It's unfortunate that this type of release does not attract the attention it deserves. If you look at the data, we have reported a robust mineral resource with better than average silver grading, combined with a larger resource in silver oz equivalent, than many of our peers.
I'm sure many posters on this site understand the dynamics of the silver market, and would agree on a historical basis the price of silver versus gold is undervalued. If that proves to be true, the next "run" in silver pricing when it comes, will add significant value to the property as a commercial mining enterprise.
Having said that, even at today's market price we have a good chance to make serious money if a mine can be developed? The per oz cost of silver mining with companies reporting like Fresnillo, Hecla, Revett, US Silver range from US $5.00 - $17.00 an oz. Mexico is a great mining friendly country to do business.
Small mining companies like Impact Silver and Great Panther are doing very well. Don't forget that in 2009 Great Panther > GPR was trading at 20 cents. I actually sold some Kings shares ( the old CJO ) at that time as GPR was poised to transition from an explorer to a miner. Lucky for them (and me) the share price ran to north of CDN $4.00 in a little over 2 years when the price of silver moved to US $50 oz. This can be representative of a "re-rating" of small junior explorers moving to cash producers.
Having an asset like Namiquipa in the fold that has the "potential" to be a money maker for us only adds value to the company. Of course it is unrealised until management can demonstrate we can build the first mine at Cerro del Gallo. If/when that happens and we can show to investors a pipeline of cash producers, then it is not unrealistic to see a similar share price performance as Great Panther. If this occurs at the same time as precious metals are also peaking I have no doubt that CJO could be a dividend producing share trading at $10. This may sound crazy or simply "pumping" of the stock but we have the resources and patient investors could get the last laugh.
CJO Price at posting:
10.0¢ Sentiment: Hold Disclosure: Held
