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Tudor Gold Corp V.TUD

Alternate Symbol(s):  TDRRF

Tudor Gold Corp. is a Canada-based precious and base metals exploration and development company. The Company has claims in British Columbia's Golden Triangle (Canada), an area that hosts producing and past-producing mines and several large deposits that are approaching potential development. The Company has a 60% interest in Treaty Creek gold project, located in northwestern British Columbia, which is host to the Goldstorm Deposit, a large gold-copper porphyry system, as well as several other mineralized zones. The Company's Treaty Creek property covers an area of approximately 17,913 hectares.


TSXV:TUD - Post by User

Comment by Countrygenton Feb 07, 2022 2:05pm
206 Views
Post# 34405657

RE:RE:RE:High demand and low supply = Higher price

RE:RE:RE:High demand and low supply = Higher price

 

Entry deals can be as creative as the human mind can conceive.

Because we don't know what the value of all the deposits at TC are - but there are definitely prime drilling targets with probable/likely mineralization, to me any full sell-out in the short term is highly unlikely.  More likely scenario IMHO is a premium toe-hold PP that puts a major in a position to participate pro-rata in any further share issuances, but is intended to provide major funding for the drilling and consultant expenses required to take the project to a PEA.  It might not happen because who would want to commit with the amount presumably required when the valuation has such a wide potential variation?  Why commit if PP's are being well subscribed at reasonable prices?  The premium to give a toe$hold would have to be pretty large to make it attractive compared to continued slow share dilution, and the chance to catch rising gold prices and benefit from ongoing drilling success.

When KK said the Newmont people were telling him, the deeper the better, the message I heard was "thanks for the update, we are interested and following your story, it is far too early to make a commitment of the size required at TC, but keep drilling and keep in touch."

Shorter term what will move the SP is the price of gold, the junior peer mining market trend generally, and especially drill results.  As we all know the trend the past few months has been a slow risk-off ... as in the general public's appetite for higher-risk gold exposure is trumped by anxiety and fear over general bear market forces caused by FED tightening and tapering.

The market, in my opinion, is mispricing the high "insurance" value of leverage to gold assets, which should perform well in the longer term in a tightening cycle, or following a general market panic.  But asnyo7 can see these days there is limited buying pressure in the junior miners, it has been an exceptionally slow start to the year, money flows look negative, and one can immediately think it must be the FED and their fear tactics ... a slow bleed and cooling of the markets now gives them greater bang for their limited ability to raise rates without causing undue damage to the dollar - the US and State sovereign debts are massive and how government budgets will handle higher rates is a frightening proposition ... they want traction to cool inflation without driving up bond yields or the price of gold and creating a panic.

But I'd suggest anxious and scared people don't think straight, they just run away, and in full panic mode lose all rational thought.  That's why the fire marshall requires "panic bars" and outward opening doors in public venues - before they used to find piles of people expired because when they pushed on a door while  panicking it didn't occur to them, or the crush of people dint allow them to open the door inwards so they could get out.  Mass hysteria and the mind of the crowd is not logical.  And why cagey old Warren Buffet used to say the best time to buy aggressively was when you saw great value and blood on streets.  If you have time ... as in, more than a year or two ... prices for the Three Amigoes look good, but there is a lot of money on the sidelines that thinks it doesn't look good enough, yet.  Gold too - penant formation charts ... they will all break up or down eventually.  

cg

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