Mining is among
the most highly leveraged stocks to rising silver prices.
(Comparing favorably with Avino)
SRLM.PK (STERLING MINING) (I own
(208) 676-0599 -company
about 20 million shares, fully diluted as of
2005--(To get the latest number, I have to call Ray DeMotte.
Note the date.)
$72 million Market Cap
~185 mil oz. reserves + resource, Sunshine alone
Quote from: http://www.sterlingmining.com/jun112003.html
"The prior operator last estimated the mine reserves at 26.75 million
ounces of silver, 10.36 million pounds of copper and 7.05 million
lead (or approximately 28.85 million ounces of silver-equivalent), as
an additional resource of 159.66 million ounces of silver. "
Baroness 15 mil -- tailing project, no further exploration
potential, (construction finished, testing beginning)
mil -- +
San Acacio 14 mil -- +
Total: 231 mil oz. silver
$72 million Market Cap / 231 mil oz. = $.31/oz.
$72 million Market Cap / 550 mil oz. = $.10/oz. (exploration
You get "approximately" 29.9 ounces in the ground for 1 oz.
silver's worth of stock.
(Exploration potential is 71.)
Additional comments: Silver &
- Lou Passi and Jason Hommel
-- 01 April 2005
Ray DeMotte really, really understands the
story, and has been aggressively acquiring silver properties. Sterling
consolidate its land position around the Sunshine mine, and refurbish
Sterling Mining acquired the Sunshine mine. Sunshine had "more than 360
million ounces of production over the past century" and was one of the
three: Hecla, Couer,
Sunshine. Sunshine went bankrupt. Sterling
got the property a few years ago cheap, because they were quick &
to pay cash. Other buyers wanted to do a full study before making an
The best factors, I feel, are as follows:
1. The Sunshine mine is an existing mine that was mining at a profit.
company went bankrupt, not the mine. So there will be no great capital
for start up, only minimal costs.
2. The Sunshine sits on 1/2 sq. mile, and was never fully explored.
Mining owns 10 square miles of property surrounding the Sunshine, right
heart of silver country, the location of CDE and HL, the other two big
companies at the top of this list.
3. The management of Sterling mining
understands the silver story. They have been acquiring many silver
since acquiring the Sunshine mine.
Sterling mining is now a producer, producing
from the Baroness tailings project in Mexico, and taking ½ of the
bringing them home to the U.S.A.
Ray Demotte was recently re-elected by 92% of
Ray Demotte also believes in holding silver,
in preference to holding too much paper cash. And is flat out against hedging, and locking in prices
for silver sales. In fact, Ray
actually had an offer from a buyer to buy silver at 4% over spot, and
turned that offer down! What a silver
Finally, I’ve been so busy,
I’ve been hardly able to keep up with all the bullish developments
Sterling Mining. To get the latest
developments, you really need to contact the company, or do your own
(I own shares of SRLM.PK, and the company has not paid me to send out
Before you make any
in any small silver company that clearly needs to raise capital,
you are a large investor, please contact the company directly before
excessively bidding up the stock on the open market.