Comstock Inc (LODE)

[NJPortfolioManager]

ThSeeker,

First, as StockDawg pointed out, GSPG is actually traded on the OTCBB, not the Pink Sheets. For those reading who aren't aware, this is an important distinction since it shows their committment to file with the SEC and stay current in keeping investors informed. But more to your point, you're correct that very small companies like GSPG can have a difficult time "keeping their gains" after news-based ramp-ups. If you want to be on the safe side, you can always sell a portion of your position after a news announcement, which is obviously very common since "sell on the news" is a self-fulfilling phenomenon. These are the "you never go broke taking a profit" folks, and I certainly don't fault them for that logic. Like you, I won't be surpised to see a run-up to Tuesday and a slight pull-back afterwards.

As far as resources vs reserves, I was also originally under the impression (from the conference call) that we would be getting the reserves report, but somewhere along the way I noticed that they switched their PR language to resources. It is what's in writing that counts, so I would imagine that everyone is now on the same page and waiting on the resource report, not reserves.

To be fair, they are using a cut-off grade number for this resources report that is fairly conservative, so I wouldn't imagine that the reserves report for this section of their property would be too far off the mark. Also, to develop a reserves report, I'd imagine that they'd also have to do a lot of feasibility studies and technology try-outs to confirm recoverability, and at this point, I'd rather they focus their time/money on mapping the remaining 90% of the land. I'll take 43-101 resource reports on 100% of their land anyday versus time-consuming (and double the effort working through the same set of drill results) 43-101 reserve reports on 25%-50%.

My opinion is that GSPG is simply trying to put together a fully-explored "land package" (to borrow a phrase from the conference call) to sell to a major, and that major will have their own methods of feasibility and technology to determine recoverability numbers. I'd imagine that they would prefer the raw data on the ore in the ground instead of the "operations plan" of a small mining company.