Thanks GeneM for Kaiser Gold Report...and Happy New Year to everyone!

My New Year resolution is to buy more PRB when the TFSA funds are available, and wait for PRB to pop. I will ignore the silly game some firms were playing by buying 100 shares a few seconds before the close to keep the price down (one example was the recent 100s @ 2.84 from the steady 2.99/3.00), on 30 Dec, 2014? and will buy when the price looks reasonable (to me)...and as they say, "damn the torpedoes, full steam ahead". But this is me, do your own rolling of the dice following your DD and instinct.

Some remarks to add to Kaiser's:

1. Lower grade zone: This 4-6 Moz @ a bit over 1gpt is about the same order as the Cote Lake deposit (which is at a slightly lower grade) which was sold for some $600M. When gold price becomes higher this lower grade resource will become a lot more attractive, at least as attractive as Cote Lake.

2. The land deal: Following this deal PRB has now gained the other 50% of the 50/50 JV with the lumber people. This gain represents ~0.5Moz. In addition, another big chunk will come from the wedge which should yield at least another 0.5Moz. Judging from the previous grades from both sides of the wedge and the good chunk of acquired land around this area, PRB may end up with an additional deposit approaching 1Moz.

The 50/50 JV claims and the wedge, especially the wedge, are strategic for plannning the open pit and UG operation. Drilling has begun in the wedge area, along with in-filling, right after the land deal, hence some initial results should be available soon.

With the claims settled, PRB can start doing some condemnation drilling in preparation for the site, including perhaps a ramp down to the HGZ for bulk sampling, and to "look around", and possible drilling, from underneath.

3. The winter drilling program: It's an aggressive program involving 40,000m drilling. Presumably this would include the in-filling. The main objective would be to complete the last 500m along the strike toward landfall. If the spacing is 100m apart then we would expect to see 5 drills on the ice for the last 500m, when the ice is thick enough. A couple of drills will be used to do in-filling from 2000-2500m to ungrade the inferred to indicated. A few more are turning on land, in the wedge and near the 50/50 JV areas. Apparently, the company will wait for this 40,000m winter drilling program to complete before drilling the land (the newly acquired land) on the other side of the lake (Kaiser said in the summer). So, it would not be unreasonable to expect more than 10 drills turning.

I would hope that the company would change its mind and assign a "roaming" drill for some wildcat drilling along the SE strike on this land portion. In my opinion, this is a sure win. It's expected that the deposit woul continue toward the other shore of the lake...and there would be no reason for Mother Nature to stop the deposit at the edge of the lake. According to PRB model, the high grade is coming from a source and we have not found that source yet. (It would be nice to have a deeper drill to poke around a bit deeper).

4. The East Limb: This is a wild card. They have been drilling this area since October. Dave: Any surprise to share with us?

Enough speculations, for day 1 of 2015. It's time for a beer.

Cheers,

goldhunter