by Nick Hodge
Outsider Club
Publisher’s Note: Yesterday you received Part 1 of my interview with Marin Katusa, in which we discussed the resource market and gold stocks. You can see that here. Part 2 is below. We pick up with me following up with Marin about a metric he devised to ensure you’re not being diluted out of your gold exposure in any given stock. Enjoy.
Nick Hodge: Let’s start with the gold growth per share. If you just continue to finance your company, and you continue to issue more shares, and your resources, or your assets aren’t growing then of course you’re being diluted out of the asset you invested in to begin with. With BRI, with Brazil Resources they’ve taken this bear market over the past couple of years to really add ounces in the ground. Just look at the Whistler acquisition, the property up in Alaska. That’s taken BRI to over 10 million ounces indicated and inferred. I think something like 13 million ounces of gold equivalent.
Marin Katusa: Spot on, Nick. What people have to understand, and differentiate is a lot of companies claim they have ounces in the ground, but what are the quality of those ounces? Now a very good friend of mine just sold his company for over $125 million in Argentina.