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Gold/Mining/Energy : Sandstorm Gold -- Ignore unavailable to you. Want to Upgrade?

To: PaperPerson who wrote (70)	6/10/2010 8:00:59 PM
From: marcos	2 Recommendations Read Replies (2) \| Respond to of 1133

The warrants better be worth buying, because i've bought a full load at approx .38 avg [started a bit high on these too] ... more wts than common by far, in sheltered accts almost all wts, bought much lower months ago ... reason that i'm roughly half common by dollar value in margin accts, is that i expect if things proceed as they should i'll likely be holding ssl long after warrant expiry, for a number of reasons [think the gold bull has years yet to run, and already faced with major cap gains taxes, being the top two, personal lifestyle change the third, cashed up some real estate and now have no desire to get involved in any more capital-intensive projects outside of precious metals] If the whole project fails or stagnates, then both common and warrant are bad ideas, so i figure what the heck, go for the gearing ... of course later on, in the event of success, the gearing will be much less [say common at 2.00, wt intrinsic 1.40 with $cad at par, then penny for penny won't mean as much in percentage] ... but for now, in the next swing up the warrant makes the double well before the common imho, and the time value will be eroding only slowly, with near four years left to run ... at the close today only approx .07 intrinsic value in the warrant, well i don't think .29 is too much to pay for that class of upside for that length of time One concern is that with 100m wts out, their dilution will overhang the common as expiry date nears, then shareprice retards the warrant, doubles back on itself ... but this is a long ways off from here, a lot can happen in four years ... and there's a way they could deal with it in advance, in the course of getting financed for new streams - offer an acceleration incentive