Claude Res Inc CLGRF

Gold crosses C$1000/ounce

[oddykog]

The combination of a weak loonie and strong demand for gold has driven up the gold price in Canadian terms by about 15% in the last week or so.  Claude Resources has used that opportunity to find a new low of 15 cents!!!  It seems to me not only are people panicking, they have forgotten how to do arithmetic.  Claude is going to make at least $100/ounce on about 15 000 ounces this quarter and that translates into $1.5 million profit.

An interesting article on the company was published on the seeking alpha blog the other day.  Worth reading.  Taken from the transcript of an analyst presentation at the Walls Street Transcripts.  But this company is certainly worth a lot more than the $23 million the market values them at today.  I suspect they have become so small that no institutions are involved anymore, which provides an excellent opportunity to build a position for the run that will come when they start announcing results from Madsen underground - end of Q1/09 apparently.