OTCQX:RPMGD - Post by User
Comment by
pipefit2on Nov 08, 2013 9:52am
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Post# 21888185
RE:RE:recent comments from Brien Lundin on Rye Patch Gold
RE:RE:recent comments from Brien Lundin on Rye Patch GoldHi Carrot--I don't have any more insight than you or anyone else. However, if I had to guess why there is a lack of activity, I would guess that the big institutional investors have told them not to spend any money.
Wilco spending committments have been met and Newmont has chosen not to back in, for now. Lincoln has some step out locations, but it seems like it will be a small project that will need much higher metal prices, like Wilco.
Gold Ridge has potential, but not at these metal prices. GGP appears to be a complete bust. Patty has some potential, but what's the rush?
So, again just guessing, they might want to sit on the whatever is left of the $10 million, and do drilling financed by the quarterly NSR payments. It would be easy to say, 'go ahead and drill now', but if metal prices don't recover soon, the NSR payments will be below expectations and the $10 million nest egg will be drawn down.
Perhaps it is better to wait until we see the size of the payments. If gold and silver go higher, which they eventually will do, they can expand drilling plans accordingly.