Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

Trelawney Mining and Exploration Inc TWNNF



GREY:TWNNF - Post by User

Comment by beachbum1on Oct 08, 2011 12:48pm
493 Views
Post# 19132435

RE: kerplunker

RE: kerplunkerKakunda, i agree wholeheartedly with what you are saying above. This stock has been hammered along with a lot of more speculative plays this summer (including the big Yukon names like ATC/SMD, KAM, GPD). I think it is unfair that it has been beaten down to the extent the Yukon plays have, bearing in mind the fact that it is in a mining belt and is therefore much closer to fruition. If you look at it, this stock has traded at around $6 this summer, and has been as low at $2.70 recently. The company has money in the bank such that they will probably not need to go back to the market for another financing in the near future, and essentially after this falls 43-101, particularly at this price, majors will have to be taking a serious look at this stock.
Whereas you look at the Yukon cos in particular (which i note that i own and bought more of at the first of the week), they are much more speculative, they have a lot of property left to explore, in the case of ATC they are hoping to prove up a Carlin Trend, which may or may not happen, and at the first of the summer were probably trading like it was a sure thing, and they will essentially need 20 mil ounces in the ground to justify the capex to build a mine as the Yukon has nothing at this point. So It is easy to see why these stocks would be hammered in a downturn. 
Noting that TRR is sensitive to the price of gold, as a result of the fact that it is a low grade deposit, given that its mining costs are likely to be very low, it is in  great mining environment, a lot of the infrastructure is already set up in the area, their resource is decently set out, i would argue that this stock should be trading on its takeover value as a mine, as opposed to its speculative value. The only way this doesn't become a mine is if gold drops significantly below $1000, which is quite unlikely in the next few years. 
I think anything south of $4 is a real steal for this stock before the 43-101. Assuming things come out as we believe they might (ie - a doubling of the resource) i think this thing is a very strong take out potential this winter and could possibly make it to the $6-10 range. 
More speculative stocks are going to have to wait for the markets to stabilize again, which probably means a greek default and an EFSF solution before we start to see people put money back into hedge funds and hedge funds put money back into these speculative stocks. This year may very well be a write off for many of these companies and i think because of that they do deserve to be beaten down, and people should also be looking at getting out of the very speculative stocks that don't have enough cash reserves to put their exploration plans for next season into play. these companies are going to be very prone to a further downturn and may not come out of it. 
<< Previous
Bullboard Posts
Next >>