Quotable Quotes

"....Jeff: Very good. A lot of investors that follow the Explorer's League want to know what Ron Netolitzky is going to do next.

Ron: Well, Ron's got a few projects that have been around almost as long as Brett – some of them maybe a little longer. The other project I'm now fully focused on and spending a lot more time with is Golden Band. It’s a different style of story, but it's a story where we think it should be in production this year. We have one last little piece left to do, which is complete a small portion of debt financing and I think that is going reasonably well. I anticipate having that closed shortly, and we've got all the permits in place. I've got the core people in place, we have contractors in place, and I think we will be in production on a small basis by the fourth quarter. It's a Northern Saskatchewan gold play that I've been working on for a long time.

Jeff: I know it's kind of small, but do you have any sense for the production numbers yet?

Ron: Yes. The initial production target is from just one small deposit, because I'm tired of getting diluted by raising money, so we're trying to get it into a cash flow position. We're basically planning to start off with about 45,000 ounces production per year. We're very comfortable with what we’ve already identified in the belt; we should be able to ramp that up to 70,000 ounces within a couple of years and maybe 100,000 ounces. I think we can support a long mine life at about 100,000 ounces with the resources we have – but we have a lot more work to do on some of these resources.

We're kind of going at it a little backwards, treating this belt like you used to treat traditional gold belts in the ‘30s. A lot of the deposits we have are narrow high-grade vein systems and they’re steeply dipping. It’s very hard to get 5 or 6 years reserve or resource ahead of you on any one of these deposits, but if you look at those kind of deposits in the Precambrian Shield a lot of them last up to 50 years plus – but they quite often don’t have more than 2 or 3 years of resources ahead of them. So that's the way we're starting it. We're saying "Okay, we're going to keep chasing this... we have numerous exploration targets in the belt and I want to explore them without any further dilution to the shareholders, because I'm a large one and I'm getting tired of being diluted!”

The other route and why I want to continue exploring in Saskatchewan on this belt is it's got a lot of gold in it. We have continually found more small deposits. Now if you look at statistics of some of these mineral deposit belts, it says that you’ve got a whole bunch of small deposits, and you’ve got less intermediate deposits, and then you have a few large deposits. Well, so far we've found all the small ones. On a normal statistical basis, there should be a bigger one around there somewhere, but we haven’t found it, and after working there since the late 70s, there's a possibility that hidden in that pile of small deposits there's going to be a big one that we just haven’t found yet.

I think what a lot of the big companies keep forgetting or keep missing is they always have a target of 2 or even 5 million ounce deposits. Well, sometimes you can recognize a deposit has that potential but a lot of the time you’ve got to go through a lot of smaller targets before one of them shows up to be that big, and you know that's the part where you depend on luck or the geologist's skills to find that."

source: http://news.goldseek.com/GoldSeek/1276195366.php

another source: http://jutiagroup.com/2010/06/11/anatomy-of-a-three-bagger-the-brett-resources-story/

In Case You Missed It

D.F.O. Decision on the Mallard Tailings Impoundment Area

http://www.ceaa.gc.ca/050/Viewer_e.cfm?CEAR_ID=42291

Sprott And Quest Capital Form Merchant Bank

http://www.reuters.com/article/idUSN1021494920100610

http://www.theglobeandmail.com/globe-investor/markets/streetwise/sprott-starts-lending/article1601126/

James West Interview

http://watch.bnn.ca/thursday/#clip311461

Weekly Log Scale Annotated Chart

The Weekly Log Scale Annotated Chart suggests that the inverted head and shoulders formation given a lot of attention in the recent past in my postings is actually quite correct. The Daily/Weekly/Monthly charts are all in agreement suggesting that target values for an inverted head and shoulders formation are pretty much a layup.

supersize: http://www.flickr.com/photos/11747277@N07/4692957857/sizes/l/

stockcharts.com

GDX vs. Gold

One chart that hasn't yet confirmed as it had in 2002, is the $GDX:$GOLD chart. Its been more than a few weeks' time waiting for the confirmation of the rise of gold mining stocks against gold. It will come, but for the moment gold miners can advance against gold quite substantially:

supersize: http://www.flickr.com/photos/11747277@N07/4692973125/sizes/l/

stockcharts.com

-F6