New York, NY (PRWEB) August 24, 2013
Combine seasonal strength trends in the physical metal with the current oversold state of the precious metals mining sector and the probabilities of a successful trade increase. Identify an undervalued gold miner that is in the process of achieving a defining moment milestone for the company and the potential for extraordinary gains are set. A full report on seasonal strength in precious metals, including a chart of the monthly average price increases in physical Gold from 1975 (when US citizens could legally posses Gold bullion) through 2012, along with additional related insight, and a review of junior Gold miner Metanor Resources Inc. may be viewed at http://madisonaveresearch.com/goldmarkets09-2013.htm online.
Analysis of historical trends in Gold mining stocks reveal a similar phenomena of seasonal strength -- senior/top-echelon Gold producers that make up the HUI Gold Index have averaged over a +9% increase for the 6-months September through to February (inclusive) over the last 15 years, compared to only +2.7% for the other 6-month period March through August.
The report features a case study of Metanor Resources Inc., a superior gold production, development, and exploration junior mining company that is deeply undervalued with key assets in the mining-friendly region of Quebec. Metanor Resources is now in development ramp-up mode, gearing-up toward eventual official commercial Gold producer status, at its newly refurbished Bachelor high-grade gold mine and mill. Bachelor is a very rich underground mine with grades upwards of 26 g/t gold with an average grade of 7.38 g/t gold (fully diluted using long hole). Metanor's infrastructure replacement valued is several times the company’s current market capitalization. With MTO now entering steady-state gold production and cash flow positive status around the corner, this should result in improved market awareness and appreciation for the Company; the reality of the infrastructure and resource value, cash flow growth, and clear ability to add ounces should translate to share price appreciation.
Metanor has recently had new workstations come online that are now translating into results, allowing Metanor to attain its goal of continual steady-state Gold production at ~3,000 ounces gold per month. Recent and ongoing development work should result in a series of production growth months over the next year for Metanor. The stabilization of production at ~3,000 oz per month sets the stage for a cash flow positive scenario and a push to closer to 4,000 oz per month this Q4, and then a push for 4,000 - 5,000 oz Gold per month target (at 800 TPD) for possibly as early as the end of this year. Forward looking, once commercial production status is attained at Bachelor, Metanor plans to increase the mill capacity by ~50% at low capex and target 80,000 - 90,000 oz Gold/year in 2015.
Metanor Resources Inc. is considered by growing number of learned individuals to harbor the potential for extraordinary gains as is approaches official commercial gold production status. Mining Expert Jay Taylor of Hard Money Advisors has recently advised his clientele to acquire shares of Metanor stating “I believe the company’s Bachelor Lake Operation is just about ready to turn cash flow positive. If I’m right about that so that it reaches commercial production before the end of this year, then this ... could quickly double or triple from here, on its way to much higher valuations in the longer term.”
The team Metanor has assembled is making exceptional progress and this 2013 will reveal itself as a breakthrough year for the Company after years of readying the mill and mine for its reopening. There has been a sector-wide pullback in mining equities over the last couple years and the timing appears ideal for investors to establish a long position in Metanor now.
See the full report at http://madisonaveresearch.com/goldmarkets09-2013.htm online.