Welcome To The Western Goldfields HUB On AGORACOM

Western Goldfields, Inc. is a gold mining company with operations focused in the Western United States.

Message: WGI in general

Posted by: kirkdsmeeton on December 02, 2007 09:46PM

In response to: WGI in general by nijinsky70

The reason WGI didn't move so much in sync with gold is because it was overpriced. Compare it for example with ARZ which is producing gold at this moment(43,000oz for last quarter).

My response:

WGI's future annual production is similar to ARZ noted above (160k to 170k oz per year). The disconnect to the gold price could be the forward contracts and volume on the Amex is rather small.

Once production starts I suspect WGI will be moving up as the gold price for next year should be higher than to-day. Seems the Fed will have a couple of rate decreases by the time WGI has its first quarter of production. Also by then we will get a better idea of the use of the recent financing. Be patient. GLTA.

New Message
Please login to post a reply