TODAY'S DISCOVERY, TOMORROW'S FUTURE

Creating shareholder wealth by advancing gold projects through the exploration and mine development cycle.

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Message: Re: Gotta be a leak.
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Aug 28, 2008 11:44AM
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Aug 28, 2008 11:54AM

Aug 28, 2008 12:21PM
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Aug 28, 2008 12:37PM

I have no inside information here. The reason I mentioned Goldcorp is that they have shown a propensity for buying close to home.

Their purchase of the Eleonore deposit in Quebec from Virginia gold is my best example. They bought that without a 43-101. Repeat, no official reserve! Just based it on the many holes that Virginia was feverishly punching into the property. Lots of shallow gold is what they liked, I think.

By the way, I think that the Virginia deal set the gold bar standard for the way these should be done. Goldcorp bought the entire company, with the preplanned idea of keeping Eleonore and spinning out a New Virginia and investing in the New Virginia as well. So VIA shareholders got Goldcorp stock, plus new virginia shares that were well capitalized and undiluted.

Re frenetic drilling, I note a parallel here. I do not think anybody has more drills turning on one property in Canada right now than KXL. They are in one hell of a hurry to prove up some gold. I suspect, but do not know, that they have majors chomping at the bit and that KXL management is rightfully afraid of selling out too cheaply.

I just think it is worth thinking about why, when a stock pulls out of the pack like this and makes a 45-50 percent move up in a week on no news. If you can figure out why, you have a better idea of what to do. Do you just sit there and wait for news? Do you sell everything else and bet the bank? What?

The other side of the coin is it is just a delayed reaction to that last exploration update,which I did like. To me, it feels like more than that.



Michael




Aug 28, 2008 12:58PM

Aug 28, 2008 01:28PM
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Aug 28, 2008 05:37PM
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