Rubicon Climbs After Reporting 4 Million-Ounce Gold Estimate in Ontario

[General of Darkness]

http://www.bloomberg.com/news/2010-11-29/rubicon-climbs-after-reporting-4-million-ounce-gold-estimate-in-ontario.html

Related News:Canada .Rubicon Climbs After Reporting 4 Million-Ounce Gold Estimate in Ontario
By Christopher Donville - Nov 29, 2010 11:00 AM PT
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Business ExchangeBuzz up!DiggPrint Email .Rubicon Minerals Corp., a Canadian gold explorer, rose the most in more than three years after saying part of its Phoenix Gold Project in Ontario may contain 4 million ounces of the metal.

Rubicon climbed C$1.27, or 28 percent, to C$5.87 at 1:32 p.m. in Toronto Stock Exchange trading. The shares earlier rose 34 percent to C$6.18, the biggest intraday gain since April 2007 and the highest price since the Vancouver-based company’s stock started trading in November 1997.

Rubicon is exploring near Goldcorp Inc.’s Red Lake mine in Canada. The F2 Gold System within the Phoenix project has an estimated inferred resource of 4 million ounces of gold, Rubicon said today in a statement. The results indicate a grade of 20.1 grams (0.59 ounce) of gold per ton of rock, the company said.

“This is very material for Rubicon,” Barry Allan, a Toronto-based analyst at Mackie Research Capital Corp., said in a telephone interview. “Expectations on the street were far below the inferred resource that Rubicon has come up with.” Allan said he expected about 3 million ounces.

Mining companies make inferred estimates based on data from test work such as drilling.

“This is a very high grade compared to other projects around the world,” Rubicon Chief Executive Officer David Adamson said today in a telephone interview. “This is a company-making asset.”

Rubicon plans to release the results of a bulk sample of ore from the deposit before the end of the first quarter, Adamson said.

“The current 4.01 million ounce inferred gold resource may be only a small part of the overall gold potential of the F2 Gold System,” Adamson said in the statement, citing analysis by Geoex Ltd., which assessed the latest exploration results.

The company’s latest exploration results are from drilling up to July 31, the company said in the statement.

To contact the reporter on this story: Christopher Donville in Vancouver at cjdonville@bloomberg.net.

[Filthy Keynes]

Very nice! I'm sorry I didn't own it.

[G2Rad]

0.59 ounce per ton is not (quote_"very high grade compared to other projects around the world"_end_of_quote)

Tyhee has 3.45 oz/ton grade on average
Great basin has 26 mln oz total at 5.7 oz/ton av grade
Klondex got 4.3 oz/ton av grade
Queenston got 10 oz/ton av grade

Goldcorp's own average grade is 0.822 oz/ton

the 0.59 oz/ton is barely minable, depending on how deep the veins are

[bellevuebully]

0.59 ounce per ton is not (quote_"very high grade compared to other projects around the world"_end_of_quote)

Tyhee has 3.45 oz/ton grade on average
Great basin has 26 mln oz total at 5.7 oz/ton av grade
Klondex got 4.3 oz/ton av grade
Queenston got 10 oz/ton av grade

Goldcorp's own average grade is 0.822 oz/ton

the 0.59 oz/ton is barely minable, depending on how deep the veins are


20 gpt is nothing to sneeze at. That is a very profitable grade, even in cut and fill mining. Glad I own it. Was a nice surprise to see a 27% pop. ;D At approximately 1B$ to develop the mine, the additional 4.6b$ is a hefty chunk of revenue.

[G2Rad]

20 gpt is nothing to sneeze at. That is a very profitable grade, even in cut and fill mining. Glad I own it. Was a nice surprise to see a 27% pop. ;D


the kinds I own often 20% up in the morning and then 25% down in the evening ;D

[G2Rad]

here is a good example :-[

[G2Rad]

20 gpt is nothing to sneeze at. That is a very profitable grade, even in cut and fill mining. Glad I own it. Was a nice surprise to see a 27% pop. ;D At approximately 1B$ to develop the mine, the additional 4.6b$ is a hefty chunk of revenue.


bellevue, have you made a good money on gold stocks yet?

[Twisted Titan]

May NATIONALIZATION never come to harm your portfolios.

[bellevuebully]

20 gpt is nothing to sneeze at. That is a very profitable grade, even in cut and fill mining. Glad I own it. Was a nice surprise to see a 27% pop. ;D At approximately 1B$ to develop the mine, the additional 4.6b$ is a hefty chunk of revenue.


bellevue, have you made a good money on gold stocks yet?


I've averaged 30% for last 5 years with the exception of the year following the big blow up. I think that was just over flat. Some examples....

Wolfden (that was an early play) bought at 1$, sold at $4
Agnico b at 14, s at low 70's
Premier b a 1 , s over 4
Pan American b at 8 s at 38
ECU b a.77 holding at 1.11
UUU can't remeber, but it was a bagger
and of course Rubicon, which I originally bought at 1 s at 3.5 and then bought back in at 3.5 and am still holding.

4 and 5 baggers help with the yield. ;D

I was clear of the market this year up until late summer, and I'm up around 50% ytd. My strategy this year was to buy companies that were just breaking over from exploration to production, or are just about to. I'm relatively young, so I don't mind some calculated risk, I can absorb ups and downs, both monetarily and mentally. I got used to volotility in the silver futures market in the early part of the decade. I started out with a mini, then two, then three, and by the time I got out for good, I was trading 3 comex contracts. When the time was right, thank God, I got out and took their silver too. ;D So after that training, when the big dump hit in 07/08, I was like: zzzzzzzzzzzzzzz snore! :D But if I were more retirement age right now, I'd be looking at majors....the dividend's will be constantly increased over the next 5-10 years imo. I have a pretty basic way of looking at mining equities because even pro's have trouble determining true value. I look at a few basic parameters:

-Pick a day of either really good or really poor performance on the underlying commodity and have a look at the volumes traded. This kind of tells me how many eyes are on the stock. Stocks tend to be somewhat of darlings, or duds. Good underlying fundies often get overriden by a stocks glitter....not that I disregard the fundies, but I like to know how much interest a stock has from the investing public.

-where are they operating. I generally don't invest in a country I can't pronounce

-Mngmt?? If I happen to know the name, it's a bonus. If I see someone respectable going in, another bonus. ie...sprott, mckewan (sp?),

-Price relative to high's and lows (not a stopper, but if it's lagging performance with no news or no news pending, then I might consider it a value play.

Pretty basic way of looking at it, but sometimes simple is better. People confuse themselves with their own brilliance.

My goal is to make a few million, and then really screw things up for the elite and go and drill wells in sub saharan africa. I think that would be great. 8)

[Filthy Keynes]

My Tagish Lake Gold (TLG) is up 70% since I bought it about two months ago. I bought at about 11.5 cents. And Silver Wheaton just keeps on ticking, that's up 70% for me too in about 6 months or so.

[G2Rad]

Pretty basic way of looking at it, but sometimes simple is better. People confuse themselves with their own brilliance.

I like your strategy

I developed a few home-made stock speculations principles.
being plain and strait is the only contrarian thing to do, while in a crowd of contrarians.
or
my human nature mistakenly believes that I can predict which way the stock will go.
The truth is, I can't. Awareness of that singular solid "truth" about vague & fuzzy future can help in a play against others

[bellevuebully]

My Tagish Lake Gold (TLG) is up 70% since I bought it about two months ago. I bought at about 11.5 cents. And Silver Wheaton just keeps on ticking, that's up 70% for me too in about 6 months or so.


Nice to hear. Wanna join me on the drilling rigs?!? ;D

[bellevuebully]

Pretty basic way of looking at it, but sometimes simple is better. People confuse themselves with their own brilliance.


my human nature mistakenly believes that I can predict which way the stock will go.
The truth is, I can't. Awareness of that singular solid "truth" about vague & fuzzy future can help in a play against others


Truth #1 in investing....when I buy, it goes down; when I sell, it goes up.....good thing I'm patient! ;D

[bellevuebully]

Rmx stayed bouyant quite nicely after a 33% increase. Nice to see. Strong hands.