Junior mining question

By Anonymous Questions, August 2, 2013

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How can a gold miner with 5 million ounces of gold in the ground, a PEA coming out in September, roads in, railroad in, airport in, friendly pro mining country and much more, HOW can this stock be selling for .05 share?
I see mining operations that are reporting 1 million ounces like it is the most ever, selling for 15 to 20 times what CGJCF is selling for.
Large outfits are seeking these type of heavy gold operators looking to buy to increase their reserves. And it is selling for .05????

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5 Comments on " Junior mining question"


August 3, 2013 9:23 am

1. Maybe it has a zillion shares outstanding
2. Maybe it is in an unstable country
3. Maybe it is a very low grade holding (see Int’l Tower Hill)
4. Maybe its mgt has no respect
5. Maybe it does no PR where others do
6. Maybe its IRR is lousy (see Int’l Tower Hill)
7. Maybe it requires a huge CAPX to mine
8. Maybe, maybe, maybe

August 4, 2013 3:11 pm

Mr. Karpoff
Have you had any experience with a Jeb Handringer? He seems like a legit blogger, but he constantly pushes Int’l Tower on his site. Seems to be a very low grade mine. Is he a shill?

August 4, 2013 4:20 pm

Never heard of him, but I know THM. Its new PEA shows a 1% IRR due to low quality ore and cost to mine. I can’t imagine how anyone could recommend it.

Myron Martin
August 5, 2013 1:04 pm
I have met and talked to Jeb Handwerger and regularly read his material. In general my impression is that he is a good analyst and employs far less HYPE than many I could name. This is a typical situation where CURRENT market conditions distort prior perceived realities just as Barrick,s ballooning cost on Pascua Lama and Kinross overpayment for Red Back Mining only became apparent “after the fact” catching some investors by surprise. I made out like a bandit owning Red Back on the buyout and sold my Kinross @ over $21. and avoided Barrick like the plague, and am… Read more »
August 5, 2013 1:11 pm

By the time gold is high enough for thm to be a buy, a hundred other explorer/miners would have already appreciated significantly. If circumstances warranted thm to be a buy, can you imagine what pvg would be worth at 6g of au/ton; or pzg with 8mm easy to mine oz? I cannot envision a scenario where, in the universe of opportunities, thm would be the one you would want to put your $ into.