Hi allGeneral commentary is that unfortunately there will be...

Hi all

General commentary is that unfortunately there will be some gold juniors who will disappear over the course of time. In order of preference, when the idea of precious metals gets into the masses psyche, people should be in miners that are

1. large cap producers
2. junior producers,
3. juniors having a good resource and do not have to go back cap in hand to raise cash.

I spoke with Mark Smith a few days ago knowing the situation with the markets and the gold price. The question I was most concerned with is are the company going to try and preserve cash and cut back on activity. I got the impression that there will be little activity and a couple more bits of house keeping to do re the the results and that the company will be in survival mode until things improve or at least settle down.

I believe that we will see higher gold prices in the near future because the US Government's plan bailout oops I mean rescue is inflationary which will eventually see physical assets rise. This is despite the fall in the POG yesterday which I understand was caused by massive commodity asset sales covering positions eg margin calls etc etc.

Based on the current POG we have at least a $1.2b in the ground asset. It will take some hundred million setup to mine this stuff unless we can use existing infrastructure. After all is said and done there will be a sizeable chunk of change left over.

All this talk of whether management is good bad or indifferent is just plain BS and ignorant. BHP is down nearly 40% that must be managements fault as well.

At some stage EXM will have to finance production.

The question here is can EXM survive? Does it have enough cash ie $3m to sit it out. Will it merge or be taken over. It's not important what we think the value of our asset is it's convincing others that our asset in the ground is worth what we say it is.

Having said all that I topped up on Friday at 0.007 as I am leaning toward the idea that EXM as far as juniors go is in a good position having a proven JORC and some, albeit a small amount of, cash in the bank.

All the best to holders

Cheers
BW