Below we have some brief updates and 2010 scenarios for the stocks we have initiated coverage on here at www.BullMarketRun.com, with the exception of Gold Bullion Development Corporation (GBB, TSX-V) which we have reported on extensively separately this morning.
Seafield Resources (SFF, TSX-V)
Seafield has been frustrating at times but nonetheless a star performer for us, closing the year at 20 cents. We initiated coverage on Seafield last summer when it was sitting at just six cents. If you’re a trader, you may have profited considerably from the volatility of this stock and the several moves between about 13 cents and 20 cents over the past few months. We believe 2010 will be a very exciting year for Seafield but investors are anxiously awaiting news on the company’s Colombian property deals with privately-held Caribbean Copper and Gold Corporation. When that news comes, which we anticipate will be sometime this month, we’ll be in a better position to take a more detailed look at Seafield and examine just how far it could run. Some powerful forces are behind this stock and we do believe it will eventually break out to much higher levels.
Richfield Ventures (RVC, TSX-V)
Richfield closed 2009 on a strong note, closing at $1.32. Given our gold and CDNX forecasts, we are extremely bullish on Richfield which has a very significant gold discovery (low grade but high tonnage) in the interior of British Colombia. With the intersections they have reported, Richfield’s Blackwater Project could very conceivably contain several million ounces of gold. Richfield, which just completed a $7.5 million financing, will be commencing a 10,000 metre drill program at Blackwater in the near future and has a current market capitalization of only $40 million. This stock has a great looking chart with all its major moving averages in bullish alignment. Not everyone has caught on to this story yet. We regard the risk-reward ratio here extremely attractive. We initiated coverage on Richfield just recently at $1.20.
Kent Exploration (KEX, TSX-V)
We initiated coverage on Kent last fall at 16 cents and the stock very quickly had a nice run, reaching a high of 24 cents November 3. It closed 2009 at 18 cents, so we’re still ahead on this one. Kent has yet to release results from its Flagstaff Property drilling that concluded just over two months ago, so we’re not sure what to read into that. However, as we have emphasized in our coverage of Kent, this is much more than just a one trick pony. This company has some outstanding properties in New Zealand and Australia which are going to be explored extensively in the weeks and months ahead. Kent has a low market cap ($5 million) and a great deal of upside potential in our view. We believe 2010 will be a breakthrough year for this company, so investors should continue to hold or add to their positions on any weakness. Very strong support at the 100-day moving average of .145. We like this company a lot as well as the leadership of President and CEO Graeme O’Neill.
Colombian Gold Mines (CMJ, TSX-V)
We have done well with Colombian Gold Mines after initiating coverage at 60 cents in early December. This is a very tightly-held stock with a terrific portfolio of projects in Colombia, an area where it has been active for some time. It’s likely the company will begin drilling its Yarumalito Property this month. Colombian Gold Mines closed 2009 at 76 cents. We believe this stock will be a star performer in the months ahead.
