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Shining As Gold
Peaks: Grandview Gold Inc. (TSX:GVX)
By: Glenn Wilkins - AllPennyStocks.com News Reporter
March 5, 2008 (AllPennyStocks.com Media, Inc.) – It may not be
something out of a country song or a poem, but when it comes
to gold, the rush is certainly on, what with gold prices
skyrocketing in recent months.
This winter, the spotlight turns on another company staking
(excuse the pun) its reputation and its financial future on
the rich gold fields of Northern Ontario. Grandview Gold Inc.
(TSX:GVX) is busy drilling in the Red Lake Mining
District, hoping to follow up on successful strikes announced
last fall.
The Toronto-based company has made significant strides in Red Lake, in
particular, the Dixie Lake property, where three quartz veins of visible gold
were intersected in recent months, yielding rich gold assays of 22.9 g/T gold
over 2.86 metres. In mid-February, the Company also announced significant initial
high grade gold assays containing visible gold on the first of two holes drilled
at the Dixie Lake property including drill Holes DC-08-01R intersecting 26.66
g/T of Gold. Also last month, the company commenced a five-hole diamond drilling
program, following up on drilling done in September, which resulted in
high-grade gold intercepts in the new NS Zone.
Grandview has an option with Frontier Development Group to pick up a 64-per-cent
interest in Dixie Lake, which is located about 16 miles south of the Red Lake
Mine, arguably the richest, lowest-cost production gold mines in the world. Red
Lake has produced over the years more than 30 million ounces of the shiny yellow
metal, worth about $29 billion U.S. at today’s prices (over $980 U.S. in early
March).
Grandview Gold is a development stage junior mining company focused on the
creation of exceptional value for shareholders. The company purports to do so by
applying advanced geometry, geochemistry and geophysics to explore and develop
high-grade gold properties in low political risk environments in Canada and the
U.S.
Besides Red Lake, Grandview is also heavily invested in projects such as the
emerging Rice Lake Gold District of Manitoba and the Pony Creek/Elliott Dome
project in Nevada.
Outside the known mineral producing areas, the geological potential for gold
discovery on and along the Rice Lake greenstone belt in southeastern Manitoba is
considered high and consequently more and more juniors are attracted to the
area. A non-brokered private placement announced in early January of 538,000
flow-through shares at 65 cents Canadian per share, is aimed at raising nearly
$350,000 Canadian, to supplement Grandview's Canadian exploration program,
namely, Red Lake and Rice Lake.
The Carlin Trend in north central Nevada is the richest gold real estate in the
western hemisphere. The largest gold mining company in the world, Newmont
Mining, has its flagship operation on the Carlin Trend. Grandview's
28-square-mile Pony Creek/Elliott Dome property is being explored for both open
pit and underground mining potential over three primary target areas - Pony
Creek West, Red Rock and Pony Creek South, and several proximal areas. A
comprehensive drilling program is underway.
Like other smaller companies, GVX has thrown in its lot with major mining firms
to help acquire promising gold strikes, using what it calls a long-term
responsible approach to acquisitions and development. Grandview’s goal is to
maintain a well-financed portfolio while accruing no debt.
Other recent developments involve GVX’s partnership with G&O Drilling for a
2,500-metre program elsewhere in the Red Lake district. Last December,
preparations were announced to mobilize Grandview’s Canadian geologists to the
Sanshaw-Bonanza property, with a view to starting the drilling end of things in
January. Grandview, along with EMCO Corporation, acquired a 60-per-cent interest
in Sanshaw-Bonanza in the fall of 2006, an agreement that was extended through
August of this year. Grandview would incur $250,000 Canadian in resource
exploration and development costs.
Grandview Gold management and board of directors boast a wealth of geological
and boardroom experience to rival any other junior gold company in North
America. President and CEO Paul Sarjeant began his post-university career as a
project geologist with Echo Bay Mines in Canada’s Northwest Territories, British
Columbia and Ecuador. Before assuming the helm of Grandview in November 2006,
Sarjeant operated a successful securities business focused on strategic planning
and investment analysis.
CFO Ernest Cleave directed corporate planning and analysis, treasury, internal
control and regulatory compliance at Goldcorp Inc. from 2001 to 2005. Sophie
Tsementzis brings eight years of experience as a Executive Assistant in the
mining industry, most recently working for the Chairman and CEO of Goldcorp
Inc., from 1997 to 2005.
The company gives a sense it is on the cusp of something, with promising finds,
particularly in Red Lake. But with the general jitters on the stock market, the
stock price is in a bit of a gulch. Last fall saw peaks and valleys within a
matter of weeks of each other, chugging from a low of 27 cents Canadian to a
rolling high of $1.40. Early March saw the price at the 50-cent mark. But with
more investors seeking the haven of gold in a volatile world, and given its
discount price, bargain seekers may find Grandview grand, indeed.
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Although the majority of
AllPennyStocks.com reports are independent, it has received
compensation for carrying the report on Grandview Gold Inc.,
the compensation is ten thousand five hundred dollars by a
third-party, Connect Corporate Communications Inc. for its
efforts in presenting the GVX profile on its web site and
distributing it to its database of subscribers as well as
other services. This creates an inherent
conflict of interest and readers are encouraged to view the
main disclaimer at
/aps_ca/company_spotlights/archives/gvx.asp
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