GREY:GRFJF - Post by User
Comment by
007YoungGunon Jul 02, 2008 2:28pm
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Post# 15250603
RE: What's so special about today
RE: What's so special about todayThe main driver of WGI will be the long term price of gold. The higher the price of gold, the more attractive it will be for the large caps to take it over, despite the increased oil price and the book hedge. Increased input costs can be reduced by a large cap with its purchasing power and the book hedge is WGI fall back to ensure this mine is operational and can stand on its own. With WGI, you've got an excellent management team with proven experience and industry friends. Also, something to think about is Goldcorp, which has an unhedge book with a lot of free cash flow, and its open pit mine not to far from WGI.