Gold Canyon Resources Inc V.GCU

The Model is very conservative

[scoutaz2003]

Mineral resources were estimated on the basis of a gold price of US$1,300/oz and US$15/oz for silver, both considered reasonable economic assumptions by the modeller.

 

At 1,800 gold and 35 silver they could have included many more tons of material and increased the number of ounces.

[auingot]

The mineral resource is solid with good grades.  They should be able to cross the critical 5 million ounce mark (silver included) with their 50,000m drill program.  This is the easy bit. The difficult bit.  I think the most important job is to get the first nations on board with some sort of agreement.  If this can be done GCU will get a much better market price/ounce in the

[scoutaz2003]

The three things they need to add full value to the stock is 43-101 (CHECK), Prefeasability study (CHECK by the end of the year), and a letter of agreement fron the first nations....and I know they are working on it. They could put the valuation of ounces in the ground north of 300 per ounce in a take over. In my opinion.  

[auingot]

I'm not worried about the PS, this will be very a profitable mine.  If they can just get a letter of agreement I'd more than double my position. We're not TRR.  I'm buying this dip.