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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers -- Ignore unavailable to you. Want to Upgrade?

To: Area51 who wrote (57114)	6/14/2008 3:24:21 PM
From: Ed Ajootian	Respond to of 78418

Area51, Paramount Gold (PZG) -- thanks for your comments, I had sold some of my position in this several months ago but ended up buying most of those shares back over the last few weeks. They have been putting out some pretty good drill results as far as I can tell, but the market seems to have written off this company ever since they had those problems with the US regulatory authorities re: trading in the company's stock. IMO those problems are now in the past, and will eventually become less of an issue as memories fade. For example, no one now talks about the fact that BPZ Resources (BZP), sporting a market cap of $2 billion, was actually kicked off the OTCBB market about 2 years ago and had to trade on the Pink Sheets for awhile. Supposedly they are still on track to get a 43-101 report out by the end of this month, and this one should count a lot more than the last one, which I recently found out was done by the buddy of Paramount's VP of Exploration. This one is being done by a well-respected, truly independent firm. The only reason it might be deferred into July is to take into account some of the data provided by the latest assays that they have announced. Struthers is calling for 1.5 to 2 M of gold-equivalent inferred resources, which, if it comes to pass, ought to get the attention of some of the intermediate gold exploration companies. In addition, I like the "monopoly game" strategy that Paramount has employed, of getting control of one of their neighbors, Mexoro Minerals (MXOM). I would not be surprised if they eventually try to something similar with another neighbor, Garibaldy (GGI.V). Get all the properties of one color and you can charge more rent, its really simple. In this case, roll up enough contiguous acreas of prospective lands and you have something with enough potential that one of the Big Boys would find it worth their while to look at. The company will basically be broke once they cut the $5 M check to Mexoro a week from Monday for their buy-in of that company, so the interesting thing will be whether the blockbuster results coming from the 43-101 report will be enough to outweigh the fact that they will be going back to the equity markets for more funds. I'm betting (literally and figuratively) that the net direction of the stock will be up.