BMR week in review
Currie Rose Resources (CUI, TSX-V)
Currie Rose was off a penny for the week, closing Friday at 16.5 cents and just slightly above its still-rising 200-day moving average…volume Friday of just over 1 million shares was the highest since February 23…Currie Rosecontinues to build an impressive base after its January drop to a low of 15 cents…the key technical event we’ll be looking for over the next two to four weeks with CUI is a reversal in the stock’s 50-day moving average (SMA) which has been in sharp decline since January and currently sits at 19.5 cents…the 40-day SMA has now flattened out…significant accumulation has been taking place in Currie Rose given the CMF indicator which has shown increased buying pressure since early February…while its Tanzanian properties are the market’s major focus, Currie Rose could benefit over the coming weeks and months from good exploration news from Trueclaim Exploration (TRM, TSX-V) which is currently conducting an 8,000 metre drill program at the Scadding Gold Property near Sudbury…Trueclaim, which released assay results March 4 including 15.78 metres grading 5.36 g/t Au near-surface, is in the process of earning a 51% interest in Scadding by carrying out a $2 million work commitment…Trueclaim can acquire a full 100% interest by completing a mine production plan, paying $2 million to Currie Rose, and givingCurrie Rose a 3% net smelter royalty…CUI announced a joint-venture deal January 25 with Australian-based Liontown Resources for Currie’s Jubilee Reef Gold Project in Tanzania…CUI’s focus is on the Sekenke and Mabale Hills Projects, so finding a partner for Jubilee Reef made sense…the deal commits Liontown to at least 5,000 metres of drilling at the property this year which will give Currie Rose a minimum of 23,000 metres of drilling at all of its properties in 2011…while Currie Rose has had its market cap shaved considerably, from a high of nearly $40 million to the current $14.4 million, what hasn’t changed is the quality of this company’s project portfolio which remains as high as it ever was in our view…Currie Rose has nearly $2 million in cash and is starting to gear up for a major drill program beginning later this spring in Tanzania…