The latest out of Nevada....
My apologies Shear and crowd for the heads-up/spam but gold mania is kicking in and I've found many opportunities over the past month like this. So here you go. V.CAT -Nevada
Here is what the newsletters are saying. With all options and warrants, there are less than 30 Million shs out = 9 million cdn mkt cap on todays .295 close.
Taken from the CAT board:
Staccato's Cortez Trend Drill Results Spark Buying Frenzy
By Jon A. Nones
19 Dec 2005
St. LOUIS (ResourceInvestor.com) -- After junior gold miner Staccato [TSXv:CAT] reported drill results at its 100%-owned property on the Cortez Trend, Nevada, the company’s share price soared 81.25% on TSX Venture to close at 29 cents - up 13 cents for the day. The results obviously turned a few investors’ heads, but could this be just the beginning?
In a company press release, Staccato reported the results of two drill holes at its South Eureka property, the most noteworthy being 80 feet of 7.35 g/t Au from depths of 380-460 feet. The same drill hole also showed three feet of 77.1 g/t from 193-196 feet. The second hole revealed 25 feet of 6.72 g/t Au at 425-450 feet.
According to the release, the geologic features seen in the holes are strikingly similar to those seen in high grade breccia-hosted ore bodies in both the Carlin and Cortez Trends. Further drilling is planned in the first half of 2006.
Here’s a quick look at the company and opinions from newsletter writers Brien Lundin and Lawrence Roulston.
South Eureka
Staccato’s 100% owned South Eureka property comprises an area of over 17,600 acres (27 square miles) and is one of the largest gold exploration target opportunities held by a junior in Nevada, according to the company.
The property is approximately 5 miles south of the town of Eureka and includes five contiguous claim blocs: Lookout Mountain, Hiero/Syracuse, Windfall Patents, South Ratto and Hoosac, as well as a separate bloc at New York Canyon.
Barrick’s [NYSE:ABX; TSX:ABX] Archimedes (Ruby Hill) mine is located approximately 4.5 miles north of the Staccato claim block and is expected to commence production during 2006. Historic production from the district is in excess of 2 million ounces, according to the release.
Previous drilling at the Lookout Mountain portion of the property has defined a near surface resource in lower plate carbonate rocks totaling 445,000 ounces, which remains open for expansion. The suite of Staccato’s properties includes 615,000 ounces of resources in situ.
Management
Rick Russell leads Staccato’s exploration and development activities as the company’s Exploration Manager. He is the former Director of Exploration for Gold Fields [NYSE:GFI].
Russell led the team that made the Twin Creeks discovery in Northeastern Nevada. Now owned by Newmont, the deposit is more than 20 million ounces.
Russell was also part of the team that discovered Mule Canyon (more than 1 million ounces) in the Northern Nevada Rift and drilled the first holes into Pipeline in the Cortez Trend.
Lundin’s Take
In the October 2005 edition of the Gold Newsletter, Brien Lundin said to buy Staccato Gold Resources “a 19-cent Nevada play, never before recommended.”
Lundin said Staccato has good land coverage on the Cortez, Carlin and Independence trends in Nevada, noting two of its five active projects have attracted joint venture interest from a major.
Placer Dome [NYSE:PDG; TSX:PDG] is now financing a drill program on the company’s Long Peak project at Cortez. Placer just wrapped up an initial four-hole campaign there, with assays due out in a few weeks.
Staccato also has a joint venture with Barrick Gold at its ICBM project one mile to the southwest.
These projects, including South Eureka, “should give the company a good enough shot at the next Cortez discovery, said Lundin. “If it hits, the company’s $6-million market cap should balloon significantly.”
Roulston’s Take
Lawrence Roulston first introduced Staccato in the July 2 issue of Resource Opportunities, noting a resource of roughly a half million ounces had been delineated on the Staccato property by previous operators.
“Those near surface ounces are somewhat interesting in their own right, but their real value is in their role as an indicator for what may lie at depth,” Roulston wrote.
Low-grade deposits at surface are sometimes an indicator for a richer deposit at depth, and this has been demonstrated at several gold occurrences in the Carlin Trend and the Cortez Trend, he added.
“Staccato’s share price has moved up considerably since the company was introduced here in July, but the market value is still remarkably low for a company with such a large and prospective property package,” Roulston said.
The value of the company should continue to advance as interest builds in the Cortez Trend and the Staccato builds greater recognition for its assets, he concluded.
Conclusion
Per Roulston’s forecast, it seems the Cortez Trend is gaining more interest as seen in today’s stock jump. Can Staccato go higher still? With drill results like this on the prolific Cortez Trend, the company is bound to attract some attention. But let’s not forget about Rob McEwen either.
With McEwen now the chairman and CEO of U.S. Gold [OTC:USGL], and owning stakes in Coral [OTC:CGREF], Nevada Pacific [TSXv:NPG], Tone Resources [TSXv:TNS] and White Knight [TSXv:WKR] - all exploring on or around the Nevada Cortex Trend - it stands to reason that Staccato [TSXv:CAT] might now be on the radar too.
Once more, we'll have to wait and see.