EAST ASIA MINERALS
(V-EAS)
$3.47 -0.36
KEEGAN RESOURCES
(T-KGN)
$6.65 -0.05
FORTUNA SILVER
(V-FVI)
$2.03 -0.04
Ah yes…the ongoing East Asia versus Keegan de-
bate...volume 12.
Yesterday we made an error or two making Jed
Richardson of Amazon, a CEO instead of VP while Lionel
Martin who is chief operating officer of East Asia was
called a VP. I’m sure he will forgive us...but anyway back
to the ongoing debate.
Lionel Martin updates us today with a note and a tech-
nical comment on some of the news and the way we
might have represented it yesterday.
He writes, “The added 100 metres potential was actu-
ally in the north-south direction. Previously it averaged
about 300m, now potentially 400m. The 1200m east-west
direction based on exploration to date has not
changed. The step out that we want to do to the east
once we get the drill pad sorted, is actually further east of
the 12A/13 drill pad. Hopefully we will get to that
next. Meanwhile we are drilling a southerly hole from the
12A/13 pad.”
Meanwhile today there is more sampling results and oh
my goodness, are they sweet! When we caught up with
Dave Coffin who along with his brother was a lone voice
out in the wilderness talking about this story when it was
$0.50, has now become one of the stories of the day, just
look at the volume.
He says the important development now is that as they
start working on these extensions to the main zone, he
reminds us that suddenly grade isn't quite as important to
adding ounces as it was before, now that they have found
some sweet spots. (Oh by the way, we ask Coffin for any
other stock ideas at this time and he suggests that the
brothers have been mentioning Focus Ventures (FCV) as
one of the stories to be nibbling away these days looking
for interesting results in the New Year).
Meanwhile today, Nicholas Campbell, the Canaccord
mining analyst who has been giving us stocks that have
doubled and tripled almost regularly lately updates
Keegan. He writes, “Keegan announced that it has ac-
quired the 10 square kilometer Mpatuom Concession on
the northwest boundary of the Esaase Concession. This
concession increases the company’s Esaase project hold-
ings to 87 square kilometers….and that this acquisition
continues to build upon the speculative resource expan-
sion potential of the Esaase land package.”
He ups his target on Keegan to $8.30 and we should
point out that many people expect sooner or later, Keegan
is bought out by one of the many players in the area such
as Red Back Mining.
When we corner Campbell today as to if he could only
buy one stock, what would it be now that Keegan has
done so well (a triple since he started to mention it) For-
tuna Silver Mines is his number one pick.
Today he writes, “Fortuna announced that the Secre-
taria de Medio Ambiente y Recursos Naturales (Mexican
Environmental Agency) has approved the company’s
application for a change of land use from agricultural to
industrial for the San Jose silver-gold project in the State
of Oaxaca, Mexico.”
He continues, “The approval of the change in land use
is the final permit required for the company to begin ma-
jor construction of the San Jose project.” His target on
Fortuna is $4.75.PREMIER GOLD MINES
We have written up Premier Gold Mines a couple of times
because there are more than a few thinking that it becomes
a takeover candidate in the New Year.
Today, despite the lower gold price, it hits new highs and
we caught up with President Ewan Downie at the Thunder
Bay airport. Why is it running, we ask? He answers that
there is a new research report out by Laurentian that has
taken a very good look at the company and dwells on the
fact that the company has as many as three potential com-
pany-maker projects. Downie adds that Doug Casey is also
now writing that the company is a takeover candidate, but
also Downie points out, the spectacular drilling results
they’ve had lately on their Hardrock project.
Downie expects them to be back at the Red Lake with
Goldcorp in the New Year with an aggressive program and
they should have five different projects being drilled early in
the New Year, giving them lots of news to be putting out.
The Laurentian report gave PG a $5.25 target and we are
owners of the stock and wouldn’t be surprised if that hap-
pened.
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