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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers

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To: loantech who wrote (23648)10/27/2006 9:58:11 AM
From: Mr. Aloha  Read Replies (1) of 78419
 
Come on, guys. This is infill drilling of an existing resource. It's not like they've discovered a new zinc deposit.

DRILLING AVERAGES 104 METERS OF 4.79% ZN

Notice that that zinc is under 5% average. Remember, MMGG's 5 billion pounds is using a 5% cutoff, so most of this stuff in this Constellation resource wouldn't even have been counted in MMGG's conservative press release. If they wanted to, MMGG could drill their exisiting resource and publish results that would totally blow away these results, especially if they use a lower cutoff, but it's not their style. Looking at the diagram of their resource on slide 23 of the corporate presentation (http://www.metalin.com/Metalline,%20Sierra%20Mojada,%20Zinc%20060625.pdf ), MMGG probably could publish drilling results of several hundred meters of 10% zinc.

You have to read beyond the headlines on a lot of these press releases from mining companies. They may move stocks in the short term, but in the long run, you want to find the real value.
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