You may not have understood my post Colinchi.
West African goldie PRU, with plenty of gold, was irrationally sold down from $1.50 to 20 cents during the 2008 GFC. That's like being sold down from $3.00 to 40 cents. In percentage terms the PRU sell down was something similar to what is happening to AMX.
PRU only had $11.2 million in cash at the end of September 2008, not $45 million like AMX. Also on 30th. October 2008 PRU announced to the ASX that "Capital raising negotiations ceased."
Folks were starting to question PRU - what was wrong? There's just got to be something wrong with PRU. Was their gold grade too low to be profitable? Would there be recovery problems with their gold? etc. etc.
Despite the sell down PRU recovered, raised all the money needed to get into gold production and has traded over $4.00.
For some time now we've been in a bear market for gold equities, especially bad at the junior end.
Sound familiar?
Add to My Watchlist
What is My Watchlist?
