I understand It took several months to figure out what the problem with the IP was that gave us the dissapointing Sept results. I understand that they had all the original core re-logged and intervals which were not sampled, now are. All this has to go into the gemcom model.
They also were doing line cutting and prep work for the east end granodiorite.
Finally the creation of the two phase drill programme after an extensive review.
I'm sure this ate up over $100k of FT, so its time to replenish and I'm glad to see they only raised an amount that is just enough to finance this 4 deep hole program and didn't dilute the crap out of us at these low levels.

Exploration takes time to do it right.
But with companies like GAX, it is always only one drill programme at a time,
And results driven.

The 36 hole programme is still a 36 hole programme.
It has always been a two phase program, designed to do two different jobs.
They need to establish that this corridor of high grade continues to depth, and the 4 holes are designed to do this.
Yes, we will need to finance again to do more drilling, especially if this deep program produces solid results. We don't want to be doing that now at a nickel and even with fair numbers from half these holes we should be able to pay for phase two with less dilution.
We also have the 500,000 Abcourt shares to sell to finance the next set. I expect RXX to trade before the end of the first quarter if the Venture sees fit and then the first drill programme on Bottle Creek could start early May or June.
All of this should have a positive impact on GAX.

I would think that Red Ore should be filed with the Venture by now.
I know there was a focus on getting it filed, and then the timing is up to the Venture.
RXX will need to raise money, but the market is better now. The fall was ugly.....and our last results sucked.......shit happens......but remember we have produced solid results and then tried a new technology that brought in zero's. Is the deposit the problem or the technology. Think about it? We produce good assays of short, but predictable intervals on a consistant basis and then all of a sudden we turn zero's? I'm thinking the IP was the problem, but you be your own judge.
GAX did get the dividend out for RXX and as soon as they are listed, people should be happy about that.

We still have Montrose, and Bargold could be a future drill target as it has a 5,000 oz Au historic resource. I understand they have a gemcom model and are talking about a drill proposal in the second quarter. The focus needs to be on this 2 phase drill program at Regcourt and sound results will allow for other oportunities. That is one of the things that I like about GAX at these levels. There are several options and this isn't a one trick pony.

Exploration really moves at its own logical speed and that does not change.
We have excellent geos on the ground, and I am planning on going to Val d’Or to visit after the deep program, once the drilling starts for the 32 hole shallow phase. I'm trying to talk Larry into joining me and he seems pumped to do a site visit. If this does come about, we will let you know when, and I will report on what I see on the ground.

With 50-55 mil shares o/s after this issue, I think we are not too diluted and there are warrants that have, and are expiring. Dilution is always an issue but we are still in good shape, with two potential sources of results, with RXX and GAX in the next two quarters.

The drill is aparently on the ground in Regcourt and we should be through this drill program in about two weeks. By the time we see the public trading pattern develop for RXX we should be getting results from the four holes and setting up for the next phase.

Lot's coming in the near future and once this pp is filled we should begin the move back up.

All just my own personal opinion, please do your own DD

pc