Mike,
Good to hear from you. I think there are a lot of people who empathize with your "venting".
One of the things I have come to realize in retrospect is that Len has from our very first conversation said no hype, things will happen when they happen, this is a highly speculative mining exploration company, etc. He has been consistent with that.
I'm not sure why I didn't accept that at face value and just be patient except that I know I have a short term bent, my initial position was bought near the peak last year and obviously is since down by 50%, and the gold mine production has been delayed for so long.
Personally, I do not think they anticipated the influence that instant communication through the internet has and consequently talked to us thinking that this is relatively one on one kind of conversation. Yet, we take notes and then write it in places like this and Stockman and who knows where else and create all sorts of expectations about the near term that cvr never really intended to have communicated.
Consequently, they are much more tight lipped than in the past about current events and future expectations. Yet, simultaneously they are emphasizing more than ever no hype; just the facts; this is a mining speculation company that makes claims, looks for valuable minerals, and then tries to market the property.
I have also noticed in the last few months their surprize that recent press releases have not influenced their stock price much. It has been difficult for them to understand what the problem is. However, as you are fully aware, you can only get so far in trying to say to cvr that real events need to occur and be reported so that share holder value improves if informing shareholders of current status and future expectations regularly, let alone promoting or hyping the company, is not an option.
In addition, they have been reluctant to acknowledge and deal with the fact that what is reported is so dang technical that I do not personally believe the average shareholder or potential shareholder even understands what was just said.
Getting shareholder value through stock appreciation can come from a buyout or it can come from a growing demand for ownership of the company. Hopefully we are seeing the beginning of a new strategic focus that augments their traditional buyout strategy - increasing shareholder value through stock appreciation.
Having that new focus in addition to the old doesn't mean hype; maybe it just means talking the language of the people regularly, getting things done on time or close to it, and keeping everybody up to speed on current status and future expectations in a nonpromotional manner.
Who knows? I'm in no way an expert on stocks or mining. I still like the potential I see as do a lot of people. Everyone I know has been and is waiting for the "discovery" and the liftoff that could potentially occur. Some wait as owners and others wait for the final countdown before entering. Hopefully however, cvr will begin to build shareholder value through better communication with shareholders and the marketplace so that the discovery is just real creamy thickly layed on frosting to the value being created by taking care of shareholders.
When you mentioned the 75 million, is that the total amount Kennicot is paying them over X amount of years, the value of the property, or what?
What is the current ownership percentage of that Mexican gold mine?
I have also heard that another major has contacted Guardian about their diamond property in Wyoming and that discussions are going very well. I think I will keep my ears open on this in case a deal is signed.
Talk to you later.
Don
PS: This is a pretty strange essay in rereading this. I must be venting also. |
