The problem is that they are not going to mine the existing pit. They are searching for new lodes. That means a lot of digging, blasting, and hauling. They will need to buy a lot of equipment to do that and that has to be figured into costs somewhere. No way in hell they'll get any $700.00 oz's out of there.
They are going to have to do something with 25 people on the payroll. It's a bad time to sell it so they may just let it sit and hope that prices recover. There have never been any operations there to curtail just some exploratory drilling and taxes are cheap in Nevada. The mine has already been sitting idle for almost a decade.
Pershing will not start production until they find something to mine. They say so in their 10Q. The have not yet identified a mineable resource. Leeching is like watching paint dry. You only leech your lowest grade stuff and cyanide ain't free! Nobody is going to give them 10 million until they demonstrate it's economically feasible or Frost would have piled in already. All the cheer-leading in the world will not buy giant steam shovels or million-dollar dump trucks!
Meanwhile, a lower-than-expected reading on U.S. consumer prices Thursday curbed investors' appetite for the traditional inflation hedge. Comments from Credit Suisse's head of commodities research Ric Deverell didn't help matters: "Gold is going to get crushed," he told reporters in London
Good luck with that gorilla!
If you have been watching this for two years you have been watching paint dry. No matter what you believe they still haven't reported adjusted numbers from last year. Hmmmm, too large a task for this behemoth outfit? They can issue PR's saying anything but they can't report actual numbers? If a stock takes off and there is no one here to see it does it gain momentum? Nope.
From the latest: "Once the Company has identified proven and probable reserves in its investigation of its properties and upon development of a plan for operating a mine, it would enter the development stage and capitalize future costs until production is established".
Translation: If we find another 10 million bucks, this will happen. Really? You haven't identified anything worth mining? AMAZING!
I wouldn't have a lot of confidence here with currencies strengthening and gold getting killed. These guys have a lot of work to do and right now there AIN'T MUCH GETTIN' DONE!
Actually, that would be the gooey unrefined stuff that comes down from Canada. The recovered oil would weigh about 8lbs/gallon or so. You could haul 8,000 gallons out in a tanker.
Gasoline weighs 9lbs/gallon. A gas transport weighs about 70,000lbs less tractor. Most roads have a pretty standard weight limit and 9,000 gallons of oil would weigh over 100,000 lbs alone not including the transport.
Man are you out of it! An oil tanker cannot hold 9,000 gallons. A gas transport holds 7,000 gallons and a small oil tanker holds 6,000 gallons. A large oil tanker can hold 8,000 gallons tops but I doubt they are running the big ones on these roads. That would be one heavy truck! A barrel of oil is 42 gallons not 55. You must work for the Obama administration.
I don't find it curious I just find it annoying to the point that I would like both of you to take a dirt nap. I am going to have a buddy of mine that works in IT at Yahoo to pull up your real info and post it on the "Call to Jihad" website along with cartoons you both drew of Mohammad having his way with a sheep!