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November 10, 2010

BMR Morning Market Musings…

Gold has been volatile today…as of 8:50 am Pacific, the yellow metal is up $2 an ounce at $1,395 after dropping as low as $1,382…it was above $1,400 overnight…Silver is up 37 cents to $27.32 while the U.S. Dollar is firmer, up one-quarter of a point to 77.79…it faces resistance around 78 on the Index…the CDNX, which went into a sharp mid-day reversal yesterday, fell as low as 1982 this morning but is now strengthening which is a positive sign in light of Gold’s action…the CDNX is currently off 10 points at 1995… it nearly touched its 10-day moving average this morning where it has consistently found very strong support throughout its surge over the past few months…Gold Bullion Development (GBB, TSX-V) got as high as 64 cents this morning but has pulled back to support with softness in the markets…GBB is currently at 61 cents, off 1 penny…the case for the potential of the LONG Bars Zone Eastern Extension was strengthened considerably yesterday with the news on Hole #55, collared 88 metres northwest of Phase 1 Discovery Hole #17…the discovery of significant mineralization elsewhere in the Eastern Extension  is what we’re expecting based on historical information and the visuals GBB provided on numerous holes during Phase 2 drilling…Adventure Gold (AGE, TSX-V) came out with news from its Granada property package this morning which we’ll examine in more detail later today, but at first glance AGE’s information further builds the case for new extensions to the LONG Bars Zone…AGE is ahead half a penny at 43 cents…Currie Rose Resources (CUI, TSX-V) is off half a penny to 22 cents…any weakness at this point in CUI should be viewed as an early Christmas gift as drilling continues at Sisu River…CUI is determined to get very aggressive in exploring its large and highly prospective land package in northwest Tanzania, and initial drill results from Sisu River can’t be too far off…Excel Gold Mining (EGM, TSX-V) held its AGM yesterday and has named Frank Basa as its new President…this is what we were hoping for and that decision puts EGM on the right path moving forward…its Montauban Mining Camp Project is first-rate and if anyone can unlock the value of it and make this company fly, it’s Basa…Excel is quiet this morning at 14.5 cents, down half a penny…drilling starts at Montauban next week…

5 Comments

  1. F. Basa has been elected CEO of EGM.V,
    Why ? Isn’t he busy enough with GBB ? Maybe there is nothing in Granada.

    As a shareholder of GBB, I don’t like to see my CEO spends his time on another company.

    YP.

    Comment by YP — November 10, 2010 @ 9:27 am

  2. Thank you for your comment – we welcome all comments here at BMR. My personal opinion is that Basa is quite capable of walking and chewing gum at the same time. He is a strategic thinker. He never would have taken on EGM if he thought for one minute it would hurt GBB. As far as your comment about “maybe there is nothing at Granada”, I’ll give you the benefit of the doubt and assume that you are only kidding.

    Comment by Jon - BMR — November 10, 2010 @ 9:52 am

  3. Hi Jon, I am wondering why did GBB go up after the NR yesterday, and then came back down to where it had started the day, frankly, it didnt feel right. Do you think there is something that market is missing about this stock or its poor management practices by this company that may have caused GBB not to be where it deserves to be today?

    Comment by automobile — November 10, 2010 @ 10:47 am

  4. The movement yesterday was in part to do the market reversal – unfortunate timing, I suppose, in terms of the news.

    The market is waiting for more results and we’re confident Granada will continue to deliver.

    I’m not an apologist for GBB or any company we cover, but your comment regarding “poor management practices” is utterly ridiculous. A company that takes its market capitalization from $6 million to $90 million (where it is now) in just under a year is not a company with “poor management practices” – give your head a shake. Those who continue to be patient with GBB will be handsomely rewarded from here, I am sure.

    Comment by Jon - BMR — November 10, 2010 @ 11:33 am

  5. True Claim Exploration looks like it wants to break out.

    Comment by Alden Tyrell — November 10, 2010 @ 11:42 am

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