Wednesday, January 12, 2011

Nothing to see Here

Fire River Gold has released more drill results from Nixon Fork and the market is not impressed, probably because the holes are all from the C3300 and C3100 zones.

"Fire River Gold Corp. is pleased to announce results obtained from the 2010/2011 28,000 metre drill program at the Nixon Fork Gold Mine situated in AlaskaŹ¹s Tintina Gold Belt. The Company has received assay results of holes 1 through 10 (N10U‐001 ‐ N10U‐009)from the 3100 and 3300 Zone."

Does it matter one iota if those underwater zones are drilled 50 times or 50,000,000 times if its been proven beyond any possible doubt that there isn't a single gram of ore that can be mined?

The semantics seemed to have changed slightly with the delay in the PEA on underground mining as well. Last time out it was an "in-house" study with Snowden "supervising" and now its all about Snowden's study. A subtle clue perhaps that Snowden isn't comfortable with its name getting plastered over a highly partial "study" that is more about wishful management thinking than the stone cold facts required to justify a major investment for a public company.

It may have a large impact on the content of that report and one might speculate that this has spooked the market for FAU paper. It is this opinion that a negative PEA is the best possible result to avoid the annilation of millions of innocent bucks on a lost cause. Mr. Harry Barr, I am absolutely certain, could find much better uses for that kind of dough and stakeholders would be better off in the longer run.