Drilling Intersects 102 Meters of 197 gpt Gold at

first_imgDrilling Intersects 102 Meters of 1.97 gpt Gold at Columbus Gold’s Paul Isnard Gold Project; Drilling Confirms Depth Extension of Gold MineralizationColumbus Gold Corporation (CGT: TSX-V) (“Columbus Gold”) is pleased to announce results of the initial five (5) core drill holes at its Paul Isnard gold project in French Guiana. The holes confirm depth extension of gold mineralization below shallow holes drilled on the 43-101 compliant 1.9 million ounce Montagne d’Or inferred gold deposit at Paul Isnard in the 1990’s and support the current program of resource expansion through offsetting open-ended gold mineralization indicated by the earlier holes.Robert Giustra, CEO of Columbus Gold, commented: “These drill results validate Columbus Gold’s approach to adding ounces with a lower-risk drilling program designed to infill and to extend the mineralized zones to 200 m vertical depth from surface; a depth amenable to open pit mining.”  Fourteen (14) holes have been completed (assays pending) by Columbus Gold in the current program and drilling is progressing at the rate of about 3,000 meters per month with one drill-rig on a 24 hour basis. Columbus Gold plans to accelerate the current program by engaging a second drill-rig as soon as one can be obtained. Please visit our website for more information about the project. The mining companies seem to have no real interest in helping their shareholdersThe gold price was under selling pressure right from the Far East open on their Thursday…and that continued for the rest of the day…and got even more downside help during the Comex trading session.Not surprisingly, the low of the day [$1,663.90 spot] came at the London p.m. gold fix at 9:00 a.m. local time in New York.Gold closed at $1,667.40 spot…down $17.40 on the day.  Roll-over volume was heavy, but net volume was only around 128,000 contracts.I was pretty much the same story in silver…although the silver price rallied a bit during the Comex trading session.  That lasted until 11:15 a.m. Eastern time…and then down went the price.The silver price closed virtually on its low of the day which was $31.62 spot…down 61 cents from Wednesday.  Volume was pretty heavy…around 55,000 contracts.The dollar index chopped around the 80.00 mark all day long, closing at 79.99…virtually unchanged from Wednesday.  And it nearly goes without saying the currency movements played no roll in the precious metal price action yesterday.  It was all JPMorgan et al.Like Wednesday, the gold stocks opened down…and then headed for the nether reaches of the earth once again.  The HUI closed virtually on its low tick…down 3.13%.Gold has been hit for $25 during the last two trading days and, in response, the HUI has declined by a bit over 6 percent.  John Embry has always maintained that the share prices are being managed as well as the gold price itself…and I would agree with that statement after watching the share price movements over the last two days.The silver stocks got it in the neck as well…and Nick Laird’s Intraday Silver Sentiment Index closed down 3.20%.(Click on image to enlarge)The CME’s Daily Delivery Report showed that only one lonely silver contract was posted for delivery on Monday.  I’m not really surprised.  The January delivery month, such as it was, is winding down…and will be done by the end of trading next Wednesday.  Most deliveries into the January contract have already been made…but I suppose there still could be surprises in the next few days, but I doubt it.There was movement in both GLD and SLV yesterday.  First, there was another withdrawal by an authorized participant from GLD.  This time it was 77,451 troy ounces.  And over at SLV a knee-wobbling 6,189,901 troy ounces of silver were also withdrawn and shipped off to parts unknown.For the second day in a row, there was no sales report from the U.S. Mint.Over at the Comex-approved depositories on Wednesday, they reported receiving 1,344,577 troy ounces of silver…and shipped 441,608 troy ounces out the door. Lots of silver in motion once again this week.  The link to Wednesday’s activity is here.I heard from the Silver ETF Bar Guru, Joshua Gibbons, yesterday evening…and here is what he had to say.Hi Ed,“I haven’t finished my weekly SLV analysis…I’ll take care of that sometime Friday…but I did a quick check and came up with something interesting.”“We know that JPM added a vault in New York last week, in addition to the four they have in London.  However, early this week they moved the 8.9 Moz of silver from the Johnson Matthey London vault, to the Brinks London vault, presumably ending the contract with Johnson Matthey.  The JM vault only started holding silver for SLV in early 2012.”“So now SLV is using four vaults; two JPM vaults (one in New York, one in London), and two Brinks vaults (both in London).  SLV had previously also used vaults with ViaMat and HSBC, but no longer does.”“I also asked iShares if they could comment as to whether or not the large SLV deposit last week was used to close out the short position. Not surprisingly, I got a “No comment” reply.” – JoshuaThe photo below is one I ‘borrowed’ from the spaceweather.com Internet site a few weeks back.  It’s an Airbus of some kind taking off from the Rome airport and silhouetted against a sunspot-covered solar disk.I have the usual number of stories for a weekday…and I hope you have the time to spend on the ones that interest you the most.After the game, the King and the pawn go into the same box. ~ Italian proverbWell, was Wednesday and Thursday’s price action the start of the engineered price decline?  Beats me…but as I said several days ago, the set-up to fail at the 50-day moving average was all there if they wish to take advantage of it…and it appears that the process has been started.In silver, JPMorgan et al could hit the price for a dollar or more, as their short position is still monstrous.(Click on image to enlarge)The gold price actually touched its 200-day moving average on yesterday’s price decline.  But using the recent past as prologue, you can see that “da boyz” could actually get the price lower than that if they so choose.(Click on image to enlarge)As Ted Butler is careful to point out…JPMorgan et al can pretty much do whatever they want to the price of any of the precious metals…and there is no one to stop them.  If you think that a new CFTC commissioner will make a difference, then I have a bridge to sell you.  Because with Gensler and Chilton as silver’s “friends”…who needs enemies?Here’s the 6-month HUI chart.  Based on yesterday’s closing price, the HUI is back to where it was on August 6th of last year.(Click on image to enlarge)From what I learned at the Vancouver Resource Conference this past weekend, we are pretty much on our own as investors.  The mining companies seem to have no real interest in helping their shareholders…and won’t touch the price management scheme with a 20-foot barge pole.  If pressed, most will privately admit that it exists…and that they really should do something about it.  But publicly they’d rather watch their share prices drop into the toilet…or go bankrupt…rather than lift a finger to help the real owners of these companies…us.  They will never admit the obvious elephant in the living room…and you wouldn’t believe some of the excuses I heard from companies as to why their share prices were doing so poorly.Today we get the latest Commitment of Traders Report for positions held at the close of Comex trading on Tuesday…and with both gold and silver rising just about every day of the reporting period…and JPMorgan et al going short against all comers…it’s a pretty safe bet that there will be an increase in the Commercial net short positions in both metals. It’s just a matter of how bad the numbers will be.The precious metals didn’t do much of anything in Far East trading on their Friday…and are about unchanged from Thursday’s New York close.  Volumes are nothing out of the ordinary as I hit the ‘send’ button at 3:10 a.m. Eastern time…and the dollar is gyrating just under the 80.00 mark like it has been doing almost all week.I haven’t the foggiest as to what kind of day we’ll have in New York…but it’s a Friday, so be prepared for anything.  I am.Enjoy your weekend…and I’ll see you here tomorrow. Sponsor Advertisementlast_img