To all,
Here is an update on the stock I mentioned to you last week
hope you got in already or plan to. I plan to see 5 bucks here
pretty soon and may double then cause all I have left is margin
spending, anyway here you go.....
Sunday 1 PM EST
Good Afternoon,
On behalf of my partner and our staff, we would first like to thank all of
you who have sent all of the encouraging Emails to us. We would also like
to congratulate all of you who have hung in there with us to share in this
success. We feel the best is yet to come.
As you know we attended the due diligence meeting on Intergold (IGCO)--or,
as they are formally calling it now, International Gold Corporation--on
Friday afternoon after the close, in Vancouver. There were roughly 75
people in attendance, including brokers, analysts, representatives from
Banks, Insurance companies, executives from other mining companies and
groups from Europe and Hong Kong.
They wasted no time in releasing results from testing which had been
supervised by Bateman Engineering, and carried out by independent testing
companies. The results showed that the Gold values on the property which
had been drilled to a depth of 508 feet, tested every 5 meters show
consistent and continuous Gold values ranging from .10 - .18 oz per ton.
The aggregate being .15 oz per ton. The actual size of the ore body in
total volume ranged, but general consensus by professionals in the room was
that a 50,000 ton of ore/ per day operation could be set up with a mining
life exceeding 25 years.
This is a hell of a lot of gold.
Estimates for extraction cost per ounce using conservative numbers, appear
to be $175 per ounce.
We all seem to have gotten caught up in the release of the Bateman Report.
We have been as guilty of this as everyone else and after attending the
meeting and being educated on what this actually means, this Bateman
report. I wanted to spend a moment to share what we learned and the
significance. Bateman Engineering is one of the largest Engineering firms
in the world, they carry an excellent(good as gold-pardon the
pun)reputation with their name. When the company first started seeing the
Gold Values on the property, they realized that to be taken seriously they
needed to have independent evaluation of the property before releasing any
more information. They retained Bateman. Literally what Bateman did was to
go onto the property drill these holes, take these core samples under lock
and key to prevent any tampering, and store them again under lock and key,
at the Colorado School of Mines in Golden Colorado. Bateman then hired to
Independent testing firms to evaluate the samples, and test them for the
Gold values, so if you follow me, we now have a third tier of independent
evalution. Bateman then released those results to the company, who shared
these results on Friday. Bateman is preparing a full report, which will
detail the methods used to obtain the samples, property description,
testing results, background on the firms involved, etc. etc. etc. .
Basically, the information we have all been waiting for has now been
released by Bateman,to the company, however the Bateman Report has not been
released. A little tricky to understand, but I think you can follow what I
am saying.
Based upon the information that was released, it would appear that our
original price targets of $8 - $ 10 for this particular stock are far too
conservative.
It also appears the short selling that had been going on since literally
day one, has been underestimated, and further, the buying and rapid price
movement that we have seen does not appear to be a result of any short
covering, but just plain and simple buying.
This could be a very good week for the stock, we will try to get more
information out to you tommorrow on some of our other recommended
positions. We did want to make sure everybody got the IGCO information as
soon as possible however. |
