By Bob Moriarty
321Gold.com
Investors need to understand that when they buy into a company they are not buying a project; they are buying the philosophy of the management of that company. I’ve lost the most money investing by focusing on the quality of projects. The best projects cost me the most money. You are buying management, not dirt. Really good projects that can’t be screwed up unless someone works 24/7 to screw them up are as common as dirt. I know a lot of people who managed to work 24/7 to screw up great projects.
In 2000 gold and silver mining was dead. Gold hit a low of $252 in August of 1999 before bouncing all the way up to $320 and wobbling for the next two years like a nine-month-old toddler who has been hitting the bottle. Rob McEwen, Chairman of a tiny gold junior in Canada, named Goldcorp, came up with an interesting idea. He would promote his company by sponsoring the “Goldcorp Challenge” to find the next 6 million ounces of gold in Red Lake at his mine.