Not a holder but interested in what others think. Red Gum Resources (www.redgumresources.com) From the website: Recent surface sampling results announced 19July12: Listed on the ASX 17th Jan 2012 Cash at end of 31 Mar 2012: 3.6million+ Going through their reporting, they seem to stick to forecasted costs or generally have come in under them. Market Capitalisation: $1.5million Share Price: .05 Appreciate the stats are all over the place. The results are interesting and obviously they are operating o/s in Peru etc. One to watch maybe? Incredibly low market cap imo. edited: Mistake, not drill results but surface sampling results.
Yeah they are rock chip samples Rock chip samples are taken at surface so the material that is found on the surface may not nessesarily originate from underneath the local area. In other words it could have been brought in by other means rather than originating there.
At the end of march they has 3.6m cash so sounds like its trading as cash value, so at least you have a reason to say its fair value but not under valued. If they find nothing economical - they will go to intrinsic value ($0) This is why whatever they do find they will 'PREACH IT' hard. (ie 12000 g/t in rock chip) More money comming end of 2014 via options @ 25c So they will probably have to do a (at least 1) capital raising between now and then - I would wait untill that time comes and see what they have then and how the capital raising goes then decide. Too risky at this stage but keep watching.
