RE: RE: Merrex 2009 Drilling Triples Strike LengthQuite agree! With these results we have removed any doubt about the project. Now it a question of how big a commercial discovery and at what point someone takes us out. Iam is the odds on favorite but they themselves are trading like they might be on someone's menu.
Juniours in general right now are cheap compared to more senior producers. Top tier companys like Iam command a further premium. I posted just this week that they had hit 13. Later this week they hit 16. With their currency-their shares-appreciating like that they will soon feel compelled to use their stock to acquire undervalued partners.
Our problem-and our advantage- is that Iam is run by some smart people. Their job right now is not to maximize value for us. Quite the contary. The recent drill program kept hitting in every direction. Its still open to the north, south and at depth. But Iam has met their committment to us for this year. They spent their 3 million bucks. They could rush in and spend more right away but lets face it-they would more likely than not increase the estimated size of the deposit and raise the price. No, I predict they will try to slow the pace and let us atrophy. But its a balancing act, if the let us whither on the vine too long we might get cheap enough that someone else will grab us and they will have a new partner-a larger partner that is not as easily pushed around. They have to pick their time and I anticipate sometime after the froth from this program has settled and before next years program starts. But if gold breaks out-all bets are off. Either way-I predict that by early next year we will all be chatting on the Iam board-if someone hasn't made lunch out of them by then.