frizzers

I thought Magnum was a uranium play - do you ave a ticker?

Palladium is cheap compared to tother metals imo

Yes, I'm worried about South Africa with this week's events ...

I see more evidence of Canadian jnrs having put in a low on Monday.

Two double bottoms, a bounce off the long-term trendline, touching the 200 week MA and rejecting it.

Yep - and you can pick up Platinum Australia for nowt today too!

On second thoughts it could even do a double bottom with the December tax sell-off lows

I would suggest a little further downside is possible, perhaps to do a nice double bottom with the August lows or perhaps to even go down and retest the 200 week moving average and then form a GIP?

Thanks, Dr. Good stuff

Thanks, Ace.

For near-term producers I would recommend taking a look at Platinum Australia. (UK:PLAA; AU:PLA).

They will be in production this summer 2008 from their Bushvelt site, while their other less developed Kalplats properties give multi-bagger potential without a move in platinum. I stress 'potential'.

This has been a near 3-bagger for me and one that I see no reason to sell yet as I have been unable to find a better platinum company that's cheap. It is my largest platinum holding.

Beartooth Platinum (CA:BTP) are more of a grass roots explorer with properties in North America and South Africa. They have results out any day now. There are many of us who have been waiting for a long time for these results and there has been much speculation as to what they will be. Beartooth have known most of their results for some time bt have not released any as they are waiting for the rhodium results before they make an announcement as they want to present a complete picture. Some of us think the results are dreadful and they haven't made an announcement as they are hoping for some good news to offset the bad. Some of us think the results are mega. One Ashely James think they may have Dunnite pipes which basically means the company will multi-bag. But none of us really know anything. The inference from the company is positive but they have given nothing away and you can read into that how you like. I bought in the summer at 11c in a placement when the company was about 15c. They are now 9c. Any investment is a gamble, but at 9c it's quite a cheap gamble and you shouldn't have to wait too long before you find out if the gamble is successful.

Thanks, Ace.

For near-term producers I would recommend taking a look at Platinum Australia. (UK:PLAA; AU:PLA).

They will be in production this summer 2008 from their Bushvelt site, while their other less developed Kalplats properties give multi-bagger potential without a move in platinum. I stress 'potential'.

This has been a near 3-bagger for me and one that I see no reason to sell yet as I have been unable to find a better platinum company that's cheap. It is my largest platinum holding.

Beartooth Platinum (CA:BTP) are more of a grass roots explorer with properties in North America and South Africa. They have results out any day now. There are many of us who have been waiting for a long time for these results and there has been much speculation as to what they will be. Beartooth have known most of their results for some time bt have not released any as they are waiting for the rhodium results before they make an announcement as they want to present a complete picture. Some of us think the results are dreadful and they haven't made an announcement as they are hoping for some good news to offset the bad. Some of us think the results are mega. One Ashely James think they may have Dunnite pipes which basically means the company will multi-bag. But none of us really know anything. The inference from the company is positive but they have given nothing away and you can read into that how you like. I bought in the summer at 11c in a placement when the company was about 15c. They are now 9c. Any investment is a gamble, but at 9c it's quite a cheap gamble and you shouldn't have to wait too long before you find out if the gamble is successful.

Yes, I agree. That's what Skarica was saying.

It needs something like that to ignite speculation.

Who's going to make that discovery? I'm hoping it might be Condor or Bearooth. But it might be KEFI.

There are so few platinum companies that if one discovers a resource they can really fly.

Platinum Australia, Sylvania and Platmin are all examples of this.

I'm hoping Beartooth will do the same.

here is a link to David Morgan's latest:

http://www.silver-investor.com/davidmorgan...allpackages.pdf

I think a great deal of the money that would previously have gone into juniors has instead gone into ETFs, so there is less capital available for juniors.

Perhaps people have been hurt so badly in previous corrections that they would rather find other ways of playing the sector.

I am fully invested, but there are so many companies I would like to buy at these levels.

I own a lot of physical and have some SB-ing success, but the underperformance is most frustrating.

Another factor is that small caps generally have been doing worse than large over recent months - compare the Russell declines to the SPX.

Why Are Junior Miners Underperforming?, Will This Change? : chart/added

=============================================

Many here and eslewhere have been deeply frustrated watching the gold price rise while their junior miners decline or stagnate. Even producers such as Capital Gold are trading at a discount to where they were when gold was $700. This company has done nothing but get into production quickly. Explorers and developers have been proper dogs, even though the underlying asset has flown. We have seen a 40% rise in gold and barely a move in juniors, in fact declines in some.

Why is this?

Were they overvalued before? I don't think so.

Is it because the market doesn't believe the move?

Is it because nobody wants to take any risk?

Even some senior producers have lagged.

Please post some suggestions as to why this has happened - and some arguments as to whether this will change or not.

My first suggestion is the ETF. Why take individual company risk? Why even bother doing any research when you can just buy GDX or GLD? If you want leverage, you can just trade options on said ETF. I think the ETFs have taken huge amounts of capital that would otherwise have gone into juniors - capital that pushed them higher in previous moves when the GDX didn't exist.

(as posted elsewhere ):

 

And this may be one

reason why prices may not fall all the way back to 1994-5 levels even if the UK property market

is very weak.

A return to 1994-5 levels! Wow. I don't see that either, though it would be very nice. Monetary inflation will stop that.

What year do you see a return to in nominal terms?

Interesting article and site.

Meanwhile, gold is now up to £420 an ounce so that ratio is falling fast

Some really good posting from you at the moment Ace here and elsewhere. Meanwhile, Goro gets better and better:

GOLD RESOURCE CORPORATION DRILLS 1 METER OF 5000 G/T SILVER

WITHIN 4 METERS OF 2955 G/T SILVER AT LA ARISTA

DENVER – December 10, 2007 – Gold Resource Corporation (GRC) (OTCBB: GORO,

FRANKFURT: GIH) is pleased to announce drilling additional high-grade La Arista vein

intercepts including 1 meter of 5000 grams/tonne (160.75 oz/tonne) silver within 4

meters of 2955 grams/tonne ( 95 oz/tonne ) silver. The La Arista deposit is part of

GRC’s El Aguila Project in the southern state of Oaxaca, Mexico. The El Aguila Project

is targeting gold production the second half of 2008 subject to timely obtaining required

permits, regulatory approvals and equipment delivery schedules.

La Arista drill highlights include:

Hole 7288 (-55 deg)

• 1 meter of 2.74 g/t gold, 5000 g/t silver, 0.35% copper, 0.53% lead, 1.60%

zinc (or a gold equivalent* value of 114.37 g/t (3.68 oz/tonne)) within,

• 4 meters of 1.35 g/t gold, 2955 g/t silver, 0.27% copper, 0.36% lead, 1.08%

zinc (or a gold equivalent* value of 67.78 g/t (2.18 oz/tonne))

Hole 7087 (-45deg)

• 6 meters of 0.73 g/t gold, 1202 g/t silver, 0.84% copper, 0.70% lead, 1.22%

zinc (or a gold equivalent* value of 31.92 g/t (1.03 oz/tonne))

I remember a piece in the Economist 'How To Buy Gold' (and why) not long befoe the MAy 2006 correction

GORO is now one of my biggest positions:

GOLD RESOURCE CORPORATION CLOSES $21.6 MILLION PRIVATE PLACEMENT (at $4.00)

FUNDING TO BUILD EL AGUILA PROJECT

DENVER – December 6, 2007 – Gold Resource Corporation (GRC) (OTCBB: GORO, FRANKFURT:

GIH) is pleased to report closing a $21.6 million private placement of 5.4 million shares of restricted

common stock at $4.00 per share, with no warrants. Funding will be used for construction of GRC’s El

Aguila Project in Oaxaca, Mexico. Gold Resource is targeting gold production at El Aguila the second

half of 2008, subject to obtaining remaining permits, regulatory approvals and equipment deliveries.

Gold Resource Corporation’s president, William W. Reid stated, “We are pleased with the success of this

important funding. We are now moving forward with equipment purchases to facilitate our schedule of

producing gold and silver in 2008. Once final permits are received, we will be in the position to

aggressively begin construction. We are prepared to undertake additional funding later if the need arises

with a focus on keeping shareholder dilution to a minimum.

We are pleased with the confidence shown in Gold Resource Corporation by all the funding participants,

several of which participated in Gold Resource’s IPO funding in September of 2006. We are also

pleased to welcome several new U.S. institutional shareholders. Many of our institutional participants are

resource focused and industry leaders in mine finance.”

At the El Aguila Project Gold Resource will build an 850 tonne/day mill that will have the ability to produce

gold and silver dore and flotation concentrates. The first full year of production is targeted to be 70,000

ounces of gold at a cash cost of approximately $100/ounce from the El Aguila shallow open pit mine.

The engineering firm of Lyntek, Inc. of Denver, who designed the El Aguila mill, has been contracted to

oversee building the mill facility.

The El Aguila Project is one of four high-grade properties in the state of Oaxaca, Mexico, in which Gold

Resource has 100% interest. High-grade ore from any of these properties can be trucked to the

proposed El Aguila mill and with the mill’s ability to produce either dore or concentrates provides for an

efficient and flexible operation.

“We are now one step closer to producing gold and generating cash flow which will solidify and

strengthen operations in Oaxaca. In addition, we are fortunate to have four high-grade properties that

could ultimately make use of the El Aguila mill. This will allow us to maximize the head-grade through the

mill and provides the opportunity to create a longer project life,” stated Mr. Reid

In an industry that continues to push itself to the limits of larger size, Gold Resource Corporation enjoys a

competitive niche to build shareholder value through high margin, low capital cost projects. The current

funding positions Gold Resource to emerge as a low cost gold producer in 2008.

Greatland are an AIM explorer in Tasmania. They interviewed on CWR (very well) a few months back. Can't remember ticker.

Ted Butler?

We are re-testing the 2006 lows.

I believe so. That chart is not up-to-date. It lags by a few months

Currently, with gold at £380 per ounce and the average UK house at £184,131, you can now buy that house for 485 ounces of gold.

The rise in prices we saw in 2006 was nothing more than a bear market rally.

That last chart does no include the recent move in gold as the data is a few months old.

By the way, for the prices in ounces we have for

UK/London/Scotland for this time period:

Average

275.28 426.37 233.40

High

695.50 1,077.67 507.41

Low

80.89 107.19 76.73

Source: http://www.ma.hw.ac.uk/~fischer/