Kaiser says market tips good deposit in Ecuador
Balaclava Mines Inc BIL
Shares issued 6,488,892 Jun 15 close $0.88
Mon 15 Jun 98 In the News
John Kaiser, writing in a June 4 Bottom-Fish Tracker, says Balaclava Mines
is in an uptrend. At $1 when his report was written, Balaclava is up from
70 cents when Mr. Kaiser first recommended the stock in December. Balaclava
slid when the Latin American explorer's respected president, Alan Carter,
resigned, and it hit a low of 40 cents in April. The uptrend began on May 7
with a 50-cent financing of 1.5-million shares. Mr. Kaiser attributes
recent strength to preliminary indications from trenching at its Ecuador
property, El Corazon, where gold veins can be seen. Drilling could begin in
July. Mr. Kaiser cautions that as a one-shot exploration play, bottom
fishers "should be watching for opportunities to sell into price spikes . .
. " Rio Tinto abandoned the property in 1996 after drilling 74 holes and
establishing two modest gold resources. At that time, Rio Tinto also pulled
out of Ecuador completely, leading Mr. Kaiser to hint that the company may
have left behind a worthwhile gold deposit. "The current market strength
likely reflects optimism that Rio Tinto prematurely dismissed this
project's world-class potential," he writes.
(c) Copyright 1998 Canjex Publishing Ltd. canada-stockwatch.com
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