I think the risk in Venz. is overstated. I also think a project at KM88 will be a home run, even at $275 POG. In part because there is even more gold and copper there than 21 million oz so far at LC/Brisas. This is a no guts, no glory situation and apparently isn't to the liking of the little old ladies that run PDG. If so, they need to step aside and let somebody with a little testosterone have a crack at it. This industry is a joke right now. Do they really think the only route to improving the situation is develop only in Nevada? In comparison look at the energy business. They will go anywhere to find the stuff: deep waters, how about Iran, Sudan, Nigeria. Could those countries be better than Venz? I don't think so.
IMO, there is no reason not to develop KM88. Pull the plug on PDG, bring in NDY, or ANGLY, or somebody with some balls, and go for it. Time to do what resource companies should be doing. Take a little risk for huge payoffs. If I wanted to invested in T-bills, I'd just do that. To attract investors back into the sector it's time to cast aside the "t-bill" mentality.
And I agree with the earlier comment on copper. It's a sleeper, as there is only three weeks inventory in place. |
