Replies to post #72092 on Pacific Gold Corp fka PCFG

[Twotone]

Well, it comes down to having an income, period! We're in penney land and 99.9% of penney landers depend on selling shares of thier comapany for income. We've got a producing gold which is a hell of a lot more than you can say for almost all penney stock gold mining shares. Even if the recovery rate does come in at .2, we're not out of the game yet. We've been working with nothing for quite a few years now. This is our time. Howz that for terrible due diligence?

[H3Capital]

Robo, I have to totally agree with you. The recovery rate will absolutely positively determine the value of the company more than any other factor. If management can prove that they can recover virtually all of the reported grade (.4g/cy), Katy bar the door. However, if they can only recover 50% of the reported grade (which I seriously doubt), they will very likely be showing Katy the exit.

[Phred6]

A lot of numbers flying around today. With gold @ $1,600.00 their break even point is .219 ounces per yard, @ .30 they recover 239 ounces with a net profit of $99,451, @ .35 they recover 269 ounces with a net profit of $161,026, @ .40 they recover 308 ounces with a net profit of $222,601. Those are monthly figures based on 95% of production capacity.

The Blacfire deal gave them an infusion of $382,500.00 to finance the startup, so there was no need for dilution or creative financing. The .2 grams floating around the last couple of days is from 2007 when they shut down and the mudflow they processed in July of this year. If the recovery rate was that low, they'd have closed up shop already. Anything above .3 grams per yard is profitable.

[foxwoodsfan]

BS: The inferred grade is .5 g/p/cy so if they get .4 they are recovering 80%. If they were only able to recover .2 g/p/cy they would still be clearing 100K a month at $1,500 gold running at full capacity....get it straight!