IMHO, the reasons for selecting NEM are as follows:
1.Unhedged so greatest upside of any major.
2.Majors get the institutional funds first, therefore participate first in any rally, NEM always moves further and faster than ABX, et. al.
3.NEM is the #1 NA miner and has safety by being in NA & SA vs. Indo, Africa, Russia, etc.
4.As the news below indicates, NEM is very crafty with where they spend there money. Low risk, high return.
5.Is there a major producer with lower cost/oz?
6.NEM has bested ABX in recent growth "contests" where they competed head to head. This could indicate that NEM has a better reputation in the industry than ABX, as least as far as juniors and exploration companies are concerned.
Thursday April 22, 12:12 pm Eastern Time
Company Press Release
Nevada Pacific Gold
Newmont Gold Ventures Limousine Butte Property
VANCOUVER, BRITISH COLUMBIA--Nevada Pacific Gold Ltd. (VSE Symbol ''NPG'') is pleased to announce
the signing of a letter of intent with Newmont Gold Company, a wholly owned subsidiary of Newmont
Mining Corporation (NYSE:NEM - news; NYSE Symbol ''NEM'') for advancement of the Company's
Limousine Butte Project located in Nevada. Newmont can earn a direct 50 percent interest by
completing a total of CDN $1.5 million (US $1.0 million) in exploration at Limousine Butte over
four years. A minimum of CDN $220,000 will be spent during the first year. Newmont can earn an
additional 20 percent interest by completing a total of CDN $4.5 million (US $3.0 million) on the
project within six years.
The twenty four square mile Limousine Butte Project is situated along the projected and untested
southern extension of the Carlin Trend. The property covers a very large hydrothermal gold system
that exhibits alteration features indicative of sediment/structure hosted gold deposits found on
the Carlin Trend and elsewhere in Nevada.
To date, Nevada Pacific has targeted district scale disseminated, structurally controlled and
skarn hosted gold deposits related to a large mineralized porphyry complex located beneath the
valley floor. Porphyry copper exploration previously carried out on the property (1960-1980)
identified porphyry related gold mineralization up to 0.070 opt Au and skarn style gold
mineralization grading up to 0.19 opt Au in drill holes. Furthermore, during the 1980's the Alta
Gold-Echo Bay joint venture mined approximately 130,000 ounces of gold from surface jasperiods
via heap leach at the Golden Butte Mine adjacent to the northeast portion of the property.
Nevada Pacific has recently acquired 13,000 feet of drill core from porphyry copper exploration
conducted on the Limousine Butte Project in the 1960's. Much of the core was not assayed for
gold. The core, together with additional information acquired from other mining companies that
were active in the district, represents approximately US $6 million worth of data. This data will
prove invaluable in understanding the geology and mineralization at Limousine Butte.
Based on Limousine Butte's resemblance in lithology, mineralogy and structure to other deposits
found in Nevada, the project has excellent potential to host similar deposits. Models being used
by Nevada Pacific to guide exploration include: 1) Fortitude (3.6 million ounces) style gold
skarn replacement ore bodies in limestone near the intrusive; 2) Meikle (8.0 million ounces)
style high grade sediment/intrusive hosted gold mineralization located near structural traps; 3)
Ruby Hill/Archemides (1.1 million ounces) style disseminated gold mineralization at or near the
intersection of structures and prospective shale and limestone units. This is the first time that
the Limousine Butte Project area has been assembled as one property and explored on a district
scale.
Newmont plans to initiate an aggressive program of surface exploration to advance the Limousine
Butte Project to the drill stage.
''We welcome our new relationship with Newmont Gold Company, one of North America's largest gold
producers. The agreement will allow for the application of Newmont's years of expertise on Carlin
Trend gold deposits to the exploration efforts at Limousine Butte.'' commented David Hottman,
President and CEO, Nevada Pacific Gold Ltd.
Nevada Pacific Gold Ltd. is a Canadian based exploration company founded in March, 1997. Nevada
Pacific's mission is the discovery and development of economic, multi-million ounce gold deposits
through the exploration of high quality projects, located primarily in Nevada.
ON BEHALF OF NEVADA PACIFIC GOLD LTD.
David Hottman, President and CEO |
