In Beardmore-Geraldton, as you guys know because you have been chatting about it on and off today, Premier Gold just this morning announced that it is getting its hot little hands on Barrick's old Geraldton claims.

http://www.premiergoldmines.com/s/Ne...

In my view, we are seeing the Beardmore-Geraldton area play heat up significantly.

The news is really building out there.

KXL is getting ready to announce big discovery no. 2. My opinion, based on what I heard Brian Maher say in Toronto and on the very useful field trip notes I have read here.

It is the Maki Midas, which is gold in iron banded formations on the southwest edge of the KXL property. I am betting they are going to say the gold ore is high grade, starts at surface and is open to the east, for the first announcement. Then later they will go deep. that is the pattern at golden mile, which now includes quite a few more exposed veins than just Golden Mile.

Note regarding gold in banded iron: this is the nature of Goldcorp's Musselwhite mine.

Meanwhile and simultaneously, KXL has publicly stated that it believes its original discovery, the large and growing "Golden Mile," runs west into claims owned by Sage gold, and has encouraged Sage SGX to scrape and drill in this part of its Jacobus property (east side of jacobus, west side of KXL).

Now here comes Premier, which got started on Beardmore Geraldton less tha a year ago by earning into some Roxmark Claims. Premier is already liking what it is finding near Little Long Lac on Roxmark land, based on previous releases.

So here is what Ewan Downie admits now that he gets the Barrick deal done.

"This acquisition represents the culmination of a decade's worth of effort to secure what I consider to be one of the most prospective exploration/development projects in Canada," stated Ewan Downie, president of Premier. "The Geraldton district is perhaps the most underexplored of the major greenstone belts in Ontario and we intend to implement a major exploration program immediately."

Downie is a proven performer with a keen ability to get his hands on good claims. Just look at what he has done at Red Lake with Goldcorp as jv partner.

So this latest quote from him speaks volumes about not just Premier's efforts in the Beardmore-Geraldton district but also the other players and in particular Kodiak Exploration KXL.V

The funny part is, nobody is paying any attention because gold is going down. Ha! In my view the rise in the greenback and decline in gold are simultaneous, related and temporary.

Premier makes a cool announcement like this and the stock drops nearly five percent (down eight cents to 1.60).

It's painful to watch, since I own it. But holders of both KXL.V and Premier Gold PG.TO will be well rewarded for enduring the current malaise.

Both companies have the goods, and they both have a good amount of cash, so they can keep drilling and (at least for now) the stock market be damned.

Michael