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Gold is off $7 an ounce as of 8:30 am Pacific to $1,828 after dropping as low as $1,811…Silver is up 16 cents at $41.51…Copper has gained another 8 pennies to $4.21…Crude Oil is up 24 cents at $89.14 while the U.S. Dollar Index is flat at 73.95…a couple of U.S. economic reports came out this morning that contained no major surprises…the pace of business activity in the U.S. Midwest fell in August to its slowest level since November, 2009…the Institute for Supply Management-Chicago business barometer dropped to 56.5 from 58.8 the month before…however, it was better than economists’ forecasts for a reading of 53.5, according to a Reuters poll…the U.S. private sector created 91,000 jobs from July to August, a shade below expectations, according to a report from ADP that sets the stage for a likely weak report on non-farm jobs the government will release Friday…ADP and Macroeconomic Advisors said service-sector jobs rose 80,000, down from an average increase of 115,000 over the past two months, while the goods-producing sector saw a gain of just 11,000…consensus estimates are that the government will show the economy created about 80,000 jobs overall in August, including the public sector, though some economists say the report actually could show a loss of jobs…a leading Fed policymaker called for more monetary stimulus yesterday as it emerged that staff at the U.S. central bank have significantly reduced their growth forecasts…in an interview on CNBC, Charles Evans of the Chicago Fed said that he would “favour more accommodation” and became the first policymaker on the rate-setting Federal Open Market Committee to explicitly countenance letting inflation rise above the Fed’s target of 2% in the short-term…the Canadian economy shrank 0.4% in the second quarter of the year, a weaker showing than expected, as supply disruptions slammed exports…the country’s gross domestic product registered a sharp slowdown in the April to June period after a revised 3.6% reading in the first quarter of the year, the Stats Canada figures showed…however, the economy did expand 0.2% in June on a monthly basis…the second quarter slowdown stemmed from weaker activity in oil and gas extraction, along with a pullback in the manufacturing and finance sectors…

Quite a day for Richmont Mines‘ (RIC, TSX) yesterday with strong drill results adding further credence to our view that Wasamac is a rapidly growing deposit and one of the most exciting and important plays along the entire Cadillac Trend…7.28 g/t Au over 31.40 metres (true width) in the Main Zone helped Richmont jump $1.48 per share to close at $10.75 yesterday…the results demonstrate a robust system at Wasamac and will help draw a lot more attention to this emerging new mine west of Rouyn-Noranda and the immediate area surrounding it…of course that’s bullish for both Visible Gold Mines (VGD, TSX-V) and Cadillac Mining (CQX, TSX-V)...VGD got highly encouraging assay results from its first hole drilled at Wasa Creek, immediately to the west of Wasamac, and more results are pending from additional holes…VGD has been aggressively drilling Wasa Creek with two rigs and is also planning drill targets for Wasa East (both properties optioned from Cadillac) while CQX holds a 100% interest in 7 claims adjoining the northern boundary of the Wasamac deposit where the Main Zone could plunge at depth onto Cadillac ground…Visible Gold Mines, which is also expected to start drilling its very promising Joutel Project beginning in September, has broken out technically on the charts and is currently up 1.5 cents at 38 cents on 650,000 shares on the CDNX…CQX is also strong, up 2 pennies at 14.5 cents for a total market cap of only $3.9 million…Getting back to Richmont for a moment, RIC is now up 4 cents at $10.79 after profit-taking took it down to $10.38 in early trading…the Richmont chart is looking extremely bullish as John outlines below…

As of 8:30 am Pacific, the CDNX is up 3 points at 1806 after a strong performance yesterday on increased volume…Spanish Mountain Gold (SPA, TSX-V) has commenced a pre-feasibility study (PFS) for its Spanish Mountain Gold Project…the PFS will refine the estimates of capital and operating costs that were the basis for the preliminary economic assessment (PEA) completed by the company in December, 2010…SPA has  resource definition, geotechnical, metallurgical and power supply studies underway, the results of which will form part of the PFS…SPA is currently off a penny at 68 cents…Silver Quest Resources (SQI, TSX-V) reported this morning that a 26,000-metre diamond drill program (75 holes) has commenced at the Davidson claims (SQI holds a 25% interest) that form of New Gold Inc.’s (NGD, TSX) Blackwater Project in central British Columbia…four more rigs are expected to join the one now on site by the end of September with the 26,000 metres expected to be completed by year-end…SPI is off a penny at $1.05…one of our favorite Silver stocks, Great Panther Silver (GPR, TSX), enjoyed a strong day yesterday thanks to positive drill results…GPR gained 23 cents to close at $3.10…it’s currently off a penny at $3.09 and John updates the chart…

Yesterday, Richmont Mines (RIC, TSX) reported fresh drill results from its growing Wasamac deposit including 7.28 g/t Au over 31.40 metres (true width) in the Main Zone.   Needless to say, the market was impressed as RIC blasted through resistance at $10 per share into new all-time high territory.  The stock jumped $1.48 or 16% to close at $10.75 on the TSX.   Richmont is demonstrating a robust system at Wasamac which has been one of the best-kept Gold secrets in northwest Quebec, though that’s obviously about to change as new eyes are starting to focus on this intriguing property.

Wasamac is an exciting and important play, as we’ve been stating at BMR for many months, and we look forward to reporting on it even more extensively during our upcoming visit to Rouyn-Noranda and the surrounding region beginning very shortly after Labour Day.  Richmont President and CEO Martin Rivard has agreed to an in-depth interview with us, plus of course there’s also the Visible Gold Mines‘ (VGD, TSX-V) angle as VGD – to its credit – was quick to understand the geological potential of the Wasamac area and has positioned itself for success there by aggressively exploring its optioned Wasa Creek and Wasa East properties.  As soon as the Richmont news hit the wire just minutes before the opening bell yesterday, buyers stepped up to the plate with VGD which overcame resistance at 35 cents and enjoyed its best volume day in over four months.  VGD is breaking out technically and the market has plenty to speculate about after assays from the company’s first hole at Wasa Creek gave very encouraging indications.

Meanwhile, Cadillac Mining (CQX, TSX-V) is beginning to stir and rightly so.  Not only does CQX hold a 40% interest in Wasa Creek and Wasa East through its agreement with VGD (plus all of Lucky Break and Cadillac Break ground), but the principal structure hosting Richmont’s Wasamac deposit dips northerly toward the seven titles comprising 164 hectares owned 100% by Cadillac.  The question now is, what’s Cadillac’s next move after yesterday’s news from Richmont?  CQX has a great little property and their options include exploring it on their own or cutting a deal with an interested party.  It’s hard to imagine that Visible Gold Mines has not made overtures to Cadillac regarding CQX’s very prospective 7 Wasa claims.  The two companies already cut a deal in December on what is now Wasa Creek and Wasa East.  VGD has $6 million in working capital, the drill rigs and all the resources it needs – VGD is a perfect solution for cash-strapped Cadillac to immediately unlock the value of its Wasa claims which are geologically highly interesting and could be a depth extension of the Wasamac deposit.

A fabulous story is unfolding at Wasamac and we’re eagerly looking forward to reporting directly from the scene in the very near future.  Northwest Quebec, as our readers know, is unquestionably one of the hottest addresses on the entire planet for Gold exploration and mining.  In the parlance of the prospectors, it’s Big Elephant Country.  And it’s Super Big Elephant Country when Gold is trading where it is now, around $1,800 an ounce.

Below is an excerpt from one our recent BMR “eAlerts” concerning Wasamac. If you have not yet registered to receive our eAlerts, please check out the post immediately preceding this one for instructions.

(August 21, 2011)

Wasamac’s a Winner – New Multi-Million Ounce Deposit in the Making?

Visible Gold Mines is aggressively drilling the immediate area surrounding Richmont Mines’ growing Wasamac deposit which is just off the main highway leading into Rouyn-Noranda from the west (about 15 kilometres from the city).  Mark our words, and we’ll explain why in more detail during our upcoming visit to the area, but Wasamac is one of the best-kept Gold secrets in northwest Quebec right now.  The story of Wasamac and the strong potential for a multi-million ounce deposit there has been flying under the radar of most investors for the last year.  That is likely about to change which is why we were almost screaming at our readers from the rooftop recently when Richmont was trading around $7 a share.  It quickly exploded to a new all-time high of $9.98.  Richmont, which trades on the TSX and the AMEX under the symbol “RIC”, is expected to provide a major exploration update on Wasamac any day now.

Visible Gold Mines borders the Wasamac Property to the east, the south and the west through an option agreement completed last December with Cadillac Mining (CQX, TSX-V).  This general area is geologically highly prospective and the former Wasamac Mine produced produced 250,000 ounces of gold between 1965 and 1971.  Record-high Gold prices encouraged Richmont to re-visit Wasamac in the spring of last year and drilling to date has shown that what was mined in the 60’s was likely only a fraction of the Gold that is actually there.

On August 11, VGD’s share price jumped 26% when it announced that several zones of Gold mineralization were hit on its very first hole (LBWC-11-03) at Wasa Creek, a previously unexplored area. The hole was collared about 450 metres north of the prolific Cadillac Fault, which runs right underneath the middle of the Wasa Creek Property.  Significantly, drilling intersected a 16.4-metre section with a close coexistence of Gold and pyrite in a disseminated shear zone, similar to the style of mineralization at Wasamac.

What’s particularly interesting is that Visible Gold Mines had virtually nothing to go on when they planned the first hole at Wasa Creek – historical exploration in this area has, surprisingly, been almost non-existent.  The hole featured several zones of mineralization at different depths, including some high-grade, in addition to “many sections” of anomalous Gold mineralization which clearly suggests they could be at the edge of something much more significant.  VGD now has a trail – they just need to follow it.

Visible Gold Mines announced August 16 that nine holes have been completed at Wasa Creek (assay results are yet to come on eight of them) and aggressive drilling continues.

Two drill rigs are concentrating on the area around LBWC-11-03 with 50-metre step-out holes and a “wall” of holes to the east in a north-south direction for 1.5 kilometres crossing the Cadillac Fault.

But the story gets even more interesting.

Drill targets are being finalized at Wasa East which also looks very intriguing.  The VGD geological team, which we have a tremendous degree of confidence in as we’ve already outlined, sees a possible connection between the Wasa Shear Zone and the Cadillac Fault which are on either side of Wasa East.  It seems some secondary faults are present which bodes well for the potential discovery of mineralization on that property.  Here’s an important quote from the August 11 news release:

“Geophysical anomalies indicate there could be many parallel zones to the Wasa shear and the Cadillac fault, and ground surveys show the presence of a fault suggesting a direction which can connect both gold-bearing systems. Historically, very little exploration work has been carried out at Wasa East, and the company is looking forward to testing the potential of this area.”

Wasamac is going to be one of the most important stories along the Cadillac Trend for many, many months and Visible Gold Mines is in the heart of the action.  I suspect they’re trying to get their hands on even more ground in the area.

Note: The writer holds positions in Richmont Mines, Visible Gold Mines and Cadillac Mining.

As we prepare for our upcoming visit to northwest Quebec, and during that visit, we will likely be sending out some special BMR eAlerts.  We are also adding a regular new eAlert feature each Monday morning beginning today.

We are also in the process of updating our list.  If you wish to be included in the BMR eAlert system, which sends out important and timely market information that’s not always posted on our site (or before it’s posted on our site), simply click on the “Contact Us” button you see in the top right hand corner of this page, type in “Alert” in the subject line, give us your first name, and hit the send button.  We send out only occasional eAlerts but when we do, they are significant.  Your email address is not given out to any other party.

Again, use the “Contact Us” button you see in the top right hand corner of this page or send us an email at:  [email protected]

IMPORTANT:  If you are already an eAlert subscriber, or if you’re about to become one, please ensure you add “[email protected]” to your email contact list.

This is an early version of Morning Musings due to travel commitments today…as of 4 am Pacific, Gold is up $5 an ounce at $1,793…it got as high as $1,800 overnight…Silver is up a nickel at $40.93…Copper has strengthened, gaining 16 cents a pound to $4.13 due in part to the threat of a strike at the world’s third largest copper mine in Indonesia…Crude Oil is off 54 cents at 86.73 while the U.S. Dollar Index has jumped nearly half a point to 74.08…European and Asian equity markets continued to claw back some of this month’s losses as better than expected U.S. consumer spending data boosted technology and automotive stocks, and eased concerns that the global economy may slip back into recession…a report by Citigroup argues that China’s move to broaden banks’ reserve-requirement base may be the last leg of monetary tightening in that country…

India is the world’s largest consumer of Gold and the chairman of that country’s biggest jewelery maker, Rajesh Mehta of Rajesh Exports, believes demand for the yellow metal may surge 25% during the festival season which is now underway and lasts through October…”In spite of the high prices, we have seen quite good demand,” Mehta stated in a report this morning from Bloomberg…”When people are buying jewelry, their motive is investment”…purchases of Gold jewelry, coins, bars and medallions may climb to 250 metric tons in the quarter ending November 30, compared with an estimated 200 tons in the same period a year earlier, according to Mehta…”Demand will go up because of the festival season and also people feel that prices may go higher,” he stated…the festival season in India is followed by the traditional wedding season which also helps drive Gold demand…Indian consumption rose to a record 963.1 tons last year, driving imports to the highest level ever at 958 tons, according to the World Gold Council (WGC)..purchases surged 60% to 267 tons in the three months ended June 30, from a year earlier while investment demand jumped 78% to 108.5 tons, the second-highest quarter on record, WGC stated…India’s monsoon season has so far been good and that’s important as the rain-dependent agriculture sector makes up about 15% of the Indian economy…a bumper harvest boosts rural incomes, lifting sales from cars to televisions to Gold…the nation’s 235 million farmers rely on the annual June-to-September monsoon to plant crops from wheat to rice…rains were “normal” between June 1 and August 28 according the country’s weather forecasting service…

The International Monetary Fund has slashed its growth forecasts for the U.S. and says the Federal Reserve and the European Central Bank must be ready to ease policy…the IMF sharply revised down its forecast for U.S. growth in 2011 to 1.6% from a 2.5% forecast made just two months ago…it also lowered the outlook for 2012 to 2% from 2.7%…the IMF will issue a World Economic Outlook September 20…

Quebec Premier Jean Charest is on a trade mission to China until Friday, and yesterday a Chinese company (Jilin Jien Nickel Industry Co.) announced it will invest an additional $400 million in its project to extract nickel in Nunavik in northern Quebec…the addition of $400 million in the project brings the total investment of Chinese mining to $800 million in the northern tip of Quebec…the mine is expected to begin production by the middle of next year and employ nearly 300 people…Jilin Jien Nickel Industry acquired Canadian Royalties Inc. in 2010 and has since signed an agreement with the three Inuit communities in the region for the payment of mining royalties…Charest calls the agreements with local Aboriginal communities a model for future mining investments in the area…

The CDNX gained 18 points yesterday and closed near its high of the day at 1769.86…volume remains low…that should change, however, as many traders and investors return to their desks immediately after Labour Day…Part 2 of Jon’s interview with Currie Rose Resources‘ consulting geologist Mike Griffiths has been posted this morning…today’s discussion focuses on the company’s Mabale Hills properties where a total of 20 holes have just been completed at Sisu River and Dhahabu…visuals are encouraging and assays are pending…the start of drilling at Sekenke, approximately 200 kilometres to the southeast, has us particularly excited as that project has never been drilled yet by Currie Rose and surrounds and runs in between two former high grade Gold mines…the chance of one or more deposits in the vicinity of those past producers has to be considered very good as Griffiths suggested in Part 1 of the interview yesterday…

We’re looking for potential breakouts at the beginning of September not just in Currie Rose, but also in Adventure Gold (AGE, TSX-V) and Visible Gold Mines (VGD, TSX-V) for fundamental as well as technical reasons…AGE climbed 4 pennies yesterday to close at 50 cents…we’re expecting results soon from Phase 2 drilling at the company’s Pascalis-Colombiere Gold Property near Val d’Or…we’re confident those results will be strong given the very encouraging Phase 1 numbers and knowing the history of the property which includes the past producing and very profitable L.C. Beliveau Mine…we’ll be going into a lot more detail on Pascalis-Colombiere over the next few weeks, especially during our upcoming visit to northwest Quebec…from a technical standpoint, the stock is in a bullish downsloping flag pattern as John outlines below…this is definitely an ideal set-up for a potential breakout – all that’s required is some positive news and we believe that will come…

Visible Gold Mines (VGD, TSX-V) is also commanding our attention given its 49% jump in July and a solid performance this month in the face of some major overall market weakness that sent the Venture to a low of 1676 August 8…VGD has $6 million in working capital and is drilling aggressively in northwest Quebec with one of the best geological teams in the area…if there’s any company that’s capable of producing a major discovery, it’s certainly VGD with Robert Sansfacon as senior geologist…Visible Gold Mines has become the most visible exploration company in the immediate vicinity of Richmont Mines‘ (RIC, TSX) growing Wasamac deposit, with assays pending on numerous holes from Wasa Creek where drilling continues, and a 7,500-metre Phase 1 drill program commences shortly at the Joutel Project as VGD and Agnico-Eagle (AEM, TSX) try to reactivate that former mining camp…all things considered, the probabilities in our view favor a breakout in VGD by next week…

This morning, Jon has a fascinating discussion with Currie Rose Resources‘ (CUI, TSX-V) consulting geologist Mike Griffiths regarding the company’s Mabale Hills Project in the prolific Lake Victoria Greenstone Belt of Tanzania.  Mike talks about the Sisu River, Dhahabu and Mwamazengo properties in addition to what life is like for villagers in the area and steps the company has taken to gain their trust.

Click on the link below to listen to the second part of Jon’s interview with Mike.

BMR Interview with Geologist Mike Griffiths (Part 2)

Note: The interviewer holds a position in Currie Rose Resources.  No compensation was paid to BMR by Currie Rose Resources for this interview in accordance with BMR policy.  Our stock coverage is for informational purposes only and must not be viewed or interpreted as “buy”, “sell” or “hold” recommendations. Please read our disclaimer.

Currie Rose Resources (CUI, TSX-V) has been a BMR favorite for a year now, ever since we first learned about the potential of the company’s properties in the Lake Victoria Greenstone Belt of Tanzania.  CUI is no newcomer to this African country where Gold production and exploration have exploded over the last decade.  It has been active there since 2005, and at the moment the company is in the midst of its most aggressive drill program ever.

Last week, Currie Rose announced it has completed 16 holes at Sisu River and 4 holes at Dhahabu, properties that form part of its large Mabale Hills land package.  Each hole intersected disseminated sulphide mineralization and assays are pending.  The Mwamazengo Property at Mabale will also be drilled but for now the drilling has shifted 200 kilometres to the southeast to highly prospective targets at Sekenke, a Gold area of historical significance in Tanzania.

Over the weekend, Jon had a fascinating discussion with Currie Rose consulting geologist Mike Griffiths (also a director of the company).  To listen to Part 1 of that interview, please click on the link below:

BMR Interview With Geologist Mike Griffiths (Part 1)

Note: The interviewer holds a position in Currie Rose Resources.  No compensation was paid to BMR by Currie Rose Resources for this interview in accordance with BMR policy.  Our stock coverage is for informational purposes only and must not be viewed or interpreted as “buy”, “sell” or “hold” recommendations. Please read our disclaimer.

As we prepare for our upcoming visit to northwest Quebec, and during that visit, we will likely be sending out some special BMR eAlerts.  We are also adding a regular new eAlert feature each Monday morning beginning today.

We are also in the process of updating our list.  If you wish to be included in the BMR eAlert system, which sends out important and timely market information that’s not always posted on our site (or before it’s posted on our site), simply click on the “Contact Us” button you see in the top right hand corner of this page, type in “Alert” in the subject line, give us your first name, and hit the send button.  We send out only occasional eAlerts but when we do, they are significant.  Your email address is not given out to any other party.

Again, use the “Contact Us” button you see in the top right hand corner of this page or send us an email at:  [email protected]

IMPORTANT:  If you are already an eAlert subscriber, or if you’re about to become one, please ensure you add “[email protected]” to your email contact list.

Welcome to our site, or at least the initial version of it!  BMR has been online for two years and strictly through word-of-mouth we have built a loyal following. 

We’re continuing with our plans to ultimately build a very unique investment and money-management resource site that goes considerably beyond what we have now.  While we focus very much on the Gold market and trends in the global economy, and of course the technical health of the TSX Venture Exchange (CDNX), an important component of this site will always be original research on small and undiscovered junior resource companies, mostly in the Gold exploration space, that offer very real and significant upside potential. We are extremely selective in the companies we feature and put forward to investors – we prefer quality over quantity.  However, investors must understand that these are still highly speculative situations and entail considerable risk, volatility and unpredictability.  Our stock coverage is for informational and entertainment purposes only and must not be viewed or interpreted as “buy”, “sell” or “hold” recommendations. Always perform your own due diligence and please read our disclaimer at the bottom.

We use a combination of fundamental and technical factors in determining the value and potential of a stock.  In terms of fundamentals we look for a company with a superb project supported by strong management.  Management must possess integrity, solid ethics and a determination to succeed and build shareholder value.

At BullMarketRun (BMR) we approach the handling of money from a biblical perspective and this is an important topic we will be sharing with our readers (and listeners) as the site continues to develop. The Bible teaches so much about money and how to handle it and invest it –  there are literally thousands of verses on how we should handle the money and possessions that God entrusts us with.  By examining the life of Jesus and reading the Word of God, we can all become fully equipped to be successful investors and handle money wisely in order to make it work for us.  If it’s the other way around –  if you’re a slave to money by being in debt for instance, or if you don’t respect the value of money and spend it foolishly –  you’re in trouble and you’ll never be blessed financially.  We have a God who thinks big – He created the universe – and He wants us to think big  in every area of our lives.  When we handle money from a Biblical perpective (His money that we have been given stewardship of) He will bless our financial decisions and an increase of tenfold or a hundredfold is always possible.  This all begins, of course, with a personal relationship with Jesus Christ by accepting Him as your Lord and Savior and putting Him at the throne of your life.  It is the most important decision you’ll ever make.

God Bless,

Terry Dyer

Owner/Publisher, www.BullMarketRun.com

Disclaimer:

BullMarketRun.com (BMR) is completely independent from any companies it covers.  BMR accepts no compensation of any kind from any groups, individuals or corporations for coverage of any company mentioned on this site.  We accept no advertising either.  Our stock coverage is for informational and entertainment purposes only and must not be viewed or interpreted as “buy”, “sell” or “hold” recommendations. No investment opinion or other advice is being rendered on any stock or company. We strongly recommend that you consult with a qualified investment adviser, one licensed by appropriate regulatory agencies in your legal jurisdiction, and do your own due diligence and research before making any investment decisions. The stocks we cover, by definition, are highly speculative and potentially very volatile. Investors are cautioned that they may lose all or a portion of their investment if they make a purchase or short sale in these speculative stocks.  We are not Registered Securities Advisers. Our opinions can only be construed as a solicitation to buy and sell securities when they are subject to the prior approval and endorsement of a Registered Securities Adviser operating in accordance with the appropriate regulations in your area of jurisdiction. It should be assumed that BMR personnel, writers and their associates may hold or dispose of or trade in positions in any securities mentioned herein at any time.  Owner/Publisher of BullMarketRun.com is Terry Dyer of Langley, British Columbia.

Forward Looking Statements:

All statements in BMR’s reports, other than statements of historical fact, may be forward-looking statements. These statements relate to future events or future performance. Forward-looking statements are often but not always identified by the use of words such as “seek”, “anticipate”, “plan”, “continue”, “estimate”, “expect”, “may”, “will”, “project”, “predict”, “potential”, “targeting”, “intend”, “could”, “might”, “should”, “believe” and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements.