Re: Van. Presentation
in response to
by
posted on
Oct 05, 2009 10:43PM
Creating shareholder wealth by advancing gold projects through the exploration and mine development cycle.
I don't think anyone thinks it's a bad idea to tie up as many prospective properties as possible.
I don't think anyone thinks it's a bad idea to drill up every property to see what's there, and whether it's worth pursuing further.
I don't think anyone thinks it's a bad idea to drill up the Golden Mile, put together a 43-101, then a pre-feasibility study, then a feasibility study, and then eventually start producing either by partnering with a biggie or financing it some other way (preferably w/o dilution).
I don't think anyone thinks it's a bad idea to do the same with any other property that turns out to be economic.
What is a bad idea is trying to do everything at once, running out of money before any one property reaches a point at which it can be partnered, sold or financed, getting desperate, and either selling out cheap or diluting the #$%@ out of the shares by having to raise lots of money at a depressed share price. In other words, has KXL chosen their priorities wisely, and used that $50M in the most efficient manner to advance the company as a whole to the next stage (where money is not a problem), or have they blown most of it trying to advance every property at once without getting one of them to a productive stage?
Will we run out of money before something happens that will enable us to get to production or make enough off of at least one of the properties so that revenues are enough to maintain and grow the company? That's the big question. As of now, we simply haven't been given enough information by the company to know the answer. Does KXL know the answer? Or are they working on a deal or working up results that will provide us with an answer? Or are they getting desperate, looking at the assays and realizing they haven't found an economic resource yet, and reduced to hoping that one of the drills will hit the motherlode?
I hope we'll get answers to some of these questions soon, and I hope the answers aren't disappointing. We really need some good news.