When it comes to investing in a gold mine, take a look how many ounces of gold each dollar buys. This can be used as an indicator, but use it judiciously. For if Pershing Gold’s ore is easier to extract and/or easier to refine, then investors can take that to the bank.
As stated in the opening paragraph, investors want to maximize profits and minimize risk. Because the price of gold has soared over the past year or more, mining is booming. There are myriad companies out there. Pershing Gold is one example. Newmark Properties is another. Remember: imposing standard investment analysis on mining companies does not provide realistic or applicable data. Thus the usual analysis will not indicate whether Pershing Gold or Newmark are good investments. So the investor has to employ the Three Ls.
 Precious Metals Investing for Dummies, Paul Mladjenovic, page 166.
 The Mining Valuation Handbook, Dr. Victor Rudenno, page 262.