Replies to post #394 on Great Basin Gold Ltd. (fka GBGLF)

[billg711]

Selling More Shares Comments

GBN prices its shares in Canadian dollars. I see on Kitco that 1US = .8738 Canadian Dollar.

I was going to check the price of GBN on the Canadian exchange but apparently I have the wrong symbol for it.

I see that CEF, a closed end company I own, that has only gold and silver bullion, at 50 ounces silver to 1 ounce gold, is also issuing more shares, they announced today.

Interestingly, even though that is actual physical, they are selling the shares at a substantial discount, and also the shares are currently selling at a 10% premium.

[OriginalFred]

I think the market is grossly under estimating how positive this news is. This is the signal that Burnstone is a "GO". We will know the real strategy soon, but as a rough guess, it will take $100 million to get Burnstone running. This dilution should cover $25 million of that. With a good feasibility study, it may be possible to finance the rest with debt.

Whoever bought these shares must realize the potential of this project. They did not receive much of a discount. The market has been ignoring Burnstone for a long time, but I think the stock price will begin to reflect the value of Burnstone soon.