John,
I just think that there are a lot more important issues that have to be dealt with in order for our investments to be a success, and it doesn't matter if there are one hundred or a hundred million shares outstanding.
If this company can produce at under $200/oz., they have a bright future. It appears that the ORI properties alone have 1,000,000oz.s+ of reserves, at .3ozs./ton, so the math at $100/oz. cash flow is really quite attractive. At maximum capacity, 3000 tons, running 350days/yr. there are at least three years of production from the ORI properties alone. I don't know what other deposits would have access to the new mill. Just looking at a rough map, it apprears that the ORI properties are the closest by a lot, so their reserves are critical for this new mill. I don't recall the capital cost of installing a mill, or if they are planning something really efficient, but it really depends on ORI. One thing I do know, is that the oz.s/ton are pretty impressive, compared to a lot of other producers reserves, so even with waste built into the picture, if the mill is put in we are sitting pretty nicely. A lot of producers will disappear before BYG (if they ever get seriously started). And if there are more economical reserves (which I believe is highly probable given the breadth of their holdings), who knows.
Sincerely,
Al Cern |
