AGORACOM Investor Relations is pleased to bring you this Industry Report concerning Yukon Gold. CCM Research has initiated coverage on the company and has given it a Speculative Buy rating. Yukon Gold owns two promising gold-silver-copper-lead-zinc properties in the prolific Tombstone Gold region in the Yukon Territories. CCM’s report shows that inferred and indicated resources on the properties suggest gross ore values in excess of $2 Billion.
In its report, CCM shows that Yukon Gold is involved in mining activities adjacent to the Keno Hill district. The report states, “The Keno Hill district is the second largest historical producer of silver in Canada”.
The report also states that there is robust mining activity in the Yukon. “According to Yukon Geological Survey, mineral exploration in the Yukon has reached record levels with over $80 million spent on the search for base and precious metals, coal, gemstones and uranium in 2006.
Exploration for gold attracted the largest share of the exploration dollars, capturing 35%, followed by zinc at 22%, uranium 15%, copper 12%, silver 7%, tungsten and molybdenum 6%, and the remainder being spent on coal and gemstones.”
The report not only quotes geologists and other industry observers commenting on the minerals available but also on global supplies and world prices and how it can impact Yukon Gold. “According to Tom Stundza from the Purchasing Magazine, metals prices tracked historical patterns – never increasing more than 75% during previous cyclical upturns – but the continued run-up in metals prices last year made the cumulative price increase significantly larger than usual. The drivers of the unusually strong run-up in metals prices are well known: Asian (especially Chinese) demand and the prospect of continued short-term supply shortages. Between 2002 and 2005, according to the IMF, China accounted for literally all the global growth of zinc and lead consumption, and more than 80% of the increase in tin and nickel consumption.
The report concludes by providing a summary and bringing all key points together. It states, “Yukon Gold Corporation is a promising mining company with two prospective multi-metal properties in the prolific Yukon province of Canada. The company has published encouraging exploration data and benefits from an experienced team and long history of successful mining activities in the adjacent Keno Hill area. The company’s properties are also relatively close to existing infrastructure. Current exploration activities of the company are aimed at expanding its indicated and inferred resource from under 7 million tons of ore to 9-10 million tons. Geologists who prepared technical reports on the properties have described their potential as “excellent” and “good”, stating that feasibility studies were fully warranted.”
To access the report in its entirety, you can go to the following link: http://www.ccmopportunitybase.com/news/files/files13215/YK_Initial%20Report_September%2012,%202007.pdf
AGORACOM is pleased to bring you this Industry Report concerning Yukon Gold. We encourage constructive dialogue regarding the company on the discussion board on the Yukon Gold investor relations hub with AGORACOM. Please go to http://www.agoracom.com/ir/yukongold
Sincerely
AGORACOM Investor Relations
