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

RE: RE: New Blood...

[Minefinder1]

Folks:

The Hochschild Group sent a message today which seems to be being ignored. First they think the market has topped for LSG - maybe as a result of pending news from Thunder or Timmins West (which everybody seems to forget about and which does not appear to be performing to expectations) or maybe it's just their overall market perspective.

Secondly there is not a larger buyer out there this block at these prices. You can be guaranteed one of the bankers has been employed for sometime to find a buyer for this block at market or at a premium and they were not out there. Don't hold your breath on a takeover as it was there to be had by moving this block and nobody bit.

Hochschild tipped this move to the market and to the other players in the space when they didn't participate in the last financing and they couldn't find a buyer other then the gold stock hungry institutional buyers. Counter agruement for those that want to make it is that the final piece of the puzzle was too large for Hochschild to swallow so they chose to move on.

The net has now been pulled out from under LSG and it's now perform or face the music and at this point the only performance that matters is production. TIme to put the building blocks away and start getting some gold out of the ground or this could head in the other direction. Keep your fingers crossed that Thunder Creek is as good as the initial results.Hopefully all the brass is in TImmins to witness the breakthrough into the heart of the high-grade at Thunder and not just hiding from the street in Toronto.

Long but a whole lot more nervous than I was 24 hours ago.