Barkerville Gold: Sprott lent them money?!?!

Barkerville Gold “Mines” (BGM) is the poster child for everything that is wrong with the junior mining sector.  Insiders are overpaid, G&A costs are excessive, and they issue inflated technical reports.  The stock is currently halted as their latest technical report was massively inflated.  The halt was a little late but at least regulators did something for once.  The technical report claimed that Barkerville had a Bre-X sized deposit in the tens of millions of ounces and that it had the geological potential for 65-90 million ounces.  That would correspond to the largest gold deposit ever found by man.  Apparently Barkerville still has credibility.

Advertisements

Barkerville Gold Mines (CVE:BGM)… where to begin

Remember how Bre-X had a potential of up to 200 million ounces?  Well let me introduce you to Barkerville Gold Mines.  According to Barkerville’s press release, it has a “geological potential” for up to 65-90 million ounces of gold.  (Cue laughter.)

The Shill Report

I guess I learn something new every day.  Even the senior miners will pay money to shill companies to promote their stock.  A site called The Gold Report has a list of the companies that they cover on their front page (scroll down if you don’t see it).  There are some big names on there like Goldcorp and Nova Gold.

Disclosure: I own a lot of companies that ‘sponsor’ The Gold Report.  Northfield Capital owns Goldcorp, Premier Gold, Queenston, etc.  Altius owns Alderon and Millrock.  I own Pinetree as well (they own a few hundred stocks; chances are, many of them sponsor The Gold Report).  Sigh…