Some history on TOO GOOD to be true news and 20+ Bagger stocFortunately SA keeps stocks that get bot out still on their site. Went back and found on Claude CLGRF that the comments were just as remembered them, even though 3 to 4 years old. Nowhere as good news as RNKLF has, but CLGRF hit a much higher grade system, like 15 gram/ton roughly and I bot it like crazy as knew it would greatly improve profitability.
Others like on RNKLF feared the news was too good to be true so they did not buy or suspected something was wrong it they stock would be higher etc. One wrote an article that they were high grading the mine crippling its future, that is here: https://seekingalpha.com/article/2463195-claude-resources-recent-success-is-fleeting and one quote:"But these lower costs are almost certainly temporary--the company is mining its limited amount of high grade gold in order to achieve these results."
I responded on another of his articles:
Darp Comments5399 | Following
"Hi Ben, How do you know they are high grading? I was under impression they were just doing a better job." (today in 2018 that mine is producing even more gold, 4 years later, it was not being highgraded at all)
Then a month later on this article Darp Comments5399 |
WHY CLAUDE IS THE MOST LIKELY GOLD MINER TO 10 BAG IN NEXT TWO YEARS I am not a contributor at Alpha. Glad to see Claude has a page here with knowledgeable posters. So am doing an unofficial analysis of Claude just as a poster. Glad that Ben is following Claude. For full disclosure I have about 10 gold mining stocks with Claude being the#1 position with between .5 to 1 million shares of it. I am also a geologist, but a rusty one.--- over 300 grams per ton over 1.55 meters Here is the link https://bit.ly/1sTDbJf with a picture of the core sample.
Look at all the high grade core samples in Santoy Gap, there are 12 drill holes in a row over 10 grams a ton. The current grade looks sustainable to me. There are a lot more reasons that CLGRF can ten bag. Can any one name another gold miner so likely to ten bag? 15 Nov 2014, 02:01 PM https://seekingalpha.com/article/2635275-update-claude-resources-reports-strong-q3-earnings
In two years it 27 Bagged So many parallels to RNKLF in terms of how people deal with news. The "that is too good to be true" thought can be dangerous to missing out on profits. If it goes down 1 or 2 days, something must be wrong, etc.
BTW wish has kept that 600,000 shares (think it was) as it would be worth $1.5 million if sold all of it where sold the last of it at, but risk management wise did it right, made over $400,000 if recall right, friend held it all till my last exit and made $900,000. Timothy Stabosz was in it with me, but he sold it with a triple very early if recall right. With CLGRF like RNKLF thought it could run a long ways and then get momo, and that is what happened.
Had a 3 bagger in one week with RNKLF, but bot more as value is way more than current price. RNKLF has much more spectacular news than CLGRF which was the #1 gold gaining stock in 2016. 5,000 gram /ton bulk samples never happened at Santoy, in fact likely no 50 gram./ton bulk sample ever happened at Santoy Gap (less than 1/100th as good).
CLGRF went from 50,000 oz to 80,000 oz a year, that caused a 27 bagger.
RNKLF is going from 20182Q "112 kt of material was milled at an average grade of 3.24 g/t to produce 11.8 koz of gold, a 41% improvement from first quarter production." from about 32,000oz a year to? Well 35,000 oz a month so far. They are starting off with a gain from 32,000 oz a year to 420,000 oz a year run rate.
There is no comparison and RNKLF has started going up much much faster than CLGRF did when they hit the Santoy Gap, as it should. So is a 50 bagger to $5 based on what we now know unreasonable? I think not at all.