RE:ABXMight be wrong but don't thing anyone will take a run at us for awhile longer.
Chris is playing his hand very shrewdly. He's expanding the potential resourse without actually building a resourse. That may seem counter intuitve but I don't think it is.
In my view Majors need a base case, a minimum # of onces that are quantifiable before they launch takeover offers. They can't take " Blue Sky ' and sell it to their board of directors as a stand alone reason to spend billions of dollars of shareholders money on a takeover.
They need some minimum # so that if the " Blue Sky " doesn't pan out they don't wind up with zero and look like complete idiots.
As we've seen in some takeovers the dollars per Oz. of reported resources apears to be astronomical, like $ 500 per Oz which is very high but it's obvious that in those cases the people reporting on the takeover only have the known Oz. to use as a reason for the valuation, they don't have any idea what the Blue Sky is.
In other cases we see takeovers at much lower prices per Oz. and that's because the entire resourse has been quantified and there is no upside or Blue Sky. Pure Gold comes to mind as a Co. with a known resourse but little Blue Sky and therefore not a particularly attractive takeover target.
So the trick here is to emark on a hunt for the extent of the Blue Sky without ever quantifying the resourse, thereby not giving the major the minimum Oz. that they can use as a launch pad to launch an early takeover.
We want to exhaust the Blue Sky potential first, find the edges of this massive system and then and only then start to put a resource together starting at the best sweet spot or sweet spots and building out from there.
At some point after we've found the edges and start drilling the sweet spots we'll hit critical mass and probably very quickly, could be not much more than a strong indication of 500,000 Oz. and while still not a resourse it could be so strong that it compels an offer anyway because it's so obvious we have a monster and the justification for a takeover would be easily defendable.
It's a theory anyway.
KL8877 wrote: I’m guessing ABX with their inflated market cap will take a run at GBR if the next round of results hit and extend the LP fault.