Smart Investment - mexicomike.ca

[coach247]

Here is the original version of an article I wrote for Investors Digest about NCM last month:

Newcastle Minerals is a chip off the block in exciting exploration districts

The TSX-Venture exchange reminds me of those dollar stores that are springing up all over the country. At first you wonder just how there is so much good stuff around for such a cheap price. Then, you look a little closer and realize that some stuff is cheap for a reason. However, careful shoppers can find amazing value. On the Venture
there are thousands of resource stocks listed and some are trading at very low prices. Sifting through these candidates there are indeed a few names that seem to offer a lot of potential for a very low market
capitalisation. Newcastle Minerals is one of them.

The biz plan for Newcastle is to acquire early stage projects in proximity to more advanced discoveries, and then complete exploration work to search for new deposits. There is a long list of other exploration companies that have followed the same path to success and investors that get on board early have the benefit of a low cost of entry with the leverage to multiply gains if indeed there is a new discovery along the way. Meanwhile any success from elsewhere in the region is also a bonus as speculators take profits and rotate into other stories nearby. It is the classic high risk - high reward exploration strategy that has made Vancouver famous for hatching junior mining companies.

Newcastle management has chosen to stay close to home and focus on projects within Canada. These include the Snip North Property, located in the northwest corner of BC, where exploration work has been underway for a couple of years with some notable success. What makes Snip North even more attractive is that it is located near the Iskut Property controlled by another junior, Skyline Gold Resources, with a growing gold resource that is hosted within very similar geology and bearing very similar metals grades to what Newcastle geologists have been encountering on their own slice of this mining district.

The company has improved its odds for success in the region with another prospect, the Bug Lake/Waratah Property. This is an early stage project that has also yielded some encouraging gold and copper showings in prior exploration work. Elsewhere in BC is the Phiz Property, a grass-roots prospect with documented gold showings including one very interesting high grade gold vein that will surely become a drill target in the future. The aptly named Phiz Property represents another iron in the fire that can add shareholder value in the future as the gold bull market gains momentum.

However it is a promising new acquisition in Ontario that has the market buzzing. Late in 2009 Newcastle announced it had closed a deal to buy 100 percent ownership of a property located in the exciting West Timmins gold district. There is a colourful and productive history of gold mining in the Timmins camp but the area is once again gaining notoriety as an emerging discovery play.

Investors have been handsomely paid off with the performance of Lake Shore Gold as it defined a large gold deposit that is currently in development. More recently a great deal of attention is focused on the Porcupine West Project currently under exploration by Explor Resources, a company I presented in Investor’s Digest a few months ago. The share price has more than doubled since. The Timmins mining district has produced over 70 million ounces of gold and remains on the leading edge for new discovery, so Newcastle has achieved another strategic addition to provide shareholders leverage within prolific mining camps in Canada.

Newcastle’s West Timmins project is located immediately to the West of Lake Shore Gold’s Thunder Creek deposit, and just a short distance from the main all-season highway serving the region. But more importantly the property lies within a splay fault corridor that accounts for the majority of established gold deposits in the district, and is in close proximity to two major fault structures that have been mapped within that geologic regime. The emplacement of gold in this system is related to these pre-existing faults that serve as conduits to allow mineralizing fluids to circulate in the host rock structure. One need only review a map of the many historic gold mines that occur within this corridor to gain an appreciation of just how significant this is. In February Newcastle announced that geophysical programs were underway to define exploration targets on the new project and begin to test the potential of this exciting exploration prospect.
The company followed up on this strategy by acquiring another Ontario project, the Pickle Lake gold project. Again, this is located near another high profile story operated by PG Gold, and it shares numerous geologic similarities. This validates the ability of the management team to get deals done in attractive districts to provide shareholders with leverage where the interest is high.

Considering the strong package of properties controlled by Newcastle, and some excellent results in hand from early stage work completed so far, what really stands out about this story is the tiny market cap in the range of $5 million. That is almost lunch money in the junior mining sector these days. The market meltdown in 2008 hit the mining sector very hard, and many smaller juniors have not yet recovered even though many of the metals have gone on to challenge or surpass their old highs.

I believe that in time investors will return to the juniors and those who scoop up bargains and have patience will be rewarded. History has shown that companies like Newcastle Minerals are just one exciting drill core away from becoming hot stories. Good management, good projects in proximity to proven mining districts, and an aggressive, focused strategy to acquire new assets in a bull market, all suggest to me that Newcastle is a company that is worth tucking away in a speculative portfolio in this market.
_________________
Its only a gambling problem if you are losing...

[rogerklam]

Hi,
If U own this stock, check the price.
Cheers
Roger

[rogerklam]

Hi,
Trading at $.145 with 3M+ shares changing hands. There were also 3M+ shares trading last Friday.
Cheers
Roger

P.S. I do own a small position.

VICTORIA, BRITISH COLUMBIA--(Marketwire - April 12, 2010) - Newcastle Minerals Ltd. (TSX VENTURE: NCM.V) is pleased to announce that it has contracted with Mallette Drilling Inc. of Kenora, Ontario for a 2,000-metre drilling program on Newcastle's Carscallen property in the West Timmins area of Ontario. A drilling rig is being mobilized and drilling is expected to begin soon.

Newcastle's President, Michael Romanik, said, "We are excited to begin drilling on our Carscallen property. This is an aggressive program, but based on the excellent results of our recent geophysical survey, I believe it is fully justified."

Newcastle's 120-hectare Carscallen property is surrounded by Lake Shore Gold Corp.'s Timmins West Gold Mine Complex, and lies east of Melkior Resources Inc.'s Carscallen property, where a drill program was commenced on January 18.

ON BEHALF OF THE BOARD

Michael Romanik, President

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contacts

Michael Romanik
Newcastle Minerals Ltd.
President
Direct line: (204) 724-0613
info@newcastleminerals.com
www.newcastleminerals.com

http://ca.news.finance.yahoo.c.....perty.html

[rogerklam]

Hi,
Now trading at $.12 (a jump of $.03) with a million shares change hand.
Cheers
Roger
P.S. I do own a small position

VICTORIA, BRITISH COLUMBIA--(Marketwire - April 9, 2010) - Newcastle Minerals Ltd. (TSX VENTURE: NCM.V) is pleased to announce that it has received the data from its recently completed geophysical survey of its 120-hectare Carscallen project, located 21 kilometres southwest of Timmins, Ontario. The property is surrounded by Lake Shore Gold Corp.'s (TSX: LSG.TO) Timmins West Gold Mine Complex, and lies east of Melkior Resources Inc.'s (TSXV: MKR.V) Carscallen property, where a drill program was commenced on January 18.

Preliminary data indicates the presence of several strong, well-defined induced polarization and linear magnetic anomalies. Newcastle's geologists are currently interpreting the data and will provide a thorough analysis in due course.

http://ca.news.finance.yahoo.c.....oject.html

[rogerklam]

Newcastle Minerals options Ontario gold prospect


2010-03-31 08:46 ET - News Release

Mr. Michael Romanik reports

NEWCASTLE OPTIONS GOLD PROSPECT NEAR TRELAWNEY'S CHESTER DISCOVERY

Newcastle Minerals Ltd. has, subject to regulatory acceptance, negotiated an option to purchase a 100-per-cent interest in 26 mineral claims covering approximately 15,400 acres in the townships of Potier and Neville in the Porcupine mining district of Ontario.

The claims are located three kilometres north of Trelawney Mining and Exploration Inc.'s (TSXV:TRR) Chester Project. Trelawney recently reported intersecting 107.11 metres of 8.20 grams per tonne of gold, including 313.55 grams per tonne gold over 2.56 metres, on the Chester Project.

The claims straddle the contact between mafic volcanics and a suite of diorite to granodiorite intrusive rocks, and the contact trends roughly east-west across the more southerly parts of both Potier and Neville Townships. A regional lake sediment survey conducted by the Ontario Geological Survey (published as Open File Report 6166) and a second study entitled "Central Swaze Study Area" confirms that there are at least two separate and coinciding lake sediment gold, silver and base metal anomalies defined in the southwest part of Potier Township on the western part of the claims. The lake sediment gold anomalies range from seven to nine parts per billion and greater than or equal to nine parts per billion.

Newcastle's President, Michael Romanik, said "Although Newcastle is focused on its Pickle Lake and Carscallen projects, this new parcel of claims represents an excellent opportunity for a joint venture with the right partner."

To exercise its option and acquire a 100% interest in the claims, Newcastle must pay the optionors a total of $60,000 and issue a total of 2,700,000 shares of the Company in two stages over six months. Newcastle must also grant the optionors a 3% net smelter returns royalty, of which one-half may be repurchased for $1,000,000.

The technical information herein was prepared under the supervision of Mr. A.A. Burgoyne, P.Eng., M.Sc. of Burgoyne Geological Inc., who acts as Newcastle's Qualified Person as defined by National Instrument 43-101.

[schmengei]

Newcastle acquires 100% interest in the Mollie River Gold Prospect Good volume spike today @ over 2mil + shares traded, stock price has not moved much. One to watch going forward. Please DYODD. I own a small position.
_________________
Peter
"The stock market is a cruel and shallow money trench, a long plastic hallway where thieves and pimps run free, and good men die like dogs. There's also a negative side." Adapted - Hunter S. Thompson

[rogerklam]

2010-02-09 09:03 ET - News Release

Mr. Michael Romanik reports

NEWCASTLE BEGINS GEOPHYSICAL SURVEY OF WEST TIMMINS PROPERTY

Newcastle Minerals Ltd. has commenced a geophysical survey of its
120-hectare West Timmins property located in Carscallen township, 21
kilometres southwest of Timmins, Ont. The property is surrounded by Lake
Shore Gold Corp.'s Timmins West gold mine complex and lies east of
Melkior Resources Inc.'s Carscallen property, where a drill program was
commenced on Jan. 18.

Vision Exploration of Timmins, Ont., has commenced line cutting and will
follow up immediately with a 15-line-kilometre magnetometer and induced
polarization survey.

Newcastle's president, Michael Romanik, stated: "We are very excited to
begin our work program on our West Timmins property. There are a number
of companies currently drilling in the area and assay results are
pending from several of these programs. The purpose of our work is to
identify drill targets for the next round of exploration. We believe
2010 will be an exciting year for our shareholders, with both our West
Timmins property and our Pickle Lake package of claims. PC Gold Inc. is
expected to release assay results from its nearby three-drill Pickle
Crow program over the next few months."

[SAPlayer]

Curious Gail do you work with MiningMarketWatch or just really good connections? Just seems you always have their link as part of an intro to a company

Not complaining keep it up, MMW usually generates good vol and I've had good fortune trading up MCI etc in the past

[Gail]

I like it when a Company rebrands themselves properly in a hot area
Funny because this company has some good gold property that they have worked for decades however they were hard to market so NCM.V has snagged some very good property in Timmins Gold Belt and the shares are responding accordingly.

More is getting beginning to be understood just how significant it is - this has legs. In fact their neighbours on the new acquisition were in the same boat as they were on their property and now they are rejecting offers from Lake Shore Gold. Here is some copy from a new article out this PM on Newcastle:

Newcastle's Timmins Gold Belt Property Completely Ring-staked by High Grade Lake Shore Gold Corp.

Highlights:
- Stable, mining friendly region and skilled technical leadership.
- Proximity of NCM.V claims to Lake Shore's new gold mill and mine and Melkior Resources new gold discoveries (including 60.27g/t Au over 1.8m among others), places Newcastle Minerals with one of the most prospective claims for new gold discovery.
- Newcastle Minerals's West Timmins gold property is completely ring-staked by Lake Shore Gold Corp. where a continued string of outstanding results in sections adjoining and near Newcastle's claims increases the inherent value of NCM.V with each announcement.
- Melkior Resources has commenced an 8,000m drilling program immediately to the west of NCM.V claims .
- Gold belt land packages developing for NCM.V on two fronts in Ontario.
- Advanced 100% owned holding properties of value in other jurisdictions.

Valuation Commentary: The inherent value of Newcastle Minerals Ltd. (TSX-V: NCM) (US Listing: NCMBF) increases with each announcement of further high grade gold discovery results by its neighbors (Lake Shore Gold Corp. and Melkior Resources) in the Timmins gold camp as NCM.V possesses highly desirable adjoining claims. The claims of Newcastle Minerals are uniquely positioned, surrounded by Lake Shore Gold Corp.'s Timmins Gold Mine Project and next to where Melkior is drilling to expand on significant results. Near term catalysts exist for NCM.V as the neighborhood advances and NCM.V develops its strategic presence in what is considered the most exciting and sustainable exploration mining camp in Canada. The NCM.V claims surrounded by Lake Shore are patent claims (which also convey surface rights) and thus hold added value should Lake Shore look to expand on its new gold mills' contiguous mineable territory. The NCM.V property is on the western extension of the Timmins gold camp, is bisected by the Bristol Fault in prime elephant territory and is considered to be exceptionally prospective for major gold discovery. The Timmins gold camp has been in production since 1909, has produced over 70 million ounces of gold. There are several active mines and advanced exploration and development projects currently underway in the Timmins camp.

With only ~49M shares outstanding and trading under CDN$0.20 NCM.V is poised for significant upside revaluation. The risk-reward characteristics are highly advantageous for investors establishing a long position in NCM.V as the current market cap relative to the inherent value of their projects seem disproportionate. Aforementioned near term catalysts are imminent, and a continued stream of favorable news from neighbors Melkior, Lake Shore, and Nebu Resources among others will drive the NCM.V claims up in value.

Source: http://miningmarketwatch.net/ncm.htm (Recommended Reading)
Corporate Website: www.newcastleminerals.com (I think they are still incorporating the new property info and re launching site soon - its that fresh)