Idaho Strategic Resources (IDR)

[alohamart]

Yes, MMG on Amex has a world class zinc project in feasibility, and is very undervalued based on just that, but they also have a large amount of silver on their property, which had 45 former-producing mines that only direct shipped ore that didn't need milling. They're working to define the silver and should move up significantly as they prove that out and move the low-cost zinc project (over 5 billion proven pounds) through feasibility. They sold off this month as they had millions of shares come free trading from a private placement a year ago, creating a great long-term buying opportunity.

Also, Roxmark Mines (RMKL on the CNQ, RMKMF on pink sheets: http://www.roxmark.com/ ) is at sale prices because a 92-year old large shareholder just sold 8.5 million shares for estate planning purposes. They should get listing on TSXV any day now, and they have 6 former-producing gold mines as well as a moly deposit in test production. They have a fully permitted mill that is probably worth more than the entire market cap.

Once listed, I think Roxmark will go much higher as they move their moly into full production and reopen some of their gold mines. It's a unique opportunity to get lots of gold and moly near production very cheap.

I like these situations where there are great projects which will clearly make it to production and worth a lot more long term, but are on sale short term for non-fundamental reasons. Here's a good recent article discussing this type of situation:


http://www.kitco.com/ind/Hoy/feb082007.html

If my thinking is correct those funds and investors that have the ability to recognize companies that are “real” with projects that are worthy of attaching the word “production” have the opportunity see returns beyond their wildest dreams. Unfortunately this probably will not happen for the vast majority of investors. Why? Because the vast majority of investors and funds are “BOYS!”

“THE BOYS”

The “Boys” are investors who think in terms of percentages. These investors have very little respect or understanding for the value being developed in the assets they own. Many are traders who allow a formula to dictate their entry and exit points giving no credence whatsoever to the accomplishments of management. Many are private placement buyers who understand the necessity of Venture Exchange Companies to raise capital. They know that after their holding periods are up they can sell their shares at a percentage profit and keep their warrants with absolutely no risk and no capital tied up. In the end, many of the “Boys” that play this game have never had a trade in the open market except for a sell. The sale of these shares gives them percentage profits, which normally turn out to be pretty good percentage returns, but in no way reflects the true value of the investments they may own. I call these people “Boys” because they do not differentiate companies that are very well managed with a future from those that are nothing more than trading vehicles. A classic example of this is trading a silver dollar for pennies. No one in their right mind would make an exchange like this if they knew the difference.

“THE MEN”

The “Men” on the other hand, are in search of the “Silver Dollars.” The “Men” recognize the potential of companies that are very well managed with corporate teams that have been successful in developing resources that are worthy of being put into production. The men recognize that share price weakness in these companies is an opportunity to build positions and redistribute shares from the hands of the “Boys” into strong hands that want “Silver Dollars” instead of pennies. The Venture Exchange has no shortage of companies that fall into this category. The “Men” recognize that as a company develops their projects, shareholder value multiplies making their original investments pocket change in relation to what should be reflected in the current market share price of their investments.

Many times the current market share price has nothing in common with the value that has been built as a result of successful programs. It is at times like this where you have a true separation between the “Men and the “Boys.”

At times when the share price does not perform in a manner that one would naturally assume it should as a result of positive behind the scene developments the “Boys” will constantly gripe and complain about the poor price of their shares. The “Men” on the other hand will sit back and quietly take advantage of the mistakes made by the “Boys” as they dump their shares and move on in search of “what they think” are more plentiful hunting grounds.