TD Waterhouse published an updated research report this morning. They maintain their hold rating, and the $4.00 target.

An excerpt from the report:

"The discovery of two potential new zones of mineralization is positive, in our view, but we question what the impact of the new discoveries will be. The company has previously made five other near surface, high grade gold discoveries over the past three years (beginning with the original Hinge zone discovery in January 2008) that culminated in a recent resource estimate of 2.6mm oz in all categories.

Given that the company reported gold sales of approximately 10k oz ounces in the most recent quarter, implying a hypothetical resource life of over 50 years at this rate, we believe the key to unlocking the potential value of these resources (and the new discoveries) will be to deliver progress on the production front."

And another excerpt:

"Outlook

We believe the recent increase in budgeted capital expenditures tabled by the company signals an extended period of development at Rice Lake. As a result, we model a more gradual ramp-up in production relative to company guidance.

We continue to see a number of potentially positive catalysts for the stock in the near-term including bulk sample results from the 007 zone (Q4/10) and results from ongoing exploration drilling of the Hinge and 007 zones."