GREY:COLUF - Post by User
Post by
SN3165on Nov 08, 2013 7:00pm
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Post# 21890574
Colossus
ColossusTons of rumors, not much facts out there.
"More cost overruns? Problems at the mine?? If so, how much money is required?" These are the rumors unless someone has inside information which I doubt. It is possible they need more money and it looks like the market is expecting this in the form of another signficant dilution?
To remind everyone, Sandstorm is a partner and has made a signficant investment in this mine. They will not let them fail. In the event that Colossus cannot raise money via equity or debt, Sandstorm would be of help - this I am sure of. Perhaps they can increase the size of the gold stream and eliminate the plat/pall buy back clause.
When it rains, it pours. They have had problems, but they are fixable. These problems have been compounded by the fact that gold price and miners remain weak (but most likely have bottomed in my opinion). I understand everyone's frustation, and I am hoping we get a release soon. In the meantime this could go lower on the uncertainty and frustration...
Bottom line - This one is far from dead.