Fire River Gold Corp. continues to announce high grade assay results from the ongoing re-evaluation program from its 100% owned Nixon Fork Gold Mine Project in Alaska.
Spot Price Of Gold
There is a risk in thinking that everyone understands this headline. However, the fact of the matter is that gold is still misunderstood by most investors, especially in the United States. Much of that has to do with the fact that gold gets very little respect from US financial media because most “guests” on these shows don’t generate revenue from gold. Fund managers and brokers typically make their money by selling you stocks, bonds, mutual funds, etc. because they provide the seller with an easy way to make commission.
Gold and for that matter, real estate, don’t provide financial advisors with an easy way to make commission. Hence, when you hear advice about asset allocation in your investment portfolio, you always hear it in terms of stocks, bonds and cash. No gold, no real estate. You need to understand this if you are to truly understand why gold should be a part of your portfolio (we can talk about real estate another time).
Gold Is Now Being Silently Recognized As The World’s Reserve Currency
1-Year Gold Price Chart
What does this mean? The good people over at Technical Indicator Index summed it up as follows:
Gold hit a new all-time high Tuesday, both on an intraday and closing basis. Why? Gold is now silently being recognized as the world’s reserve currency. Fiat currencies are being printed at will with no accountability. This paper inflation is weakening the purchasing power of world currencies, and the risk of rendering them worthless is rising. Nations have elected to print and spend instead of stimulate economies through investment, tax reductions, and technological advances. Gold is now seen as a safehaven. Our conservative investment portfolio has a concentration in Gold, Mining Stocks, and Silver in anticipation of this fundamental expectation, and in response to technical analysis charts. We believe Gold is going much higher over the coming years.
Bottom line? Most world Governments are broke. Their broke at the Federal, State and Local levels. The response has been to print and borrow more money. You don’t need a fancy graph or chart to tell this is going to end badly. Rather, just imagine what your grandfather would say if he was sitting beside you right now. When you’re broke, you cut spending, stop borrowing and sell assets to pay down your debt. You make sacrifices and start all over again as best you can. As an individual or small business, this is what your lenders would force you to do.
Governments are no different except for the fact they can photocopy as much money as they need. That’s fine and dandy in the short-term – but how much confidence would you have in the long-term prospects of someone that kept handing you photocopied IOU’s?
If you understand this concept, then you now understand why investors are losing confidence in currencies and turning to gold.
Regards,
George
Legend announced significant milestones achieved and a project update for its Georgina Basin Phosphate Project in Queensland, Australia. The highlights of this announcement include:
As many of you know, we are very bullish on the long-term future of Chinese small cap and mid cap companies for two reasons:
1] The obvious reason – China is the fastest growing economy on the planet and nothing is going to slow down its ascent over the next 50 years and beyond. Investing in growth companies there just makes too much sense.
2] Great Results and Valuations – Many Small Cap Chinese Companies are listing in the US (OTCBB, NYSE Alternext and NASDAQ) with great financial results. Unlike many dubious US Small Cap Companies, Chinese Companies don’t seem to believe in losing money or failing to execute in a business plan. As such, 7-digit revenues and profits are very common.
From a valuation point of view, many Chinese companies became a victim of their own success in Q4 2008 and Q1 2009. Why? When the world needed to start liquidating, one of the first places they looked were China where most investors had significant gains to sell into. This resulted in the proverbial baby being thrown out with the bathwater and some great valuations.
TODAY’S FEATURED COMPANY
ReneSola is a leading global manufacturer of solar wafers. Capitalizing on economies of scale, low-cost production capabilities and technological innovations, ReneSola leverages its in-house virgin polysilicon and solar cell and module production capabilities to provide its customers with high-quality, cost-competitive solar wafer products and solar module OEM services. The Company possesses a global network of suppliers and customers that include some of the leading global manufacturers of solar cells and modules.
On May 10th, 2010, the Company announced its financial results for the first quarter ended March 31, 2010.
Check out the full details below!
First Quarter 2010 Financial and Operating Highlights
— Total solar product shipments in Q1 2010 were a record 242.4 megawatts (“MW”), an increase of 12.6% from 215.2 MW in Q4 2009.
— Q1 2010 net revenues were US$206.6 million, an increase of 14.8% from US$179.9 million in Q4 2009.
— Q1 2010 gross profit was US$35.3 million with a gross profit margin of 17.1%, compared to a gross margin of negative 0.6% in Q4 2009.
— Q1 2010 operating income was US$21.2 million with an operating margin of 10.3%, compared to an operating margin of negative 11.4% in Q4 2009.
— Q1 2010 net income was US$11.8 million, representing basic and diluted earnings per share of US$0.07, and basic and diluted earnings per
American depositary share (“ADS”) of US$0.14.
— The Company generated strong positive cash flow in Q1 2010 and reduced inventory carrying cost to US$54 per kilogram at the end of Q1 2010 with an average carrying cost of US$60 per kilogram during the quarter.
YOUR RESEARCH STARTING POINTS FOR CHINESE SMALL CAP AND MID CAP COMPANIES
We’ve provided investors with two great starting points to research great Chinese small cap and mid cap companies.
1. ChinaSecurities.com – ChinaSecurities.com tracks 250 of the best small cap and mid cap companies trading on North American exchanges. It provides you with the best of the best in two ways. First, the front page lists the best news of the day coming out of the space. It does so by giving you a text view of the best press releases by industry and via Chinese Stocks TV, a 5-minute broadcast every morning just after the open. Chinese Stocks TV is archived, so you can catch up on shows you missed.
Second, if you want to research each of the 250 companies to find candidates for your portfolio, it has a very intuitive directory that lets you quickly review each company on the master list, or parse it out by industry and exchange if you have a particular sector of interest. Cool stuff.
2. Right here on AGORACOM, you can refer to our China category for other featured Chinese Small-Cap Companies. As always, we will disclose any IR relationship with any public company. Given the sheer number of great Chinese Small-Cap Companies out there, you can expect us NOT to have an IR relationship with most of these companies.
Regards,
George
As many of you know, we are very bullish on the long-term future of Chinese small cap and mid cap companies for two reasons:
1] The obvious reason – China is the fastest growing economy on the planet and nothing is going to slow down its ascent over the next 50 years and beyond. Investing in growth companies there just makes too much sense.
2] Great Results and Valuations – Many Small Cap Chinese Companies are listing in the US (OTCBB, NYSE Alternext and NASDAQ) with great financial results. Unlike many dubious US Small Cap Companies, Chinese Companies don’t seem to believe in losing money or failing to execute in a business plan. As such, 7-digit revenues and profits are very common.
From a valuation point of view, many Chinese companies became a victim of their own success in Q4 2008 and Q1 2009. Why? When the world needed to start liquidating, one of the first places they looked were China where most investors had significant gains to sell into. This resulted in the proverbial baby being thrown out with the bathwater and some great valuations.
TODAY’S FEATURED COMPANY
China Natural Gas (Nasdaq:CHNG)
China Natural Gas transports and sells natural gas to vehicular fueling terminals, as well as commercial, industrial and residential customers through its distribution networks in China’sShaanxi and Henan Provinces.
On May 10th, 2010, the Company announced its financial results for the first quarter ended March 31, 2010.
Check out the full details below!
First Quarter 2010 Results
YOUR RESEARCH STARTING POINTS FOR CHINESE SMALL CAP AND MID CAP COMPANIES
We’ve provided investors with two great starting points to research great Chinese small cap and mid cap companies.
1. ChinaSecurities.com – ChinaSecurities.com tracks 250 of the best small cap and mid cap companies trading on North American exchanges. It provides you with the best of the best in two ways. First, the front page lists the best news of the day coming out of the space. It does so by giving you a text view of the best press releases by industry and via Chinese Stocks TV, a 5-minute broadcast every morning just after the open. Chinese Stocks TV is archived, so you can catch up on shows you missed.
Second, if you want to research each of the 250 companies to find candidates for your portfolio, it has a very intuitive directory that lets you quickly review each company on the master list, or parse it out by industry and exchange if you have a particular sector of interest. Cool stuff.
2. Right here on AGORACOM, you can refer to our China category for other featured Chinese Small-Cap Companies. As always, we will disclose any IR relationship with any public company. Given the sheer number of great Chinese Small-Cap Companies out there, you can expect us NOT to have an IR relationship with most of these companies.
Regards,
George
In the years 2007 to 2008, the former operator drilled 9400 metres in 110 holes, the results of which have never been previously disclosed to the public. This release is the second reporting of relogging and sampling of drill holes completed in 2007. An additional 83 drill holes from 2007 have assays pending or are pending QAQC evaluation and will be the subject of future releases.
Courtesy Of Blog.USA.Gov
If you are a small-cap company and still have doubts about the power of online investor relations, then you need to know that a survey of American adults conducted in late 2009 found that 82 percent of Internet users — or 61 percent of American adults — had looked up information or completed a transaction on a government Web site over the previous year.
5 REASONS WHY YOU HAVE TO HANG UP THE PHONE FOR GOOD AND CONNECT WITH INVESTORS ONLINE
If people have become so comfortable with the web that they are overwhelmingly connecting with important government services online, you have to assume they’re ready to connect online with your small-cap company for something as important as their investment portfolio. Why? Here are some good reasons:
AND LAST BUT NOT LEAST ….
The web accounted for 78.3% of all research into new small-cap investments in 2009.
I’ve got a bunch of other reasons that I will write about in the coming days but this post should suffice to get my point across. Get connected or you are doing your company a great disservice. If you are looking for more reasons, have a look at my 51 Small-Cap CEO Lessons before this one.
Regards,
George
Next time you want to bash a small-cap public company, make sure you stick to the facts. As Robert Butler just discovered, the penalty for posting defamatory / libellous statements could run you as high as $425,000 and a whole pile of legal costs.
GREAT NEWS FOR SMALL-CAP STOCKS
This is great news for small-cap companies. For too long, they have been the victim of unrelenting stock bashing via libellous statements. Shareholders of these companies also suffer from market cap erosion brought on by such attacks over a long period of time. I can’t tell you how many CEO’s of legitimate small-cap companies have been driven to distress over false and misleading internet board statements about themselves or their companies.
Unfortunately, most small-cap companies don’t have the financial or human resources to go after such people. It’s a long, expensive and distracting process that doesn’t assure any satisfaction even if successful because you may win against someone with little or no means to satisfy judgement. How many small-caps have the resources necessary to take on this kind of fight?
Hunter Dickinson does. As you can see, Farallon is a Hunter Dickinson company – and they have all the resources necessary for just such transgressions.
WHAT THIS MEANS FOR SMALL-CAP STOCKS
The Farallon press release sums it up best:
“This is amongst the highest awards of its kind in Canada and will hopefully restrain others from issuing unfounded defamatory statements against companies that are trying to legitimately create value for shareholders, stakeholders and mining communities around the world.”
Thanks HD. Small-cap investors and pubco’s owe you a world of thanks for injecting a big pause into unscrupulous message board posters that will think twice about attacking small-cap companies and their shareholders.
Regards,
George
Votorantim Metals Canada Inc. finalizes Option/Joint Venture Agreement with El Nino Ventures and Xstrata Zinc