http://www.theaureport.com/pub/na/14773?utm_source=delivra&utm_medium=email&utm_campaign=Gold%20final%20streetwise-reports%2011/23/2012%2014:30:39

''With a good deposit, a couple of things will happen between the PEA and the bankable feasibility study. In the two years it takes to get from PEA to bankable feasibility study, the deposit is likely to be bigger and higher grade. More important, the bankable feasibility study gives legal cover to the outside directors of an acquirer. It takes courage to take over a company based on a PEA; with a bankable feasibility study in hand, you are covered.

Canplats Resources Corp. (CPQ:TSX.V) is a recent example. For a long time, it traded at a substantial discount to the indicated value of the deposit established by the PEA. In the two years between its PEA and bankable feasibility study, the stock chart looked like the electrocardiogram of a corpse. Within eight or nine weeks of the bankable feasibility study, Canplats had three takeover offers. The professional risk to the acquirer's board of directors was effectively eliminated. That was the catalyst.''