Doubleview Gold Corp (DBV)

[howestreetbull]

DBV.v ...Doubleview Capital’s (DBV, TSX-V) news release yesterday seemed about as long as the Golden Bear access road, and investors were given little time to digest it, which partly explains why some important parts in our view were overlooked by many investors – hence the unfortunate sell-off yesterday…all it takes in today’s market is just one trigger-happy investor to hit the sell button, perhaps for no reason related to whether results are good or bad – as Prosper Gold Corp. (PGX, TSX-V) discovered last October – and selling begets selling…we didn’t have time to fully digest DBV’s news until last evening and we’re still conducting research on it…we hope to shed much more light on this Hat Property news by early next week…

Interestingly, buried almost at the very bottom of DBV’s lengthy news release yesterday, were the words, “The company is working closely with local contractors and stakeholders with a view to resuming property work in June (the highlighted part is our emphasis)…DBV still has money in the bank and every reason to get back to the Hat as soon as possible for more drilling – “the complete drilling outfit remains on the property” as reported yesterday – for reasons stated below…

DBV had a couple of “misses” in their most recent drilling but they also made what could prove to be an important new discovery – drill hole HAT-12 (from a depth of 146 m to 436 m) passed through “the top section of a syeno-gabbro intrusion (Sheslay red stock) that has not previously been recognized in the district.” That’s an important development and it could be hugely significant as it may represent an important change in the Hat model…and the question is, what’s the potential size and shape of this red stock intrusive that could host higher grades?…you’ll notice that in HAT-12, which returned a 110-m interval grading 0.31% Cu, 0.38 g/t Au and 0.54% CuEq, within a wider section that returned 283 m of 0.31% CuEq, the Gold grades were better than the Copper grades…this hole is different in some important respects than any other drilled so far at the Hat, and it was collared 152 m west and 50 m south of discovery hole HAT-11, and inclined at -60 degrees to the south…very interesting, and more needs to be learned…in every round of drilling so far, Doubleview has moved this property forward…President and CEO Farshad Shirvani is a bulldog and we suspect he’s more fired up than ever after these latest results and the model that could be emerging here…

Besides the intrigue of HAT-12, an important part of the “Big Picture” remains the fact that the Hat is showing strong volume potential with the length of the “Lisle Zone” (Anomaly B) 1 km, and it remains open in all directions…

Investors who were hoping for a “glory” hole or a significant discovery at Anomaly C, more than 2 km from the original discovery at Anomaly B, were no doubt disappointed yesterday…porphyry deposits have a complex nature, and it’s critical (albeit difficult sometimes) for investors to look beyond just the basic numbers to see how the model might be taking shape…DBV really does have a tiger by the tail at the Hat…they face some significant challenges but they’ve so far shown the ability to overcome any obstacles that have come before them…

With respect to Anomaly C, perhaps DBV has made a “technical” discovery with HAT-14…it’s a hole that reminds us a little of HAT-06 from the very first round of drilling that hit the edge of the mineralized porphyry at Anomaly B…HAT-14 was drilled southerly at -45 degrees with total length of 336.8 metres…it encountered low Copper-Gold mineralization throughout including a 26-m section, from 242 to 268 m, that averaged 0.21% Cu and 0.08 g/t Au…much more work needs to be completed at Anomaly C where very high chargeability readings have been recorded…as DBV stated yesterday, “Interpretation of drill hole analytical and other data from holes HAT-14 and HAT-15 appears to indicate that Anomaly C geology and mineralization is similar to that found at Anomaly B, and may be a continuation of the Lisle zone.”

DBV is down 1.5 cents at 23.5 cents as of 7:45 am Pacific but there’s no heavy volume sell-off this morning…technically, Fib. support is strong at 23 cents while the 20-cent area is another support level as witnessed last month…
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