2012-11-21 20:49 ET - Market Summary by Stockwatch Dave McMillan's thinly traded Canada Gold Corp. (CI: $0.09) has hired a new president, Mr. McMillan's son, Chad. In September, Chad stepped down as president of his father's other company, Canada Strategic Metals Inc. (CJC: $0.105). That month he also introduced his new alter ego, DJ Mad Kapital, taking the DJ booth for two hours at Vancouver's Killjoy Cocktail Tavern for the launch party of his new IR company, NewRock Market Advisors. According to NewRock's website, DJ Mad Kapital, Mr. McMillan himself, is one of NewRock's projects. It also has Canada Gold and Canada Strategic, plus six mining-related websites, all created by the Mad Kapitalist. Young Mr. McMillan is used to being in several places at once. Luckily for Canada Gold investors, it seems he has dropped two, his Groupon-like website, Allstores, and Battle Bank, the videogame he was supposedly creating with VantageWire's Kyle Johnston.
At Canada Gold, Mr. McMillan Jr. hopes to quickly get down to business. He says the company has about 200,000 hectares of prospective gold and copper land in Tanzania. First, however, he will need to raise money; at June 30, the company had only $12,000 in working capital. It tried to close a $2.25-million financing twice this year: at 15 cents in April and then at a reduced 12 cents in May, but the stock dipped under 10 cents. Father Dave McMillan has moved up to chairman. He has been with the company since 2003, when he took over what was then called International Coromandel Resources Ltd. from president William McConnachie. Mr. McMillan has since changed the company's name thrice and rolled back the stock 1:3 twice, in 2007 and 2009. It has not traded over 55 cents since the McConnachie days. It hit an all-time high of $3.50 in 1996, when the company was drilling for gold at the Weepah property in Nevada.
Today, Weepah is a joint venture between Robert Giustra's Columbus Gold Corp. (CGT: $0.29) and Robert Baxter's Sniper Resources Ltd. (SIP: $0.055). Columbus optioned half of Weepah to Sniper in 2006. Now, Sniper is trying to raise $500,000 for more drilling. Columbus is more focused on finding gold at its Paul Isnard gold property in French Guiana, and is now talking about spining out its Nevada properties. Newsletter writer Jay Taylor has been a big supporter since last year, when he predicted Columbus would increase its 1.9 million inferred ounces of gold at Paul Isnard to four million in 2012. Time is running out, and the stock has run down from 85 cents. President Giustra is the broker cousin of the more-famous Frank.