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Pastimes : Crazy Fools LightHouse -- Ignore unavailable to you. Want to Upgrade?

To: ms.smartest.person who wrote (1579)	10/12/2006 9:32:25 PM
From: ms.smartest.person	Read Replies (1) \| Respond to of 3198

&#8362 David Pescod's Late Edition October 12, 2006 BRAZMIN CORP. (T-BZM) $0.74 +0.04 AFRIORE LIMITED (T-AFO) $7.22 +0.12 ESPERANZA SILVER (V-EPZ) $1.75 n/c The charts to the side show two of the junior companies in the Tau Capital stable going decidedly different ways lately. BrazMin has disappointed many of us with some lower than expected resource estimates on their Sao Jorge Gold Project in Brazil - after waiting many, many months more than expected. Mind you, the chart’s going the way many metal explorers these days, but what next to expect? Fiona Childe, the IR person for the Tau Capital Group, suggests that they are channel sampling on their Agua Branca project, which should be followed by some drilling. Canaccord has a target of $1.55 on BrazMin, which has lots of money in the till these days that is something that is ever more important given the weaker market. Childe who does the IR work for the company is something rare—she is a geologist herself and she suggests that these days AfriOre Limited is the company that is attracting a lot of attention in the stable. There are now several analysts following the company including Canaccord Capital’s Graeme Currie and in yesterday’s Financial Post they had Sprott Securities Peter Hodson select AfriOre as one of his top three picks in their stock picking contest. AfriOre is a long way away from Brazil, as it is involved in exploration in South Africa’s Bushveld Complex. The Akanani Platinum Project, which started exploration in late 2004 commenced its pre-feasibility study in March 2006 and it has had positive metallurgical results earlier this year and in September they announced some pretty interesting inferred resources of 249.1 Mt at a grade of 4.2 g/t plus nickelcopper credits. Obviously this is a major project folks, as they have ten drill rigs currently active on the project and they expect updated resource estimates throughout 2006 and 2007 with additional metallurgical studies to be released in the fourth quarter of this year. They expect engineering studies to be released also in the fourth quarter of this year with the prefeasibility study on the platinum project expected to completed in the first quarter of 2007. When we ask Fiona to play stock picker (remember the rules—she can’t pick one of her own companies and we would prefer something that has a shot at doubling) she suggests Esperanza Silver as a story one has to be watching right about now because of drilling on their San Luis project in Peru with Silver Standard which she has high hopes for. Esperanza Silver also has an interest in the Cerro Jumil gold property in Mexico which is another asset in their till, but she feels this story is timely and one that “has to be watched.” As far as commodities, while Esperanza is silver, she admits that her favorite commodity these days is platinum. OIL-LIGHT CRUDE-CONTINUOUS CONTRACT: We aren’t exactly saying that Boone Pickens has gone from the Penthouse to the Outhouse back to the Penthouse, but anyone who has been in the oil and gas business for the last four or five decades has seen that it hasn’t exactly been straight up! But, it has been good for Pickens over much of the last decade, as his energy commodity hedge fund has boomed in the last decade. His $34 million that he invested is now worth about $3 billion and suddenly he is back in the lime-light! He was featured in Bloomberg yesterday in an article & interview and he is now suggesting that we’ll see the $70.00 a barrel before the end of this year. (He is doing a little bit of hand holding for us on that sector) Meanwhile, he is also suggesting that oil will hit $100.00 a barrel by next July reiterating a forecast he made previously and is suggesting, “it will take a geopolitical event to cause it to happen” and then says, “but we’ve got a lot of opportunities for these”– pointing to Iraq, Nigeria, Iran, Iran’s nuclear research ect. While $70.00 for oil would be a very nice number, as far as natural gas goes he suggests, that “natural gas is simply tied to the weather, I think you could very well see $10.00 gas this winter, if you have a winter,” he said, “A mild winter would bring prices closer to $6.00.” Ouch! A bet on the weather and no one has predicted that correctly over the last year! Analyst Andy Gustajtis suggests we may now be putting in a bottom on oil. If you would like to receive the Late Edition, just e-mail Debbie at debbie_lewis@canaccord.com