Last summer we uncovered a terrific gem in Seafield Resources (SFF, TSX-V) when it was sitting at just six cents. Readers who jumped in at that price have made a bundle. Seafield closed yesterday at 27 cents and has gone as high as 35.5 cents this year. There has been incredible accumulation of Seafield stock over the past six months with the likes of M Partners, Octagon, CIBC and others gobbling up huge chunks of stock. And they continue to do so. Some powerful players have lined up behind Seafield and for good reason – the company has picked up a high quality package of gold properties in the Quinchia District of Colombia, less than 10 kilometres from Medoro Resources‘ (MRS, TSX-V) multi-million ounce Marmato Property. Seafield also has attractive properties in Mexico and Ontario and is now starting to put to use the millions it has raised over the last nine months.
Seafield is up several hundred percent since we first brought it to investors’ attention last summer. However, we suspect Seafield’s run is just in its infancy and at the very least this stock is another Galway Resources (GWY, TSX-V) which went from under a dime last year to nearly $2 per share.
Two days ago Seafied released further details on some of the ground in Quinchia it has acquired through privately held Caribbean Copper and Gold Corporation (CCGC). One property that has now been confirmed (we speculated on this acquisition last fall) is Dos Quebradas which contains an inferred (non-compliant) resource of 2.1 million ounces of gold as a low grade, bulk tonnage deposit. That information comes from a technical report on Quinchia produced by CCGC in early 2008 which we expect to make available on our site as early as tomorrow.
Bottom line: Seafield has recently pulled back from the mid-30’s to the upper 20’s where it is considered extremely attractive fundamentally and technically. The kind of percentage move we’ve seen since last summer in this stock could very easily be repeated again (or exceeded) by this summer. The big boys who have lined up behind Seafield, including the likes of Scott Paterson, are not in this for mere pennies per share but more like dollars per share.
