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No doubt.
The audience following the company is growing leaps and bounds. Good tape action today.
Scott,
These guys who sent out the alert are actually very well known within the metals community. It is a very positive sign that they recognize what we have here at this early stage. I think they were pretty impressed by the fact we are in production compared to so many of these junior gold plays that are years away.
Joe
So not a bad day. Looks like the stock went all the way up to 1.80. Gave some back but still looked good. Looks like that article might have spurred a little interest..
DGRI up 11%. Nice to see some well followed individuals in the gold space find Dutch.
Trader Tracks Trading Alert 05-21-07 9:45am
NEW JUNIOR HIGH FLYER JUNIOR GOLD STOCK- DUTCH GOLD RESOURCES, INC.
DGRI) $1.43(US) PRE-OPEN THIS MORNING.
The company is USA based and is a developer and operator of PROVEN GOLD MINES. The company has opened an old mine in Oregon, upgraded the existing mill to 330 Tons Per Day from 120 Tons Per Day. The mill is fully operational and is expected to be operating at 100% within the next two quarters. This is not an exploration company. The first month of production, March 2007 produced 985 ounces of gold worth roughly $640,250 at $650 per ounce.
The company has reported finding free gold in its current mining operations which is unusual and is being checked by geologists for further reporting. During this quarter, the company expects to average four shipments of concentrate per month. Most importantly, they announced a plan to be become fully reporting with the SEC. Upon completion of this event, they would be posted on the USA OTCBB.
The company was merged into Tombstone Western Resource, Inc. in January, 2007. SEC filings were expected to be completed by the middle of this month. The shares on the 52 week range traded between $.25 and $3.00. Posted volume on Bigcharts today is 27,600. The highs and lows have been $1.35 to $1.44 per share.
There have been a steady stream of posted announcements from March through this date on Bigcharts and also Yahoo Finance.
THIS IS A HIGH RISK FLYER STOCK. WE NORMALLY DO NOT RECOMMEND PINK SHEET STOCKS AND
PREFER BULLETIN BOARD LISTINGS AS A MINIMUM.
However considering they are fully permitted and in production, we think they are more advanced into development than many junior OTCBB listings. There is strong price resistance at $3 per share. We recommend buying the stock at the market and holding it IN ADVANCE OF THE OTCBB APPROVED LISTING. UNDERSTAND THE GOLD AND SILVER MARKETS RIGHT NOW ARE IN THE CORRECTION MODE AND ARE NOT FINISHED AS YET. PRECIOUS METALS CAN SELL LOWER FOR ABOUT ONE MONTH AND WE EXPECT IT. IN JANUARY THIS YEAR, THE SHARES WERE TRADING NEAR $2.40
AND HAVE BEEN DECLINING IN PRICE EVER SINCE BUT HAVE NOW STABILIZED NEAR $1.50. TRADERS CAN WAIT TO BUY LATER AFTER THE GOLD CORRECTION OR BUY NOW IN ADVANCE OF THE PROPOSED OTCBB LISTING APPROVAL.
WE ARE EXPECTING SHARES TO RISE AFTER THE LISTING IS APPROVED AND THE METALS CORRECTION IS OVERWITH. IF YOU BUY SHARES NOW, EXPECT THEM TO SELL DOWN SOME MORE FOR AT LEAST A MONTH AND PERHAPS MOST OF THE SUMMER. HOWEVER, IF YOU WAIT FOR A FEW WEEKS, THE SHARE PRICE MIGHT BE CONSIDERABLY HIGHER BASED UPON NEW PRODUCTION AND THE SEC FORTHCOMING LISTING. IF YOU BUY NOW, DO NOT USE SELL STOPS.
WE THINK YOU MUST ENDURE A CURRENT POTENTIAL TEMPORARY PRICE DECLINE. WE THINK THE STOCK CAN SEE $3 RESISTANCE BY SEPTEMBER, 2007 OR SOONER. CONSIDER THIS STOCK HIGH RISK. WE ARE LOOKING FOR A DOUBLE BY FALL.
Roger Wiegand
Editor Trader Tracks Newsletter
& The Rog Blog at webeatthestreet.com
Scott, I will try to find where I read that. I was deliriously tired when I ran across it, and now of course I can't find it.... Tom
Gold to make a mint?
5:00AM Sunday May 20, 2007
By Gill South
There's a restaurant in France where you can eat very fine gold. Gold is one of the few non-foods you can put into your body that it won't reject. Hence it is used by dentists.
New Zealand's main manufacturer and broker of gold, the NZ Mint, doesn't expect us to eat the stuff but it would like it if we would all include it in our menu of investments.
And some Kiwis have been buying NZ gold recently, lured by the low US dollar and the corresponding strong NZ dollar. The currency unit for gold trading is the US dollar, and when the NZ currency is strong against the US currency, this has the effect of repressing the gold price into New Zealand. The spot price of an ounce of gold is around US$665 (NZ$932) at the moment.
The dollar is currently worth US73 cents and if this changes back to the more normal 63 cents, then gold will be worth NZ$1040. What's not to like?
Property developer Olly Newland, calls himself a "gold bug". He always has some pure gold coins held in his bank safety box. It has always made him feel secure in the uncertain world of property developing.
AdvertisementGold has a universal appeal and value, he says, and recommends people put an average of $5000 or $10,000 aside in the precious metal.
At the moment with the strong New Zealand dollar investors will do very nicely, he adds. "It's always a good time to buy gold," he says. "Five years ago it was worth $200 plus, now it's worth $600 plus."
The businessman is unusual. Traditionally most New Zealanders have preferred to put their money into property and a few stocks and shares, rather than in precious metals.
But the growing awareness of the profits to be made in gold at the moment has led the NZ Mint to hope Kiwis might see gold as an investment class to be taken seriously.
After some publicity about the gold market in the past couple of months, NZ Mint, a company privately owned by a family trust, is reporting a 400 per cent increase in investments in the past few weeks.
Most of the buyers have been people who had never looked at gold as an investment before. And even after the exchange rates correct themselves, NZ Mint is predicting gold to rise to more than US$1000 in the coming 24 to 36 months - it currently sits just below US$700.
To capitalise on the growing awareness out there among investors, NZ Mint general manager, Mark Sutton is kicking off an education drive on gold among fund managers and financial advisers in the coming weeks.
"If you don't have fund managers and business advisers saying it's an option, we have to educate the market," says Sutton. "At the end of the day we are still a mint, we are not a business adviser. If we have to take the high ground and start the process then that's what we'll do."
Sutton admits Kiwis don't have a great affinity to gold despite it being the world's third largest gold producer in the 1900s. Now, most don't know a lot about how to buy it or what to do with it, he says.
Gold Kiwi coins or bullion are what most people buy. $30,000 would be 32 coins the size of a 20 cent piece, says Sutton. Most people keep them in safety boxes at the bank or at the mint. If you buy pure gold, such as a Gold Kiwi coin, there's no GST.
One of the reasons Sutton is so bullish about gold values is the strong global demand for it, which he sees increasing as supply diminishes. About 70 per cent of the world's gold goes to the jewellery market, the rest is in strong demand from the electronics market and the dentistry profession.
Overseas investors have about a 10-12 per cent exposure to gold in their investment portfolios and pension funds in America have an exposure to gold, says Sutton, who believes that an exposure of between 8 and 12 per cent of a portfolio is about right.
In recent months two types of gold investors have emerged, says Sutton. Some are people in their 20s, who don't see buying a house in Auckland, "in their rainbow".
Then there's the semi-retiree who has sold the nice house in the suburbs and who is now looking for a home.
"What investors like is that they can pass it on to children and control it. With property they have got to pay real estate agents 4.5 per cent."
It's a cultural thing. Gold has always been popular in China. South Africans are very comfortable with it as are Americans who see it as a nest egg in case something happens. And the Australian market is far more mature than here.
Despite its best efforts, NZ Mint may have some difficulty convincing the investment community that the timing is right for gold exposure.
AMP Capital Investors is not recommending commodities of any kind at the moment in diversified portfolios, says its head of investment strategy, Leo Krippner. He thinks precious commodities are very generously priced in the current market and is therefore not convinced about the predictions that their values will continue to rise.
And even if it were well disposed towards gold, the AMP would never advise its investors to take on just one commodity.
Krippner prefers a commodity index that would give a combination of returns from lots of different commodities. This would include gold, silver, copper, nickel, tin and other "soft commodities" including sugar, coffee, meat and wheat, which trade on US futures. Another major part of the index would be energy, natural gas, heating oil in the US.
Cautious fund managers will always bring up the possibility that Europe's central banks, which all hold significant gold stockpiles, might just decide to divest themselves in the coming years - which they have done before.
Economist and head of the Vestar investment committee Donal Curtin warns that people are getting interested in gold too late.
"People tend to get excited about commodities at the height [of a boom]. By the time the news has reached the level of the shoeshine boy... the four or five years [run] is well finished, it's happened already," he says.
The NZ investor would be giving up unusually high bank interest rates to take a punt on the precious commodity.
"Bank interest rates are very high, you have to be pretty sure that gold is going to keep going up by five per cent a year," says Curtin.
Added to this, there is no income from owning gold, something New Zealanders like from their investments. Investors would be relying solely on capital appreciation. "If you're pessimistic about the world outlook, gold is one of the protections against that."
Hey Tom thats interesting to hear about giving shares to the miners. If you find where you read that I would love to see it.
We win either way...
Looks like gold will be heading higher due to the "wealth" factor (global prosperity boosting demand) or the "inflation" factor...people diversifying into gold in order to preserve their net worth.
also, I read somewhere that one mining outfit is giving miners some shares and or warrants in order to achieve certain safety, tonnage, and tenure goals....very cool indeed...what a concept. motivate the team and share in the success of the business.
Peace.
Morning Notes from Michael A. Berry Ph.D.
"The power of gold is evident elsewhere in the world this AM. The Spanish central bank has sold 80 tonnes of gold (plus US Treasuries and UK Gilts) in the past few weeks in line with its Washington Accord commitments. This has capped the price move to the upside. But gold has been resilient and has yet to break below $665. It is trading at US$671 this AM. Ambrose Evans Pritchard (UK Telegraph) notes that Spain’s current account deficit is 9.5% of GDP. That is why she has been a seller – and accordingly Banco D’Espana’s foreign currency reserves have fallen to 12 days of imports.
"The current account is completely out of control," said Alberto Mattelan, an economist at Inverseguros in Madrid.
"We have the worst deficit in our history and worse than any other country in the western world. It has not yet become a 'street concern', but I can assure you that it is of great concern to us economists. This will turn bad over the next 18 months,"
Observers of the Spanish situation believes the situation could worsen if there is a housing crisis in Spain. ECB bankers have now raised rates 7 times to 3.75%. It appears that Spanish banks with mortgage exposure could be at risk. It is not only the US Federal Reserve that has a thorny problem on its hands.
On Bloomberg this AM Canada’s Rob McEwen, Chairman of US Gold, said he believes US$2000 is in the 2010 timeframe.
You have been advised – choose your weapon!"
SM
You are not the only one. Look at the share volume and price support. There are a lot of people getting in at this level. I know I take advantage of any dips into the $1.40's to add.
Joe
Nice to see the volume pick up again. I know there are a lot of things going on its just a matter of time before we start to hear about the progress they are making. I still see around $1.50 as a great entry point.
Joe
SA gold slide seen slowing
14/05/2007 13:28
By: Angus Macmillan
Johannesburg - After plummeting 13.1% in 2005 and 7.5% in 2006, the rate of decline in South Africa's annual gold output is likely to be much smaller in 2007 says Roger Baxter, chief economist at the Chamber of Mines.
In an interview with I-Net Bridge, Baxter said the rate of output decline "is definitely slowing" and a 40% increase in capital expenditure by gold mines in 2005/06 "bodes well for underground mining in 2007/08".
While South Africa produced just 275 metric tons of gold last year, compared to 297 tons in 2005, it was in good company as four out of five of the world's top gold producers also reported lower output.
ut of the top five producers - South Africa (275 tons), the US (252 tons), China (247 tons), Australia (245 tons) and Peru (203 tons) - only China managed to increase production last year.
Baxter said: "Over the past five years, South Africa's gold output has fallen by an average of 6.8% a year, but we have managed to remain the world's top producer as over the same five-year period US output has fallen 5.4% a year, Canada 6.6%, Brazil 2.7% and Australia 2.8%.
Global gold output fell by 3.8% last year and has fallen 1.4% a year over the past five years."
The two major growth gold growth stories have been Peru, which has grown its output by an average of 9.1% a year between 1992 and 1996, and China with average annual growth of 5.1% over the same period.
Although gold is not the dominant player it used to be in the South African economy, Baxter stresses that it is still a vital industry and has in many ways laid the platform for the country to diversify and broaden its economic base.
The gold industry, which has shrunk sharply over the past two decades, still accounts for around 1% of gross domestic product, 10% of export revenue and provides around 150 000 jobs.
Baxter explained: "With 33% of the gold ever mined in the world, that's about 50 000 tons, coming from South Africa, gold has been a catalyst for the country's broader economic development and will continue to play an important role even if platinum and coal now have bigger annual sales.
"Over the past couple of years, the local gold industry has felt the impact of decisions to cut capex in 2004/5, but the big increase in capex in 2005/6 has led to more stoping face becoming available - this bodes well for underground mining in 2007/08."
Also improving the outlook for the industry and a possible stabilisation in output is the higher bullion price, which improves grade flexibility and enables mines to profitably extract gold from lower grade ores that were unprofitable just a few years ago.
Reflecting on the mining industry as a whole, Baxter said its 5.8% contribution to GDP - similar to that of the motor industry - should be seen in a wider, more analytical context.
The sector accounts for over 50% of South Africa's exports - generating around R150bn in annual exports - provides import substitution and foreign exchange savings through coal, being Sasol's major oil feedstock, and provides the foundation for initiatives such as the Motor Industry Development Programme (MIDP) to be affordable and successful.
The Theory of the Fake-Out Move
-- Posted Friday, 11 May 2007 | Digg This Article
by Howard S. Katz
May 11, 2007, 1:00 pm (Eastern Daylight Time)
The decline of May 8-10 was a false move, a trap. Gold is set to go sharply higher, and this decline is a wonderful buying opportunity. This is the conclusion which follows from my theory of the fake-out move.
Whenever any market has an important move which leaves a dramatic impression in traders’ minds, the prime condition has been met for a fake-out. Most of the time this move will be a decline, but this is not essential.
If at a later time the market superficially resembles the dramatic move but the fundamentals are pointing in the opposite direction, then the secondary condition has been met for a fake-out move.
The classic case of a fake-out move occurred in mid-October 1989 in the stock market. This was very close to the second anniversary of Black Monday. The market had recovered all of its ’87 loss and was back to its Aug. ’87 high of 2700. So two superficial conditions were the same: date and market level. However, the fundamental condition which determines stock prices (the movement of bond prices and hence interest rates) was exactly the opposite. In 1987, the Fed was tightening, and bonds were going down. In 1989, the Fed was easing, and bonds were going up. On the Friday before the 2nd anniversary, the stock market swooned as people who believed that there would be a reenactment of Black Monday rushed to sell. On Monday, stocks opened lower; there was great fear. AND THAT WAS THE BOTTOM.
The dramatic event which has been hanging over the gold market for the past year is the decline which started on May 12, 2006 and carried to June 14, taking $160 off the gold price in a month’s time. As of May 8, we were within hailing distance of the May 11, 2006 high thus giving us agreement with two superficial conditions (date and market level). However, at the present time the fundamentals on gold are very different from a year ago.
A year ago, traders had enormous profits in gold. When central bank selling hit the market, it sunk like a rock. But today that profit taking has been done, and we are ready for another leg up in the very long term trend. Over the past two months, the central banks have again tried to put gold down, but the gold market, up to now, has absorbed their selling.
So when we see the gold market swoon as May 11 approaches, this is very like the stock market’s swoon on the Friday before the second anniversary of Black Monday in 1989. It is a time to buy.
Such swoons generate a great deal of fear. But you should not be afraid. Reason tells us that this is nothing more than a fake-out move, and this is an opportunity to be aggressively bullish.
For more of my thinking and information about my newsletter, The One-handed Economist, please visit my website, www.thegoldbug.net.
it has been awhile since the last press release...
I hope that we get a progress update soon.
There is no doubt in my mind that the area we are in has a lot of gold. The key is to get the proven reserves up and if we are at 250K proven ounces with only 15% of the Benton mine explored we should be in very good shape.
capital raise
if Dutch goes back to the financial markets for cash to expand operations, they MUST include in their writeup some of the area's rich mining history.
This is an important difference with Dutch. They have just reopened a well known, proven producing mine. Our mines have a successful track record which is well documented historically.
We are not just another pie in the sky developer poking a hole in the ground somewhere hoping for a hit, gambling with other people's money.
Now that sounds like free gold to me!
Josephine's pockets...Some pockets were fabulously rich. The best known pocket digging was the Briggs Mine near the California line where masses of gold totaling 2,000 ounces were taken out in 1904. Slabs of gold up to 3 feet in length were reportedly recovered.
Josephine's Nuggets... A number of nuggets the size of chicken eggs have been found in placer gravels and pocket deposits. The largest recorded nugget was found in 1859 on the East Fork of Althouse Creek below the Briggs Pocket. It weighed 17 pounds. Another nugget weighing 15 pounds was found in gravels near the Esterly hydraulic cut in the early 1860s.
boooyah! !!
Cramer should check out this link and mention DGRI on his show.
According to this article, it confirms that Gold Bug is where the big bucks will be.
www.homestead.com/theclaimpost/oregongold.html
Cool.
Gold futures close near $690, up over 1% on week
METALS STOCKS
Gold futures close near $690, up over 1% on week
Weak jobs-growth data spur retreat in the U.S. dollar; silver, copper eyed
By Myra P. Saefong & Polya Lesova, MarketWatch
Last Update: 2:03 PM ET May 4, 2007
SAN FRANCISCO (MarketWatch) -- Gold futures closed near $690 an ounce Friday to mark their strongest finish in nearly two weeks as the U.S. dollar fell against major currencies in the wake of data that showed the smallest increase in payroll employment since November 2004.
"The U.S. dollar's weakness remains the focal point," said Peter Spina, an analyst at GoldSeek.com, in e-mailed comments. "Gold will push up against the $700 resistance and either see another rally fizzle or see a large wave of momentum kick in and take this market much higher."
Still, Spina said the outlook is unclear. "I am unable to foresee which route we are headed as the bears and bulls struggle to get the upper hand."
For now, "the market remains firm on pullbacks, so the inevitable break of $700 is just a question of when," he said.
Gold for June delivery gained $5.30 to close at $689.70 an ounce on the New York Mercantile Exchange, its highest closing level since April 23. On Thursday, gold futures gained $9.30, the benchmark contract is up $7.90, or 1.2%, for the week.
"Look for continued strength as the day wears on, but keep a keen eye on next week as all market participants will be back in full force and as the Fed watching gets under way," said Jon Nadler, analyst at Kitco Bullion Dealers. The Federal Reserve will meet Wednesday.
"A test, if it comes, of the $695 area [for gold] may succeed this time around," said Nadler, in e-mailed commentary.
Neal Ryan, director of economic research at Blanchard, pointed out that "investment demand is still increasing in each successive quarter while producers are ramping up de-hedging and mine supply is continuing to slump."
So "while we haven't yet achieved the $700 level, each pull back we've experienced in the last two months has created a higher floor price," he said in e-mailed comments. "Now it's time to make the higher highs."
Dollar move
The dollar's weakness contributed to gold's latest rise. The greenback edged lower after the Labor Department said that non-farm payrolls expanded by 88,000 in April, less than the 100,000 expected by economists surveyed by MarketWatch. See full story.
The euro was last up 0.4%, while the dollar was down 0.3% vs. the yen. See Currencies.
"Earlier speculation that U.S. jobs growth may reveal the weakest number in some 24 months, became a stark reality," said Nadler. "This news further undercut the dollar and extended expectations that next week's Fed meeting will result in (at least) a continuation of the thus far neutral stance on dollar rates that it had to adopt due to the conundrum posed by rising inflation and sluggish growth (in certain sectors of the economy)."
So "gold once more became a bet to the long side for funds (if not quite yet for the individual investor who may seek a validation of above $695 to join the party)," he said. "Spot bullion rose by $4.50 as soon as the news hit the wires."
Platinum and palladium moved higher along with gold. July platinum rose 1.4%, or $18, to close at $1,328.80 an ounce -- up 2.8% for the week. June palladium added 50 cents to end at $377 an ounce, up 0.7% for the week.
Silver, copper focus
Silver and copper also strengthened, with copper posting another sizable gain for the week.
July copper tapped a contract high, rising 0.9%, or 3.2 cents, to close at $3.7585 a pound after a high of $3.804. It climbed 6.5% from last Friday's closing level.
July silver added 2 cents to finish at $13.53 an ounce after a one-week high of $13.70. But it was down 0.3% for the week.
Metals traders have been eyeing developments in Peru where some labor unions have been on strike since the start of the week.
Good to see some shares trading and a little liquidity. A big spread is a killer for stocks.
Joe
I like this float to lift my 40 foot boat.
I think you are right. The float has been so low that the stock has had huge spreads and little volume. They need more shares out there and there did seem to be a strong demand in the $1.70 range. I bet we traded more shares today than the previous 4 months combined.
Joe
They are probably just creating the float and more shares are getting released into the market
I have not seen anything like this in the 4 months I have been buying the stock. Not sure what is up but a lot of shares are trading hands.
Joe
Chicago Gold Show
Just heard from my friend who attended this weekends Gold show in Chicago. The metal heads believe the future is very bright with the fall of the dollar. Good news for us he talked to a number of people about Dutch so we will start to show up on some peoples radars. They all were very interested in the story of a actual producing mine with mill located in the US. Much different than most Junior stories they have heard.
Joe
Cool.
DGRI press releases are being picked up by www.Goldseek.com
Good Deal!
I'll be at the Chicago Gold Show this weekend...will have to kid around with the developing miners..."so when will your mine begin processing ore? 2017 ? the year 2022 ? Check out Dutch Gold if you'd really like to see some potential sizzle in a stock price"
As noted previously, this certainly appears to be a highly unique and compelling early stage opportunity.
A little more transparecy in becoming fully reporting and I think we find that the audience for this company will expand rapidly.
Assuming they continue to execute as they seem to be, suffice to say some real value could be created for us shareholders.
SM
Once they start mining the "Free Gold" the earnings will go through the roof. The numbers were phenominal for grading before they hit the Free Gold so it is hard to even imagine what type of revenues/earnings they will be doing now. Hard to imagine talking about a mining company that just started up and it having real earnings but all my numbers indicate that they will.
Joe
Deja Vu
When I read the exciting news about the free gold anomaly (which could be huge)
I could not help but think about the very famous "Lost Dutchman" goldmine in Arizona...where a large vein of pure gold was found and mined. The gold was beautifully different and commanded well above market prices.
perhaps our "mother load" (the true source of our gold) is not far away!
DGRI featured at smallcap review
http://smallcapreview.com/featurestock.htm
SM
Volume is pretty low but I don't think there are many shares floating around. The price is going to swing pretty widly for a while. I think once the financials get out there and people start understanding the potential we will see much higher prices. Only time will tell.
Joe
Cheap shares may have finally run out. Although I still expect to see some wild swings and was hoping for more sub $1.50 shares.
Joe
The more exposure the better. I think finding this one early is going to really pay off. The pace at which management is moving I hope they get their financials up to date in the next month and get their application in for the OTCBB. Once the stock trades above $2 for a while they can apply to the AMEX assuming they meet all the other requirements which we will find out once the financials are released.
Joe
There simply aren't very many domestic small gold companies actually in production and as far along able to capitalize on current gold prices.
I just read an article where some are speculating gold will eventually trade in excess of $2000 an ounce.
I'm not sure I buy that type of speculation. However, here, we have a company that is already producing, owns two prolific mines known to be capable of significant production housing impressive proven reserves and they should be at a run rate of about $8 million in topline while they should put at least $4-$5 million to the bottom line this year.
Long story short, an already profitable small domestic gold producer with quality management owning almost the entire outstanding share count. To me, this investment is literally like finding a needle in a haystack or perhaps we could say it's like finding "free gold"
Absolutely one for the radar. Presuming they become fully reporting as they have indicated they intend to, and they continue to execute which has been the clear pattern of late, this one could prove to be a substantial gainer over the next year or two.
My current 9-12 month target is $3 with an 18-24 month target of $6-$8. I would not rule out an eventual liquidity event as management sells the company to a junior upon hitting critical mass.
SM
News showing up on Kitco this afternoon.
http://www.kitco.com/pr/2177/article_04182007163221.pdf
This one is going to rock!!!!!!!!!!!!!!! no doubt about it boys!!!
With their revised numbers I think the grading is at least .5 oz/ton which if phenominal. The Free Gold aspect I believe means that the grading number is much higher than normal which will be a huge impact to the bottom line.
Free gold!
More and more good news coming from this little off the radar gem.
At some point, the price will start to better reflect the unique opportunity here.
SM
Dutch Gold Resources Confirms Higher March Sales
Wednesday April 18, 6:22 am ET
Mining Program Yields Free Gold
ATLANTA, GA--(MARKET WIRE)--Apr 18, 2007 -- Dutch Gold Resources, Inc. (Other OTC:DGRI.PK - News), a developer and operator of proven gold mines and a regional mill in North America, today reported higher sales for March 2007 than previously reported. In addition, the Company has reported finding free gold in its current mining production.
Earlier, Dutch Gold had reported initial sales in excess of 800 ounces of gold for the month of March. Final production, confirmed internally, was over 985 ounces of gold. The increase is due primarily to enhanced production yields from higher than projected grade ores. Further, this production included only three shipments of concentrate for the month. The Company reiterates that it expects to average four shipments a month on an ongoing basis beginning second quarter 2007.
Dan Hollis, Chief Executive Officer of Dutch Gold Resources, stated, "We are pleased with the positive results of our initial month of regular operations. We are optimistic that our operations team will continue to produce these solid results as we are only now beginning to realize the potential from the Benton Mine. We look forward to continuing to optimize our production during this time of rising gold prices with the goal of increasing profitability and maximizing shareholder value."
In addition, the Company operations have produced an unusual amount of free gold, not commonly seen in structures such as the zones being currently developed. Dutch Mining expects to conduct additional sampling to determine the source and magnitude this anomaly.
Bull,
Thanks for dropping by. I know several people who are in the process of taking a position here when the stock dips into the $1.40 area and that is probably why you are seeing it bounce back into the $1.50s every time there is some selling. Management has been very aggressive in getting things done as can be seen by the releases over the last month. There are two issues that are being addressed. One is to get the financials up to date and get on the OTCBB. This always takes longer than anyone anticipates but we have been told it is in process as of 3/27. The other issue is getting the final permitting to allow the mine to run at full capacity. The permits have been submitted and now we wait. I believe the mine is currently running at a fairly high rate but to continue at these levels they need to get the permit approved by the end of the summer. I am very encouraged by the 800 oz of gold produced in a 3 week stretch. So many of these small mining companies are years away and here we are in production.
Joe
Evening Joe, how is it...am stil tinkering with taking a position here....
Gold hits 11-month high on dealer, fund buying
Mon Apr 16, 2007 4:24pm ET16
By Frank Tang and Atul Prakash
NEW YORK/LONDON, April 16 (Reuters) - Buying by dealers and funds and a lower dollar sent gold to an 11-month high in New York afternoon trade on Monday, but dealings were choppy as prices approached the psychological threshold of $700 an ounce.
The platinum group metals also strengthened in the early session, with palladium and platinum hitting 11-month and five-month peaks on the news of a new exchange-traded fund. Profit taking, however, knocked prices lower by afternoon.
Spot gold <XAU=> jumped to $691.00 an ounce, surpassing the 2007 peak of $689 which was set on Feb. 26, before the tumultuous sell-off in the global financial markets.
It was quoted at $690.60/691.10 by 3:59 p.m. EDT (1959 GMT), compared with a late quote of $684.30/$684.80 in New York on Friday.
Most-active gold futures for June delivery <GCM7> on the COMEX division of the New York Mercantile Exchange settled up $4.60 at $694.50 an ounce, traded in a range from $687.40 to $695.00.
Bill O'Neil at LOGIC advisors said that dealer and fund buying as well as a weak dollar helped reverse earlier losses due to hedge selling and sales by European dealers.
"The market's a little nervous as it gets closer to the $700 level," O'Neill said.
He said that gold was able to maintain its gains and developed into a nice, orderly pattern, which was constructive for the market, as opposed to a big rally followed by a huge drop in prices.
Spot gold <XAU=> hit a 26-year high of $730 in May 2006.
"I think those levels (record high) will be challenged at some point this year," O'Neill said.
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The metals were helped by a higher euro, which hit a two-year high around $1.3576 <EUR=>, setting it on a path towards the all-time high of $1.3670 struck in December 2004.
A lower dollar makes gold cheaper for investors holding other currencies.
U.S. crude futures <CLc1> ended down 2 cents at $63.61 a barrel, but up from early losses. Gold is generally seen as a hedge against oil-led inflation.
"The factors which have been in play recently are still there. Oil is still strong, the dollar is taking a beating and the base metals complex, by and large, is strong again today," said Tom Kendall, precious metals strategist at Mitsubishi.
"For platinum and palladium, in particular, the ETF story is helping things along."
Platinum <XPT=> touched $1,284 an ounce, the highest since late November, and was quoted at $1,271/1,276, lower than $1,272.00/$1,277.00 late in New York on Friday.
Palladium <XPD=> rose as high as $378 an ounce and was last quoted at $372/377 an ounce, compared with its previous close of $375/380 in New York.
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Switzerland's Zurich Cantonal Bank said it planned to launch exchange-traded funds (ETFs) based on platinum, palladium and silver from the next month. [ID:nL1623759]
"This launch, should it attract large-scale inflows, would have a material impact on the platinum market, and possibly on the palladium market," said John Reade, head of metals strategy at UBS Investment Bank.
ETFs allow investors to gain exposure to commodity markets without worrying about setting up futures trading accounts or taking physical delivery. Sponsors of such funds buy a matching amount of the commodity from the market to keep in bank vaults.
Silver <XAG=> rose as high as $14.11 an ounce before slipping to $14.03/14.06, compared with $14.04/$14.09 in the U.S. market late on Friday.
I have updated the Ibox above to include all the recent PRs. As can be seen this story is unfolding at a very fast pace. Seems management is making a lot of progress on many fronts. Hopefully the financials are being worked just as aggressively so we can get on the OTCBB.
Joe
Bullish Case for Gold and Silver
http://www.kitco.com/ind/Wiegand/apr122007.html
Here are More Reasons to Remain Bullish
1. Current prices of gold and silver are above the moving averages.
2. Chart patterns for June 2007 gold futures indicate a bullish-breakout with price at $681.
3. Charts patterns for May, 2007 silver futures indicate a bullish-breakout with price at $13.90.
4. The U. S. Dollar remains weak and is getting weaker for the longer term. Metals are bullish in response as they trade inversely and the dollar is a primary gold and silver market mover.
5. Crude oil prices are rising and most of its producers remain in geopolitical turmoil. Metals follow oil higher most of the time. Threatening Middle East politics is always a precious metals support for several reasons.
6. April 19th is a key wedding festival day for India. They are the largest users of raw gold for jewelry and much of the spending is tied to this holiday. Indian demand for gold is expected to rise 20-30% this month for just this event.
7. Gold production has hit a 10 year low as producers struggle to fight increasing production costs and declining reserves. Politicians in gold producing nations are pushing for more of the take. Supply and demand factors drive prices higher.
8. Higher prices for gold and silver are encouraging new production. Operating some of the mines at much lower prices wouldn’t make sense. As prices continue with a relentless climb, miners are straining to produce all they can for these larger profits. Supplies are tight and getting tighter.
9. Commodity cycles historically last 13-17 years. This cycle is still young as we move into our seventh year. The best is yet to come.
10. Based on upon inflation adjustments gold should be over $2,000 per ounce not the current $681. Silver at $13.90 should be adjusted to nearly $24 per ounce. The really big moves in precious metals have not yet arrived. When the real fun begins it will be stunning indeed.
11. Economic conditions today, especially in the United States are demanding trading moves from declining fiat currencies to safer markets with little downside and lots of upside. Preventing losses is paramount. If a trader can stop losses and grab large gains in precious metals it’s adios to the other markets. Investable cash has never been more plentiful in history.
12. Some central banks have not only stopped selling gold but are buying it. These are not stupid people despite the political pressures. They are doing it quietly.
13. Asia, specifically China, and Japan followed by India and Korea are moving into new precious metals trading vehicles and formats and are encouraging precious metals purchases for their consumers; so are the Arabs in Dubai.
14. GFMS has forecast gold de-hedging to increase for 2007. Much of this is history but they report 7.5mm ounces or 233 tons will be de-hedged if the current de-hedging run-rate is maintained. This firms gold prices as they buy back positions.
15. Bullish markets for base metals are normally bullish for precious metals. There were recent pull-backs in base metal prices which had become way over-heated. New price supports were found and rallies are under way in Copper, Zinc, Nickel, Aluminum and lead. We think China got tired of paying near $4 per pound for copper and quit buying for awhile. This created copper selling but China is back buying again and they imported a record 307,740 tons in March. On today’s price that’s $7,000 per ton.
16. Professional traders are always seeking moving markets. They cannot make money when a market sector is stuck within a trading range. As precious metals keep moving, prices accelerate living on these rallies propelled with trader price action. The higher gold and silver can rise, the faster and higher the trading volumes.
Progress seems to be happening on a lot of fronts. As I mentioned before small 500 share sales can take us down quickly. Of course any real buying push can take us back upward just as quickly. Picking your buying points can give you a good average going forward.
Joe
I AGREE.
There is very little chance that a mutual fund, investment bank, or even hedge fund will throw some serious money at Dutch until the financial books are in order.
Once those are current, I expect we will be off to the races.
It was great to see that a formal drilling program will begin soon....very encouraging indeed.
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