RE: In The News
Cannaccord has picked up on RBC's comments and added its own analysis. Looks like yesterday' s SP jump is
related. Hopefully the start of a new price trend.
North Country Gold* (NCG : TSX-V : $1.00), Net Change: 0.11, % Change: 12.36%, Volume: 443,693
Positive momentum building. On Tuesday, an analyst at Bay Street's largest brokerage highlighted North Country Gold, and
three others, as his "best bets" in the junior gold space to be M&A targets. The analyst stated, “Our current favourites look to be
weighted towards earlier-staged explorers with high grade components to their deposits.” He evaluates each company on its
grade, size of deposit and geopolitical risk, as well as adjusted market capitalization per total resource ounce. Last week,
NCG reported further results from its regional Committee Bay Greenstone Project exploration program in Nunavut (outside of
the main Three Bluffs resource zone), identifying new areas with anomalous gold samples, and upgrading three existing gold
targets (Naqsaq, Maro and Prospector) with further rock samples consistent with previous grades defining larger prospective
target areas coincident with positive geophysical anomalies. Then on Friday last week, a (different than above) Bay Street
analyst put a out a report on NCG, stating, "The company currently trades at $89 EV/oz based on the current resource, or $51
EV/oz based on our minimum resource expectation in early 2012. The adjusted mean EV/oz for gold exploration and
development companies that we track is currently $76. In our view, North Country should be trading at a significant premium to
the mean due to the exceptional exploration potential of the entire 300-kilometre Committee Bay belt, the superior grade (6 g/t)
for an open pit project, low sovereign risk in Nunavut and strong, capable management." The Bay Street analyst also noted that
he expects a resource update early in Q1/12 that should take the current global resource of 752,600 oz to 1.3-1.5 million oz. at a
similar (high) grade.