LAKE SHORE GOLD CORP 6.25 PCT DEBS T.LSG.DB

Hochschild Watch...

[digger144]

....and they come blazing back!

Hochschild was up 12% in todays trading in London on heavy volume and has just broken through its 52 week high.

Remember when....In the first week in May, 2010 it dropped to a low of 220 Pence due to the turmoil at the time, namely the top two executives being fired combined with other problems.

Today, it broke through 371 Pence...that is about $6.00 Canadian.

Now, how does this affect us?

First of all, it does not hurt that our major shareholder is being recognized in the market place and is in very good standing, production and financially speaking.

Something has been triggered and as always it is very difficult to understand exactly why.  It may have something to do with the fact that the market was very nervous about them doing another debt offering so quickly after their last offering in order to buy up shares of Lake Shore Gold and Gold Resources Corp. respectively...when it did not happen it has calmed down investors.

On the otherhand....perhaps someone is about to offer them a deal for their Lake Shore Shares which stand at about 131 million...perhaps there is going to be a business combination announced between Lake Shore and Hochschild which will put them in a whole new ball park.

It is important to keep in mind that as the share price of Hochschild moves upward, it becomes buying power and could prove to be of significance in the future.  Over the past three months, the stock price of Hochschild has moved up gradually and is now picking up steam....someone knows something and the rest of the market is beginning to pick up on it!

Should be interesting to watch and see where their stock ends up in the next couple of months.  If it breaks resistance in the next couple of weeks this could be a very significant turn of events and will reflect on what may or may not take place when it comes to our interests in LSG.

Love it!

Digger144