RE: Look out below !!!!I don't see anything unusual with the way they reported the drill results. Why would they report the average grade for each hole? This isn't a bulk tonnage open-pit style deposit.
No doubt the widths weren't as good as the main zone, but they are still not bad. The important thing for merc is to prove up more tonnage. They did continue to do this with these results and they proved the mineralization is more dispersed then just a single zone.
So its hard for me to believe that these drill results are responsible for the selling. As I said, they weren't unbelievable but they did hit on multiple intersections of very economic grades in a brand new zone 150m from the original zone. Selling off a $9M market cap company because of results like that doesn't really make a lot of sense to me.
Knowing that there was a newletter writer putting out a sell recommendation explains a lot. There is truth to the comments about flow-through shares. They can weigh on a stock. And maybe that is the truth behind the selling over the last couple months. There's just too much paper out there. I'd buy that. Seeing flow through shares does put up a warning flag. Why did they choose flow-through? Were they forced to? They also had 40cent units with half warrants but didn't seem to raise any money with it.
If 25cents doesn't hold I think I would be willing to pick up more in the low 20s.