I have been looking at Continental Gold again as a comparison to us in terms of what we may expect of our sp in the future. I chose these guys because of their grades and other similarities.

They have high grade narrow veins and other mineralization.

As you can see from the above, they have at least 3 different events that formed gold. As with us, there is evidence of multiple type gold events. Their high grade gold veins are narrow and roughly the same size as ours, I saw this in their tech report and was unable to copy the part here.

Their grades are excellent and again comparible to ours, most likely if you averaged out their samples taken from adits of veins, they would be very close to our samples taken from underground workings. They have some amazing drill results that I hope we can compare with in the future or maybe outdo if we are lucky. For ex;

Continental Gold Drills 10.2 m @ 83.8 g/t Gold & 285 g/t Silver at Depth,

Continental Gold Drills 8.1 m @ 137.5 g/t Gold,

Continental Gold Drills 25.45 m @ 12.02 g/t Gold

Continental Gold drills 10.23m @ 44.76 g/t Au

Mind you, these are some highlight drill results above and that the lower ones I didn,t post but they are there. In the link below, if you look at Table 1, hole BUSY221, you can see where there are sections of the hole that do not contain gold values above 1 g/t. There may still be gold in these sections, but the company used a cutoff grade of 1 g/t and didn,t enter any values below that 1 g/t. You will see that there are long intercepts that record no gold, for ex;

a 200m gap between 200-400m

a 100m gap between 488-585m

a 130m gap between 665-793m

a 200m gap between 954-1159m

http://www.continentalgold.com/_resources/news/nr_2011_11_23.pdf

So, in comparison to us, if we have no economical disseminated gold in the anomaly, but have intercepts like Continentals high grade interception of veins, we are still in excellent shape. Economical dissemination in the anomaly would be a huge bonus if it were around 1 g/t, but what I am saying, we don,t really need it, we will most likely have enough with high grade vein intercepts. I am thinking, with an estimate of 2 million ounces in the main corridor of the Tesoro, and the larger New corridor containing around the same estimate, thats 4 million ounces. IF, the anomaly drill cores come back with excellent grade/intercepts, it would blow the above 4 million ounces out of the water. IF we don,t have excellent drill results and it still looks like we have 4 million ounces on the property, 4 milllion ounces x $100 per ounce insitu value = $400 million speculation possibility in the sp which should allow the sp to go to $3 at least. I am not adding the Vilcoro, Cueva Blanca or other new properties into this equation, there is a good chance by years end that some of these could add immense value to the sp.

I have noticed that continental has 10 rigs on their property and that they average 5000m per month. Thats only around 20m per day drilled per rig, quite low, IMO. What would add to this slow speed would be their terraine, its steep and verticle in places, unlike ours essentially flat. The rigs can be remobilized to different drill sites so much quicker comparred to the steep terraine. Below are two excerpts from CNL,s website;

The terrain in the Buriticá project area is rugged with elevations ranging from around 500m at the Cauca river valley to the east, to approximately 2,000m at the top of the ridges.

The size so far of CNL,s drill targets is pretty small in comparrison to the area our Titan targets take in and our anomaly alone is larger than what CNL is focusing on at their property. I think it should be safe to say that our areas would equate to multiples of their flagship deposit.

Here is a link to their historic share price, they have around the same number outstanding shares as us and are trading around $7.50. You may be able to compare their stock chart with our own around the $2 level, they were most likely around our stage in the game at roughly the same sp, they were able to retain that speculation and keep appreciating in sp as things seemed to be improving in what they may have in the ground.

http://investing.businessweek.com/research/stocks/charts/charts.asp?ticker=CNL:CN

One last thing, it appears that CNL does not want to sell their property or get taken out. They recently did a $60 some million financing to cash up their kitty as a safe guard, or at least this could be one of the reasons. With us, we do want to sell the property and that speculation may just propel our stock a little quicker ahead than theirs. The question is as always, how much does a major want to see before he makes a move on us?

IMO