Founders Metals Inc V.FDR

FDR and news release etiquette

[68Charger1]

Daugaard asked the same question I’ve been wondering about for a while now: do drillers intentionally withhold holes with less impressive results until an outstanding assay finally turns up?  Not that I could blame them if they did.  Most explorers hardly get more than a couple of news release opportunities in a drill season, so the investor relations impact must be considered.

By contrast, on our stock, without a doubt we’ve become spoiled for quality and quantity of news flow.  I am as guilty as anyone, impatiently awaiting not just the next set of assays, but also pining for news that a third rig has been bought and sent to sea / on its way up the river to Antino.

In a good property like we have, the powerful gram-meter reports should come often enough by random distribution that there is little need to disrupt or delay the normal flow of news.  The 2-3 week assay intervals since July would seem to prove this.

Re: Donut and Eclaire, yes, it’s possible our crews find no high-quality results.  If so, you can be sure they’ll move on quickly to Buese.  But I suspect there will be enough encouragement in their initial cores that we’ll drill those sub-zones out sufficiently.

And any material enlargement of Upper Antino will proceed to cast a warm glow over the rest of our property.  Whether or not it is geologically justified, how can an investor fail to subconsciously mark-up his estimates for Buese etc.?  I know I will.

I’m currently collecting updates and adjustments to my resource estimate / target price model.  Some minor negative notes so far, but those could easily be swamped by any upgrade of the Upper Antino sub-zones.  Once we see what Donut and Eclaire might have to offer, I’ll be able to complete my reckoning.

Scorpio2 brought up some shorting rules of which I was not aware – that perhaps even in cash accounts your shares can be borrowed without your permission.  If you have a negative cash balance, that is… which I always figured was, by definition, only allowed in margin accounts, not cash accounts. 

But maybe I don’t know all the terminology.  An interesting topic to sort out, regardless of whether FDR is being actively shorted at present.

Enjoy the long weekend everyone.

[Scorpio2]

Yes, 68Charger1. If you have a cash account with a negative balance, that is technically a margin account. So just keep the balance at above zero in order to prevent the custodian/broker from making your shares  part of the lendable pool. Those shares remain an asset of your account but if you have a negative cash balance, they may have been loaned out to another investor for a fee. So people

[68Charger1]

Sounds like you’ve done a serious examination of the topic, Scorpio.  I guess I can see how your scenario could play out at a brokerage firm, especially if those provisions are buried deep in the fine print of an account agreement. Your idea of defeating naked shorters by putting in open sell orders for our FDR shares at very high prices sounds intriguing.  Such “frozen” FDR long

[Nextlegup]

I'm not particularly concerned about the shorting as we don't need the money anytime soon... it's simply short term noise and warrant holders crystallizing future gains IMO..anyone else shorting is nuts, and frankly risks a short squeeze and a super surge trying to cover as the share price continues to consolidate.:: Those warrants will be excercised before March of next year when they