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Rouyn-Noranda, Quebec, 11:30 am Eastern

Greetings again from Rouyn-Noranda (population 40,000) in northwestern Quebec where we’re beginning a week of special research around the prolific Cadillac Trend…this is the first of two visits we’re making to this part of the Abitibi Greenstone Belt early in the New Year with this initial visit being more research-oriented…75 kilometres to the west of us is Kirkland Lake, another famous area built on Gold…approximately the same distance to the east is Canada’s largest Gold deposit, Osisko’s (OSK, TSX) Canadian Malartic with over 10 million ounces…and of course five kilometres to the south of Rouyn-Noranda is Gold Bullion Development’s (GBB, TSX-V) Granada Gold Property which has been stirring up new excitement in the surrounding area…with Gold near all-time record highs and fresh discoveries being made, the exploration and mining boom we’re seeing in this region right now is not unlike the excitement nearly a century ago…in the 1920’s, the discovery of massive copper and Gold ore bodies triggered an incredible prospecting rush with a subsequent mining boom throughout the Abitibi region…between 1927 and 1950, 46 mines went into production along the Cadillac Trend (including Granada) and in the 1950’s, over 10,000 workers held mining-related jobs…it’s estimated the 200-odd mines that have gone into operation in northwestern Quebec since the mid-20’s have produced some 5.6 million tons of copper, 6.2 million tons of zinc, 1,860 tons of Gold and 5,500 tons of silver…the Cadillac Trend is one of the hottest addresses in the world right now for exploration and mining which is why we’re here…from an investment standpoint, there are still many potential home run opportunities and we’ll be reporting on some of them…Gold is soft again this morning for the third consecutive day…it has traded in a range of $1,364 to $1,381 so far today…as of 11:30 am Eastern, the yellow metal is off $6 an ounce at $1,373…Silver is down 18 cents at $29.08 while the U.S. Dollar Index is ahead over one-half a point at 80.79…some technical analysts have pointed out that Gold seems to have formed a bearish head and shoulders reversal pattern…that view however is not supported by our #1 leading indicator which is the CDNX…the Venture Exchange remains in a strong uptrend and while it has declined the first three trading days of the year, the drop has been very modest and not disproportionate to the move in Gold…the CDNX is currently off 26 points at 2236, just slightly below its rising 10-day moving average (SMA)…the 20-day SMA at 2190 provides very strong secondary support…the winning strategy with the CDNX in our view continues to be to embrace any weakness…the trend so far in January with the CDNX is opposite to that of the last three January’s which is probably a good sign…last year, the CDNX rose each of the first 6 days of the New Year and then experienced an 8% January correction…in 2009, the CDNX climbed the first three days before correcting 8% that month; and in 2008 the Index went higher the first two days of January before a short-lasting but nasty correction of nearly 20% set in…Gold Bullion is off 2 pennies at 80 cents…as long as the drills are turning at Granada, which they are, we’re happy…as many holes over as broad an area as possible should be the strategy for the LONG Bars Zone and that definitely appears to be the Basa and GENIVAR game plan…Granada is going to be all about volume…Cadillac Mining (CQX, TSX-V) is down 3.5 cents to 41 cents…CQX has been a star performer since we uncovered this gem early last month, climbing from the low 20’s to 50 cents…of course we’ll be covering CQX extensively in the coming days and weeks as there’s a lot happening with this company…we’re watching for news soon from Richmont Mines (RIC, TSX) which has been getting excellent results from its drill program at the Wasamac Property, 15 kilometres west of Rouyn-Noranda…Cadillac holds a 100% interest in strategic claims that adjoin Richmont’s Wasamac Property…what’s also interesting is that Cadillac holds most of the mining titles to the south (and some to the west) of Vantex’s (VAX, TSX-V) Galloway Project which is now getting a lot more interest after it was announced December 30 that Robert McEwen has accumulated a significant position in the company…Vantex is up 2 more cents this morning at 53 cents…it has more than doubled in value since December 29, just before the McEwen announcement was made…the fact McEwen has taken a position in Vantex is bullish in our view for all the players in the area including Cadillac which recently partnered with Visible Gold (VGD, TSX-V) to kick-start the exploration development of over 7,000 hectares it holds in the general area including a large block of claims immediately to the south of the Galloway Project…Currie Rose Resources (CUI, TSX-V) made a bullish intra-day reversal yesterday, dropping as low as 29 cents and closing at 32 cents…it’s unchanged this morning at 32 cents…a rising 50-day moving average at 31 cents is providing strong technical support for Currie Rose…Greencastle Resources (VGN, TSX-V) is off 3 pennies at 29.5 cents, just below its 50-day moving average at 30 cents, while GoldQuest (GQC, TSX-V) has dropped very slightly below its 50-day at 31.5 cents…Sidon International (SD, TSX-V) continues to look solid, up half a penny at 19.5 cents…

A view yesterday afternoon from across frozen Lake Osisko of part of Xstrata's very large Horne Copper Smelter, now treating more and more electronic recycling, with the convenience of an adjacent rail line. This is the same location as the original Horne Copper and Gold Mine that formed the foundation for Noranda Mines and built the twin towns of Rouyn and Noranda.