I have been out all day and catching up as I read. We are in agreement on GXS and AGC it seems. I know I always get you going whenever I say the words "low grade". :):)
Still despite how good a low grade deposit can become it is less attractive than high grade results, before talking of recoveries etc. If you had the same tonnage,the same recoveries, the same access to infrastructure,then grade is the factor that makes the biggest difference. All those factors can be different in any particular situation so of course you could have a low grade deposit that is more profitable than a high grade deposit but in general grade is king, the other factors come after it.
Metates is low grade refractory pain in the ass ore, it has sat around for 20 years but at double or triple the Gold grade, would it be better??
As for GXS, I would love to think it could go to $ 100, but that is too far in a theoretical future. Right now, I just think it is showing signs of being a truly exceptional deposit, the company is conducting itself very smartly and without gratuitous financing give aways, not to mention one insider putting $500,000 of his own money in the stock with the PP at $11.75. I just want to see where it goes in the next few weeks, adjusting my view according to the results as I learn them. I
certainly hope it goes to one hundred but that is not what I am speculating on, I will take $35 for now and then worry about more after that.
Cheers,
Ogi |
