hens teeth and only a matter of time before the penny drops imo....