OTCQX:DMMIF - Post by User
Comment by
goindwnon Aug 20, 2010 12:05pm
362 Views
Post# 17369127
RE: RE: DMM production question
RE: RE: DMM production questionI have several issues with production:
1. It's non-existent. This despite continual reassurance that the company is on track, and full commercial production around the corner. The declines have been in development for a very, very long time. Promises of xx,xxx oz of production made again and again.
2. The company can't seem to get a handle guidance and we are paying the price. Once you lose street cred it takes a long time to earn it back. After continual 100,000 oz/yr production guidance for Zaruma, the street is going to be disappointed when they guide 50-70 oz for 2011.
3. I am not convinced the company has sufficient funds to carry them through to full scale production. Legal fees will be ramping up as negotiations finally start taking place and 1,000-2,000 oz/mo isn't going to pay the bills in full.
"The opportunity is to recognize a situation that is perceived to be bad now but will be much improved in the future."
I agree with you. But the future could be a year off and opportunity cost considerable.