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Which will be worth more at end 2015?

9/25/10

Mercer Gold (MRGP.ob): We can confirm that....

another source of hot air

...the company lawyers have not yet made contact with IKN regarding the bullyboy threatened legal action of company CEO, Rahim Jivraj. Add 'chickshit' to the epithets applicable to the CEO and front man for the real crooks in the background of the company.

A room with a view (part 23) summer vacs edition

Reader TM was sailing the North Channel in Canada when taking this snap in August.

9/24/10

The Friday OT: Manu Chao; Rainin' In Paradize

Lots of travelling today, but now it's all over and just time to stick up a better late than never Friday OT. It's Manu Chao, it's Rainin' in Paradize, it's the song heard by these ears in a taxi earlier today, it's a kicking animation. We love Manu.



Click on the button and enjoy.

9/23/10

Mercer Gold (MRGP.ob): Scumbagging 101

Your humble scribe received a mail today from reader 'PG' who bought Mercer Gold (MRGP.ob) Monday morning on the back of that bullshit pump. The mailer admitted that he was kinda new to the market, but plays the penny juniors wanted to know how the people running the stock pump made their money (and, I suppose, how he has lost his without realizing). So this little chart which runs a very basic outline is for you, PG.


Now for sure there are a hundred variations on this scenario, with a lot depending on the previous set-up of the stock and its structure, but this gives you a template at least. But no matter how sophisticated the scam, it's a scam, it's run by crooked scumballs and will always end up with an owl  on IKN saying...

On The Road

Posting will be light for a couple of days, but we'll probably get round to noting a thing or two as destinations do have interwebnetpipes. All the same there are places to go, people to see, glasses to empty so Jack  pops up, takes over and gives you the rockin' quote:

“I realized that I had died and been reborn numberless times but just didn’t remember because the transitions from life to death and back are so ghostly easy, a magical action for naught, like falling asleep and waking up again a million times, the utter casualness and deep ignorance of it.”

Chart of the day is....

...the Peru IGBVL 'general' index, five year chart:

She's gone, next resistance 18k

9/22/10

An OTC short

We're really a long-tracking service over at The IKN Weekly, but there has been the odd occasion when we've outlined a clear shorting opportunity for subscribers on OTC stocks in the US markets because there are a handful of subbers who've asked for an idea or two in this sphere. So with that in mind this post is to headsup that there's a short idea coming up as part of the fare in IKN73 next weekend, basically because the "dot OB" company in question is such an impressively obvious scam and braindead clear short it's silly to ignore the opportunity.

But for those of you who don't want to subscribe and would still like to know the name of the company in question (involved in the mining scene in LatAm...apparently) it'll get a public airing here on the blog next Wednesday. And no, it's not Mercer Gold.

Democracy, Uribe style


Ex-Prez Alvaro Uribe of Colombia was always ragging on about how democratic he was throughout his doubletime presidency (no matter about the death squads, his own close family members involved with far-right wing terror brigades, the Macarena secret graveyard, his own connections to the infamous Pablo Escobar et cetera ad infinitum).

And it's true! He was democratic! We see today just how democratic Uribe really was when in charge. He didn't make any distinction between his enemies and democratically treated them as equals...by illegally wiretapping them all. Colombia Reports (we love that site) takes up the story:

Documents leaked to Caracol Radio reveal that Colombia's intelligence agency DAS spied on anyone suspected of opposing former President Alvaro Uribe, including government officials close to the then-president, the radio station claims.

The illegal wiretapping carried out by Colombia's state intelligence agency extended to CONTINUES HERE

It must be why The USA loves Uribe so. He could brazenly get away with things that Dubya, the CIA and The Hawaiian get wet dreams about doing.

A short word about feeds (in house post)

On checking back office stuff this morning your humble scribe was pleasantly surprised to note that site hits for the blog have risen quite significantly in the last week or so. To that end, IKN nerve centre would like to point to out to any new readers out there that it's not necessary to keep coming back to the site as there are a couple of useful ways to stay in touch with IKN happenings.

First, there's the e-mail digest. Click here to sign on to the e-mail service and once you confirm the subscription via your mail inbox you get the IKN posts of the previous day sent in one, easy to handle digest mail every morning. Every word written on IKN in any given day gets put in the mail for your morning enjoyment.

The other main option is the IKN RSS feed which is on this link. Click through and you get posts sent in close-to realtime throughout the day to your Google Reader or whatever other RSS reading device you prefer. The RSS also gives you the full post and not one of those abridged version that you have to annoying click on to read in full

Finally, there's the IKN Twitter link. You know how that one works, right?

And thanks due to you all for coming and coming back, nice people. It might not get mentioned too often but it's extremely gratifying at this end of the pipe to think that many people now make this humble corner of cyberspace a part of their day. Sincere thanks.

Antares Minerals (ANM.v): So what did CEO John Black say to you today regarding the current share price of his company, Otto?


"A long overdue adjustment", is what he said.

More of CEO Black's thoughts in The IKN Weekly, the publication that recommended Antares (ANM.v) as a buy at $1.42 in December 2009.

the dollar

interesting

The latest opinion poll for the Peru 2011 presidential election

Here it is:


So what makes this poll interesting? Well, firstly it's done by a decent polling company. Secondly, unlike most other opinion polls for the 2011 election it doens't base its results on Lima only (where current mayor Castañeda polls well), nor does it stick to urban areas around the country. This poll takes in Lima, provincial cities and the rural areas of Peru, gives a more accurate generalized view of country opinion at this early stage in affairs and the result is that Keiko Fujimori and Ollanta Humala fare better, mostly to the detriment of Castañeda. Meanwhile, the IKN tip for the job next year, ex-Prez Toledo gets another percentage point of support and move up to 16%.

This humble scribe is no big fan of Toledo, that needs to be made clear. However if it turns out to be a choice between him or any one of the others in the front rank, he's definitely the least worst. Data from here.

UPDATE: Pro-Toledo politico and blogger Juan Sheput has plenty more here. For the record, I have Sheput's blog on my RSS as he's one of the very few non-corrupt and straight speaking politicos in Peru.

Luis Arce Gómez, shining example of the South American dictatorships that were supported by the North

Luis Arce Gómez
So what do you call a member of the 20th century dictatorships, now in jail after evading justice for decades, who is now looking to swap details of the whereabouts of disappeared people for a reduced prison sentence? Scum of the earth? Top prize shit amongst prize shits? Ladies and gentlement of the northern industrialized countries, meet Luis Arce Gómez, a person you brought into and kept in power in Bolivia in the 1980's via your tax dollars and your governments. The report below a translation of this:

Potosí, 21 Sep (Erbol): The Ex-Minister of the Interior in the de facto government of Luis García Meza, Luis Arce Gómez, ratified on Tuesday that he is willing to reveal the whereabouts of the remains of people disappeared during the dictatorship in which he participated between 1980 and 1981 in exchange for a reduction in his sentence.

Arce reiterated his offer in a brief contact with reporters in the public attorneys office in La Paz, where had had been taken from the Chonchocoro prison to give a declaration as witness for the charges brought by ex-Congressman Bernardo Montenegro against ex-public attorney Jorge Gutiérres, who is supposed to have been an informer during the García Meza dictatorship.

"I'm going to negotiate (my possible early release from jail), if they want to know something (about the disappeared) I need to get something as well, nothing is free in this wprld and everybody benefits (from this type of information). I'm willing to speak on this and plenty of other things." CONTINUES HERE

Chart of the day is....

.....gold, hourly candles.
Because FOMC days are just so much fun, no?

9/21/10

Mercer Gold's (MRGP.ob) CEO, Rahim Jivraj, threatens IKN with legal action

Oh what fun! After yesterday's post on Mercer Gold (MRGP.ob) that pointed out how the stock was being pumped by a consortium of bucket houses to the naive, Rahim Jivraj, President and CEO of Mercer Gold, wrote in to IKN nerve centre, telling of his personal and professional offence at what was written, etc etc demanding a retraction of the note and threatening legal action. Now for obvious reasons I'm not going to directly paste up here his private mail to this author without permission, but what we can do without problems is offer my full reply to him, which went like this:
So how come you popped up on those scumbags' radar? Just unlucky, I guess.

Rahim, I was not born yesterday. You know the one about "if it walks like a duck?". You're the duck. So if you want to jump straight from point A to point 'legal action',  well I suggest you better just get on and do it. Your lazy threats are of no import to me and it'll be interesting to find out just how much of it is pure talk.

He then wrote back quickly and I can report he backtracked somewhat, saying that his his threat of legal action wasn't a threat at all (note to readers; it was and he's a lying scumball). To which this reply was sent that used one of his own phrases in his first mail (again this is my full reply):
Go "explore your legal resolution".

end.

But poor Rahim didn't seem to get the message, wrote back and reiterated his "oh let's be friends" message from his second mail. Here's my final mail to him in full;

Ok, I thought you'd understand what "end" meant in my last mail, but it must have slipped you by. So let's make it clear that I have no wish whatsoever to continue wasting my time with this mail exchange and consider it over. If you continue to mail me, your missives will be considered the nuisance variety.

So rather than agree anything on a friendly basis, I suggest you talk with your lawyer as you previously implied and get him to talk to me. Either that or choose a bodily orifice in which you can stick your lazy threats of legal action.

I have no wish to receive a reply to this mail.

Along the way, he also mentioned that he had no idea how MRGP.ob managed to get on the pumphouse radar of companies controlled by Blue Wave Advisors and pushed in such a concerted effort. This is strange, because if you start checking out the background of Rahim (photo here) you get to see that another company where he's been active for many years, Mainland Resources (MNLU.ob), has been pointed out as the typical Vancouver scam play and has also benefitted from being pumped by Blue Wave Advisors via its wholly owned Beacon Equity pumphouse (mentioned in yesterday's post), with paid-for reports and unrealistic buy recos placed on the stock that turned out to be the exact opposite from the company's sad and painful share price reality.

We also find out that behind Rahim Jivraj is, allegedly, the front man for an unsavoury band of stock promoters led up by "that notorious West Vancouver promoter Gordon Brent Pierce" who allegedly uses people like Rahim as his front for operations because Pierce himself has been banned from securities trading for 15 years due to convictions for serious securities offenses. These people are so tight that it turns out Pierce is alleged to be the mano negra behind Uranium International, the very company Mercer Gold folded into this year in order to get its OTC listing.

There's a lot of info on these scammers available on those links above and I urge you to check them out. Also check out this report that explains how Rahim allegedly uses his sister as a front for investment operations in these scam companies. And finally, it won't come as much surprise to IKN readers to find that Rahim gets to be fawned over and interviewed by that arch-pumper scumbag Thom Calandra.

So Rahim, this isn't the retraction post you were looking for, is it you freaking lowlife? I'd therefore suggest that you get on and sue my ass if you're man enough and if the people that control you allow it. Or if not, why don't you just

Disclosure: No position in Mercer Gold (MRGP.ob), not now, not in the past and not in the future either. IKN also says that it's best to avoid stocks like this. Don't go long, don't go short, just avoid them forever and find yourself a decent company to spend your time and efforts upon.

Mining PRs and the Ottotrans™, Part 26


Following on from Part 25 of our series last week that took a look at a NR from Metanor (MTO.v), this week The Ottotrans™ checks out the latest NR from....errrrr....Metanor (MTO.v).

This is what they said:

VAL D'OR, QUEBEC--(Marketwire - Sept. 21, 2010) - Resources Inc. "Metanor" (TSX VENTURE:MTO - News) is pleased to announce the results of a new resources calculation of the Barry Gold Deposit.
The Gold Resources above 0.5 g/t for the Barry deposit were re-evaluated by SGS Canada Inc. (SGS Geostat office)in compliance with NI 43-101 and are now estimated at:


--  309,500 oz Au of Indicated Resources (7,701,000 t at 1.25 g/t Au) 
    
--  471,950 oz Au of Inferred Resources (10,411,000 t at 1.41 g/t Au) 
    
These resources were calculated for the Main, West, 43 and 45 mineralized zones which are included in a wide north-east striking deformation corridor. This resource re-evaluation is incorporating all recent drill results performed by Metanor in 2008-2009 (245 ddh's totalling 29,075m) and allowed to extend the mineralized zones almost 1,3km in a southwest and northeast direction. The mineralized corridor is open laterally and at depth. This resource re-evaluation was performed with a 0.5 g/t Au Cut-off and using the inverse distance method. High values were cut to 35 g/t Au and a fixed density of 2.8 g/cm was used for this calculation. A major portion of the resources are at, or near surface and are considered open-pitable, thereby reducing operating costs significantly. A study also confirmed the non-acid generating nature of the host and mineralized rock at Barry (Bodycote Material Testing).
The Barry gold deposit is located in the Urban-Barry greenstone belt approximately 65 km southeast of the Bachelor Lake mine. Numerous forestry roads link Barry to the Bachelor mill (1,200 t/day), facilitatingmaterial transport. An induced polarization (IP) survey executed by Abitibi Geophysique of Val d'Or in 2009 localized strong anomalies similar to those associated the main zone approximately 1.5km to the southwest of the west extremity of the pit and approximately 2.2km to the northeast of the east extremity of the pit. Extensions of mineralized zones were intersected in diamond drill holes at a vertical depth of 450m and are still open at depth. IP anomalies also demonstrated the potential of extending gold bearing zones of the Barry deposit to a minimum distance of 8.5km and the potential of considerably increase the resources during future diamond drilling programs.
SGS-Geostat will submit a NI 43-101 Report on the Barry project within 45 days witch Metanor will file on SEDAR.
All the information mentioned in this document was prepared under the supervision of Mr. Andre Tremblay, P. Eng. and Qualified Person under National Instrument 43-101 and revised by Claude Duplessis Eng. QP for the resource estimates by SGS Canada Inc.
Shares issued: 133 595 947
TSX Venture Exchange does not accept any responsibility for the adequacy or the accuracy of the press release
And this it what it means:

Dear retail saps,
Were you expecting something a little different from us?
Haven't you learned by now just how many times we overpump the market and then disappoint when the facts arrive?
Bisous, Serge.
xxxxxxxxx

Denver Gold Show update

I was planning on doing a post on this later in the week, but as reader 'BA' has just left a link in the comments section of this post, maybe my judgement was off and it's better to disseminate now.
Find by clicking this link right here the day one presentations and info on companies at this year's Denver Gold Show. Lots of useful information and background on the companies you know and love, with up-to-date corporate presentations for your dee-lek-tay-shun.

For those of you that don't know, the Denver Gold Show is one of the biggest bunfests of the year in the precious metals scene and anybody that's somebody in the world of metals and mining is there......which is why they didn't invite your humble scribe. Mind you, even if invited I wouldn't have gone, as I like my nose the way it is; unbroken.

Thanks BA for the headsup and prompt. Meanwhile, for those of you reading this post at the Denver show, here's a fake plastic palm tree to remind you of the bar where you're currently spending eight hours of your incredibly difficult working day.

An inside trend question


So here's a question for y'all. Has anyone else...

Rainy River Resources Ltd. (RR)

As of September 20th, 2010
Filing Date Transaction Date Insider Name Ownership Type Securities Nature of transaction # or value acquired or disposed of Unit Price
Sep 20/10 Sep 15/10 Caridi, Elizabeth Direct Ownership Common Shares 10 - Disposition in the public market -1,000 $8.780
Sep 20/10 Sep 15/10 Caridi, Elizabeth Direct Ownership Common Shares 10 - Disposition in the public market -1,000 $8.740
Sep 20/10 Sep 15/10 Caridi, Elizabeth Direct Ownership Common Shares 51 - Exercise of options 2,000 $5.000
Sep 20/10 Sep 15/10 Caridi, Elizabeth Direct Ownership Stock Options 51 - Exercise of options -2,000 $5.000
Sep 13/10 Sep 09/10 Grinnell, James Gordon Direct Ownership Common Shares 10 - Disposition in the public market -13,700 $8.000
Sep 13/10 Sep 09/10 Grinnell, James Gordon Direct Ownership Common Shares 10 - Disposition in the public market -8,000 $8.010
Sep 13/10 Sep 09/10 Grinnell, James Gordon Direct Ownership Common Shares 10 - Disposition in the public market -3,300 $8.020

...noticed that recently...

ATAC Resources Ltd. (ATC)

As of September 20th, 2010
Filing Date Transaction Date Insider Name Ownership Type Securities Nature of transaction # or value acquired or disposed of Unit Price
Sep 20/10 Sep 20/10 Archer, Alan Richard Direct Ownership Common Shares 10 - Disposition in the public market -10,000  
Sep 20/10 Sep 13/10 Archer, Alan Richard Direct Ownership Common Shares 10 - Disposition in the public market -10,000  
Sep 14/10 Sep 07/10 Goss, Douglas Owen Direct Ownership Common Shares 51 - Exercise of options 50,000 $1.400
Sep 14/10 Sep 07/10 Goss, Douglas Owen Direct Ownership Options 51 - Exercise of options -50,000  
Sep 13/10 Sep 07/10 Archer, Alan Richard Direct Ownership Common Shares 10 - Disposition in the public market -50,000  
Sep 12/10 Sep 07/10 Wober, Helmut Hubert Direct Ownership Common Shares 10 - Disposition in the public market -5,000 $6.050
Sep 08/10 Sep 03/10 Wober, Helmut Hubert Direct Ownership Common Shares 10 - Disposition in the public market -2,300 $5.350
Sep 08/10 Sep 02/10 Wober, Helmut Hubert Direct Ownership Common Shares 10 - Disposition in the public market -2,700 $5.074
Sep 07/10 Sep 03/10 Talbot, Ian John Direct Ownership Common Shares 10 - Disposition in the public market -15,000  

...more than one manager or insider....

Fortuna Silver Mines Inc. (FVI)

As of September 20th, 2010
Filing Date Transaction Date Insider Name Ownership Type Securities Nature of transaction # or value acquired or disposed of Unit Price
Sep 17/10 Sep 17/10 Ganoza Aicardi, Jorge R. Direct Ownership Common Shares 10 - Disposition in the public market -50,000 $3.330
Sep 17/10 Sep 17/10 Ganoza Aicardi, Jorge R. Direct Ownership Common Shares 51 - Exercise of options 50,000 $2.290
Sep 17/10 Sep 17/10 Ganoza Aicardi, Jorge R. Direct Ownership Options 51 - Exercise of options -50,000  
Sep 17/10 Sep 17/10 Iverson, Michael Alexander Indirect Ownership Common Shares 10 - Disposition in the public market -3,000 $3.390
Sep 17/10 Sep 17/10 Iverson, Michael Alexander Direct Ownership Common Shares 10 - Disposition in the public market -2,000 $3.370
Sep 15/10 Sep 15/10 Iverson, Michael Alexander Direct Ownership Common Shares 10 - Disposition in the public market -2,600 $3.280
Sep 15/10 Sep 14/10 Iverson, Michael Alexander Indirect Ownership Common Shares 10 - Disposition in the public market -4,000 $3.220
Sep 15/10 Sep 14/10 Iverson, Michael Alexander Indirect Ownership Common Shares 10 - Disposition in the public market -2,000 $3.190
Sep 15/10 Sep 14/10 Iverson, Michael Alexander Indirect Ownership Common Shares 10 - Disposition in the public market -2,000 $3.170
Sep 15/10 Sep 14/10 Iverson, Michael Alexander Indirect Ownership Common Shares 10 - Disposition in the public market -2,000 $3.150

...in successful Canadian companies...

Amerigo Resources Ltd (ARG)

As of September 20th, 2010
Filing Date Transaction Date Insider Name Ownership Type Securities Nature of transaction # or value acquired or disposed of Unit Price
Sep 20/10 Sep 13/10 Beaty, Ross J. Indirect Ownership Common Shares 10 - Disposition in the public market -500,000 $0.850
Sep 20/10 Sep 17/10 Davidson, Aurora Direct Ownership Common Shares 51 - Exercise of options 250,000  
Sep 20/10 Sep 17/10 Davidson, Aurora Direct Ownership Options 51 - Exercise of options -250,000 $0.310
Sep 20/10 Sep 17/10 Dean, Steven G Direct Ownership Common Shares 51 - Exercise of options 350,000  
Sep 17/10 Sep 17/10 Dean, Steven G Direct Ownership Common Shares 10 - Disposition in the public market -6,000 $0.910
Sep 17/10 Sep 17/10 Dean, Steven G Direct Ownership Common Shares 10 - Disposition in the public market -344,000 $0.900

....has been looking to....

Sandspring Resources Ltd. (SSP)

As of September 20th, 2010
Filing Date Transaction Date Insider Name Ownership Type Securities Nature of transaction # or value acquired or disposed of Unit Price
Sep 20/10 Sep 16/10 Gryba, Charles M. Direct Ownership Common Shares 10 - Disposition in the public market -20,000 $2.300
Sep 17/10 Sep 15/10 Libra Advisors, LLC Direct Ownership Common Shares 10 - Disposition in the public market -83,300 $2.330
Sep 16/10 Sep 15/10 Libra Advisors, LLC Direct Ownership Common Shares 10 - Disposition in the public market -61,400 $2.259
Sep 14/10 Sep 10/10 Libra Advisors, LLC Direct Ownership Common Shares 10 - Disposition in the public market -43,000 $1.946
Sep 08/10 Sep 02/10 Libra Advisors, LLC Direct Ownership Common Shares 10 - Disposition in the public market -13,900 $1.620
Sep 02/10 Aug 31/10 Libra Advisors, LLC Direct Ownership Common Shares 10 - Disposition in the public market -55,700 $1.602
Sep 02/10 Aug 27/10 Libra Advisors, LLC Direct Ownership Common Shares 10 - Disposition in the public market -134,000 $1.581

....take some money ....

First Majestic Silver Corp. (FR)

As of September 20th, 2010
Filing Date Transaction Date Insider Name Ownership Type Securities Nature of transaction # or value acquired or disposed of Unit Price
Sep 20/10 Sep 20/10 McCallum, Robert A. Direct Ownership Common Shares 10 - Disposition in the public market -26,000 $6.050
Sep 17/10 Sep 15/10 Shaw, David Andrew Direct Ownership Common Shares 51 - Exercise of options 20,000 $2.030
Sep 17/10 Sep 15/10 Shaw, David Andrew Direct Ownership Common Shares 51 - Exercise of options 100,000 $1.560
Sep 17/10 Sep 15/10 Shaw, David Andrew Direct Ownership Options 51 - Exercise of options -20,000 $2.030
Sep 17/10 Sep 15/10 Shaw, David Andrew Direct Ownership Options 51 - Exercise of options -100,000 $1.560
Sep 09/10 Sep 07/10 Young, Robert John Direct Ownership Common Shares 10 - Disposition in the public market -200 $5.432
Sep 09/10 Sep 07/10 Young, Robert John Direct Ownership Common Shares 10 - Disposition in the public market -200 $5.422
Sep 09/10 Sep 07/10 Young, Robert John Direct Ownership Common Shares 10 - Disposition in the public market -4,900 $5.440
Sep 09/10 Sep 07/10 Young, Robert John Direct Ownership Common Shares 10 - Disposition in the public market -13,400 $5.420
Sep 09/10 Sep 07/10 Young, Robert John Direct Ownership Common Shares 10 - Disposition in the public market -18,800 $5.430

...off the table? 

And the above are just a sample, there are plenty more where they came from. Choose your own poison (and why not start over at pacific rubiales, where sales have been 'chunky'?).

None of these people or investment entities are selling out their whole bunch of shares and most of them just a sliver or two. I'm sure there's nothing underhand going on with these sales and each one has solid reasoning to back it up, but it does strike this humble scribe as indicative of where we are on a macro scale. DYODD and be careful out there, because when market shillers are screaming "TO DA MOON ALICE!!" at the same time as smart players cash out some, there may just be a message worth heeding hidden between the two facts.

Tim on gold mining disputes in El Salvador

As usual we get top class fare from Tim's El Salvador Blog today, as Tim presents the balanced view of mining vs environment matters in his country of focus. Here's how his post starts, I urge you to click through and get the full story as the better informed make better investment decisions.

Gold, lawyers and contaminated rivers
Two different headlines today are intricately related. On the CNN Money website, the headline was Gold Edges Up to a New Record, which told readers that for the first time in history, the price of gold on international markets closed at $1280 an ounce. In the Salvadoran newspaper DiarioCoLatino, the headline was San Sebastian: The Open Secret of Mining Pollution. This article describes the legacy of pollution in the San Sebastian river, which local residents and activists say stems from a gold mine there. The mine is owned by the US company the Commerce Group, based in Milwaukee, Wisconsin.

It is the record high prices of gold which have led North American gold mining companies like the Commerce Group and Canadian firm Pacific Rim to go to battle with the government of El Salvador. The Salvadoran government currently prohibits both firms from operating gold mining concessions. With gold at record high prices, the conflict between monetary profits and the fear of environmental degradation from mining is a sharp one. CONTINUES HERE

Chart of the day is...

...zinc, five year chart.

Did anyone else notice that US metals trading closed yesterday with Al, Zn and Pb all at 97.7c/lb? Anyway, trivia aside there's enough to like in this chart, methinks. Not getting wildpumped like copper, Zn has taken on board the mine re-starts and held its price range together nicely. Think Zinc, dudette. Think Zinc, dude.

9/20/10

Trading Post (we'll have time for coffee flavored kisses edition)


How many 52 week highs does it take to change a lightbulb, anyway? So many stories to choose from that it's an embarrassment of riches. Let's just do a couple of lines on stocks that are less in the limelight today.

Constitution Mining (CMIN.ob) down 8.0% at $0.368 and the reality check goes on. It will continue.

Dia Bras (DIB.v) up 18.6% at $0.255. O RLY?
x
Fortuna Silver (FVI.to) down a penny at $3.38 and taking a breather after last week's strong run. We hear the presentation in Denver today went down well.

East Asia Minerals (EAS.v) down 3.5% at $5.84 and not joining in the party. Volumes under 50k and very low for this ticker, too. The moving finger writes, and having writ moves on.

Safi Airways, the world's best in-flight magazine

IKN has some amazingly kind readers and one has just made your humble scribe's day (hopefully yours, too). Reader 'SB' just flew on Safi Airways, Afghanistan's airline of choice, and took some photos of pages from its in-flight magazine. Without further ado.....

(click to enlarge)

And here's a close-up of that paragraph, to make sure you're reading it right
(click to enlarge)

I've gotta stay at The Serena one of these days. No other place in Afghanistan will do.

Mercer Gold (MRGP.ob) gets the bullshit newsletter and e-mail pump

 Mercer Gold (MRGP.ob) five day chart: What rhymes with 'pump'?

So a couple of weeks ago we ran this post that noted our opinion of a Colombian gold play named Mercer Gold (MRGP.ob), a junior on the US OTC market. Then, by way of right to reply, we ran this post that included director and geologist Keith Laskowski's differing opinion on points raised by this humble author's position.

All fair enough and we admired (and still admire) Laskowski's wherewithall in replying, pushing back on the IKN post and also agreeing to allow his mail to be put in the public sphere. Here at IKN nerve centre we have no problem about that and no problem at all over the potential of the Guayabales deposit as explained by its director, but once again we're forced to raise a red flag on the stock as today it's getting its name screamed at the naive by bullshit boilerhouse pennystock pump houses in some sort of  paid-for in-cahoots concerted promo push.

This morning, A. Reader sent on two spam mailshots received from a company known as hotstocked. The first one was received last night and said this:
Greetings!
     We will be sending out a new lightning pick alert tomorrow morning on a gold mining company.  Last week's lightning pick jumped 20% the first day, and was almost 30% higher within 2 days of the alert.  Tomorrow's pick will be very exciting. 
      As you know, gold is the strongest section of the markets these days.  With gold prices hitting new highs each day, demand for mininng stocks is especially strong.  Tomorrow, we are teaming up with a few other very large newsletters and will all be notifying all of our subscribers that the stock looks excellent for a trade.
     We need to keep the idea a secret for now.  We will send you an e-mail with the exact details right when the market opens, if for some reason you don't receive the e-mail by 9:30, we will also post the stock pick on this page: http://www.hotstocked.com/lightning-picks/.  
 
See you when the market opens. Hotstocked Team

Then this morning, the same reader sent this one in (IKN highlights in red):
Good Morning,
Our lightning pick for today is Mercer Gold Corp. (OTC:MRGP), which closed last Friday at $0.50. They have just announced the first positive and even better than expected results on their newly acquired gold mining property in Colombia. The stock should now correspondingly move along with the next steps in the exploration program, which they are fully funded to carry out.

MRGP stock is currently excellent for trading as the technical indicators will attract many traders:
  •  Very good support at 50 cents, the next resistance at $0.67
  •  Accum/Dist has just reversed to point straight up
  •   MACD indicator is also highly bullish; the RSI shows high buying potential
The fundamental support:
  •  Over $1.1 million in cash in the bank
  • No long term-debt
  • Positive exploration results
In April this year, MRGP signed an agreement about an exclusive 100% interest in the property known as the “Guayabales” property, located in Marmato, Colombia. In short, the company raised $2 million for the exploration through a private placement in May, which amount should be enough to follow strictly the exploration program on the “Guayabales” property over the next twelve months, meaning to complete Phase I and to start Phase II.

First results from the initial sampling have just been announced last week and they have been extremely positive. The Marmato district in Colombia is a prolific region with many mining companies having interests near the “Guayabales” property, some of those companies trading far above $1, and with much higher market caps.

Conclusion:  Gold is hot, and MRGP is making fast progress.  In the short term this stock can easily get to the $0.60 - $0.67 range, longer term more positive exploration results can take this stock much higher. 

Happy Trading, Hotstocked Team

So what we have is this hotstocked outfit priming a whole swathe of sheep via its first mail, then just minutes after the bell letting out the name of its target, none other than our old friend Mercer Gold (MRGP.ob). But then if you follow the breadcrumb trail, we get to find out a lot more about hotstocked. Firstly, this line was included in the mailshot as part of the company disclaimer (IKN highlights in red):

Hotstocked.com has been compensated two thousand five hundred dollars by Blue Wave Advisors for the distribution of this particular email. This compensation constitutes a conflict of interest as to our ability to remain objective in our communication regarding the profiled company.  Hotstocked.com does not own shares, but a third party may own shares and may intend to sell immediately following this advertisement.

Yup, amazingly enough hotstocked isn't doing this out of the goodness of its heart but in fact is paid 2.5k for its efforts. Not bad for one morning. So the next question is "Who is 'Blue Wave Advisors?", because they may just be...y'know, sneaking suspicions and all that....the people that "may intend to sell immediately" (see chart and trading action above). Well, its website doesn't give much away, but do a bit of digging and it's easy enough to find out more. This next excerpt from this page:
"Beaconequity.com is a wholly-owned subsidiary of BlueWave Advisors."
The plot thickens. Beacon Equity, eh? Ever heard of them? Your author has, because that shop is one of the biggest bullshit bucket houses on the North American continent. And it's not only your humble scribe that has heard of their pisspoverty either. David Baines, the sleuthing reporter who works for The Vancouver Sun and makes big efforts to uncover the seedy side of the junior mining scumbags and their scam-ridden companies, knows all about them too. Here's a link to his 2009 piece on Beacon Equity and here's an excerpt from the article:
"Beacon Equity Research, a Texas-based stock promotion firm, employs a stable of CFAs to write research reports for junior companies that trade on the dreadful OTC Bulletin Board and Pink Sheets in the United States. These reports routinely make "speculative buy" recommendations for companies that have no real hope of turning into real businesses.

"In many cases, these reports are served up in conjunction with aggressive spam campaigns designed to incite unsophisticated investors into investing in these nags, many of which have close connections to Vancouver.

"Beacon's research reports and attendant spam campaigns are financed by private third-party firms whose beneficial owners are never revealed, but are almost certainly closely connected to the companies' insiders. In some cases, these third parties pay up to $1 million for what are euphemistically called "investor awareness" programs."
Baines then goes on to highlight a few examples of how Beacon Equity has been operating, with scam-ridden tales and SEC charges all over the place. 

So, let's recap: Mercer Gold (MRGP.ob) gets pumped by hotstocked dot com, who freely admit their working as a cartel along with other bullshit pump houses on the stock today, September 20th 2010. Hotstocked is paid to pump MRGP.ob by Blue Wave, which just happens to be the owner of a really nasty scamhouse known as Beacon Equity as well as having its tentacles in all sorts of other places. But of course, the people at MRGP want IKN and its readership to believe that the company is the real deal, not a bullshit pump and a prospect we can take seriously. Would the company be interested in replying to this post, too?