Do yourselves a big favourGo to the efg board and read all the info that is appearing. That stock is going to fly. Here is one of the posts.
September 15, 2010
To Our Readers/Investors:
First Gold Exploration Inc. (OTCQX: FGEXF; TSXV: EFG) today reported among the highest-grade results achieved to date at its significant Lac Pivert/ Rose rare metals project in Quebec.
Representative results reported today include 20.05 meters of lithium at 1.31% grade; 180 ppm (g/t) tantalum; 2649 ppm (g/t) rubidium; 113 ppm (g/t) beryllium; 109 ppm (g/t) cesium; and 72 ppm (g/t) gallium.
The company also announced today that it has commenced trading on the US OTCQX market under the symbol FGEXF.
Just what do the above rare metals grades mean for the investor? To date, 126 holes have been drilled at Lac Pivert Rose and the project now extends over 600 meters by 700 meters by 119 meters depth while grade results have only been increasing with further lateral drilling. To provide our readers with some approximate comparative perspective, looking at these drilling results in the context of a gold project may shed some light on this question.
According to geologists and students of both types of projects, an informal back-of-the-envelope assessment shows that the gold equivalent resource of the Lac Pivert Rose project today is already approx. 2.65 million oz. of gold at an average grade of 6.5 grams/tonne. That’s assuming value for the lithium, tantalum and gallium only, it assumes no value for the rubidium, cesium or beryllium. An open pittable 2.5 mm oz. of gold grading 6.5 g/t can, on average, be worth approx. $500 million. Again, speaking informally, if such calculations were to be applied to First Gold exploration, EFG could be valued at approx. $7/share.
Of course, EFG has not yet delivered a NI 43-101-qualified resource estimate (although such an estimate is believed to be currently in the works) and a preliminary economic assessment study is still at least several months off. So the informal view of this project’s potential has to be taken with caution. But there’s enough data to hand now to indicate an eyeball assessment that EFG could be looked at as a potential seriously undervalued situation.
Today’s news release is attached.
Sincerely,
The Editors
NATURAL RESOURCE INVESTOR AND WORLD GOLD STOCK REPORT