My concern is this......take a look at Mantle resources. There was much anticipation and hope that their 43-101 would catapult the stock price. It really hasn't done much. Of course, zinc and lead just aren't attractive places for investment dollars these days, that is precisely why minerals such as indium and moly could be so key, but I feel the real reason is this.....market valuations are low for base metal producers, most notably zinc, and of course this could be the long term values from here on. The issue Mantle had was that the resource estimate wasn't a surprise, and thus, there weren't many investors willing to bid up the price too much more than $1.00. I feel that Lithic will suffer the same fate, unless they surprise. Thus, a doubling of the historical resource won't be the saving grace Lithic is looking for UNLESS the market sentiment for zinc stocks improves. Finding moly, demonstrating that indium is prevalent, identifying super high grades of silver and lead and Utah mine, and hitting a hole in the other Crypto-like anomoly will be factors that can contribute to increased attention for the stock. And of course, consistently hitting some nice zinc grades have to occur to keep this afloat over 30 cents.
As an side, I did a very pie in the sky calculation for indium and copper based on the historical tonnage and the average grades found to date. This is a very, very rough estimate. Anyhow, my calculations state 40 million ounces of indium and 55 million pounds of copper. At todays prices, that is about $800 million in-situ value. |
