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Thanks-- it's explained. Who owns the 40.4g/ton vein now?
What became of Geoafrica's gold properties in Niger?
Mbendi reported in 2003 that Geoafrica Gold had "closed its doors", and it was removed from the header of this page. The company web-page doesn't work.
It was described as follows: "GeoAfrica Gold Corporation is a Canadian, public, non-listed mineral exploration company, majority owned by Australians. Its main activity is the exploration for gold in Niger Republic in West Africa; but it also explores for tin/tantalum/niobium and coloured gemstones (sapphires, rubies and emeralds)."
Its main properties were Tedera and Tafassasset in northern Niger, described, respectively, as follows:
"Located in Northern Niger the Tadera Prospecting Authorisation covers an area of 49,310 km² over the northern part of the Aïr Massif, the southerly extension of the Tuareg Shield, which is widely developed in Algeria to the North. The Tadera Prospecting Authorisation represents a unique and highly exciting exploration area for the following reasons: -Total area of 49,310 km² with the otential to contain a number of large deposits of differing mineralisation types -Good bedrock exposures -A number of previously identified base metal occurrences -Significant gold occurrences in same rocks to the north in Algeria -High grade gold veins known to occur in one area and substantial potential for further occurrences. -No
systematic prospecting of the area since regional mapping programme in the mid 1960's."
------
"The first phase of exploration in the Tafassasset Exploration Licence was completed successfully in May 1999. The company is well on track to identifying a resource of 50,000 ounces of gold required to support a proposed initial 12,000-ounce per annum gold mining project. Highlights of the exploration are as follows: High-grade gold grades reported from three adjacent veins with 40.4 g/t the highest recorded. Mineralised veins over 2000m in length; average width 0.5m to1.0m. Grades of 6.6, 40.4, 6.3, 32.8, and 15.8 g/t Au recorded at 200-300 m intervals along one vein. Three other veins identified as immediate targets for further detailed exploration. Fieldwork
indicates potential for the widespread development of other vein fields. Initial fieldwork indicates potential for disseminated mineralisation in clay alteration zones, which are up to 25m in width and extend several hundred metres along strike. Located in Northern Niger in the north eastern corner of the Aïr Massif, the southerly extension of the Tuareg Shield which is known to contain several significant gold deposits, the Tafassasset Exploration Licence covers an area of 2000 km²."
Geoafrica was somehow associated with European Pacific Services Pty Ltd. of Sydney, Australia. I don't know whether this still exists.
Office Address:
European Pacific Services Pty Ltd
Charles Plaza, Level 12
66 King Street
Sydney
Australia
Postal Address:
European Pacific Services Pty. Ltd
GPO Box 2667
Sydney
NSW 2001
Australia
Tel: +61 2 9299-0935
Fax: +61 2 9225-9395
or +61 2 9299-0937
Now, 40.4 grams of gold per ton is not bad. So what ever happened to these properties? Or the company?
FL
Some Niger mining related links:
http://www.diplomatsinternational.com/NigerDocuments.htm
North Atlantic (NAC.TO) Phase II drilling in Mali
-----------------------
PRESS RELEASE
Symbol: "NAC" Toronto Stock Exchange
GOLD PROJECTS, REPUBLIC OF MALI
Drilling commences at the Foulalaba Project, southern Mali
Toronto, Canada, June 23rd 2004: Dr. Jon North, President and CEO of North Atlantic Resources Ltd. (“North Atlantic”) reports that Phase II exploration drilling has commenced at the Foulalaba Project in southern Mali. The Foulalaba Project is 50 km southwest of the Morila gold Mine (Anglogold-Randgold) and 225 km south of the capital city of Bamako. Phase I drilling, completed in December 2003, verified that gold was concentrated in saprolite and bedrock coincident with geochemical anomalies in soil and termite mound samples. The results included intersections of 10 meters grading 1.58 g/t gold and 4 meters grading 3.02 g/t gold. The current Phase I exploration drilling program will consist of 88 reverse circulation drill holes (4660 meters) in the southern part of the property. Three holes will test the extensions of gold mineralization discovered in the Phase I drilling and 75 drill holes will test newly documented Anomaly “A”, 2.5 km northwest of the Phase I drill holes. Recent mapping and prospecting have delineated 2 areas of artisanal workings and 10 drill holes are planned to test the nature and location of the gold anomalies in those areas. This drilling program will continue until the onset of the annual rainy season expected to begin in early July. The drilling results will be released when they become available. The technical information contained in this release and the technical work is being supervised by Jon North, Ph.D., P. Geo., who is a Qualified Person as defined by National Instrument 43- 101.
North Atlantic is engaged in the research, area selection, acquisition, and exploration of gold deposits in the Republic of Mali, west Africa. North Atlantic has 17,126,510 common shares issued and outstanding (23,323,049 on a fully diluted basis). This press release was prepared by North Atlantic Resources Ltd. and no regulatory authority has approved or disapproved the information contained herein.
For further information please contact:
Jon North, President and CEO
or
Nathalie Roy, Corporate Affairs
at phone (416) 703-6348
info@nac-tsx.com
Please visit www.nac-tsx.com to view maps and more project details.
suite 410, 55 Adelaide St. East, Toronto, Ontario, M5C 1K6, Canada
ph.: 416-703-6348, fax 416-703-6507, email: info@nac-tsx.com website www.nac-tsx.com
------------------------
AMI Resources (AMU.V) extends concession in Ghana and renames it to "North Ashanti Project"
NEWS RELEASE
TSX.V - AMU
June 24, 2004
MAJOR ASHANTI PROJECT EXPANSION
Vancouver, B.C. – The Company wishes to announce that it has finally received notification from the Minerals Commission of Ghana that they will be recommending the granting of our new license application in the Ashanti region to the Minister of Mines. Upon payment of the normal license fees and permits, the Minister of Mines will issue a license for an initial two year period with renewals available upon application. The Company will hold 100% interest in this new concession subject to a 10% carried interest by the Ghanaian government. This new license encompasses an area of approximately 136 sq km and is contiguous to our existing 37 sq km Beposo concession. (a map can be viewed at www.amiresources.com ). With this new ground the Company will control approximately 20 km of strike length along the northern portion of the Ashanti Trend between the Obuasi Mine (650,000+ oz gold per year) and the Konongo/Obenamase Mine (former gold producer). The acquisition of this strategically located new ground is a milestone for the Company in that it more than quadruples the size of our existing land position on the Ashanti Trend. Exploration work by the previous license holder has located a continuous 5.5 km mineralized gold zone and a 2 km parallel structure. The Company is in the process of reviewing the historical data from the previous license holder’s initial exploration program. This data will greatly assist the Company’s future exploration programs. With the Company’s larger area of influence on the Ashanti Trend the two concessions will now be referred to as the North Ashanti Project.
On behalf of the Board of Directors,
“Dustin A. Elford”
Dustin A. Elford
President
AMI Resources Inc.
Suite 900-595 Howe Street, Vancouver, B.C., Canada V6C 2T5
T 604 669-2901 F 604 669-8922 Toll Free 1 888 669-2901 E ami@mininggroup.com www.amiresources.com
Red Back (RBI.V) kept its northern Ghana gold exploration properties, according to an email I just got. I'm relieved. I had complained in posting #404 here (to which this posting is a reply) that a certain passage in the merger agreement between Champion Resources and the old (Australian) Red Back seemed to strip off Red Back's interesting Bole, Nangondi and Bolgatanga gold exploration licences in northern Ghana. I think these have a "wildcat gold" potential quite independent of Red Back's main Chirano property in south-central Ghana. (which is in a totally different gold belt and structure).
So the other day I wrote email to Red Back:
"I am a Red Back shareholder. I have the following question for you: After the Champion/Red Back merger, what company or companies now own(s) or control(s) the Bole, Nangondi and Bolgatanga gold exploration licences in Ghana? (These concessions were owned or controlled by Red Back-Australia prior to the merger with Champion Resources, and their fate under the merger agreement was unclear. They were the subject of Champion and Red Back-Australia press releases on February 23, 2004.)"
and the reply was:
"These projects remain within Red Back Mining Inc.
Ross Ashton
Chairman"
One feature of the northern properties is a joint venture between Red Back and the enigmatic Takoradi Ltd. (TKG on Sydney ASX; near-infinite shares outstanding with near infinitesimal price per share) for developing the Bole property.
FL
Cassidy (CDY.V) doldrums: low price NO VOLUME eom
Aren't high-grade intersections best? 30 meters @ 14g/ton of gold seems better, to me, than 60 meters at 7g/ton, because of the base price of uncovering, digging, transporting and processing each ton of ore. Other things (like depth) being equal, isn't a high-grade lode much better than a low-grade load containing the same reserve ounces -- or is this thinking flawed?
I've liked to see double-digit grams per ton, though I'm aware that successful open pit mines manage with much less.
FL
I caved in & got Semafo (SMF.TO) because, having declined, it kept refusing to decline to the price I'd wanted it at, and I lost my patience (patience is crucial in investing ...). Also any continued rise in the gold metal price, especially back over $400, might bring the "bargains" to an end -- though I don't think all plummeting stocks are bargains; some, no doubt, are headed to zero.
Etruscan Resources (EET.TO) and Semafo are partners in Niger's first big gold mine, Samira Hill, and another property nearby called Libiri. They each have other West African properties separately; I'm impressed with Semafo's. Etruscan has substantial diamond interests in South Africa. I've been following the Semafo/Etruscan price ratio on the chart in message #421 to which this is a reply. (Click it to see it.) This chart effectively "factors out" the commonalities like Samira Hill and the gold price. The SMF/EET ratio shot up in mid-April before I could act; the ratio just got favorable again the other day.
The dominating interest in Semafo of Morocco's Managem mining group may be considered negative by some, but currently I see it as positive. It seems good to have a practical, old-Africa-familiar, unromanticizing, French-speaking, locally respected management team exploring and mining in francophone West Africa as opposed to, say, the "Vancouverish" crowd. And Managem has every incentive to make Semafo a great success, rather than having any conflicts of interest, as far as I can determine.
And the gold drilling intersections have been pretty nice.
FL
AngloGold Ashanti (AU) strike in Mali ends
-----------------------
June 22, 2004
Johannesburg - AngloGold Ashanti workers at the Morila mine in Mali had returned to work after a three-day strike over bonuses, Randgold Resources, which owns 40 percent of the mine, said yesterday.
The stoppage would hurt the mine's gold production for the second quarter, Randgold said.
Workers were unhappy with the bonuses they received after the mine almost tripled production in the third quarter of 2002 from the preceding quarter, when it mined ore containing more gold than it had expected, cutting costs by 55 percent and boosting profit. The strike was called for three days and ended as scheduled.
-------------------------
Have any mines started using Haber Gold Process?
Does anyone know of mines in Ghana or elsewhere using the Haber process for gold extraction? The Haber Gold Process is a non-cyanide, non-mercury based process that is supposed to be ecological and cheaper per ounce than the standard heap-leach (and mercury-based) methods. It's based on a "lixiviant" and maybe an electrophoresis-like process that is proprietary to the American company Haber, Inc. (HABE on the Pink Sheets).
See http://www.haberscience.com/hgp.htm
The inventor Norm Haber has struggled long to get his company to succeed commercially, and the Haber gold extraction process is not the way big mines are extracting gold now.
Haber Inc. announced months ago that they would make an effort to start some Ghana mines using the Haber process. They later announced that they would also go after the business of the Ghanaian "galimseys", the local "artisanal" gold miners who are now using personally toxic and ecologically damaging mercury to separate gold from ore. (See: http://www.haberscience.com/PR052704.htm )
What I haven't seen are any independent mentions of the Haber Gold Process by the West African gold miners themselves. I assume that if they were changing to an environmentally-friendly process, and it actually worked economically, then they would trumpet the fact. There is serious worry in Ghana about environmental destruction, release of poisons in rivers, etc. by the gold mines.
I'd like to hear about any independent verifications (or rejections) of the Haber Gold Process.
[Disclosure: I bought a few HABE shares as a speculative "flyer". I'm wondering whether to buy more.]
FL
Note: Red Back (RBI.V) and Caldera (CDR.TO) charts
In the "FOR ALL CHARTS GO HERE" listing in the header, the StockCharts Red Back chart has a huge upward break in the price; this was when old shares of Champion were converted to new shares of Red Back 1-for-3 (1 share of new Red Back for each 3 shares of old Champion). The chart does not adjust the prior prices for this discontinuity -- this will take care of itself after a couple of months pass.
Caldera Resources was once (in 2003) going to have an interest in Ronald Winston's Baohomun gold project in Sierra Leone. (Trading Fool: Was that why Caldera was in your old list of charts?) As far as I can figure out from web-pages, Caldera no longer has any gold projects in West Africa. They have mostly diamond and some gold properties in Australia. After Caldera announced the Sierra Leone gold connection, they later announced that the market had had a bad reaction to it, and that they were going to change course.
Boahomun was later to be included in the new Cluff Gold spin-off from the old Cluff Mining (now changed to Ridge Mining), I believe (see my earlier message on Cluff Gold). So far, Cluff Gold isn't yet being traded on the London AIM Stock Exchange.
So, Caldera was left off of the new list of charts. Let me know if this should be changed.
FL
Yeah, most declined last 3 months except Robex (RBX.V), Jilbey (JLB.V), African Metals (low volume, AFR.V), and, I must admit, Mano River (low volume, MNO.V). Great Quest (GQ.V), Red Back (RBI.V) and Orezone (OZN.TO) have managed to sustain "holding patterns" or "trading ranges", which in these dismal months also amounts to relative strength.
Congratulations to Trading Fool for picking Jilbey which seems to be skyrocketing up to this morning (without me; I'm plumbing the depths with St. Jude (SJD.V), Birim (BGI.TO), Cassidy (CDY.V) the moribund Akrokeri-Ashanti (AKR.V) and a few of the biggies).
I'm buying today. Some wise heads say "buy strength" but today I'll be buying low instead.
Most of the declines have followed about the same pattern. I think I "understand" them, except for St. Jude whose high-grade discoveries at Benso "should" be propelling it upwards instead of downwards. I figure some Birim investors are going to wait until after Bui discoveries are announced. And, again, what accounts for Jilbey last week?
FL
CHARTS FOR ALL WEST AFRICAN GOLD EXPLORERS:
On the Toronto or Venture stock exchange, in Canadian dollars:
================================================
Companies exploring mostly in Mali
================================================
Companies exploring mostly in Ghana
(The following is GSC in Toronto in Canadian dollars, not GSS on the American Exchange)
================================================
Companies exploring mostly in Burkina Faso
(Goldbelt Resources is on the Canadian NEX exchange.)
http://www.tsx.com/HttpController?GetPage=NEXQuotesViewPage&DetailedView=DetailedPrices&IsJ2...
================================================
Companies exploring mostly in Guinea
================================================
Companies exploring in other or several countries
(The following is IMG in Toronto in Canadian dollars, not IAG on the American Exchange)
================================================
================================================
Companies listed outside Canada (some links/charts may not work)
African Gold PLC (AFG on London LSE; in British pence) (Ghana)
London Exchange: http://www.londonstockexchange.com/en-gb/
Glencar Mining PLC (Irish Stock Exchange) (Ghana, Mali)
Irish Exchange: http://www.ise.ie
Adamus Resources (ADU on Sydney ASX) (Ghana)
Afminex (AFM on Sydney ASX, Berlin, Frankfurt) (Cote d'Ivoire, Ghana)
Australian United Gold (AUL on Sydney ASX) (Guinea)
Equigold (EQI on Sydney ASX) (Cote d'Ivoire)
Resolute Mining (RSG on Sydney ASX) (Ghana, Burkina Faso, Mali)
Takoradi, Ltd. (TKG on Sydney ASX) (Ghana)
For Australian stocks, see http://www.asx.com
Columbia River Resources (Pink Sheets) (Ghana)
Randgold Resources (RRS in London, GOLD on the NASDAQ; the following is in US dollars) (Mali, Senegal)
Gold Fields (GFI on JSE and NYSE; the following is in US dollars) (Ghana, Burkina Faso)
Managem (MNG on the Casablanca Stock Exchange) (Morocco, Guinea, Niger, Burkina Faso, Ghana, Cote d'Ivoire)
Casablanca Exchange: http://www.casablanca-bourse.com/
================= E N D OF C H A R T S ================
ONLY A TEST MESSAGE -- ! -- !
LIST OF STOCK CHARTS FOR ALL WEST AFRICAN GOLD EXPLORERS:
On the Toronto or Toronto-Venture stock exchange:
=================================
Companies exploring mostly in Mali
Afcan Mining http://www.afcan-mining.com/ AFK
Columbia River (Pink Sheets)
...
ONLY A TEST MESSAGE -- ! -- !
LIST OF STOCK CHARTS FOR WEST AFRICAN GOLD EXPLORERS:
On the Toronto or Toronto-Venture stock exchange:
=================================
Companies exploring mostly in Mali
...
Why's Jilbey (JLB.V) taking off now? Bissa?
The Bissa (Burkina Faso) drilling intersections were announced way back on May 18th. Why the sudden volume and price rise in the last two days? JLB has almost doubled in a week.
[Disclosure: Alas I have no Jilbey.]
FL
North Atlantic Nickel--->Resources (NAC.TO): Mali gold
The board header has been edited to show that North Atlantic Nickel changed its name to North Atlantic Resources, Ltd. The company still has nickel property in Canada left, but its focus now is on gold exploration in Mali where it has six or more gold concessions. I'd say it's no longer a nickel company but a gold company. It's almost a pure-play West African gold explorer now.
FL
What's left of Akrokeri-Ashanti (AKR.V)?
After its creditors forced the liquidation of the Bonte placer gold mine subsidiary (between Kumasi and Bibiani in Ghana), which was the company's main operation, Akrokeri-Ashanti had a mass resignation of directors and officers. Trading was halted at C$0.01 on the Toronto-Venture exchange and hasn't resumed.
The last article I've seen on the web (shown below) is over a month old. Does anyone know what's happening with AKR now? Is it a shell company now, or are the AKR people on the ground in Ghana (like Mike Cawood and Doug Mills) still planning to resuscitate the mining work there? My recolllection was that AKR had some miscellaneous gold assets that were not part of Bonte. Also, my impression in Ghana was that these people are skilled in developing large-scale placer mining and processing operations in the country.
FL
-------------------------
Akrokeri-Ashanti fights to stay alive
By: Dorothy Kosich
Posted: '06-MAY-04 02:42' GMT © Mineweb 1997-2004
RENO, NV (Mineweb.com) -- Although forced to clean house and file for liquidation of its main asset, the three remaining directors of Toronto-based Akrokeri-Ashanti [AKR] have vowed to continue operating the company in an effort to save it.
On Wednesday, the company announced that it had ceased operations and that John de Boer had resigned as chairman and Alan Legg had resigned his position as interim CFO effectively immediately. The company also ended the services of its Investors Relations counsel Nick Kohlmann.
In an interview with Mineweb, Director Michael Cawood said the resignations did not stem from any fraud or other criminal activity, or result from an internal investigation. Akrokeri-Ashanti owns three principal subsidiaries, all based in Ghana: Bonte Gold Mines, operator of the Bonte gold mine, currently undergoing official liquidation; Jeni Gold Mining, which holds all the surface rights to the Jeni property; and Goldenrae Mining, which holds 30-year mining leases on the Kwabeng and Pameng properties. All of the properties are in Ghana.
Production levels at the Bonte gold mine have remained low due to the shortage of dependable, operating mining equipment and the low grade of the material being mined. The exploration program, which was unable to find new reserves, was cancelled due to a lack of funds. Recent attempts to further reduce costs and increase cash flow were unsuccessful, as debt piled higher. On March 4th, Bonte received a letter of demand for $3.4 million, which it was unable to meet, along with any future pending demands for payment of overdue debt.
Ghana lacks bankruptcy laws that allow corporations to apply to the court for protection from credits while producing a plan of reorganization. Therefore, Akrokeri-Ashanti officials decided the best course of action was the official liquidation of Bonte. Without the liquidation, the company couldn’t defend itself against suits from its creditors or pay any judgement debt awarded against it under the laws of Ghana. Cawood told Mineweb that Goldenrae Mining shares have been pledged as security for the debt accumulated by Bonte Gold Mines.
Cawood said he and two other directors, Gerald Rupke and Douglas Mills, have decided to remain with the company in the hopes of cleaning up debt, clearing liabilities, and putting the company into shape to attract other investors. Although Akrokeri-Ashanti has no source of income, Cawood noted that it also has very little debt.
------------------------------------
Big Guinor (GNR.TO) trade reported
According to Stockwatch.com and TSX.com, there was a trade today of 4,758,300 shares in Guinor (GNR.TO), the Norwegian company (formerly Kenor) mining gold in Guinea, at C$1.01. Both sides of the trade are reported as BMO Nesbitt. This is the biggest so far on my web-based charts, exceeding all previous daily volumes. My last quote for Guinor is C$1.13.
FL
TradingFool, would you please request permission to make a new, longer, "charts of all stocks" link in the header. I like this handy single-document listing a lot but the list of stocks is so out of date now (not to mention the two bad links). Earlier you already replied that InvestorsHub discourages too many charts in a board message.
Offer: I'd much rather have you toil away for hours creating the new list of charts, but if you'll just get official IHub permission (for a longer-than-normally-encouraged charts linkage, using your exalted reputation and seniority at InverstorsHub), then I'm willing to do the work of figuring out the formatting and preparing the new listing.
I think it's a significant quality issue for this board's header.
I'd probably leave out Akrokeri-Ashanti (AKR, now comatose or dead), maybe biggies like Gold Fields, and maybe things StockCharts doesn't have.
FL
NEW: Managem (MNG in Casablanca); Semafo (SMF) play?
Groupe Managem, which trades as MNG on the Casablanca Bourse (stock exchange), has been added to the header. This is an indirect way to invest in Semafo (SMF in Toronto), the West African gold producer and explorer, which is has been controlled 50.5% by Managem since the year 2000. It's not a pure play, because of Managem's other mining assets including Akka Gold Mining in Morocco and other, non-gold, assets.
Managem has operated in Morocco since 1928.
The current Managem stock price in Casablanca of MDH320 is a new low. Those who know how to buy Moroccan stocks (unlike me) might see this low-priced stock as an alternative to Semafo's "somewhat healthy" prices lately. (Semafo itself keeps refusing to decline to the low price I want to buy at.)
To me, the recent gold discoveries at Balan West in Guinea make both companies look better. Semafo is not only exploring, but producing a lot. In Niger of course it is Etruscan's (EET) partner at the big Samira Hill and Libiri deposits. Also, to my surprise, Semafo has gold exploration properties in Cote d'Ivoire and Ghana production that I hadn't known about.
FL
Guinea ended its ban on AngloGold Ashanti (AU)
Ghanaian Chronicle (Accra)
June 8, 2004
AngloGold Ashanti, the worlds largest gold miner, says the 37 day embargo that halted production at its Siguiri mine by the Guinea government, was lifted last Tuesday without explanation.
The company said production at the mine had stopped last Wednesday (June 2) after the embargo, imposed on April 24, prevented the exporting of gold and importing of diesel fuel to the mine.
The embargo was originally put in place after a vessel carrying construction supplies for the mine, was also found to be carrying arms destined for Colombia.
Mine production is said to have already restarted at the mine. Losses of around $350,000 per day were suffered during the shutdown.
Siguiri produced 58,000 ounces of gold in the first quarter, equaling 3 percent of the company's global quarterly production.
NEW EXPLORER: Cluff Gold
Cluff Mining (CLU in London) changed its name to Ridge Mining and spun off its West African gold projects to Algy Cluff's new company Cluff Gold, who then added diamond merchant Ronald Winston's Sierra Leone gold property (see story below). Cluff Gold apparently has gold properties in Burkina Faso, Sierra Leone, Senegal and Ghana. I can find no company web-page. The stock was to be listed on the London AIM exchange "in spring" but so far, there's no listing on the exchange website. It may appear soon.
FL
================
Date : May 10, 2004
Cluff Gold Does Deal With Winston Mines Prior To Listing On AIM.
First it was Cluff Oil, then Cluff Resources, then Cluff Mining and now Cluff Gold. The four ages of Algy Cluff and the last of these is now under way. In no way is this meant to infer that it is downhill from now on. Far from it. When Algy Cluff presented at our 1st Minesite Mining Forum in June 2001 his youngest son had just been borne so he cannot retire yet awhile. At one time he may have contemplated it as all was not sweetness and light at Cluff Mining after Terence Wilkinson focused it on platinum group metal exploration, but Algy has brightened up considerably at the thought of returning to gold.
Apparently he has known Ronald Winston for some years so it is no fluke that as soon as the ink dried on the completion statement of the deal whereby Aber Diamonds acquired control of Harry Winston Inc, the legendary jeweller to the stars, Ron and Algy announced that they were getting together at Cluff Gold. Ronald Winston, it should be explained, is the son of Harry and he has been chairman of the jewellery retail chain since his father died in 1978.. His heart, however, was more in exploring for gold and diamonds than selling them over the counter. In the late 1980s he was involved in exploration in West Africa and it was then that he came across the Baomahun gold project in Sierra Leone and it is this that is being contributed to the new venture.
The actual deal is that Cluff Gold Limited, a private company which hopes to list on AIM in June through Numis Securities, is going to earn a 60 per cent interest in Baomahun by funding the project to the completion of a full feasibility, or by spending a maximum of US$5 million in the attempt. Once Cluff Gold has earned its 60 per cent Winston Mines will be able to convert the value of its 40 per cent interest into shares in Cluff Gold which will have been listed for some time by then In the meantime Ron will become a non-executive director of Cluff Gold and will presumably be able to acquire some shares prior to the listing. It is a deal he has been seeking for some time and towards the end of last year was in talks with a Canadian listed company called Caldera Resources which had exploration assets in Australia.
The Boamahun project is situated in the Kangari Hills 180 kms east of Freetown and Winston funded some exploration work on its until 1995 when Sierra Leone become to dangerous. Before that the Geological Survey of Sierra Leone and previous permit holders identified a number of target areas in the Eastern, Central and Western Zones. Between 1987 the Winston team carried out geological mapping g as well as sampinng the oxidised ore on the Eastern zone where artisan miners were working. They also worked on pre-feeasibility options and drove an all-weather road to the site.
In the early 1990s a pilot heap leach was operating and an adit was driven under the mineralisation in the Eastern Zone. Some drilling and metallurgical testwork was also carried out. Just before the security situation became impossible Winston also got hold of a further prospect called Victoria, which lay to the north.It was not until 2002 that Winston could re-enter the site and since then it has been reassessing the situation and planning a programme of drilling and trenching to produce a resource estimate. The adit may also be extended to facilitate underground drilling and metallurgical testwork will take place. A lot more artisan workings appeared during the force majeure and this may be of great assistance.
Cluff’s contribution to the new company will be the gold assets in Cluff Mining. Of which the most advanced is the Kalsaka gold project in Burkina Faso. In July 2002 a full feasibility was commissioned involving a heap leach capable of processing 1.2 million tonnes of ore/year. The total resource at the time was estimated at 11.5 million tonnes grading an average 1.5 g/t gold to give 560,000 ozs gold. It was at this stage that Cluff Mining went wholly for platinum group metals as its shareholders had contributed funds on the basis that this was the new focus. The Kalsaka project has not disappeared , however, and the new partners start with the possibility of early cash flow.
Other contributions from Cluff include the Maligreen gold miner in Zimbabwe where mining of oxide ore ceased as scheduled in mid 2002 although residual spraying of the heap leach pad continued into the second half of 2002. The mine is a 50:50 joint venture with local operator Pan African Mining. The joint venture partners are currently examining the potential viability of treating the underlying sulphide resource. Also there are the Yako Arbole prospect in Burkina Faso, Seripe in Ghana and Niokolo in Senegal.. Cluff Gold will have an interesting prospectus.
Iamgold(IAG), Wheaton(WHT) spurns GoldenStar(GSS) Coeur d'Alene (CDE)
More on the spurning: See MineWeb article at:
http://www.mineweb.net/sections/mining_finance/326241.htm
FL
Wheaton River sticks to Iamgold bid
By August Cole, CBS.MarketWatch.com
Last Update: 5:57 PM ET May 31, 2004
< >
SAN FRANCISCO (CBS.MW) -- Wheaton River Minerals said Monday that its board of directors rejected a $1.8 billion bid from Coeur d'Alene Mines and told shareholders to endorse a merger with Iamgold.
CBS MARKETWATCH TOP NEWS
Wheaton River said that it thinks Iamgold's (IAG: news, chart, profile) (CA:IMG: news, chart, profile) offer has "the best prospects for long term value." The Coeur d'Alene (CDE: news, chart, profile) offer would dilute to the company's cash flow and has more risks, Wheaton River said.
Wheaton River also said in a statement that Golden Star Resources' (GSS: news, chart, profile) (CA:GSC: news, chart, profile) bid for Iamgold was turned down by the company.
Shares of Wheaton River (WHT: news, chart, profile) (CA:WRM: news, chart, profile) ended Friday down 1 cent to $2.91.
Wheaton River will hold a shareholder meeting to vote on the deal on June 8.
On Friday shares of Coeur d'Alene and Golden Star fell sharply on Friday after the markets weighed the competing bids.
Golden Star said it would give Iamgold 1.15 Gold Star common shares for each Iamgold common share -- a premium of 13 percent to Iamgold shareholders based on Thursday's closing prices for the stocks on the Toronto Stock Exchange. The deal's value, based on the TSE closing prices, is about $883 million ($1.21 billion Canadian).
Golden Star said in a statement it has an agreement with Coeur d'Alene whereby Coeur d'Alene will pay Golden Star $26 million if Golden Star's deal for Iamgold, and Coeur d'Alene's offer for Wheaton both succeed.
Coeur d'Alene's offer for Vancouver-based Wheaton (WHT: news, chart, profile) (CA:WRM: news, chart, profile ), which equates to around $3.28 per share, includes $1.9 billion in equity, $133 million in assumed debt, less $174 million in cash, Idaho-based Coeur d'Alene (CDE: news, chart, profile) said.
That's a 14 percent premium to Wheaton's Thursday closing price and a 25 percent premium over its 20-day average, according to Coeur d'Alene.
"Out combination creates the fourth-largest North American precious metals company, increases Coeur d'Alene's primary silver production by 45 percent, and creates a top 10 global gold producer with among the lowest cash costs of production in the industry," said Dennis Wheeler, Coeur d'Alene's chief executive, in a statement.
Wheeler made the proposal on behalf of Coeur d'Alene in a letter sent to Ian Telfer, Wheaton's chief executive, on Thursday.
Shares of Coeur d'Alene closed at $5.06, up 3 cents, Wheaton's stock closed up 6 cents at $2.92, and Iamgold's shares rose 9 cents to close at $5.43.
Re: WHT CDE GSS IAM; I like it
[ This is a copy of my message to a subscriber-only bulletin board. FL ]
Few, other than the parties, especially liked the Iamgold-Wheaton River combination anyway. Iamgold (IAG) has expertise and success in West African gold-only mining while Wheaton River (WHT) is a somewhat irrelevant acquisitions-based Western Hemisphere silver and gold and cetera mining company.
On the surface, ignoring the personalities and "fit" of the management personnel (about which I don't know), a Golden Star and Iamgold alliance makes more sense, building towards a real powerhouse in West Africa.
As I've opined in detail on the InvestorsHub West African Gold Exploration board ( http://www.investorshub.com/boards/board.asp?board_id=1588 ), it might be that this is all leading to massive takeovers of (non AU) West African miners and explorers by Newmont (NEM).
Newmont used to not be interested in Africa, period, but now that it has got the great Ahafo property in Ghana along with its Normandy acquisitions, it realizes that it only doesn't like SOUTH Africa, and Newmont just announced that it likes Ghana a lot. Newmont is, I surmise, evaluating all individual Ghanaian gold properties in "stealth" mode. It wants millions of reserve ounces. Golden Star with Iamgold would make a ripe plum and a possible springboard to compete with AngloGold Ashanti (AU) in West Africa.
(Dislosure: I have some stock in all except CDE.)
So I'm quite pleased that Golden Star and Coeur d'Alene have this idea to "re-cut the pie." Others may be inspired to enter the fray creatively too.
FL
AngloGold Ashanti still in dark about Guinea mine
Friday May 28, 11:38 am ET
[ The government of Guinea had better do something about this bad publicity. West Africa's history for 300 years has been one of "shake-downs" and corruption since the travels of Mungo Park. The refusal of the Guinea government to explain its embargo of AngloGold Ashanti (AU) enhances suspicions that AU just failed to bribe someone to the degree expected. FL ]
JOHANNESBURG, May 28 (Reuters) - South Africa's AngloGold Ashanti Ltd (ANGJ.J) said on Friday it had failed so far to discover why the government of Guinea had imposed restrictions on its Siguiri mine.
The firm, the world's second biggest gold producer, said in a statement on Wednesday that production had halted after the government of the West African country stopped it from exporting gold or bringing diesel fuel into the facility.
The group said it was seeking urgent discussions with the government to discover the reasons for the embargo.
When asked whether a meeting with the government had occurred, spokesman Alan Fine replied: "Nothing's changed since we put out the statement."
AngloGold said Siguiri produced 58,000 ounces of gold in the first quarter of 2004 -- 49,300 ounces of that for AngloGold Ashanti, or three percent of the company's global quarterly production.
It bought an 85 percent stake in the mine one month ago.
AngloGold Ashanti is majority owned by diversifed miner Anglo American (London:AAL.L - News; AGLJ.J).
Absorb This: GoldenStar buying Iamgold, skipping Wheaton merger
Sic transit "Axion Gold"??? ...(the proposed new name of a merged Iamgold (IAG, or IMG.TO) and Wheaton River (WHT, WRM.TO))
Now Golden Star (GSS, or GSC.TO) in cahoots with Coeur d'Alene Mining (CDE) wants to buy Iamgold and break the announced merger between Iamgold and Wheaton River. Golden Star will take Iamgold while Coeur d'Alene gets Wheaton. Wheaton River is a non-West-Africa global miner with a lot of silver as well as gold; the merger with Iamgold was unpopular to many anyway.
I wonder if it's all part of a secret grand scheme for Newmont (NEM) to gobble West Africa's choicest golden fruits other than Ashanti (now AU). Let's see, ... Golden Star + Iamgold + Birim (BGI.TO) + St. Jude (SJD.TO) + Red Back (RBI.V) + Adamus + African Gold (AGG.TO) ......
The following has been followed by various corrections in a flurry of announcements:
----------------
Myra P. Saefong, CBS.MarketWatch.com
Last Update: 7:22 PM ET May 27, 2004
SAN FRANCISCO (CBS.MW) -- Coeur d'Alene Mines said late Thursday that it wants to buy Wheaton River Minerals Ltd. in a stock, cash, and debt deal valued at about $1.8 billion.
The move sets up potentially complicated merger negotiations that could involve as many four companies.
Coeur d'Alene's offer would be subject to the termination of the existing agreement between Wheaton and Iamgold Corp. (IAG: news, chart, profile) (CA:IMG: news, chart, profile), Coeur d'Alene said.
The boards of directors for Wheaton and Iamgold approved an agreement in March for Iamgold to buy Wheaton in an all-stock deal. Shareholders are scheduled to vote on the offer on June 8.
Added to the mix Golden Star Resources Ltd. (GSS: news, chart, profile) (CA:GSC: news, chart, profile), which said late Thursday that it's offered to buy Iamgold through a share-for-share deal.
Golden Star said it would give Iamgold 1.15 Gold Star common shares for each Iamgold common share -- a premium of 13 percent to Iamgold shareholders based on Thursday's closing prices for the stocks on the Toronto Stock Exchange. The deal's value, based on the TSE closing prices, is about $883 million ($1.21 billion Canadian).
Golden Star said in a statement it has an agreement with Coeur d'Alene whereby Coeur d'Alene will pay Golden Star $26 million if Golden Star's deal for Iamgold, and Coeur d'Alene's offer for Wheaton both succeed.
Coeur d'Alene's offer for Vancouver-based Wheaton (WHT: news, chart, profile), which equates to around $3.28 per share, includes $1.9 billion in equity, $133 million in assumed debt, less $174 million in cash, Idaho-based Coeur d'Alene (CDE: news, chart, profile) said.
That's a 14 percent premium to Wheaton's Thursday closing price and a 25 percent premium over its 20-day average, according to Coeur d'Alene.
"Our combination creates the fourth-largest North American precious metals company, increases Coeur d'Alene's primary silver production by 45 percent, and creates a top 10 global gold producer with among the lowest cash costs of production in the industry," Dennis Wheeler, Coeur d'Alene's chief executive, said in a statement.
Wheeler made the proposal on behalf of Coeur d'Alene in a letter sent to Ian Telfer, Wheaton's chief executive, on Thursday.
Shares of Coeur d'Alene closed at $5.06, up 3 cents, Wheaton's stock closed up 6 cents at $2.92, and Iamgold's shares rose 9 cents to close at $5.43.
-----------------------------
But, St. Jude (SJD.V) has 78 grams/ton.
OK, I agree that Orezone's 36 meters of 23.9 grams/ton is a nice gold intersection, but isn't 12 meters of 78 grams/ton nice too? That's what St. Jude Resources (SJD.V) is already sitting on at Subriso Central in its 100%-owned Benso property in southern Ghana along with its other choice high-grade deposits. And 36 meters of 7.16 grams/ton and 42 meters of 6.9 grams/ton are reported nearby on the same property.
I have some St. Jude stock; this gold company's high-grade ore hits and further prospects seem to have been overlooked just in the last few weeks. Birim (BGI.TO) and Goldenstar (GSS) are resurging sharply while St. Jude has stayed "under the radar".
FL
Orezone (OZN) up 16-19% on Essakan's 23.1gr/ton result
Orezone (OZN) is up 16% on the TSX, 19% on the Amex, on big volume. A drilling report released today about Orezone's Essakan project in Burkina Faso includes 36 meters at 23.1 grams/ton, plus other goodies.
For some reason, this news is not yet on Orezone's news in its webpage (shown in this board's header).
=======================
Essakan Main Zone Yields Wide, High Grade Intersections at Depth
THURSDAY, MAY 27, 2004 10:57 AM
OTTAWA, May 27, 2004 /PRNewswire-FirstCall via COMTEX/ -- Orezone Resources Inc. (OZN:TSX, AMEX) is pleased to announce results from 25 RC holes which targeted the projected down plunge extension of the Main Zone on the Company's Essakan property in Burkina Faso, West Africa. Hole ERC699 intersected 23.1 g/t over 36m and stopped in mineralization and Hole ERC696, which was well mineralized for over 80 m, contained intersections grading 11.7 g/t over 18m, 3.6 g/t over 18m and 3.9 g/t over 10m before it also stopped in mineralization. Hole ERC708 graded 7.4 g/t over 11m.
The Essakan Main Zone contains a previously measured and indicated resource of 18.9 Mt grading 2.14 g/t (1.3 M contained ozs) and an inferred resource of 5.2 Mt grading 1.76 g/t (300,000 contained ozs). The deposit is contained in the nose of an anticline that strikes northwest for 2 km and consists of a central higher grade core (+2.5 g/t) that is surrounded by a lower grade halo (~1.5 g/t). A re-interpretation of the deposit indicates that the high grade core may have a shallow north plunge along the limb of the anticline. This area had not previously been drilled and the latest program was designed to test this model.
The drilling program was highly successful with respect to confirming the existence of a down plunge extension to Essakan Main Zone ("EMZ"). In addition to the results quoted above, Hole ERC695 intersected 3.0 g/t over 30m at depth of 103m and 1.8 g/t over 14m at a depth of 136m and Hole ERC690 intersected 2.2 g/t over 17m at a depth of 103m and 2.1 g/t over 16m at a depth of 127m. Hole ERC697 intersected 1.6 g/t over 54m at depth of 92m and 1.4 g/t over 28m at depth of 60m.
Ron Little, President and CEO, stated that "These drill results significantly enhance the grade and tonnage potential of the deposit as they confirm that there definitely is a thick, down plunge extension to the EMZ and that it contains multiple higher grade zones." He added that "A number of holes either bottomed in mineralization or failed to reach their target due to the limited capacity of the drilling rig. The majority of these holes have been cased to facilitate core drilling at a later date." A new resource estimate for the EMZ was in process but will be delayed until the end of the second quarter to incorporate the new model and recent results.
Table of Results From EMZ RC Drilling (all holes are vertical)
-----------------------------------------------------------------------
HOLE SECTION FROM TO LENGTH AUPPM COMMENTS
-----------------------------------------------------------------------
ERC691 51300N 137.00 141.00 4.0 1.32
ERC704 51300N Hole stopped at
100 m - Casing
ERC705 51300N Hole stopped at
103 m - Casing
ERC706 51300N Hole stopped at
94 m - Casing
ERC707 51250N 79.00 90.00 11.0 0.81
ERC707 51250N 94.00 102.00 8.0 0.69
ERC707 51250N 144.00 150.00 6.0 0.90 Hole stopped in
mineralization
ERC708 51250N 131.00 142.00 11.0 7.39
ERC690 51200N 103.00 120.00 17.0 2.25
ERC690 51200N 127.00 143.00 16.0 2.06
ERC703 51200N 22.00 26.00 4.0 0.62 Hole stopped at
109 m
ERC709 51150N 66.00 76.00 10.0 1.46
ERC709 51150N 81.00 109.00 28.0 1.53
ERC709 51150N 113.00 130.00 17.0 1.06
ERC709 51150N 138.00 150.00 12.0 0.54 Hole stopped in
mineralization
ERC687 51100N 72.00 78.00 6.0 1.60 Hole stopped at
112 m - Casing
ERC687 51100N 93.00 112.00 19.0 2.26 Hole stopped in
mineralization
ERC688 51100N 125.00 129.00 4.0 0.66 Hole stopped at
140 m
ERC689 51100N Hole abandoned at
79 m
ERC699 51050N 58.00 69.00 11.0 2.61
ERC699 51050N 73.00 109.00 36.0 23.08 Hole stopped in
mineralization
ERC700 51050N Hole stopped at
112 m
ERC685 51000N 82.00 100.00 18.0 1.65 Hole stopped in
mineralization -
Casing
ERC686 51000N Hole stopped at
106 m
ERC698 51000N 63.00 74.00 11.0 2.04
ERC698 51000N 78.00 120.00 42.0 1.33
ERC698 51000N 135.00 140.00 5.0 0.47
ERC697 50950N 60.00 88.00 28.0 1.37
ERC697 50950N 92.00 146.00 54.0 1.65
ERC701 50950N Hole stopped at
100 m
ERC692 50900N 126.00 136.00 10.0 0.70
ERC692 50900N 141.00 150.00 9.0 3.99 Hole stopped in
mineralization -
Casing
ERC693 50900N 91.00 96.00 5.0 0.60
ERC693 50900N 103.00 117.00 14.0 1.77
ERC693 50900N 135.00 139.00 4.0 0.65
ERC695 50850N 103.00 133.00 30.0 2.99
ERC695 50850N 136.00 150.00 14.0 1.79 Hole stopped in
mineralization -
Casing
ERC696 50850N 39.00 45.00 6.0 1.19
ERC696 50850N 66.00 76.00 10.0 3.89
ERC696 50850N 79.00 84.00 5.0 1.05
ERC696 50850N 87.00 105.00 18.0 3.59
ERC696 50850N 108.00 127.00 18.0 11.69
ERC696 50850N 137.00 150.00 13.0 1.16 Hole stopped in
mineralization -
Casing
ERC694 50800N 111.00 120.00 9.0 3.53 Hole stopped in
mineralization -
Casing
ERC702 50800N Hole stopped at
148 m
-----------------------------------------------------------------------
Note: Samples were collected every 1m down the hole and analyzed using a 2kg bottle roll cyanide leach at the Transworld Laboratory in Tarkwa, Ghana, an internationally recognized laboratory. A minimum of 5% of the samples is for QA/QC, which include duplicates, triplicates, standards and blanks. The program was carried out under the supervision of Jeffrey Ackert, VP Exploration, and qualified person for Orezone.
The Essakan Project is a joint venture with Gold Fields Limited which can earn a 50 per cent interest by spending US $8 million over five years and can increase its interest to 60 per cent by completing a bankable feasibility study. Orezone is currently the operator of the programs and Gold Fields has spent roughly US $2.8 million to date. A decision on the next work program is an anticipated by the end of the second quarter.
Orezone Resources Inc. (OZN:TSX, AMEX) is an emerging Canadian gold producer with a number of advanced exploration projects in Burkina Faso, West Africa, a relatively unexplored part of one of the world's fastest growing gold producing regions. Orezone's mission is to create wealth by discovering and developing the earth's resources in an efficient and responsible manner.
FORWARD-LOOKING STATEMENTS: This news release contains certain "forward- looking statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. Except for statements of historical fact relating to the company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward- looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.
SOURCE Orezone Resources Inc.
Ron Little, President & CEO,
rlittle@orezone.com; Greg Bowes, Vice President, Corporate Development,
gbowes@orezone.com, Phone (613) 241-3699, Toll Free 888 673-0663
(OZN OZN.)
==================================
3/4 of Kenor holders chose Guinor (GNR.TO) shares
Guinor Gold receives acceptances for Kenor acquisition
2004-05-26 09:38 ET - News Release
Mr. Marius Bretteville reports
KENOR ASA -- MANDATORY OFFER -- ACCEPTANCE RATIO
Guinor Gold has provided the details of the acceptances received during the offer period. The offer price is one common share of Guinor Gold in exchange for one Kenor share or 5.60 kronor per Kenor share. The offer period was from and including April 26, 2004, to and including May 25, 2004.
This announcement is issued in connection with the offer to acquire all of the issued and outstanding Kenor shares and should be read and construed in conjunction with the offer document. Terms defined in the offer document have the same meaning in this announcement unless otherwise indicated.
Guinor Gold has received acceptances representing the number of Kenor shares set forth below:
Number of
Alternative Kenor shares
Cash alternative 1,235,425
Share alternative 6,703,620
---------
Total 8,263,095
=========
WARNING: The company relies upon litigation protection for "forward-looking" statements.
Red Back (RBI.V) raising C$15-20M issuing special warrants
RED BACK MINING ANNOUNCES SPECIAL WARRANTS
PRIVATE PLACEMENT
May 21, 2004 (RBI – TSXV) Red Back Mining Inc. (“Red Back” or “the Company”) has retained a syndicate of investment
dealers led by GMP Securities Ltd. and Haywood Securities Inc., and including Macquarie North America Ltd. (the
“Agents”), on a best efforts basis to raise up to $15 million by way of private placement of 7.5 million Special Warrants at a
price of $2.00 per Special Warrant. The Special Warrants shall be exercisable, without payment of additional
consideration, for one Common Share and one full Common Share Purchase Warrant. Each Common Share Purchase
Warrant is exercisable over a period of 2 years from the Closing Date into one Common Share at a price of $2.25.
The Company shall have the right to force conversion of the warrants at any time prior to the second anniversary if the
common shares trade at a weighted average price of $2.50 for a period of at least 30 consecutive trading days during the
period.
In addition, Red Back has granted the Agents an Over-Allotment Option to purchase up to an additional 2.5 million Special
Warrants for gross proceeds of $5 million up until the Closing Date.
[...]
[for full article, see http://www.redbackmininginc.com ]
Akrokeri-Ashanti (AKR.V) halted 17 May 2004
Akrokeri-Ashanti halted effective at the open
2004-05-17 08:46 ET - Halt Trading
Trading has been halted effective at the open on May 17, 2004.
Please explain about Shield Gold, Inc.
Shield Gold, Inc. isn't on the list in the header, or in the Goldsheet "Companies" list.
What do you mean by "west African interests are perhaps too late for fulfillment" What West African interests?
FL
Unfortunately, those trading rules conflict! (RAMBLE)
TradingFool wrote: "I'll have to start following some of the rules I read about in books."
The rules seemingly give conflicting advice.
First conflict: Rule A: "Whatever you do, don't take the big hit." versus Rule B: "Only the weak hands get shaken out." So, should you ride down big dips (or collapses) and risk taking the big hit? Or should you "cut your losses quickly" thereby becoming the "weak hands" who got shook out.
Second conflict (reversalism versus trend-following): Rule C: "Buy on weakness, sell on strength." versus Rule D: "No stock is too high to buy or too low to sell." (Jesse Livermore)
Whether reversalism or trend-following is right, for a lazy investor only trend-following will work, because you can sit on a trend until (you figure) the trend is over --- as opposed to the active reversalist who has to jump in and out with every zig and zag. But trend-followers get whip-sawed in trendless markets.
In "The ABC of Stock Speculation" there's a discussion of two distinct situations. E: You have independent, fundamental reason to believe that the stock (or sector or market) is going up, long-term. In this case, you buy on weakness --- the lower it goes, the better the chance to buy. But in case F: You're watching for strength (in a stock, sector or market) by watching the price, and only when it breaks out do you buy -- on strength. This is hoping to buy high, sell higher.
Other rules: Don't buy in the vertical zone of a parabolic rise. Invest only what you can sleep easily about. Learning investing is largely about learning your own psychology, so practicing with imaginary investments is worthless. (Livermore) Many a stock down 80% to 90% has "broken its back" and is unlikely ever to recover (Richard Russell).
For West African golds, my belief is that the gold price is going way up, long term, and that most of the explorers I buy probably have good properties with lots of feasible gold. I am incompetent to predict secondary swings in prices, and I'm too lazy and ignorant to day-trade or try to catch short movements anyway. My only sensible criterion for selling is: sell when you have something better to do with the money. I also have an arbitrary rule: If something quadruples, sell half. I might revise that to "triples" after this.
Personal ramble: Months ago I sold Nevsun high to buy Cassidy; a few weeks ago I sold ASA and some Glamis at big profit, Royal Gold at big loss, but kept all my West Africans -- ouch! If Semafo dips again I may be snagged and get some. Also sniffing for lows in Guinor. Still baffled by Robex. Wavering about my Cassidy; take the big hit?. Can't understand why my St. Jude's massive 78+ grams/ton at Benso has benso unappreciated. I understand lack of support now for Birim, since investors will WAIT for Bui hits. My Akrokeri-Ashanti at C$0.01 is a memento of a sentimental gamble. Looking forward to Newmont gobbling explorers and properties in Ghana. Won't touch Mano River, or any praiser of Charles Taylor. Happy with Red Back's Chirano but not its loss??? of north Ghana properties in merger. Avoiding AGG CRVV Mankranho dilution complex (Cassidy, Delta too?). Despairing over RANGY.
If I'm right about gold, most West African golds should be bottoming around here and will commence a struggling rise, interrupted by more downward spikes (not as bad as the current one, I hope), most eventually rising to more than quadruple the December 2003 highs within a year or two. Newmont should be transferring some of its billions to us Ghana fans, too, even if I'm wrong about gold.
FL
Newmont (NEM) Exploring in Ghana
Ghana exploration to boost Newmont gold reserves
5/7/2004 8:28:18 PM
By Fiona Ortiz -- Reuters
CBS MARKETWATCH
Company: Newmont Mining Corporation
LIMA, Peru, May 7 (Reuters) - Ghana could be the next big strategic area for leading global gold miner Newmont Mining (NEM) , which expects to increase its mineral reserves this year through exploring in West Africa and elsewhere, the company's top executive said on Friday.
Denver, Colorado-based Newmont's key areas, where it spends 80 percent of exploration money, are Nevada, Peru, Australia and Indonesia, but Ghana has strong potential, Wayne Murdy told reporters at the end of a four-day gold conference in Peru.
"Our next area for growth is West Africa, in Ghana," Murdy said. Newmont acquired the Ghanaian interests when it merged with Australia's Normandy in 2002.
"We thought it was small, (but now) potentially we think it will become our fifth core region. We think we'll continue to make discoveries there," he said of Ghana and the project there.
... [For the full article, see
http://cbs.marketwatch.com/tools/quotes/newsarticle.asp?siteid=mktw&sid=&guid=%7B6DF68781%2D... ]
New: Takoradi Ltd. (TKG in Sydney) in Ghana
Takoradi Ltd. trades on the Sydney ASX under the ticker symbol TKG. It has two businesses: one is a cell-phone technology product in the UK, while the other is some gold exploration properties in northeastern Ghana, near Bole in Northern Region by the border with Ivory Coast. It has an exploration agreement with Red Back Mining (RBI.V). It was formerly called Takoradi Gold -- presumably before it entered the cellphone world. It has over a billion shares outstanding (that's an American billion). It's trading at Au$0.008 or 8 10ths of one Australian cent/share, or about US$0.006.
It has been added to the header of this discussion list; so far, I haven't found that it has a company web-page. It is discussed on a dedicated RagingBull list, but most of that discussion is uninformative and relates to the cellphone business.
FL
African Gold (AGG.V) agrees with Columbia River (CRVV)
[Huh? They already own almost 69% of Columbia River, whose only asset is this Mankranho License in Ghana NW of Kumasi. This agreement seems like, effectively, a convoluted way of buying out 85% of the remaining 31% of Columbia River's Mankranho not already (effectively) owned by AGG, by spending the money on the ground rather than paying the minority shareholders of Columbia River directly. AGG would still own most of Columbia River, but Columbia River would no longer own all or most of Mankrano. FL]
============================
African Gold Group, Inc. Enters Into An Earn-In Agreement With Columbia River Resources, Inc.
5/6/2004 7:55:13 PM
TORONTO, ONTARIO, May 6, 2004 (CCNMatthews via COMTEX) -- African Gold Group, Inc. ("AGG") announced today that it has entered into an Earn-In Agreement with Columbia River Resources, Inc. ("Columbia River"), a US public company in which AGG holds approximately 69% of the outstanding common shares. Columbia River in turn holds the 108 sq. Km. Mankranho License gold concession located at the north-eastern end of the Sefwi Gold Belt in Ghana, contiguous to Newmont Mining Corporation's multi-million ounce Ahafo project.
Columbia River retained a geologist John N. M. Coates (B.Sc. Hons, M.Sc., D.I.C.), to provide an independent valuation of the Mankranho License to Columbia River and its independent director. Under the Terms of the Earn-In Agreement and based on the independent valuation, the Earn-In Agreement provides AGG with the right to earn a 51% interest in the Mankranho License by spending US$1,253,000 and further allows for the right to earn up to an additional 34%, to total an aggregate of an 85% earned interest, upon spending an additional US$1,000,000 on the property comprising the Mankranho License.
AGG, based in Toronto, is engaged in the identification, acquisition and exploration of prospective gold projects situated along significant gold trends in Ghana, West Africa. The Company's immediate focus is to systematically explore both surface, and in particular, sub-surface targets along two major gold trends: the Sefwi and Asankrangwa Gold Belts.
On Behalf of the Board:
Kevin J. van Niekerk
President and Chief Executive Officer
African Gold Group, Inc.
Michael A. Nikiforuk
Corporate Development Officer, Director
(416) 572-2225
info@africangoldgroup.com
or
The Wall Street Group, Inc.
Ron Stabiner
Vice President
(212) 888-4848
rstabiner@thewallstreetgroup.com
Should I be losing faith in Cassidy (CDY.V)?
Cassidy Gold (CDY.V) stock is way down. Now, I know that almost all the golds have taken a big hit, but there are a few other things making me wonder about my Cassidy stock. The newly-issued low-price shares and warrants are troubling. The "dilution dive" was already pretty serious two weeks ago when they were going to issue 1,900,000 new "units" (shares with warrants) at C$0.70/unit. Now they're issuing, instead, 3,175,000 new units at C$0.60/unit. That's worse. And warrants exercisable at C$0.70 and C$0.80? Sheesh --- that's where the stock price was about 3 weeks ago.
Some peculiar linkages emerge. Robert Ferguson of Cassidy seems to be the same Robert Ferguson who was listed as boss of Columbia River Resources (CRVV on Pink Sheets), which I've mentioned here as being a needless second layer of dilution under the newly floated African Gold Group (AGG.V). There's another, more obscure African company linkage that I recently noticed but have forgotten. And James Gillis, head of Cassidy, is also the president of Delta Exploration (DEV.V) which is supposed to do something in Mali. Delta is also linked to Cassidy via an interest in the Silver Lynx property, British Columbia, Canada. Gillis ran Getchell Gold Resources too, which fell from the Toronto Venture exchange down to the vestigial Canadian NEX exchange renamed as Discovery Corp. (DCY.H).
Finding gold is hard work. Mopping up available investor capital is a different kind of work.
Anyone, please remark on the Cassidy situation if you have any insights.
FL