Liberty Star Uranium and Metals Corp (LBSR)

[StrengthenNumbers]

Can't Wait to Hear About Drilling...





...Physical gold deficit being manipulated heavily, China amassing many gold tonnes in the last year. China decided to have a recovery in 2009-2010 and brought the rest of the globe along for the ride. I suspect their increasing gold demand is in response to the continued currency dilution worldwide. China seems to still hold enough sway to set the trend and I'm betting their buying will spur acquisitions and mergers in the exploration sector. Watching gold return to near $1500/oz will light a fire under the majors to replace their declining reserves.

Arizona has been a better bet than most regarding economic geology and permitting. Seeing Bingham canyon offline was a big splash to those in the know, and that mine was declining anyway. Logistically Hay Mountain is very desirable, and someone will want to know what's in the ground. Processing, roads, rails, and a clean shot to the port of Los Angeles are all available for the ore, and the mine will be spitting distance from established mining districts that are proven and permitted.

I like our chances of obtaining funding for the drill program this year. Gold will probably rally later in the year, but if China demand continues we could see Au climb steady through the summer as well. Looking around, it seems the shakeout in gold was well orchestrated and completely out of kilter with the true underlying market forces. Go figure...

http://www.silverdoctors.com/10-of-us-annual-silver-supply-just-vaporized/

http://www.forbes.com/sites/shuchingjeanchen/2014/03/18/chinas-secret-vaults-where-is-all-the-missing-gold/

http://www.kitco.com/news/2014-01-07/Chinese-Gold-Demand-Strong-At-Start-Of-2014.html

http://www.gold.org/supply-and-demand/gold-demand-trends