Spoke W/Company I'm sure you have all heard of the expression "Shoot first and ask qeustions later." Well that is what the market is doing. It is not what I do. I ask questions first and trade later.
Here is what I was told today:
Jack Miller resigned due to pressure being put on him from investors in NYC who helped put him in BGM. He is in his late 50's and is already quite successful. He was retired when he joined BGM and came out of retirement due to the quality of BGM's projects. He has no issue with the projects but at his age he does not need the headaches being caused by 15 phone calls a day from NYC. Who after all is running the company? Him, or the outside investors?
The company has a few million in cash and is keeping expenses down to a minimum. No drilling at this time. Company believes it can hold out until the end of the year before needing more cash. The expectation then is that the resource reports will come out at some point. Hopefully, that will send the stock higher and then an equity raise would be done at better levels. That is the plan.
With regard to the milling permit this was unexpected. The company was surpised that the BC government is asking for this because QR was already permitted. But the government is saying that since it is a new source of ore (Bonanza Ledge) an additional permit is needed. We have to duplicate an existing permit now because of the government. If we do get the permit, that should send the stock up enough to justify an equity raise and all of sudden we're mining and generating cash flow. Timeframe on the permit is unclear though.
BGM has made some managerial stumbles. That is common with small companies. However, I have every reason to believe the ounces are there. After all, the ASSAYS WERE DONE BY OUTSIDE FIRMS. So as far as I can see the ounces are still there. And I am getting these ounces that much cheaper by adding to my position at these levels. Anyone with additional insights is more than welcome to respond to my post.
GLTA