Traps you say
"I guess if Dale was serious about increasing production then a PP would have been the way to go as these funds could have been used to hire more knowledgeable personal and updated our mill / crusher and the deep hoist."
Keep in mind if we are spending 10 Million on exploration, now with this FT we now can use the money we would have spent on exploration for other stuff like you mentioned. THis FT frees up cash that would have went into exploration and on top of that we get tax credits. Yet on top of that, the shares are at a premium so less dilution overall.
Now im not sure if they can use this money for building a new drill shack and all that stuff but i think it would be logica that they could as this are all cost related to exploration.
So I'd rather see FT then a PP. Im not sure we need to dilute the stock any more so im still questioning if this was a good descision however im sure they know more stuff then I do so they probably have their reasons. I would have loved to see this stock become cf positive and be able to pay for exploration from their own pocket but im sure we will get there soon.
My only concern is that even though im bullish on gold at this moment, I only give it another year. Purely speculation by my part but i suspect the economy will start to recover mid to late 2011 and gold will start to retreat back to the 600-900 levels.
Hope im wrong and hope they are at 2000. but thats just my very uneducated more of a feeling guess. But that still gives me a good year to see SGR make it up to 6.00
Jeff
