Great Basin Gold Ltd. (fka GBGLF)

[amarksp]

Russ:

Did not mean to imply that your specific comments caused price decline, although can see how you could interpret my remarks that way...

What I meant to imply was other shareholders likely held the same sentiments as you, namely GBG has:
"management that may just be a "tad" too self serving, and prone to "use" average shareholders? They don't really own much stock themselves, just use other compensation schemes. Maybe these guys are just culturally that way, and can't change".
And such sentiments have caused them to sell here recently.

(With MOY I am comfortable waiting for another 40 days... My average price is US$.56 and have only held a few months. See this as a cheap way to obtain NEM shares, and I will likely sell the MOY shares and retain the NEM share distribution.)

In regard to GBG, I too have been a long term shareholder although I have successfully traded the stock. Just picked up some trading shares @ $.83 and my next hoped for buy level is $.76 which may or may not come... But it just does not take much to panic the typical GBG retail shareholder who has typically bought at higher prices and is prone to panic attacks. For example, my largest GBG share purchase was on 9/7/01 for US$.33 when GBG had $.29 per share in cash as I recollect. When GBG shareholders panic, they tend do it with style, for no apparent rationale reason, with reckless abandon, and like no other junior gold stock I follow. Probably large shareholders selling out of sheer disgust with GBG management or otherwise, who knows, but the OTCBB market makers just keep on walking the price down which begets more selling...

And it certainly would not surprise me to see GBG trade below $.76, after all GBG only has US$.39 cash per share now (excluding all Burnstone acquisition shares and the $2M cash paid). Can$14.5M at year end plus Can$7.4M from Jan 03 private placement (@Can$1.80 per share) and 46.9M shares outstanding = US$.39 cash per share. With GBG's panic trading history, we could even see GBG trading under $.70, and I will have cash available if it does..., but likely $.75 will hold given POG over $320.

Guess theoretically one should count the SouthGold shares issued plus the $2M cash in one's cash per share calcs, but when you are buying measured and inferred ounces at US$4.00 per ounce, a better treatement may be to call it an investment and count it as cash in the ground... (It certainly has more value, IMO, than the prepaid expense loan to HD on their balance sheet...)

One last interesting tidbit, am encouraged by the former Homestake President & CEO appointment to the GBG board of directors...
http://www.greatbasingold.com/gbg/NewsReleases.asp?ReportID=47213&_Title=Mr.-Walter-Segsworth-Jo....