Well, what a surprising week for me with IGR. The CR was disappointing given the management earlier forecast about cash flow from on-going operations, exploration "fully funded". I think those that called it early were on the money, some are always calling it so they had to be right one day :-), but the others I dip my my hat.
This did show a weakness in the management, and balance sheet.
The CR was relatively small compared to the overall cap, but this has had disproportionate negative effect on share price, I couldn't believe my luck when my orders were filled at 28.5c. I do like the fact that management didn't dig into any loans for any "risk" project such as exploration, this would be madness. Definitely half empty mentality in the gold area at the moment, look at NCM.
Hopefully problems with production circuit are being ironed out, no one should expect just to push a button on a circuit and it just works. Outstanding risks, for me a underground mining without drilling (uncertainity is always bad).
Outstanding rewards, continued high grade gold hits on small portions of the overall lease, lots of targets/trends to followup, ounce replacement well exceeding production. Blue, DEEP blue sky, of new finds, HG underground results for 10 years+. Stockpiled ore. Full function gold plant in the right place. Copper a possibility some useful hints HG hints. Hopefully cash will now grow. There is a general weakness in gold explorers, so if Integra with cash/bank backing plenty of opportunity to buy smaller operations on neighboring leases. It is now very hard for a company to make the transition from explorer to miner, IGR will benefit form this oevr time.
It is strange there hasn't been any "real" consolidation in the gold industry given the depressed share prices?
I continue to wonder why HC people are so hung up on the number of shares, it is just a number to me, Market cap is the important fact. At the moment IGR MC relative to its resource output over 10 years tome ridiculous... but I have said that before at a higher share price than today.
I continue to add to my holding.
IGR Price at posting:
32.5¢ Sentiment: Buy Disclosure: Held
