Hi, every one. Things look exciting, but let us try not to become overeager. If they do things right, the report will be cautious, so proven reserves will be on the low side, with more data firming up the assessment of indicated and inferred reserves without moving them quite to the proven side.
If it occurs like that, the stock will probably move up some more without reaching stratospheric altitude ($1.00?)
However, once operations with the new equipment and methods have started and the company has demonstrated that they are indeed reaching good net income levels (this will take several months), it will climb to a new plateau (I assume between $2.00 and $3.00).
Next, money will be available to further assess the property, refining results so that a final estimate of proven reserves can be made. They will also use some of the cash to expand operations and thus generate more net income.
When all of that has occured (in December), then sky is the limit.
I believe that, even if the information released soon carries very good news, the most likely scenario is the one I just outlined. After Bre-X, people will not jump in until they have acquired the certainty that this is not a scam (management is handling it well with their application to Moody and everything else to prove that they are serious).
So, I am staying aboard but I brace myself for several months of waiting before the rocket ignites.
Michel
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