discovery of new and high grade gold and silver extends LOM
The drilling results are excellent. The discovery of not only additional gold and silver mineralization but the exceptional high grade nature of it means that the Moss Mine is gonna have a much longer life than originally anticipated. A considerably longer life means that the company is going to generate a lot more cash flow from operations over the life of the project even if gold prices just stay at this level for the next decade. Effectively, the net present value of the project has just gone up by a huge amount. I think it's fair to say that most sophisticated gold watchers believe the price of gold over the next decade will be a multiple of where it is at today. So worst case scenario - the price of gold staying at these levels for the next decade - the value of the company and each share has just gone up bigtime. The company just reported its fourth consecutive quarter of record gold production and cash flow, and in Q4 of this year that electrical installation will be coming on stream saving the company millions of dollars = more cash flow from operations. Surpised this company hasn't been targeted for a takeover yet. Now, more than ever, it's likely going to happen.