AXG - Antipodes Gold [formerly GEL - Glass Earth]

[elZorro]

You know what? I hate loose ends. That's why I'm quite pleased that, finally, some drilling is going on at Game Hen in Otago. It's all in the latest news release.

Here's another timeline. We shareholders have to be patient, that's for sure.

1^st April 2008 (NZPAM article)
Similar ground mapping and soil/rock chip sampling is being carried out over the Gold and Pine targets (adjacent to the historic Gabriel's Gully site of the original gold discovery in Otago which began the 1860s gold rush) and Game Hen (adjacent to historic Hindon Gold workings) where targets are being prioritised by the coincidence of magnetic/EM identified shears, and surface gold anomalism.

August 22 2008
The drill rig will move to Game Hen (Hindon, central Otago) following the Sheep Wash drilling, where in-situ rock chips from Glass Earth mapping returned grab rock chip assays up to 44gm/t gold. Drilling of the Serpentine prospect is anticipated to follow this programme as spring clears access to this area.


May 2010:
Serpentine (GEG 90%)
A 12 hole program is planned to test a 12 km long shear zone, in a 1.5 km zone with gold in soils up to 1500ppb Gold, and rock chips ranging from 2 -- 30 g/t gold.

Game Hen / Hindon (GEG 90%)
A 12 hole program is scheduled to test a 12 m wide quartz shear, and co-incident carbonaceous shear, with individual rock chips in the 7-40 g/t gold range.


July 7 2011:
Otago Region –Field programmes to support the drilling of highly ranked Game Hen gold target is underway.

Jan 26th 2012:
The drilling of highly ranked Hindon and Game Hen gold targets has commenced.

[troyvdh]

...you are a gem...no doubt...keep it up...cheers troy....may karma prevail...

[elZorro]

...you are a gem...no doubt...keep it up...cheers troy....may karma prevail...

Thanks Troy, I'm a great believer in Karma. Generally the harder you work, the luckier you get

I've been thinking that until the TSX price matches up with NZ again, it might be a good time to buy some more GEL, but over on their exchange. What is a fair price to pay for this undoubtedly speculative share? I have totalled up some optimistic valuations already, but the gold-in-ground is only based on crude estimates, and in some cases, on hope. Plus, it's not that close to being mined yet. The current massive jump in US$gold on the back of a slumping US$ gives some cause for optimism in gold shares in general. There is no doubt that should GEL manage to interest a JV or farm-in partner to run a mine operation, it will become a multi-bagger. I don't follow many junior explorers, but it seems to me that GEL has a good chance of getting to this stage, because they have plenty of options and permits.

Back to the current price. 3-4 years ago Herbert Abramson, Chairman of the executive committee of St Andrews Gold, Canada (TSX:SAS) purchased for himself as an investment (from SAS), 9.4mill GEL shares for CAN 11c. After the 1 for 5 share consolidation he would have had 1.88million shares, each costing CAN 55c . SAS was partially divesting itself of non-core investments, and GEL was one of those. Herbert Abramson is also Chairman of Trapeze Asset Management, a firm that includes two other family members, according to their website. They invest for institutions and high net worth individuals, and are keen on small-cap shares. Their last report: (Note SAS is a recommendation).

As at January 2010, Herbert Abramson still held 13.66% of GEL, but there has been little mention of the largest single shareholder since. The last capital raising for new shares (just a few months ago) was coincidentally at CAN 55c, and over 2million shares were sold last week for CAN 25c. This points to the speculative nature of holding shares in GEL. But in just the few years since 2006, some will have made multi-bagger returns with GEL, if they had their timing right. At about CAN 55c, the Mcap for GEL would reflect the capital that has gone in for exploration, and demonstrate that this was not burned up, but has held its value in terms of IP in the permits and JVs. It doesn't yet reflect any valuation of gold-in-ground, but then no qualified valuations have been published.

Here's the website for SAS, the directors page. Two gentlemen are of interest, Herbert Abramson and Paul C Jones. Paul Jones lives in Colorado, is a mining engineer, and has been an advisor to many firms like GEL. He is currently one of four board members at Glass Earth, the only one who lives outside NZ, and that will be useful. I would expect he is also looking after the interests of Mr Abramson and/or SAS. The fee for being a board member is around C$10,000 a year, so he won't be putting all his time into it. In mid 2011 Glass Earth revamped their website, using the same website developers as SAS. The SAS shareprice has been on a steady decline for 12 months (after peaking strongly in August 2010), they are a smaller producer of 100,000 oz/year, from three mines on one property. MCap about CAN 165mill, has been 4x higher.

It might help with investing decisions, if we knew more about the current major investors in GEL. The presentation that was out in Sept 2011 is the latest data, and shows GEL at a peak. Total shares issued now total 66 million odd. This page shows the main shareholders, which implies Herbert Abramson has brought his personal shares into Trapeze Asset Management's fold.

Of the other major investors, Auriferous Mining Ltd is a private company which owns L&M Mining, and this firm leased the 40 tonne GEL/Dunstan Mining GRU#1 at Earnscleugh for a year or two. GEL is now using it at Drybread for its own placer work. Having them as shareholders is another good sign, surely they'll know what's going on. GEL's placer results will also get a boost with the big GRU in action.

[Vtrader]

Vtrader found time to purchase today.
Chart has the right look, and the FA from elZorro tipped the balance.
I am predicting POG increase, and GEL fits the theme.
V.

[elZorro]

Vtrader found time to purchase today.
Chart has the right look, and the FA from elZorro tipped the balance.
I am predicting POG increase, and GEL fits the theme.
V.

Good on yer Vtrader, expecting lots of EWT posts over the next few months..

Overnight GEL announced some additions (one proposed) to the board of directors.

http://www.reuters.com/article/2012/...012+MW20120213

Justin Cochrane and Adrian Fleming, both from Vancouver, have plenty of company experience and enthusiasm by the look of it. The timing of this announcement, after the investment by ACC, confirms GEL has turned a corner, and 2012 is going to be a good year for the company.