Rand,
You may be right that the stock price suggests that "something is wrong that isn't being disclosed by the company," but I would point you to the charts of other gold stocks, juniors and majors, to remind us all that we are in the last stages of a bear market in gold and gold stocks. Most of the charts look just as awful as Maxam's. Recent new lows all over the place. And the XAU is going to test the 1986 low any day now!
That said, I will also say that I share your dismay with Maxam management's less than forthright and lucid descriptions of what their strategy is. In fact, I find the leap from the P7 mining focus to a pilot plant completely unexplained. If it's a lack of capital, just say so for Christ's sakes. They do obfuscate things, which does not build my confidence.
Re the permit: if it was not picked up, it was probably a stalling tactic. I don't really buy Hubbard's explanation that the left hand didn't know what the right hand was doing. It is silly and evasive. I think they just don't have the money to start production testing. They are running on fumes.
Regarding the 500 lb. test result: if it was lousy, so what? Run some more. One sample does not a company make. Naxos has a bigger can of worms than that to deal with.
Finally, to reiterate, the charts of NM, PDG, ABX, HSM all look lousy, just as those of GPGI, NAXOF, and MXAM do. This gives me perspective and some degree of comfort. I hope it is helpful to you and others on the thread as well. Good luck with your gold investments. The tide will turn in our favor. Clark |
