someone else has confidence in carrick, page-22

Wipper, perhaps I should remind you why I like Carrick despite the long wait.

Let me put a hypothetical scenario to you.

Company C has three million ounces of measured and indicated reserves that can be open cut mined at an all up cost of $850 an ounce.

Then price of gold rises to $A2,000 and looks headed even higher, perhaps to the proverbial $5,000.

Company B is pulling gold out of the ground as fast as it can but it is still not fast enough to meet the demand from central banks in China, Russia, South Korea, Greece and India, let alone demands from individual investors in the USA, China, India and Europe and the gold jewellery market.

Company B urgently needs new reserves and right near by are company C's reserves.

How much will company B pay for company C's reserves? $20 ounce - allowing for a net profit of $1,130 an ounce? $100 an ounce allowing for a net profit of $1,050 an ounce? $200 an ounce - leaving $950 profit?

I'm prepared to sell my shares for a very reasonable $200 an ounce.

It appears some are happy to sell their long held shares for $20 an ounce or less at a time when gold is gong through the roof both in US dollars and even more so in Australian dollars. Is this logical? Please explain.