Jun 05, 2006 (M2 PRESSWIRE via COMTEX) -- For Monday June 5, The Street Review is watching: Pacific Gold Corp. (PCFG), Gammon Lake Reousrces, Inc, (GRS), Empire Resoureces Ltd, (ERS), EuroZinc Mining Corporation. (EZM), Fronteer Development Group, Inc. (FRG), Eldorado Gold Corp; (EGO) .
Pacific Gold Corp.'s (PCFG) Black Rock Canyon alluvial gold mine is currently scheduled to begin gold production in the near future. The mine is owned and operated by a 100% owned subsidiary company, Nevada Rae Gold, Inc.
With the recent increases in the price of gold, PCFG revenues for the first twelve months of gold production at Black Rock Canyon, could be as high as $6 million with EBITDA of up to $2.8 million. With over 53,000,000 shares outstanding, EBITDA per share for the first 12 months production could be as high as $0.05 per share, and the P/E ratio could favor PCFG.
The Black Rock Canyon mine is located in Lander County, Nevada in the proximity of the Cortez Gold Mine, owned by Barrick Gold and Rio Tinto PLC (RTP).
Geologist and engineering reports have placed the estimated resources for the Black Rock Canyon mine at up to 500,000 ounces of gold which would give a mine life of over 20 years.
On April 13, 2006, PCFG announced a convertible debenture financing of $6.1 million with a conversion price of $1.00 per common share. In 2005 PCFG completed $6.1 million in debt and equity financing.
With the recent increases in the price of gold, the Company may be positioned for potential growth at the Black Rock Canyon mine and at its 2 other gold projects, Fernley Gold and Oregon Gold.
In August of 2005 Pacific Gold Corp. (PCFG) issued a press release announcing that Pilot Mountain Resources Inc., a 100% subsidiary of the Company, has acquired Project W from Platoro West Inc.
Project W has a mineral deposit that contains up to an estimated $700 million of in ground resources, based on a feasibility study prepared by Kaiser Engineers and Union Carbide. Project W is primarily a tungsten (chemical symbol W) project located in Mineral County, Nevada, USA. Elevated tungsten values occur throughout the area, and there are known mineral resources within the claim area.
Pacific Gold Corp. is committed to acquiring and developing proven, undeveloped mineral deposits in North America. Project W, the Company's most recent acquisition, presents a unique opportunity for the Company and its shareholders due to recent economic developments in the tungsten market. The Company's mission statement is to acquire up to $2 billion of mineral deposits by 2009. With the acquisition of Project W, the Company estimates that it has achieved approximately 55% of its goal.
The Company is focused on gold and base metals operations and currently owns four operating subsidiaries. Nevada Rae Gold, Inc. ("Nevada Rae") owns and operates the Black Rock Canyon gold mine, located in north-central Nevada. Pilot Mountain Resources Inc.("Pilot Mountain") owns Project W, a large tungsten based deposit. Fernley Gold, Inc. ("Fernley Gold") has acquired the exclusive lease rights to mine the Lower Olinghouse Placers in north-western Nevada. Oregon Gold, Inc. ("Oregon Gold") owns the Bear Bench claims and Defiance mine, located in south-western Oregon.
On Friday, PCFG closed at $0.425.
More information on Pacific Gold Corp. can be
found at www.pacificgoldcorp.com .
