CGM - Cougar Metals

[Greenmitzy]

I'm very new to trading and I noticed an announcement from CGM this week (22/3/2012) The announcement was 'Outstanding Gold Results at Pedra Branca';

Highlights
4.23m @ 288 g/t
1m @ 1,185 g/t
1.12m @ 204 g/t

In comparison to some other drilling results I've seen announced, that seems high. I read this report but as a new investor I don't understand what this means. The share price spiked but settlled back to roughly it's original position from the day before.

My newb question: OK so they found gold, now what? I assume extraction, but what does this announcement actually mean for share traders?

 

[jdymen]

grade (%) x estimated size of resource = net value of the resource (almost direct relation to Marquet Cap)

then they needto find a partner to chip in to extract the mineral, or rise money to become a producer themselves or sell the proyect it to some big company

cheers

j

 

[Clansman]

grade (%) x estimated size of resource = net value of the resource (almost direct relation to Marquet Cap)

then they needto find a partner to chip in to extract the mineral, or rise money to become a producer themselves or sell the proyect it to some big company

cheers

j

I think this company may already be a producer.

 

[Des P]

The drill results look good most company's would love this
But as for already a producer i think from reading there web site
the production was years ago under another operation 1 kg per day???
looking at the major share holders
it seem,s to be one family
54.4% but this may have changed
updates never happen fast
I have put on my watch list
But it gives me a little trepidation when a family hold majority of shares
Cheers
Des