Saturday, June 10, 2006

That's a Big Lump of Gold

The book in the image above shows a picture of a gold specimen on the cover of the publication "Gold Deposits of Manitoba" (1996) from Manitoba Energy and Mines.
This very large, high grade gold sample came from the San Antonio Mine, now the Rice Lake Gold Mine, in Bissett Manitoba. The Lump of gold is 24 cm x 20 cm x 5 cm in size and contains an estimated 5.41 kilograms of gold. That works out to be close to 174 troy ounces of native gold in the one chunk. Can you imagine how the miners felt when they found that!

The Bissett gold specimen is now part of the collection at the National Museum of Natural Science, Ottawa. If you visit Ottawa and get a chance to visit check it out.

"If anyone reading this has information on the history of when the "Bisset Nugget" was found and by whom etc. please leave a comment or contact me. I haven't yet found out the entire story behind it and would like to write a post or two on the history."

The Rice Lake Gold Mine and the New San Gold #1 mine are both owned and operated by San Gold Corporation headquatered in Bissett Manitoba. While visiting the town recently I saw diamond drills turning and workers busy expanding the known gold resources at Bisset. Ore is also being mined at both mines and the mill is busy processing and refining the yellow.

San Gold also has several other gold deposits and drill targets in advanced stages of exploration along with plenty of additional property within the Rice Lake Gold Belt. It wouldn't suprise me if some more exceptional high grade specimens are found in the future.

Exciting things are happening at San Gold Corp and the town of Bisset is experiencing renewed ecomonic benefit as a result. For more information on San Gold Corp visit their website.

Thursday, May 18, 2006

Staking property for Gold

April 10 2006 saw filed recording's on two new properties that were staked in the Rice Lake Gold belt of Manitoba Canada, one claim of 96 hectares named Liam and an adjoining claim named Liam2 of 48 hectares.

As a result of prospecting activities prior to and after staking we discovered old prospect trenches and other workings. One trench made on the quartz veins within altered rocks in a shear zone is pictured below.

Early sampling resulted in an assay return of 14.68 g/t Gold from a sample chipped from surface to approximately 3 feet down on the left side of the trench shown in the image above. This sample was taken where the vein material meets the altered host rock.

the owner is happy with this result and motivated to conduct a more detailed sampling program that will include channel sampling and surface sampling organized by a grid.

Tuesday, May 09, 2006

Gold passed the $700 mark

U.S. benchmark gold futures closed on Tuesday at a 25-year high, above $700 an ounce, driven by relentless investor buying on geopolitical tensions and traders' expectations of further price gains ahead.

Market talk that economists urged China to quadruple its gold reserves to 2,500 tonnes from the current 600 tonnes because its foreign exchange reserves had become the world's largest also stoked the gold rally, dealers said.

A jump in spot gold, record-high platinum and soaring copper and aluminum prices amid a boom in precious and industrial metals contributed to the 3.2 percent rise as well.

"I think that platinum helped gold more than anything else," said a gold trader at a precious metals refiner in New York. "But that China story certainly helps."

June delivery gold on the New York Mercantile Exchange's COMEX division settled at $701.50 an ounce, up $21.60 on the day.

NEW YORK (Reuters)

Investors and gold mining companies are certainly enjoying the day.

Monday, May 08, 2006

Gold Prices May 8 2006

May 8

Gold for immediate delivery fell $4.30, or 0.6 percent, to $679.50 an ounce at 4:48 p.m. London time after touching $671. Prices earlier reached $686.60, the highest since October 1980.

Gold futures for June delivery dropped $3.10, or 0.5 percent, to $681.20 an ounce on the Comex division of the New York Mercantile Exchange.

The market was supported by a weak dollar in early dealings and by active buying by Japanese investors returning after a holiday, traders said.

But prices fell back on news that Iranian President Mahmoud Ahmadinejad sent a letter to President George W. Bush, suggesting ways to ease tension over Iran's atomic program.

Gold has gained 32 percent this year due to tension in the Middle East, firm oil prices and a volatile dollar. The price has doubled in three years.

NineMSN Investor News Link

Friday, May 05, 2006

Canadian dollar trend remains up

Here is an excellent article by by Mike Jubinville of Pro Farmer Canada.

A true milestone was surpassed for the Canadian dollar this week, which rose above the 90 cents US level for the first time since June 1978, up an astounding 45 per cent from the 62 cents US low established in 2002.

Obviously such a move impacts all facets of the Canadian economy and the export-oriented farm commodity sector surely has felt the weight as well. I'm sure we would be looking at $5+/bu wheat with only a 50 per cent retracing of this currency move.

The latest boost to the loonie came after Statistics Canada reported the economy grew by 0.2 per cent in February, matching January's growth. The dollar has also been rising on expectations that the Bank of Canada may continue raising interest rates.

On April 25, the central bank boosted its key overnight rate by a quarter of a percentage point to four per cent, and warned more hikes may be necessary to keep the economy moving and inflation under control. Two days later, in its quarterly monetary policy report, the bank reiterated that message, saying the economy is operating at, or even above, its full capacity.

While the Bank of Canada has been signalling more possible hikes in interest rates, Ben Bernanke, the U.S. Federal Reserve's chairman, signalled a week ago that the Fed may take a short pause after pushing up rates one more time.

I'm asked somewhat regularly what my opinion is regarding the future direction of the Canadian dollar relative to the U.S. greenback. My somewhat generic response is...”I don't think I, nor anyone else, is smart enough to chart an accurate predictive course for the dollar as there are just too many variables involved, both economic and political”.

The combination of global economic strength, domestic strength and rising commodity prices puts the Canadian dollar in a relative sweet spot and solid growth in the Canadian economy has occurred.

But I will say this: for the past two years, I have been saying that the loonie seems destined to work itself towards 90 cents US, and we are there now. What happens next is hard to say. But certainly the debate carries on endlessly.

However as it relates to the currency markets, when a trend becomes established, it tends to move in multi-year cycles. And while I am reluctant to pick and choose targets for the loonie, the chart of the Canadian dollar clearly points to a move which remains inexorably higher. The “Trend is our Friend” trader's axiom is at work here, and until the chart tells us different, the Canadian dollar remains a bull.

Mike Jubinville of Pro Farmer Canada offers information on commodity markets and marketing strategies. Call 204-654-4290 or visit His website find out more about his services.

Thursday, May 04, 2006

Concern for Mining Investments in Peru

Source Article:

Business News Americas Thursday, May 4, 2006


Newmont: Elections threaten investments of up to US$2bn - Peru
Published: Wednesday, May 3, 2006 16:56 (GMT -0400)

Five years of planned investments worth up to US$2bn at Peru's Yanacocha gold mine could be threatened if the country's legal and fiscal stability is not maintained, Pierre Lassonde, president of US miner Newmont said.

Full Story


Nationalization like what happened in Bolivia, Ecuador and Venezuela is every forgein investors nightmare. I think that I'll stick to North America.

Hey, Canada's newest gold mine is right here in Manitoba, San Gold Corporation at Bissett (SGR: TSX-V).

Tuesday, May 02, 2006

Gold Investments A Few Helpful Tips

This article contains useful information about why and how to buy gold investments. It was first published 2005-12-05 By Jamie Clark

Throughout history, gold has been a highly valued substance.

It's unique properties and relative scarcity caused almost every world culture to use it as a form of money, as well as a way to "store" value. Although it has lost much of its importance as a form of currency, gold investments still provide a great way to protect your money and diversify a portfolio.

Over the past few years, gold prices have been steadily rising. There is a very good chance this trend will continue over the long-term, making it a good idea to put some money into gold investments now. Also, buying gold is a great way to hedge against other investments. Due to uncertainty in the stock market and the value of the US dollar, it's a good idea to put 10-20% of your money into a hedge fund in order to protect yourself. Gold and silver have always been considered to be among the best forms of hedge investments because they have relatively stable values (due to very small changes in supply).

How to Invest in Gold

Before you buy gold, it's a good idea to get the help of an investment consultant. This is especially true if you've never invested in gold before. He or she can help you determine the best moves to make based on your own personal financial goals and risk tolerance. If you already have a personal financial adviser, tell him or her that you'd like to use gold to hedge your portfolio. If he or she doesn't have much experience dealing in gold investments you may want to find someone who does.

If you're interested in profiting from the price movements of gold, buying gold bullion coins are an excellent option. The best choices are the American Eagle, the Canadian Maple Leaf, the Britannia, and the Australian Nugget coins. You can buy gold bullion coins from precious metal and coin dealers, both offline and online.

Before making a gold bullion purchase, always shop around for the best prices, as the markup on coins will vary from dealer to dealer. Also, do everything possible to make sure the dealer you're buying from has been in business for awhile and has a good reputation. If possible preserve your gold coins in the original mint packaging and protect them from scratches to maximize resale value.

Gold bars are another gold investment option you may want to look into. Smaller bars are usually more expensive (per ounce) than large bars but are often easier to sell. In general, bars carry a higher price premium than coins. As with gold bullion coins, only buy and trade with reputable dealers.

About the Author

Jamie Clark is a writer and researcher for For useful, up-to-date news and information about gold bullion investments be sure to visit the site.
Article Source

Monday, May 01, 2006

Gold Investing

Why Buy Gold?
For millennia gold has been used as money, a store of value and in jewelry. Modern industrial uses include dentistry and electronics. Gold forms the basis for a monetary standard used by the International Monetary Fund (IMF) and the Bank for International Settlements (BIS).

So why all the recent excitement about Gold?

To quote from the World Gold Council Website
Adding gold to an investment portfolio introduces an entirely different class of asset. Gold is unusual because it is both a commodity and a monetary asset. It is an 'effective diversifier' because its performance tends to move independently of other investments and key economic indicators.

"As a global currency, an investment and simply a thing of beauty, gold has held an allure for thousands of years. For the investor, that allure is largely to do with gold’s proven ability to preserve value over time and be a good diversifier within a portfolio."

Gold prices have been climbing and there are good indications that it will continue it's upward price trend.

Gold for June delivery climbed to a high of $663.80 an ounce on the New York Mercantile Exchange before closing up $5.70 at $660.20 an ounce, to mark the highest front-month futures level in more than 25 years, as steep declines in the U.S. dollar and concern about Iran's nuclear-research program fueled safe-haven buying and fed a broad-based metals rally. - MarketWatch, May 01, 2006 17:27

“The trend is up. I have a 50 percent probability that we will get to $800 next year and a 25-30 percent probability to take that up to $850,” Martin Murenbeeld told Reuters on the sidelines of the European Gold Forum, which ended on Thursday. - Daily Times Tuesday, May 02, 2006

A GOLD rush helped push the stock market higher yesterday, with the market winning back all the ground it lost in Friday's sell-off.

Aequs Securities institutional dealer Ric Klusman said the big mining companies made strong gains and gold stocks were the flavour of the day after the yellow metal shot to fresh 25-year highs.

"It's been a strong, strong day," he said. "The gold price in Asia is up and everybody has just been piling into the gold stocks." - Alex Wilson Herald Sun May 02, 2006

Manitoba Ranks Number One In Canada For Minerals Policies

According to the 2005 Fraser Institute survey, mining and exploration companies rank Manitoba first in Canada and third in the world for our minerals policies. - Fraser Institute survey Report Link in PDF Format

According to a January 05, 2006 press release from Manitoba Industry, Economic Development and Mines Minister Jim Rondeau, it is anticipated that Over $24 Million in mineral exploration in the province will supported with $1.4 Million from the Mineral Exploration Assistance Program (MEAP)from the department.

It is felt that much of this new exploration is being driven by High Commodity Prices For Gold and Nickel. The provinces announcement of $1.4 million in new investment assistance to the mineral exploration sector is testimony of the commitment to mining development

The MEAP program offers almost $2.5 million in assistance annually in the spring/summer and fall/winter to encourage and support Manitoba's mining industry. It provides assistance of up to 25 per cent of approved eligible expenses to a maximum of $300,000. There are higher levels of assistance, up to 35 per cent to a maximum of $400,000, to encourage exploration in under-explored frontier regions such as the Northern Superior, Far North and Hudson Bay Lowland regions, and areas that need new discoveries to sustain existing communities such as Lynn Lake/Leaf Rapids and Bissett. - MB Press Release Link and MEAP projects by region

Over the last 10 years, mineral exploration expenditures in Manitoba have averaged $31.8 million annually. This year's increased activity is expected to bump expenditures upwards of $52.7 million. Mining is the second largest primary resource sector and employs approximately 3,800 people directly and 11,000 indirectly through spinoff business, many of them in northern regions.

Increased exploration and mineral prospecting is both welcomed and encouraged by all stakeholders in the industry.

Anyone that has been following gold prices realizes that there is renewed world wide interest in gold and gold investments. Savvy investors are steadily increasing their holdings in precious metals and mining stocks.

All indications are that 2006 is going to be an active year for companies exploring for and producing precious metals and mineral commodities.