Yesterday, Goldcorp published their reserves and resources tables for the year ending 31st Dec 2010. Their 4th biggest reserve, Los Filos, is also in Mexico and the grades for gold and silver is 0.68g/T and 5.1g/t respectively. The M & I resources for Los Filos is 0.5g/T for gold and 5.3g/T for silver. What is CJO grades for the gold rich area we will be developing? 0.66g/t and 13.6g/t for gold and silver respectively. There may be other unknown factors to me but all things being equal, I find it hard to believe Goldcorp would invest in Los Filos and not CJO which has equal if not slightly better grades than Los. If Goldcorp is not holding about 30% in our Mexico mine, we may already have suitors knocking on our door.
CJO Price at posting:
21.0¢ Sentiment: Buy Disclosure: Held
