Gold is firmer today with the U.S. Dollar going into retreat again…as of 8:20 am Pacific, the yellow metal is ahead $10 an ounce to $1,335…it has traded within a range so far today of $1,322 and $1,338…Silver is up 24 cents to $23.80…the U.S. Dollar Index has fallen sharply to 77.28 after climbing just above 78.20…there is plenty of speculation as to what next week will bring in the markets with action from the Fed and the Congressional elections…we’ll explore those issues in more detail in our regular weekend feature, The Week In Review And A Look Ahead…Gold Bullion Development (GBB, TSX-V) is trading between 58 and 59 cents this morning with the market anticipating the imminent closing of the the company’s $8 million financing…with the private placement out of the way, we’re expecting a much more exciting November than October for Gold Bullion…the video released by GBB the other day was an important signal to the market, in our view, and served to put the “big picture” back into focus for investors…things are brewing in the Gold space for Greencastle Resources (VGN, TSX-V) which is why we’ve put the company back into the BMR Portfolio…our interview yesterday with VGN President and CEO Tony Roodenburg was very informative and revealing…Roodenburg made it clear the company is getting very active again in the Gold exploration business after just sitting on some Gold assets and doing nothing in that sector for the past few years…Greencastle has completed initial geophysical work at its newly acquired property near Richfield Ventures’ (RVC, TSX-V) Blackwater Project in central British Columbia, and Roodenburg stated the company is looking for an “advanced” property, “likely in the Americas”, to supplement its Blackwater-area property and two highly prospective properties in Nevada (Indian Creek and Jewel Ridge) it intends to reactivate…Greencastle is up 1.5 cents this morning to 15.5 cents where its market capitalization of $7 million is just barely above its cash value of slightly better than $6 million…the company has regular monthly cash flow of $125,000 from an oil royalty that was valued at $5.2 million by an independent engineering firm a year ago…we were also pleased to hear that Roodenburg intends to ramp up IR work with Greencastle…technically, the stock is looking strong with improved volume, a 100-day moving average that’s now on the upswing, and a 50-day SMA that has crossed above the 200-day SMA…Greencastle has shown an ability in the past to run quickly and very hard…the current risk-reward ratio is very attractive…BMR will be interviewing Currie Rose Resources’ (CUI, TSX-V) President and CEO Harold Smith later today…that interview will be uploaded to our site by tomorrow morning…CUI has pulled back to support in the 15 to 16 cent range…we see an excellent opportunity for a near-term discovery by Currie Rose as it drills its highly prospective Sisu River Property at its Mabale Hills Project in Tanzania…we confirmed with Smith yesterday that drilling has indeed started at Sisu River and is proceeding as planned…the initial (Phase 1) 3,000 metre RC drill program will punch approximately 25 holes into the Sisu River quartz porphyry anomaly to depths of about 100 to 125 metres…the impressive Gold showings at Sisu River confirm a technical report from several years ago that stated the property contains “significant ‘in-situ’ mineralization”…the current drill program is designed to test the extent of that mineralization…Currie Rose made a significant discovery a few kilometres south of Sisu River (Mwamazengo) in 2005, and that’s a property the company intends to revisit as it ramps up exploration efforts in the region…
October 28, 2010
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Hi,
Can you please comment on the recent and severe sell of of GQC-V Gold Quest Mining.
Thanks for all the guidance you give.
Andrea
Comment by andrea — October 28, 2010 @ 8:54 am
Hi Andrea, thanks for bringing up GQC. We’re in the process of completing an article with a chart that should be posted in the very near future. No concerns here at all, in fact the current weakness which probably won’t last a whole lot longer represents another excellent opportunity for additional accumulation at very favorable prices. The stock had a great move and climbed as high as 32.5 cents and since has retreated into the low 20’s. I was somewhat surprised that it pulled back that much – I thought it would hold support around 25 but it dropped a few pennies lower to test support at the top of the 2-year base consolidation. From a technical perspective this is perfectly normal and presents an excellent buying opportunity. Fundamentally, this company has fabulous prospects in the DR with Las Tres Palmas, Las Animas, Jengibre and other properties that each holds the potential for hosting a major discovery. In Spain, GQC has the Toral zinc-lead-silver deposit that provides a very solid foundation for the company. Personally, I’m in GQC for the long haul because I see 10-bagger potential from here for 2011. No sense playing for pennies when this stock could explode to $2 like it did a few years ago—–and GQC has more going for it now than it did back then. When we introduced GQC to our readers, I disclosed I held a personal position of 40,000 shares. I have since increased my GQC personal holdings to 100,000 shares and I didn’t sell a single share when it ran up into the low 30’s. So that should tell you how bullish I am personally on this stock. Won’t be long before drilling starts in the DR——GQC is going to finish the year very strong, I suspect, and really crank up early in the New Year.
Comment by Jon - BMR — October 28, 2010 @ 10:46 am