Staying focused The GGG sees that Nozzpack is posting his usual nonsense again today. The use of gram meters is an established method of comparing drill results between different holes. The GGG uses cumulative gram meters in each hole, because NFG will list intervals within the same hole as being separate intervals, if they are more than 4 meters apart. At the present time, rather than focusing on an MRE, NFG investors should concentrate on the extremely high gold grades that NFG is drilling and the relatively shallow depth of most intercepts. These factors among others, will result in an extremely low mining costs for NFG, or whoever might eventually mine the property. A poster on another board had this comment about an MRE.
"@Snidely Another problem that the market (particular retail investors) has with a resource estimate is that the focus is almost entirely on the total number of ounces, not on the grade. I can't tell you how many times I have spoken with retail investors who are playing around in mining stocks and they do their valuations by taking the resource and multiplying by the current spot price and thinking that is the value of the company. So why throw something out into the market that at best will be completely misunderstood and unappreciated, and at worst maliciously used against you?
Just think if they released an MRE that had 5mil ounces at 30 g/t grade. That would easily support a $2.5B valuation if you know what you are doing just on the resource alone and giving no value to future exploration. But I would bet dollars to dimes that if NFG put out a resource like that today, the stock would crater 25% in less than a month. There is simply no upside to putting out an initial resource, and nothing but downside - so why would they do it?”
GGG here, BTW, this guy knows a lot more about gold mining than Nozzpack.