North Springs Resources Corp. (NSRS)

[lenk]

Some DD...check it out...
from speeter4 (Yahoo message boards).
quote:


"Here are some FACTS to consider about NSRS

#1. Did you know that NEVADA produces 70% of America's gold? It's true. Nevada produces 70% of America's gold and 11% of the worlds gold. So NSRS is in the right place.

#2. Did you know that NSRS' claim is located in the Mineral Ridge Mining District? YUP. Why should you care? Well, the Mineral Ridge area has 351 mining claims totalling 10,176 acres and it's one of the areas in Nevada that produces the most gold per annum.

A. NSRS' claim is right near Scorpio Gold and Golden Phoenix, Inc claims- which is great news considering Scorpio Gold has historically produced 575,000 ounces of gold...

www.scorpiogold.com/s/mineral_ridge.asp?...

www.goldenphoenix.us/mineralridge/

3. NSRS' gold reserves will be very comparable to what Scorpio Gold is already producing. According to Advent- they estimate that NSRS's gold reserves may actually be up to 2x what Scorpio Gold produces. I will believe it when I see it. Until then, just assume 1x.

4. NSRS estimates their claim in Arizona (goldstar property) has reserves of 350,000 oz.

5. Do the math. IF NSRS achieves what Scorpio and Golden Phoeniz has already done nearby, and IF they get 350,000 oz out of Arizona...they could end up with 1 million OZ or more of Gold. What's that worth? Over 1.7 Billion dollars?

6. By the way, did you know that NSRS's Goldstar Property in Arizona is near Wickenburg? Why should you care? Wickenberg contains a ton of gold laced quartz. The GS property that NSRS is prospecting is 20 miles northeast of VULTURE MINE- the most productive gold mine ever in Arizona...

http://en.wikipedia.org/wiki/Vulture_Min...

PART II...
7. In 2010, Nevada produced 5.3 million ounces of GOLD, which was 73% of U.S. production. Nevada produced 573 metic tons per million square kilometers of gold. THE WORLD AVERAGE IS 17! Think about that for a minute. Clearly, NEVADA is the place to find gold- NOT ALASKA!

8. Nevada has 11 gold mining counties. Esmeralda County is where NSRS plans to dig for gold. Why should you care? It's right where Scorpio Gold/Golden Phoenix are digging up almost 600,000 oz! THAT'S WHY! NSRS is in the right place and they WILL FIND GOLD! That I can guarantee!

9. Now, just so we're clear, NSRS teamed up with DNP mining for a 35% stake in Goldstar (Arizona stake). If NSRS ponies up $3 million, they can own a 50% stake. With an estimated reserve of 500,000 TONS- NOT OUNCES- TONS- yeilding about .7 oz per ton- that's about 350,000 oz of gold!

10. Funding. Right now, that is NSRS's weak point. A couple months ago, NSRS issued a 10% convertible note to Kazuo Holdings which allows NSRS to borrow up to $1 million. The note is at 10% simple interest.



Part III...
11. Now, assuming NSRS achieves 500,000 oz in Nevada, that would would be an implied share price/NAV of $1.59 based on all the other publicly traded gold mining companies in the Nevada region. I took the average market cap/reserves/oz's of production and averaged it all out.

Add the 350,000 oz projection from Arizona, and that would add about 20-25 cents per share (based on current 35% stake). So realistically, the share price of NSRS could end up being $1.79- which it hit serveral days ago.

Now, if NSRS hits DOUBLE (2x) what Scorpio is producing, then NSRS could easily be a $3.50- $4.50/stock. But that's a long ways away!

Now, NSRS just signed a definitive agreement in Mexico and they have their "Rio Agreement" with Guyana AU Corp. They signed a 3 year term on 12,490 acres. NSRS agreed to pay GACI $50K and 4 million shares of stock and a 3% NET smelter royalty. That sounds very fair to me!

Btw, if NSRS fulfills all the terms, they will own the Rio property 100%.

Other facts:

NSRS signed a 20 year Mineral Lease with MinQuest, Inc for the right to explore unpatented claims in Esmeralda County. NSRS will pay a 3% smelter royalty to MinQuest and $140,000.00.

Similiarly, they sgined a 10 year Mineral Lease with Mountain Gold in the same area. NSRS has the option of BUYING this property for $400,000....which may turn out to be a steal if they find gold. The royalty fee is only 2% here.

Naturally, NSRS also supplied 500,000 shares of stock to Mountain and Lane Griffin. I'm sure they already sold their shares.




BOTTOMLINE?

Is NSRS a pump and dump? You bet it is! The market cap got way ahead of itself and alot of amatuer traders got caught holding the bag at 50 cents and higher- especially the ones who bought north of $1.

Yes, NSRS is a risky stock- NO QUESTION ABOUT IT! They don't earn revenues (as of yet). They will need financing (All start up companies do!)

But know this...NSRS is in the RIGHT AREAS to mine for gold! Mineral Ridge is where it's at. Galena Flats, Coyote Fault, Vanderbilt Silver--all areas surrounding Mineral Ridge- can't touch what Mineral Ridge is producing. So Lappa is smart- he's going where the gold IS!

So for the bashers to say this stock is a scam is FALSE and inaccurate. This is not a scam. It's a very risky play, but not a scam.

At 35 cents/share, I'm a buyer for 400,000 shares. I put my money where my mouth is. I tried to get some at 33 cents, but missed it by 1/10 of a penny.

I'm not worried in the least bit if this drops some. I'm holding for an easy double- then taking the fam damily to Europe with the profits.

Happy trading.

I hope this information is helpful to anyone considering buying NSRS shares."