Prize Geo with a Head as Hard as a Rock, Maybe Harder
I wrote about Prize Mining in June. It pretty much covers the interesting story about the company.
After the market closed a few days ago, management sent me a copy of a press release they were going to put out before the open the next day. I read it carefully and wrote back to warn them that the results were brilliant but by reporting them in ppb (Parts Per Billion) rather than ppm (Parts Per Million) or simply g/t (grams per tonne) they would confuse investors rather than enlighten them.
Management spoke to the QP responsible for signing off on the press release recommending he use g/t or ppm. His response was that he had seen ppb used in other press releases so it was going to go out the way he originally wrote it.
The company released the results the next day as promised showing one assay result from soil samples as high at 8,009 ppb. Readers took one look, couldn’t figure out what a ppb meant and dumped the shares to a new low for the year, down about 14%. I may be hard headed but I’m not stupid. I realized the results were brilliant so I bought up shares confused investors were dumping.
I’ve been on a lot of site visits and it’s so infrequent that the hardest substance is not always in the rocks, sometimes it sits between the ears of geos who think they know everything but maybe they really don’t.
If the results had been released in ppm or g/t, which is exactly the same thing, investors would have understood just how good the results were and run the stock higher. Prize hit a high of $.72 in May and has corrected. Thanks to the press release the shares are excellent value today. The results were excellent and reflect high potential at the Daylight property.
The press release on the other hand might as well have been written in Sanskrit. The only two people who read the release who were as smart as the QP actually understood what it said. The rest of us were left to scratch our heads and wonder what he was really trying to say.
Prize is an advertiser and I have owned shares for years and participated in a recent PP. I am biased so do your own due diligence.