RE: Stock Price torridog - you make me laugh! I was like you several years ago until I got schooled by the markets and woke up.
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imho the way to make money is to buy growth stocks in beaten down sectors and get a double effect as BOTH the growth and the sector favor comes back in, to increase share value. What will happen with CRJ is that it will rise some as POG rises and as the sector recovers. That is normal - a rising tide lifts all boats.
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But what CRJ is going to lack is that extra "after burner" potential from a truly great growth stock. McMillian and his "plan" to double production to 100,000 opy IN 5 YEARS isn't going to attract BIG MONEY and command the large premiums that other companies enjoy. [ANV, BTO]
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So yeah, CRJ will rise, and fool some into thinking it is nice, while the greater potential for growth of the properties and truly HUGE share appreciation is pizzed away.
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Now not to bash you personally, as I am sure there are a few investors like you with the same thoughts....But this comment is the most funny of all!
>>>This stock has a good future with the projects under development and hopefully cash flow from gold sales will cover development costs to reduce share dilution.<<<<
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"hopefully" cash flow will cover development costs? Huh?
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You invested your hard earned money in CRJ, you hired them to make you money, and you don't know the answer to this question? WOW! That is just lazy! The information is out there....
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If you listened to the last CC and heard McMillian, you would know that CRJ had to cut back its dill plans for 2012 because CASH IS TIGHT! They are "hoping" to hit production targets this quarter, "hoping" to have enough money to pay bills and "hoping" to be able to end the year flat on cash. Remember that production for 3Q is slated to be down 50% [10K oz, versus 15k oz] due to the shaft tie-in. The only thing that "might" bail out CRJ at this point is a rising POG - THAT might allow them to have a little bit of money on hand at the end of the year - say $10MM. ...as opposed to the planned $10MM of borrowing forecasted! But Seabee isn't spinning off enough cash to feed all of the CRJ projects, let alone the expansion.
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But in order for CRJ to ramp up production from 50,000 opy top 100,000 opy at Seabee - CRJ NEEDS CASH! Pretty clear from the CC that the cash isn't coming from Ops Profits! McMillian has said in several talks that he sees it costing $4,000 of capital investment for every ounce of production! At half that rate, Seabee would need $100MM in order to make that expansion for 100K opy. WHERE IS THE CASH TO COME FROM????
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Pretty clear that CRJ, at present is going to need cash for that project and that size of money isn't coming from a tinker toy 50,000 opy operation!. [er, unless Management "high grades" the mine!] Oh and don't forget that that drilling at Madsen is another mouth to feed, as is "development" of that low grade mine at Amisk - more cash needs. WHERE IS THE MONEY TO COME FROM for all the hungry mouths? But you are "hoping" cash flow will fund development costs? WOW!
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But hey, keep investing in "safe" locations.... it isn't the location that is the problem it is the MANAGEMENT! CRJ management has ben around for 17+ years and has built the company into what? 50,000 opy producer? Terrible growth record here - all they can crow about for their 17 year tenure is that they are "survivors."
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Good luck "investing!"
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BTW - there is a difference between being a basher and thinking critically and not being stary eyed over a story or potential. Sorry if my views don't fit one's cheerleader notions - all views on a BB could be considered - after all is one here to challenge their thinking, learn and become a better investor, or are they here to get bucked up by others, go along with the crowd and reiforce their views/opinions? I'm just sayin'