ann more high grade gold, page-11

I have had a chat with my stock broker today. His firm has ABU on their list of recommended spec stocks. Their initial target price is 7c later in the year.

But his view on the long term sp for ABU is excellent. He states that with ABU producing 100 000oz of Gold per year, that is a 30+ years lifespan for the company churning out about $80m average a year profit on their reckoning! That is serious money.

Then he stated that there were possibilities to upscale the processing plant to increase the gold output, and the likelihood that much more gold is still to be found in their immense tenements.

His company's view is that on a long term basis ABU has outstanding prospects and that 25+c per share is a possibility in 1 to 2 year's time.

He states that all the News that ABU comes out with just keeps making their story better and better. He said not to worry about the short term fluctuations, that there should be great rewards in the long term. He advised me to put my ABU shares away for the longer term.

I know that there are several other brokers who have put ABU on their recommended list for spec stocks. So maybe the word is starting to get out and some big buyers and instos may start buying into the stock.

The World's Experts are trying to figure out what the price of Gold is going to do next. There are several charts and indexes that are now indicating that the Gold price is going to rise and that Gold is cheap now.


Quote:
"The Mark Hulbert Digest Gold Sentiment index has swung to an all-time low of -35%. This measures the gold stock positioning across a swathe of newsletters.

Over the last fifteen years, like clockwork, a fall to under -20% has signalled the start of a new rally. So to be a record low of -35% today is another warning shot to expect a seismic shift in this sector."


Quote:
"The Gold Miners Bullish Percent Index (in black) last hit zero in October 2008. Mood was as dire as it gets. But that was also immediately before gold stocks (in red) began to rally.

And they rallied for the next three years...

Major Gold Stock Rallies (red) Begin When Sentiment (black) is Zero - Like Now!"

Source: Dr Alex Cowie Editor, Diggers & Drillers Magazine (several other sources have the same sentiments and similar charts)

I hope that these experts and charts are right and that Gold begins a big rally soon! This would have a profound effect on ABU's sp!

Go ABU!