Dear Goldfan,

I can understand your confusion in trying to understand when Jim is talking about Kimber or Tyhee or some other company. Unfortunately, for legal reasons, Jim is refraining from mentioning names of companies on the show. At least for now. Plans always change, but Kimber's present plans is to use the $5 million dollars to get drills out on the property and prove out another 2-3 million ounces or more. A 5 million ounce company becomes a much more attractive takeover target. Think about it this way. If you are buying Kimber right now at 80 cents, you're getting gold in the ground at somewhere between $25-$30 an ounce. Say after the financing with full dilution you have 60,000,000 KBX shares out there. The number should end up being a little lower than that, but for the sake of round numbers, let's just use 60,000,000. If Kimber has 2,000,000 ounces and the stock is priced at $1 a share, you are buying gold in the ground at $30 and ounce. If Kimber proves up another 3 million ounces, then you would be buying for today's dollar, gold in the ground at $12 a share. Coeur D'Alene Mines very recently merged with Palmarejo (property less than 100 miles from Kimber's) essentially paying somewhere around $250 an ounce for its gold in the ground. This is the number I heard Eric King quoted on Jim's show recently. I'm pretty confident, it's close, but if anyone out there wants to get the exact numbers, you are very welcome to post them. In any event, we're talking about a big disconnect here between what the market is valuing Kimber's gold at in the ground and what companies are willing to pay for gold in the ground in the Sierra Madre region. That equals a buying opportunity. A Value investment in the true sense of the term. When Jim and Eric have talked on the show, they have many times mentioned the pac-man theory of gold company consolidations that could take place in the future. If someone were to come along and gobble up Kimber at $250 an ounce, with 5 million gold equivalent ounces, they'd pay upwards of $20 a share. Think about that! Also, think about this. The Palmarejo deal was done when gold was less than $700 an ounce. It's over $900 now, and if you believe, as I do, that gold must continue to go higher from here, the deal will only get sweeter. In my view, in other words, now is a great time to buy. Don't worry about the selling pressure. Worry about the fundamentals. Use reason and logic. SB