Thank you Longbomb and Quackaphobe. Yes, i do not understand at all the drilling aspect other than what a proven reserve is. I first purchased Sage 2 years ago @.16 and bot more as it went into the .30's range. I am considering buying more now which is why i asked for the comments. I bought Sage because i think gold and other metals are going higher. I think they are going higher because of worldwide demand and possibly inflation. Obviously timing is everything and that is why i will always be too early or too late. Rather be early than late, so patience hopefully will be a virtue.

I also chose Sage because i felt the management was good, they were drilling in areas that there was no political unrest, and also their various prospects look good. Could have purchased the metal or GLD but thought you could get more bang for your buck purchasing a company like Sage. You could invest a little money and get a larger percentage move on your funds invested. I realize there are more risks associated with this kind of purchase. I really was thinking the ultimate exit strategy for this investment would be a buyout from a producer. I also was thinking that management was more in the know than me, so i was always asking what percentage ownership they had and was it increasing as more knowledge of what was in the groud became available. If the knowledge was positive news, i also assumed there would be more institutional ownership. Maybe certain institutions cannot buy penny stocks.

So is this thinking flawed? This forum seems to be more about the aspects of drilling and maybe i just need to be a little more patient until something is found.