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Gold/Mining/Energy : Claude Resources TSE.CRJ Undervalued Junior Gold Anyone? -- Ignore unavailable to you. Want to Upgrade?

To: Gord Bolton who wrote (200)	5/6/1999 12:27:00 AM
From: Claude Cormier	Read Replies (2) \| Respond to of 359

<< I don't think that they intend to drill off reserves in excess of a three year supply that matches the mining and milling capacity.>> If so, they could remain undervalued for a longer time. The market wants long term reserves, I believe. <<I understand that they are still drilling from underground and that reserves are growing significantly all the time. Most importantly they are confirming their earlier projections which if fully realized means that they will be mining gold for at least 25 years. >> That is my understanding as well. But they must come out with big numbers that will confirm their theory if they want the market to notice. Look at Richmont, another extremely well managed junior. They will likely be mining for several more years at Francoeur. But they develop reserves as they need. That is why they are selling at a low price to cash flow ratio. The same could be said of Southernera. Despite they have great cash flows that are worth more than current stock price or almost, they sell for ridiculous ratios. Of course, you never know when Claude will come with exploration results that will change the reserves significantly. So I am watching .. no longer holding. But this could well be temporary. CC