Sarissa Resources Inc (SRSR)

[marketphile]

I spoke to Scott today as well. The big news is that their goal is to drill both zone D *and* the east zone this season. The first step is to get the access road in good shape, and then the drillers will come in and get to work. Financing is not a problem. They have people lined up to invest in private placements. The key is to structure the deal(s) so that we (the shareholders) don't suffer. He doesn't want to dilute at these low levels.

If the results of the drilling program this summer are as we expect, we could be looking at $15B or more of resources. If you divide $15B by the current market cap of about 25M, you get a ratio of 600. That is what I would consider major undervaluation. Of course, the stock won't attract the big money until it gets off of the pinks, so that's an important step as well. We need to get onto a real exchange to become fairly valued.

As for the stock, he said he knows of at least 450M shares (both restricted and float) that are in "tight" (i.e. waiting for much higher levels) hands. That's over 60% of the outstanding shares.