I'm getting dizzy from all the spinning of the USA article on this thread. Some good questions but alot of mental editing. There are both good and bad issues raised in this article.
On the Good side, Mr. Paravicini is willing to put in the article that "Using high-technology methods such as cyanide leaching, ... the site could profitably produce a world class deposit" (Remember, a vague comment like that could be implying a typical "World class" deposit which is anything over 2 million ounces give or take)
Also on the good side, Mr. Hausen says "An experienced company wouldn't have trouble recovering it."
In neither of the above quotes was a total ounce number mentioned. However, Trites determined the site to hold about 5 million ounces of gold but would not be quoted as saying that amount.
On the negative side Borden Putnam (a truly independent person) says "There's not enough data to support this kind of claim and classify it as proven. You would have to spend $10 million to $15 million and drill 5000 to 10,000 holes"
Also in the negative the article CLEARLY says that AFTER 3 days of questioning Turner and Guido the SEC decided to halt trading. The article says "their trying to determine whether Golden Eagle is playing fast and loose with geological reports or committing mining fraud, or has a viable claim"
Also in the negative Mr Erickson declined comment and Trites refused a quoted comment.
As far as this thread goes, Mr. Turner himself is quoted as calling this a "feeding frenzy and distorted reports of this being the largest find on the planet".
Overall I believe the article will drive more speculators to the stock when it reopens. But read carefully folks. There are NO claims in the ounce ranges they were willing to speculate on in IR discussions and the last release. There are NO claims even suggesting anything over 5 million ounces by ANYONE representing the company or otherwise in this article.
When no one is going on record with any specific comments AFTER the SEC has had the chance to review this report and AFTER GE put out a release with a very specific claim of "proven, probable and inferred reserves", I smell burning rubber with all that backpeddling.
Overall I am encouraged by the tone of the article but we should all be prepared for a much smaller success story if what is implied in the article is the REAL story. Which is, yes there is gold, but the huge estimates are very premature and could be a severe case of jumping the gun.
Good luck to us all on July 7.
Have a happy July 4th.
Tom |
