The Daily Chart

I should really post the monthly chart at this point, since the close of the month occurs over the weekend, but the daily chart is showing the damage done by the recent dilution. The declining wedge formation is valid but is now far too aged to expect some sort of breakout on this technical. Not only was the stock prepared to break out of the declining wedge at 55¢ level weeks ago, the stock promptly declined 15¢ to bottom out @40¢, once the company decided to further massively dilute the stock.

This is what the market has been pricing in. Not only has dilution been a factor in suppressing the share price, but secretiveness has totally turned people off and has clearly contributed to a weak stock price along with the dilution of the stock. A deep reticence on the part of Netolitzky and co. that information should not be forthcoming to shareholders is the starvation of this stock.

Proof: The Governer-in-council met in parliamentary committee for the amendment to the MMER schedule 2 in early February, and the Mallard Tailings Impoundment came into force a week later, prior to publication in the Canada Gazette. This is publicly available information, which should have been released as news the day it occurred. This one small detail just happens to be key to development. Its now 4 months after the fact. The market was anticipating this event last February before the decline in the stock.

Conclusion: Netolitzky is attempting to run GBN.V as if it were a privately-owned company, but resorts to dilution whenever in need of money without releasing pertinent information, taking full advantage of the shareholders.

supersize: http://www.flickr.com/photos/11747277@N07/5672521792/sizes/l/in/photostream/

stockcharts.com

Gold Monthly Log Scale

There are many people in the gold mining industry who freak out every time the gold price rises, since they think its going to crash. Imagine somebody who, on a sunny day in spring, is worried that this is a sign of an impending snowstorm. This describes the mindset of Netolitzky.

The monthly chart shows the nascent development of an extended 3-wave.

supersize: http://www.flickr.com/photos/11747277@N07/5671985203/sizes/l/in/photostream/

stockcharts.com

Dow vs. Gold Ratio

As you can see, the dow/gold ratio is ~7X+. That means gold will rise from this point by approximately 2.7 times(~$4200/oz.), as the Dow declines by a factor of Dow/2.7 (~4800.), on the anticipation that the Dow/Gold ratio will decline towards ~1:1.

http://www.thumbcharts.com/1379/dow-to-gold-secular-market-cycles

Golden Band Resources Inc. Commissioning

On January 12, 2011, Golden Band Resources Inc’s 100% owned Jolu mill in northern Saskatchewan produced its first 15.9 kg gold bar by processing high-grade Bingo deposit ore body via the Knelson supplied gravity circuit of the mill. Golden Band Resources Inc. elected to install a Knelson KC-CD20 concentrator and an Acacia CS500 intensive leach reactor to efficiently recover gravity recoverable gold (GRG) from their ore.

The fully automated gravity circuit including PLC, MCC and wiring was custom designed and supplied to Golden Band Resources Inc. by Knelson to best meet the company’s needs and achieve its aggressive gold production targets for this project.

Knelson’s commissioning engineers were on-site to provide start-up assistance as well as classroom and hands-on training. The dedication shown by the site operators and company management to get the mill and the gravity circuit operational was truly inspirational and resulted in the first gold bar being produced in under 2 weeks. "It’s exciting to see that the gravity circuit produced approximately 500 troy ounces of gold within such a short period despite the challenges posed by commissioning a new circuit in extremely difficult weather conditions" said Ajay Sihota Knelson’s North American territory manager." The Jolu mill flowsheet is comprised of a Knelson-based gravity circuit and conventional carbon in pulp technology. The gravity concentration is achieved by treating a portion of the primary mill cyclone underflow stream via the Knelson concentrator. The Knelson tailings are returned to the mill discharge pump box, while the Knelson concentrate is further treated in the Consep Acacia CS500 intensive leach system to produce gold rich solution for direct electrowinning.