Re: Stock price going down and questions about Kimber
posted on
Mar 13, 2008 07:47AM
RB, Anything is possible. They've got gold there, and the company has value based on what they already have, even at the grades they have already found. The recent financing was to get more drills out to the property and see how good it gets, so to speak. They might find something better, or make a big strike, but I don't believe that hope is incorporated into the stock price at this time. Modern mining methods can get the gold out of the ground at most likely less than $500 an ounce including energy costs, labor, etc, even at the grades they have. That makes alot of money for Kimber even with no new discoveries. But I believe the chances that they won't show us some more ounces in the next several months are pretty slim, especially with this guy Mare outthere on the job. If anyone out there has a better estimate of how much it will cost to get gold out of the ground at this time at the grades Kimber has access to, please chime in. SB