Hey everyone, we had some discussion on Stockigloo.com regarding price targets and when to consider selling and I wanted to share my thoughts with the Agoracom group.

Also, I wanted to say I have found the Agoracom group to be overall much more knowledgable, intelligent, and useful than the spamhouse Stockhouse has unfortunately become as of late.

While some of you may find my price targets aggressive or might even think i'm pumping, I can assure you I am actually taking a very conservative angle. My targets are mostly based on peer comparison and are far lower than the valuation Dennis gives CMM on his GoldMinerPulse.com site which I do believe are would be what we would get in a buyout situation by a major. For an example of a great post outlining a peer comparison by P05 see this link. It is a few months old and the numbers have changed but it will give you an idea of the "gap" right now.

Regarding Price Targets / etc.

if we assume POG stays around the same as do our peers relative to POG, and if we assume there is minimal change in resource base in the next 43-101, if we successfully reach a production rate of 110k+oz a year at a cash cost of around 600, a fair value vs peers would be very roughly 1 billion in market cap in my opinion.

Depending on the number of shares outstanding at the time, this could be a stock price of at a very minimum of 2 dollars up to 2.50 or so.

However, I do not believe we will hit fair value as soon as we hit commercial production. This company has been through a lot and it will probably take at least a couple consecutive quarters of our full production rate for the street to fully believe our turnaround story and price us equal to peers.

However, ultimately if the price of gold continues to go up and our resources expand (two very likely scenarios) then I believe these targets will have proven to be too conservative.

I consider 6 months and 10 months still relatively "short term." Short term is much more of a crapshoot but for what it is worth I think there is a good chance we will continue to form higher trading ranges in a stair step movement followed by boring consolidation periods and corrections which would ultimately lead us to a 52 week high before the end of the year around or above a buck.

Important pieces of positive news of course could cause some nice spikes along the way that will improve our visibility and expand our shareholder base to help this all along.

I also wanted to share that I found out the hard way by selling many revaluation equities far too early that the reason nothing else beats buying a severely undervalued turn around story like CMM and holding it until it reaches fair value is just due to the mathematical principles of leverage.

For example, when CMM was trading at the ridiculous price of .40 not long ago, it took a 20% gain in price for CMM to increase by .08 (and for shareholders to make .08 in paper gains for each share they hold)

In the future, when CMM is trading closer to it's fair value at 2.00, it will take a mere tiny 4% gain for us same shareholders to make an additional .08 in paper gains for each share we hold.

At 2.00, a 20% move like the one it took us to go from .40 to .48, would now take us to 2.40, which is an additional massive 100% gain for the original .40 share.

So in this case, where we are many multiples undervalued, the biggest rewards will go to the patient that stay the course. Staying just for the first pop is like going to a fine steakhouse and leaving after the soup!

I've done that far too many times so I definitely will not repeat that mistake this time and urge others to stay the course as it will be worth it.

Cheers,

RE