my chat with our md mike ralston

It looks like some in here have misread today’s very good and positive announcement.

The lack of ability by some to correctly read announcements and understand what’s going on really frustrates me.

I can’t understand how some who claim to be holders concentrate on imaginary negatives rather then the obvious positives.

Strong 40m intersections of mineralisation 50m away from previous hole with high-grade silver and they call this a “fluff announcement”. Not sure what they expected to find, a box with gold coins down there...?

Big talkers with zero mining experience. And to ramp down your own stock the way p51mustang does is just plain silly.

Like I’ve said in my previous post, if anyone has a question, they should call the management and ask for clarification. That’s what I just did.

I called for a quick explanation with regards to the time lines on the Monty project and ended up having few min chat with Mike Ralston.

On the 2nd of May, the Co announced assay’s showing high-grade silver results in Brskovo. The management were sufficiently excited about this to make the decision to move the rig (which was at that time drilling at next door Visnjica deposit) back to Monty to drill 2 more holes to test extensions to the silver zone.

Aside from board approval to do this we also required permits which normally takes months to organize but due to our excellent contacts in the area we were able to speed things up and get all the necessary permits within few short weeks.

Drilling started about one month ago and we have had the drillers working on two shifts, 24/7, to get this completed ASAP.

Two holes take about one month to complete and this is what the Co have just announced.

Mike said that he is VERY pleased and happy with the speed this got done in and he can’t understand why others cannot understand the normal time lines to achieve this sort of exercise?

As with all drilling, once completed they send off core samples for assaying to Poland where we have the relationship with the lab. He said that we cannot dictate the speed at which the labs operate, they are busy up to their eyeballs with everyone else as well and experience tells us this is a 6-7 weeks process.

What was announced today was an UPDATE. That’s what WE the shareholders always wait for, so to say that it was just a fluff is a joke.

Today’s announcement shows a good, strong 40m mineralization which could mean an extension to the silver zone 50m away from the last hole!!!
We should be very happy with this and excited to wait for assays and not moan and call it fluff.

Mike said that we are continuing to hit strong mineralisation in Brskovo and he may ask the board to go all out there on a bigger drilling campaign ahead as this is getting bigger by the minute.

He also added that they are anxiously awaiting assay results for holes 2 and 3 in Bogdan. "If we hit one BONANZA hole we will look to focus a whole lot of drilling on that ahead to get to JORC before the end of this year."

While I’ve been writing this post I saw Goldenx’s post re his disappointment with our consolidation so I sent a short email to Mike to which he just responded:

I said that some still don’t get the concept or the reason for our consolidation and believe that the timing was poor to do this.

This is Mike’s response:

“We consider the company to be currently placed in a very strong position ahead on all projects and hence we are quite happy to have consolidated now, as this gives funds the opportunity to come into Balamara as they now can, based on value we are adding on all projects. Prior to consolidating they couldn’t. Obviously, like everyone they are hurting right now and probably watching us more than selling out elsewhere to buy BMB, but this will change as we make some big statements to market ahead as planned.

Rome wasn’t built in a day.

In hindsight June 2012 might just well have been the very best month to consolidate as our share price would have been smashed like everyone else’s anyway, so we have gotten the consolidation away without any additional pain. We are well placed now to start driving forward."

"We find exciting projects for low entry price, with strong upside, and we drill them hard to add value – and boy are we adding value (to projects anyway, if not on share price right now). At least the big zinc producers see the value as they are suitably excited – and I suppose they are far more knowledgeable than the average punter, but they are also the parties who will pay top dollar for an interest in the project so I am glad they see the value!”



GLTA