GROWTH of a golden cherry versus a canteloupe.
"You are comparing apples & oranges FL." wazzock said.
As Ed Monton correctly said, I was comparing the effects of the drilling announcements, not the total values of the companies. The fact that Glencar is so much smaller means that the spectacular bonanza announcement should have a far greater percentage effect on Glencar than it would on Etruscan or any much-larger company. And it did well. My point is that now, with gold resuming its price rise, Glencar "should" have the best leverage. Remember, Glencar went from having almost nothing (well that's unfair to its Ghana property) to having everything, in one announcement. That's the drama of gold exploration. The big hit.
And remember that Glencar had only drilled 1,942 meters total when they announced the bonanza hit. AND that they conservatively EXCLUDED the two meters containing 34O grams/ton and 475 grams/ton of gold from the published average. What if there are lots more meters like those down there?
"EET is already a gold producer with the 100,000 oz/yr Samira Hill mine."
Sort of. It has a minority share and I think Semafo (SMF.TO) does the actual work at Samira Hill. But yes.
"EET have a second (100% owned) mine under construction.
EET have two other mines in late stage exploration with >1MM oz proven recoverable reserves (and growing).
EET have 36 other high-grade properties in known gold belts.
EET have 1 billion tonnes of proven grade diamondiferous gravels in South Africa.
EET have sound management with 10 year track record.
EET have lots of working capital (around $30MM)."
Yes, yes, all good. I've liked Etruscan and almost bought it. I didn't want to mess with diamonds in South Africa, and for Samira Hill in Niger I got some Semafo (SMF.TO) stock instead which has been great (it runs the mine).
"I'm sure Glencar is on the right track with good property in Mali and good luck to you with it, but you need to do a bit better if you are intent on company comparisons."
Effect-of-strike comparisons, not company comparisons. All the things you listed show that the companies are not now very comparable.
"I notice that Glencar has over 230 million shares out - EET is around half of that."
What of it? Pence versus dollars obviates that. I compared the two market capitalizations converted to US dollars.
"EET has gold and diamond production already, Glencar does not. Lastly, looking at results from a single drill hole is foolish."
Well Glencar then had 27 holes -- most or all ending in mineralization. Glencar has done more since then. I just highlighted the crude score of the best holes, not assessments of reserves. Yes that can be foolish. But I bet it isn't in this case. 475 grams per ton... kind of focuses the mind. I leave it to Glencar management to be so conservative as to exclude that gold from the average grams per ton over 20 meters.
"You are mistaken in thinking that EET is doing "confirmation drilling of already-known assets" at Diba in Mali.
The recent NR announced results for the first two drill holes in this property and those were shallow RAB holes that ended in mineralisation at 60m depth. A diamond drill that can recover full core to 200m depth is on its way to the property.
We will talk later...
W~"
OK. I like Etruscan. I just liked Glencar better, and went to trouble (right after a haemorrhagic stroke) to buy some.
FL
