Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: T.J. McIntosh who wrote (473)	1/20/1998 2:57:00 PM
From: VAUGHN	Read Replies (1) \| Respond to of 1030

Hello Todd I have today received an IR package from GMD including their 1997 AR. Various documents in this package refer to contradictory numbers of potential kimberlite pipes either as a result of indicator mineral trains or aero-mag surveys. The variance appears to span from two up to seventeen. The contradiction is troubling, but considering their ongoing processing and probing of 1997 geochemical samples, and still incomplete 50 meter aero-mag survey, I attribute it to exhuberant promotion on incomplete data. Regardless, the hard data suggests some very exciting potential, and I am hopeful, that the company is serious about exploring, drilling and pursueing the Royce pipe targets. I say this, as I believe GMD still has their heart set on gold and the development of the Discovery Mine, which would be a mistake to pursue with the market's attention focused on diamonds this year. The market will penalize gold plays and GMD, if it is not seen as a diamond play this year. I hope and trust GMD spend the majority of their energy and capital finding and establishing the existance of economic pipes. The market is only prepared to reward field results for diamonds right now and while Discovery shouldn't be mothballed, it should not be where the majority of effort is devoted. If gold prices improve by the fall, then the market will reward Discovery resource exploration success but not now. Lets get some drills out on Royce and pull some cores with visible pink diamonds. GMD can write its ticket then as the market will reward success or even drilling activity. What is equally exciting about the Royce targets is that the lakes they are under are quite small and easily drilled from shore throughout the summer. If the market recognizes this, GMD may not experience the April sell-off so many diamond juniors do. I am looking forward to this spring's drilling program and the excitement that will result from establishing the existance of a new diamond field west of Lac de Gras. That will ignite the NWT area play all over again. Don't wait for April GMD, WSP is all ready getting ready to drill. You have three and one half months before the ice melts and the market looks somewhere else,...... get going! Good luck to all and regards.