Kirkland Lake

The Kirkland Lake gold mining camp had several mines during the depression area and make for very interesting reading.

Notwithstanding these mines have been pressed into service once again, which had already been mined for decades. Kirkland Lake Gold consolidated the mines in the camp in the recent bold bull market and restarted operations. Its a good one to follow, because their fiscal year 2011 ended April this year.

You can compare the dilution, grades, market-darling status, including the age of the mines, including the dates that financial reports come out, and exactly what they are telling their shareholders.

Golden Band Resources starts at the surface and has all of the prospective ground locked up in La Ronge, yet it has no popularity whatsoever. Needless to say, excessive dilution of the shares in a panic in the event the gold price should fall has been a disastrous mistake.

The big advantage of gold mines in historic times was the fixed gold price, against which the U.S. dollar was devalued in 1934, making passable and questionable businesses into dividend paying stars. Its only a question of time now until a similar devalution occurs. Its the only way out of the financial crisis.

Financial Post, 1935

-F6