Silver and BayhorseI very much enjoy the speculations about the silver market here on the BHS board. My own view is that it is very possible that silver will breakout at some point but it is impossible to know when.
While a good silver price would certainly make BHS shares more attractive it would be a bonus rather than a critical factor. The real value in BHS comes from the Bayhorse mine being operated efficiently and cost effectively. There has to be a significant margin between the cost of mining, shipping and processing and the sale price of the silver recovered.
From what I can see this margin has been the focus of the efforts at the mine and with Mineral Solutions.
O'Neill's greatest strength is that he understands mining as a business. Businesses live and die by their margins. While I want BHS to be mining hard immediately I also want every ounce produced to be as profitable as possible.
If BHS can be profitable at a $14.75 silver price it will obviously be really profitable if silver takes a long awaited excursion to the upside.