Thursday, October 28, 2010

Rush for Rare Earth Elements (REE) from Japan and Korea

Rare earth elements (REE) are hot - and TNR Gold mining junior has one of the biggest carbonatite complex that's similar to Rare Element Resource's project at Bear Lodge.

RES shares (amongst other REE stocks) have returned nearly 20X (that's 2,000% return) over the last 2-3 years. Incredible!

Last month, China put a temporary ban on exports of rare earth elements to Japan, a vital resource to the country's high-tech industry.

Japan is beginning to actively pursue the recycling of e-waste in a new process called “urban mining” to mitigate the country's dependence on China for the metals.

Urban mining is the recycling of obsolete or outdated electronics for metals including precious, base, and rare earth elements. These electronics include computers, televisions, cell phones, printers, PDAs, and thousands of other devices commonly used in offices, homes, and by people on the go.

Urban mining can be a very profitable business. A tonne of cell phones, for example, contains more gold than a tonne of ore from a typical gold mine.

An average gold mine produces 5 grams of gold per tonne of rock whereas cell phones contain 150 grams per tonne or more.

In addition, a tonne of cell phones contains 100 kilograms of copper and 3 kilograms of silver, as well as other valuable metals—all of which have been soaring in price.

In the video clip below, Reuters reports on a new push for the urban mining of rare earth elements in Japan:

Monday, October 18, 2010

Minera Andes hits high grade gold in takeover prime area in Argentina, TNR.v,,, ABX

Goldcorp's recent takeover of Andean in Argentina marks a sign of things to come with gold hovering at close to historic all-time highs at $1371/oz.

The Argentinean province of San Juan and Salta means other miners in the area have gained the spotlights from investors and media alike.

Ironically, the San Jose project which junior miner Minera Andes hold is a solid grade gold and silver producer that Goldcorp founder Rob McEwan operates (and owns 33%).
If he founded Goldcorp and left, isn't it ironic that Goldcorp is returning to the same area that Minera Andes and TNR Gold have been at all these years?

In addition to that, since the last time we covered MAI - share price has erupted to over $2/share CAD, marking almost a 300% profit for those who averaged down to MAI during the slowtimes of even the summer 2010.

This came about primarily with rumors with MAI takeover and another discovery at San Jose mine that could easily increase production in the coming years. But also we believe it's attributed to copper recovering to its former highs in 2008.

MAIs train might have left the station but you can still play a great investment with TNR Gold - albelt disputedPublish Post they still hold claims to 25% back-in on the large Los Azules project.

We've been right here a few times on Mining101 and this is why we have readers daily who has come here to learn more about investing. Do your own due dilligence - we have, and we have done well during this quiet recovery!

Friday, October 1, 2010

TNR Gold rebounds on Shotgun Million Oz Gold deposit acquisition from NovaGold TNR.v, NG, MAI, CUM, BAJ

As always, our favorite gold jr miner rebounds back from the slight dip in share price to the $0.20+ range. What's interesting is other investors in TNR have noticed the strange pattern in selling, literally 500 shares every 3 minutes - suggesting someone is trying to artificially keep the stock price down...!?

Another shareholder "257value" from another investment board has noticed this and captured 20 trades the last 2-3 days to document this pattern

It's impossible for someone to be selling 500 shares every few seconds for the last week...!! I know it may sound like a conspiracy theory but...could it be MAI shorting TNR to push the price down and mount a takeover for Los Azules....??

Keep your heads up fellow shareholders - management has re-assured us nothing has changed about their projects and progress - just a large position being liquidated resulting in the drop..look at it yourself!

Recent Trades - Last 10 of 156
Time ET Ex Price Change Volume Buyer Seller Markers
15:42:02 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:39:01 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:36:01 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:33:01 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:30:01 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:27:01 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:24:00 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:21:06 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:18:04 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:15:04 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia

Time ET Ex Price Change Volume Buyer Seller Markers
15:56:16 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:53:27 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:50:38 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:47:50 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:45:02 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:42:02 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:39:01 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:36:01 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:33:01 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
15:30:01 V 0.16 0.00 500 9 BMO Nesbitt 85 Scotia K
When you wonder who might be stand to benefit from this share price fluctuation, especially taking into account many of the shares are bought and sold between the same brokerage (Scotia, for example) - it may be an accumulation of shares by a new group.

What new group will do this and benefit?

Los Azules come to mind. Losing potentially 25% of the northern high grade portion is a huge risk - especially from a junior miner worth less than $25 million market cap.

Rob McEwan has publicly announced his love for gold and copper - it wouldn't be surprising now that the Hoschild Mining lawsuit has wrapped up that he tries to clean up Los Azules. The lawsuit leaves a blemish on his excellent portfolio of projects in Minera Andes.

After all, he holds 33% of the stock himself and proudly advertises it on the front page of the MAI presentation.

Calculating copper at a mere $0.01 a lb, he believes Los Azules is easily worth $125M + 250M (gold and silver) credits.

LinkBy the same logic if Los Azules is worth $375M at the top end, a 15% would equate to $56 million, not account for Escorpio IV.

The current market cap of TNR Gold at $0.20/share with 123 million shares outstanding is a paltry $24.6M.

Why pay a higher price if you don't have to?

It'll be very interesting to watch this unfold. All I know is I'm holding onto my TNR shares, they might be onto something here...

To make things even more interesting, with gold above $1,300, TNR has acquired the remaining interest in a million oz. (historic resource) called Shotgun.

Last drill hole in 2007 was
210.5 metres grading 1.29 g/t Au - can you imagine what that will mean for TNR in today's gold market?

Vancouver B.C.: TNR Gold Corp. ("TNR" or the "Company") is pleased to announce an increase to a 100% undivided ownership interest in the Shotgun project in Southwestern Alaska (the "Property") through the acquisition of NovaGold Resources Inc.'s ("NovaGold" or the "Vendor") outstanding 50%.

Key Highlights:
• Acquires NovaGold's 50% interest in the Property to increase it's ownership to 100%;
• 6,000,000 shares and 3,000,000 warrants in the Company for consideration of NovaGold's 50% interest;
Shotgun Ridge contains a Non NI43-101 historical resource of 980,000 ounces grading 0.93 g/t*;
210.5 metres grading 1.29 g/t Au at Shotgun Ridge indicates higher grade feeder zone open at depth; and
• $8 million spent on the project to date by the Company and previous operators.

"The Shotgun property is a major gold asset and the successful unification of a 100% interest translates into a significant increase in inherent value for the Company" states Gary Schellenberg, CEO -- TNR Gold Corp. "The current economic climate is ideal for the advancement of a project such as this and we look forward to the opportunity to realize its potential"

NovaGold has agreed to sell its remaining 50% participating interest in the Property (the "Interest") to the Company in consideration for receiving an aggregate of 6 million common shares and 3 million share purchase warrants in the capital of the Company. In addition, a 2% net smelter returns royalty from mineral products produced from the Property will be granted to the Vendor by the Company, which can be purchased by the Company for USD 5 million any time prior to a production decision having been made.

Each share purchase warrant shall entitle the Vendor to acquire one common share in the capital of the Company for a period of three years following the completion of the purchase and sale of the Interest (the "Closing Date") at a price of C$0.20 per share from the Closing Date until the date which is one year from the Closing Date, at a price of C$0.25 per share from the date which is one year and one day from the Closing Date until the date which is two years from the Closing Date and at a price of C$0.30 per share thereafter until the expiry date.

Shotgun Project

The Shotgun project is located 175 kilometres south of Donlin Creek within the Kuskokwim Gold Belt in Southwestern Alaska, an area emerging as a world-class gold district hosting more than 40 million ounces of aggregated gold resources. The Shotgun project includes a number of prospects, including Shotgun Ridge and nearby Winchester. Donlin is an intrusion-associated system and represents one of the largest undeveloped gold deposits in the world. The Company believes that there are several key similarities between prospects in the Shotgun Project area and that of the Donlin Creek gold deposit as well as other intrusion associated deposits.

Previous work at Shotgun Ridge by NovaGold has estimated a historical resource of 980,000 ounces grading 0.93 gram per tonne (g/t) at a cut-off of 0.5 g/t*.

The Company built on NovaGold's previous exploration work on Shotgun Ridge and a subsequent drill program in early 2006 reported a 210.5 metre intersection grading 1.29 g/t Au, which has led to the identification of two higher grade feeder zones and leaves the mineralization open at depth. This discovery intersection has yet to be followed up and an updated NI43-101 compliant resource has yet to be estimated. To date there has been 4,095 metres of drilling at Shotgun Ridge.

*(Not a NI43-101 compliant resource. A qualified person has not done sufficient work to classify the historical estimate as current mineral resources, the issuer is not treating the historical estimate as current mineral resources and the historical estimate should not be relied upon. This resource estimate is quoted from the Technical Report on the Shotgun-Winchester Project, SW Alaska. 7 March 2008 and available on

The Winchester zone is an underexplored intrusion-associated gold prospect situated approximately 16 km south of Shotgun Ridge. The full extent of mineralized sills and dykes at Winchester is unknown since only 1.5 kilometres out of the 8 kilometre long ridge, host to numerous unexplained gold geochemical anomalies, has been explored in detail. Drilling during 2005 and 2006 identified gold-bearing sills in the eastern end of the Winchester zone. To date there has been 1,653 metres of drilling at Winchester.

Although the style of gold mineralization in sills at Winchester is quite different from the quartz-breccia stockwork that hosts the gold at Shotgun Ridge, the two prospects are geochemically very similar and are considered to be part of the same overall system. TNR believes a major structural axis, encountered in several drill sections, is critical to the mineralization and runs parallel to the ridge at Winchester. The next phase of exploration at Winchester will extend into the untested area along the ridge to the west in the direction of the structural axis.

The other two prospects that make up the Shotgun property are Shot and King. Shot contains some of the strongest geochemical anomalies on the Property and needs to be tested for similar mineralization to that found at Winchester. King includes several unexplained geochemical anomalies as well as a drill ready breccia zone.

John Harrop, P.Geo, is the company's qualified person on the project as required under NI 43-101 and has reviewed the technical information contained in this press release