Venture exchange is down by 2/3rds from its high now - what a drop! But compared to the rest of the markets, KXL is holding up very well, IMHO.

I figure the point is:

1) We have cash worth 50 cents a share, putting a floor under the price,

2) The prospects are stunning - in a normal market this thing would be bowling people over,

3) We are absolutely pregnant - with data to make a nice fat news release.

I don't blame Kodiak management at all, for not releasing a NR "balloon" into this sh&*-storm - what would be the point?

Give me a bit of credit, if you can - I did call for S&P at 1,000 from a year ago (I can't take credit for Warren Buffett's call for a Dow of 8500 from two years ago) - so I'm making a prediction now:

What I forsee: KXL keeps its hammered-down status with everything else as stock prices collapse, although with a cushion of cash and stunning prospects underneath us. However, once things stabilize a bit, the most positive outlook going forward will be the gold miners and explorers.

People will still need a place to put their speculative energies. On many stock boards today, people are asking "what should I buy?" The answer in the 30's, and I'm figuring also now going forward, will be toothpaste and gold stocks. It worked then, and it'll work now.

Of course - not yet. We are no where near capitulation at all. The Dow would need to drop another 10-15% to meet Buffett's prediction. Mania was when you got into a cab and the taxi driver talked about nothing but how great his stock portfolio was. Capitulation is when you get into a cab and the unwritten agreement is that you talk about anything, anything except stocks. At that point everyone hates stocks.

And that is exactly the point where we will rise from.

P.S. Hats off to the successful traders out there - I'm not trading. Cost me a bundle recently, and got me burned. For all I know this is the low for KXL. Or it's the high for two months. I don't know.

What I do know is that Homestake rose 500% during the depression. I don't know of anything else that did.

wishing you all best / cedar