I have found that there are many of you that have been involved with junior miners for a long time and have a great deal of operational knowledge. It would be interesting to learn the technical details of hard rock and placer mining and their differences with regard to feasibility, process and costs. There seems to be entirely too much nonfactual information batted around these message boards yet there must be a huge body of knowledge about what it takes to succeed in the gold mining business. Isn't it amazing that exploration companies are selling for huge multiples long before one spade of dirt is turned over? Lots of holes drilled and assays but can't even be considered credible reserves at this early stage of exploration for these companies. It seems that DGRI will soon be able to publish data at this level very soon. Given the results of the data, it should be possible to speculatively determine the market value of the resource, the cost to produce and the potential profitability. If this is true, can the production value and buyout value of the stock be determined from comparable sale information? Based on favorable numbers, will we be looking at a offer to buy the company? What would the value of the stock be if all these questions were answered? I am compelled to continue to accumulate at this time even without these questions answered. How about you? Will those of you who know the facts help those of us try and understand what we are doing?

I'm wondering, 70 Oz. or .70 oz per ton? I must have missed it. And that is certainly the right decision under the circumstances. I don't know that much, but 70 oz. per ton seems almost impossible. I would be very happy with .70 oz. I have looked at many reports and have never seen anything like this. Most high grade come in at $.50 oz per ton or a little better I think. Probably, in a high grade rock vane mining system you would hit large concentrated quantities in the vane. Maybe that is what happened. We are all in on the river card and I am comfortable with that. Drill, drill, drill and drill some more. Thanks.

Anything is possible at this stage of the game. Almost everyone's speculation is correct given the circumstances. Forming strategy is always dependent on achieving specific results. What you do with your money and what I do with mine is manage risk. I know that I don't know enough to predict the future. I do know enough to look at comparable sales, the price of gold and many other variables to help determine the risk/reward ratio for me. I believe the drilling program that covers about 30 acres I think will solidify and enhance the value or it may not and further exploration will be required. It is a good thing that there is some science and site history to fall back on. The geology and science behind drilling and analysis is very expensive and that is why you see incremental baby steps. All this effort is designed to mitigate risk and improve the chance of economic success. I am pretty sure that there are few opportunities to get into a gold mining investment at this price level with this much potential at this stage of the game. I am trying to do as much homework as is possible to manage the risk and accumulate as much as I can comfortably. We have evidence of other early stage junior miners starting off as penny and sub penny stocks who's management has done the right thing and created whopping stockholder equity. Maybe that will be the case with this company. To me, it is worth the risk. Good Luck.

RE: Buyout or JV? My rough analysis of the buyout value when it is bankable is $2 per share if all 750,000,000 shares are issued and 10,000,000 oz gold are bankable. That would be a net $1.5 billion cash for the buyout. Lots of these type of deals have a stock kicker in a new operating company. A deal like this would be hard to pass up. It is important to remember that the market price of the stock must exceed $5.00 per share before Mutual Funds and many institutions are permitted to invest. Hedge funds, however are free to invest in anything at any level if they can get it past committee. I have some personal experience where a hedge fund put up $15 million and a private investor is in the process of putting up $6.5 million pre-feasibility for a specialized gold recovery operation. This company hired a sharp marketing guy to put those deals together. They have about 150 million share outstanding and sell for about $.55 per share. In my opinion the buyout value of this company is $12 per share with 10,000,00 oz bankable gold. IMO DGRI is a big winner if credible results are achieved with the current expanded drilling effort. So to end speculation that we can do nothing about, it becomes apparent that every potential investment has a comparable market value for each state of development that has been proven in the market price for the stock. It appears to me that Mr. Hollis knows what he is doing in terms of structure and consideration of all of the options that have and will present themselves during the process that we are all now engaged in. Buyout or JV? Way to soon to tell but when a deal is on the table, its on the table. It's possible that the JV guys are banging on the door right now and if it were me I would encourage them to do their due-diligence but that doesn't mean if Barrick or Newmont stepped into the picture with a buyout that I wouldn't listen. Ultimately, the stockholders will prevail. And, I ask you, would your decision be to accept a $2 per share offer or suffer the burden and expense of production at $400 to $800 per oz. and possibly get the stock value to over $5.00 per share after a few years? In summary, with what I know so far, I'm all in and would support the $2 buck buyout.

Enjoying reading "Simon Big Daddy, The Pragmatist. A few random thoughts to add to your story. Mr. Hollis has stated publicaly that part of their opportunity is to be able to structure acquisitions utilizing the restructuring of the balance sheet that was recently completed. I am all for it if it takes us from 10 million ozs. to 20 Million ozs. The available financing could come from a major with completion of the drilling and successful results. Frontier had some help from Newmont before the buyout. Everyone should look at the deal closely to be able to compare it with DGRI potential. Financing is all private and the Hedge Funds are just not playing yet. I am in another company that has raised over $25 Million over the last two years, a private Hedge Fund and a single private investor. All at $.33 to $.54 per share. The stats are similar to DGRI with one exception but these guys believe that the buyout value is around $10.00 a share. It looks like Mr. Hollis has hit big in Montana. That will be proven soon enough. Additionally, penny stock gamers usually issue Billions of shares for the day traders to play with. If they ever become viable or just want to quit, they reverse split and you become worthless. DGRI has been around for awhile and has accumulated assets from doing deals with junior miners and what looks like the accumulation of some pretty good claims. Tonight on CNBC a hedge fund guy predicts gold will be at around $2200 an oz. in a year.
I know this for sure, there are lots of miners out there drilling holes all over the place and there will be more coming. For now, this company has all 4 legs of the stool on the ground and one of them happens to be the current acquisition cost of the stock from our point of view. It is really hard to find a company positioned like this that is affordable. At least for now. It is inevitable that as gold rises more will get in the game because the miners will be able to spend more per oz. on production.

Thanks for your thoughtful comments.

Given today's events, announcements and promotions, just what is it that has happened that has changed the fundamental value of the company? In one of Mr. Hollis's statements he said he thought the stock was under valued and that the value of the stock should be $.10. It is a good idea to look closely at the Frontier Gold (FRG)buyout by Newmont Mining for $2.3 Billion last month. You can extrapolate the value of this company by comparing the details. In my opinion that is why this is a long term investment. It would be interesting to hear from all who have conducted extensive analytical due diligence and lets compare notes.

Much prosperity to all.

Thank You. Frontier was purchased for about $14.00 per share and not one oz. of gold was yet produced. $2.3 Bil cash and equity kicker in a new company? I think they had about 7,000,000 oz. proven and 150,000,000 shares outstanding. Do you think our guys would accept an offer like that when the time comes? Translating the quantity and outstanding shares puts us at about $6.00 per share buyout price not including the value of the silver. I have heard that production cost usually run from $400 to $600 per ounce. Is that fairly common? Are you familiar with the cost to drill the site in order to learn the full width, length and depth and quality of the mineralization? Has that drilling plan been implemented? It appears that if your spec numbers hold up and they don't need to go to the equity well, there should be no need for a reverse split. It appears that DG has a winner and they are hard to find. Looks like Hollis has been looking and dealing for many years to get where he is. I look at 100 gold stocks per week and so far I have found 2 that meet my criterion. DG is one of them and will continue to be if the testing is aggressively underway and there is light at the end of the tunnel.

Your opinion on current and future value based on the companies stated inventory and annual production estimates would be helpful. I'm new at this but If I am reading it right, I believe that based on the stated values, the company is currently undervalued but given future stated production values it appears that net $20,000,000 in annual net revenue projection would translate to about $.05 per share with 400,000,000 shares outstanding. If the P/E ration is 15 to 1 then the production value is $.75 per share. I don't think you can attract the attention of institutional investors until you reach $5.00 per share. This may mean that a reverse split could be looming somewhere in the future. If my math is correct, 50,000,000 shares outstanding with an EPS of $.33 per share at 15 times earnings will get the company to a market value of $5.00 per share if they gross $30,000,000 with a $20,000,000 net. Please check my math. Are we looking at a 1 for 8 OR 10 split down the road? With 10,000,000 oz. why wouldn't the ANNUAL production goal reach 360,000 oz or more. If that were the case, EPS would be about $1.00 per share so the stock value would be about $15.00+ per share. I think. Of course all of this is meaningless if an aggressive drilling plan is not implemented so we can understand the true nature of the resource. It appears that the company has enough capitol to complete a comprehensive drilling program. With this in mind, if the resources are well managed and brought into production within the next 12 months and the production levels can be increased appropriately, this can be one of the rare junior miners that can hit a grand slam home run and reward the early adopters. In the meantime I will accumulate shares and watch this one very closely. Good luck to all in the game.