Back in for more above $1.30 Thanks for keeping the board alive Schiff. Nice to see us back above the 200 DMA and signs of life.
Something smells very fishy to me here and I just don't buy the valuation one bit. $165 M or $145 M after cash for a property sitting next to one acquired for $1.4 billion.
Both have the same grades, similar intercepts.. same gold/silver ratio, similar strike lengths and we are a publically traded company - there is no question Eike knows who GWY is and where we sit in relation to his La Moscata/La Bodega zones purchased with Ventana last year.
My largest holding NES is the only company I can honestly say can put up numbers like GWY in terms of grades over large intervals and they are worth $300 M +.. different stories but regardless GWY was the star of 2011 yet all the holes went unnoticed.
I don't know how investors can ignore 26 m @ 130~ g/t au but it amazes me
Eike Batista paid $1.4 billion for Ventana and $400 / oz ~ for the 3.5 Moz on their deposits at the time. Now they have over double that amount and Eike knew he would find more. It would only make sense to spend 1/10th what you did on VEN.TO to acquire propsective land with another 2 Moz~ of gold at high-grades just to the south of your properties. The infrastructure is being built anyways.. 2 Moz of gold isn't just 2 Moz of gold if you have to build the infrastructure for VEN.TO regardless.
2 Moz of high-grade gold then becomes 2 Moz of MINEABLE high-grade gold which is worth $3.4 billion to the market at today's prices...
I can't see the cost being more than $500 / oz at the deposits which makes this acquisition make perfect sense as even with no more discoveries you pay for GWY in the first 100k ounces pulled from the ground... We've got 100k ozs across some rich veins alone like the one that hit 129 g/t au over almost 30 metres