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Core Gold DMMIF

Core Gold Inc is a gold mining company based in Canada with all operations in Southern Ecuador. The company primarily explores for gold and silver. Some of its projects includes Zaruma Mine & Portovelo Mill, Dynasty Goldfield and Copper Duke Project.


OTCQX:DMMIF - Post by User

Bullboard Posts
Post by OriginalFredon Apr 21, 2013 3:40pm
265 Views
Post# 21282205

Management may prove to be genius

Management may prove to be genius

The next couple of quarters will show management to be either failure or genius.  If they can get this mine to be profitable with no dilution, I will say they are genius.

They have fought through a lot of adversity.  They were able to develop the mine through an agreement with the Ecuador government that no other mining company was able to negotiate.  They were able to operate at almost breakeven during mine development.  They struck a deal with Ecuador for a mining permit.  They were able to get insurance to pay on a $2 million theft.  They dewatered a mine shaft flood caused by water from an old mine.  They took out a small loan and negotiated to delay royalty payments.  All this effort allowed Dynasty management to develop a mine with almost NO DILUTION.  

The only problem now is the ridiculous low share price.  But if you are a long term holder, who cares?  Because there was no dilution, you still own the same chunk of the company that you have owned all along.  In fact, if you believe this company is close to success, this is an excellent opportunity to add some more shares.

As for management communicating every detail of the operation, what difference does it make?  I do not need minute to minute updates on a mine that has taken years to develop.  The quarterly reports tell me everything I need to know.

Like I said, the next couple of quarters will tell us everything we need to know.  If I am right, Dynasty will achieve profitability, and the stock price will respond accordingly.

 

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