LAKE SHORE GOLD CORP 6.25 PCT DEBS T.LSG.DB

minny poisen pill

[goldhappy]

LSG curbed exploration to maybe half a dozen drills from 30 drills? Expanding the resource was put on the back burner to simmer. The focus shines on mine development and mill expansion. After reading these blogs about possible takeover it becomes somewhat clear what the board may have accomplished.

LSG slowed the exploration spending. This keeps the resource from expanding. LSG  looks less attractive to mine hunters. The production grade was kept low to bring in just the right amount of cash to pay most of the bills. LSG took on debt as a smoke screen to ward off takeover sooters. Just maybe the board has a well thought out strategy?? If LSG was short of cash why did they not crank up the gold grade?? Say what they want about the low grade development...it is complete BS not too crank the high grade stopes for needed cash. LSG would not have to open many high grade work places to reach 4.5 gpt.  Cutting exploration spending and borrowing money may be a minny poison pill. It has worked so far. Keeping the stock price pinned under a dollar is outrageous.