RE:RE:Shortandweak?
I see lots of upside, especially a major lift from new cash flowing into all gold assets because of macro issues. The valuation calculation for the price of decent grade reserve ounces in the ground will rise with the marketcaccepting the long term price of gold has found a higher base.
TUO is restructuring ... seems pretty clear all of TC is being packaged for a consolidation and some entry by a major third party, whether or not SEA is involved in the initial steps.
But not all ounces are the same, and you have to keep in mind in massive deposits where the mining schedule will be decades that at some point additional ounces and reserves don't add a lot of net present economic value to the property valuation unless they can do one or both of two things - justify a larger annual production thus advancing ounces (or pounds of copper) into production earlier, or, increase the grade of ore to be mined earlier in the production schedule by substitution of new reserves of a higher grade..
One of the invisible costs of long exploratory drilling programs in addition to cash and financing costs is shoving future production down the road another year every year spent in exploration ... time IS money. But you are also correct that you don't want to leave valuable assets undiscovered that would completely alter the valuation calculations. For me, potentially shallower and higher grade gold ounces to the NE of Goldstorm and in the arc around the whole Eastern edges from N to S, and especially whether or not there is a large CU/AU porphyry lurking under PSZ that might be a viable block cave if the grades are there.
It's all very good exposure and leverage to the bigger trend that appears to be in play, global CU shortages or extreme market supply tightness coming, and the fallout of the long liquidity experiment led by the FED since 2009 inflating so many asset categories, spreading inflation (inevitable!) and finally driving the gold price up to a new higher base trading range ... maybe towards as much as $3000. Which, if you look at the DOW and real estate as examples since 2009, really isn't such a big rebalancing of gold in the global store of wealth, especially since the Americans increased the politicization of the dollar and dollar reserves by the extent of sanctions against the Putin regime.
Look at all the countries that are shifting greater proportions of their national reserves into gold - all the regimes that have conflicts with US foreign policy are the leaders in the trend, Then the neutrals and others pile into a good thing. But the dollar needs to buckle at the knees a bit - which may be precipitated by Washington nonsense in the next few weeks. Chickens coming home to roost on the coalitions that were formed with some pretty far out right and left people in the tightl congressional majorities in both chambers. Some of the people especially in the House are almost beyond belief - you and I wouldnt trust them to run our personal retirement accounts, much less influence the national budget.
And when the juniors light up, all the careful valuation calculations that ruled the day when cash was tough to find for drilling go out the window ... Main Street gets the gold fever and piles into any good story, prices start to be driven by the numbers of people who want a stake in what is a small pool of truly viable projects ... and you'll see the stock prices blow up ... in fact they can blow up so high it makes it almost impossible to get mining deals done because the market has risen to completely illogical valuations untethered from reality. At which point ... sell before the bubble bursts. It's happened before and will happen again. The set up right now on broad market terms is more and more favourable towards a potential sector price run. We can hope! And in the meantime KK and his crew are adding value and advancing towards the more realistic idea of a valuation fight to get a buy-in or sell out deal done, and it will be at a substantial premium to today's market price IMHO.
The global factors involve so many variables luck and lucky timing comes into play. So best of luck to all of us longs.
CG