market cap/ resource oz comparison, page-2

Hi Bolkin,

Looks like you are one of the very few in hotcopper banging the table for this stock even though it has risen over 100% over the last few months. Sounds like a prophet crying out loud in the wilderness but few are listening.

This may help a little with the price projection for this stock.
A look at the intermediate term weekly chart below shows that the price of this stock has broken out of her long consolidation. The next resistance is 30 cents. After which there is some much resistance at 30 dents,50 cents and 70 cents. Then of course the all time high of one dollar which will offer the final resistance before we reach blue sky territory. The question is will it breach all this resistance. I think we can get an answer by looking at another stock which are in favour at present.

I own ccu which is a silver stock.It has rocketed from about 25 cents to 90 cents now since mid September. Part of the reason is because stocks producing silver is in favour simply because the price of silver has rocketed.
Now ccu has about 50 mill ozs of silver resource but it has a market cap of about 130 mil with a price of 90 cents.
Cjo has over 200 mil ozs of silver but it has a market cap of just 164 mil at 26 cents.
No doubt there are other factors which influence the share price like cost of production, metallurgy etc. One obvious one is cjo has both a gold rich and copper rich zone but ccu is all silver and lead. Also cjo�s meturlagy is not as good as it can only recover about 40 percent ot it�s silver in the gold rich area. Cjo is also has a low grade deposite compare to ccu. But does it justify a market cap of 164 mil?
Even with a recovery of 40 per cent we are looking at a recovery of 80 million ozs for cjo compare to ccu�s 50 million ozs.
Plus silver is a by product for cjo but a primary metal for ccu.
It is up to us to guess what price this stock will be when the primary metal in Cjo is in favour which is gold in the gold rich region and copper in the copper rich region. Remember that Cjo has 4.5 million ozs of gold and 1.4 billion lbs of copper