Here’s our Pick of the Month – September 2011

Article Excerpt

NEW GOLD $11.97 (Toronto symbol NGD; TSINetwork Rating: Speculative) (888-315-9715; www.newgold.com; Shares outstanding: 428.8 million; Market cap: $5.3 billion) has three operating mines: the Mesquite mine in the U.S., the Cerro San Pedro mine in Mexico and the Peak mine in Australia. It also owns 30% of the El Morro copper/gold project in Chile (Goldcorp owns the other 70%) and 100% of the New Afton gold/copper/silver project in B.C. El Morro contains an estimated 4.7 million ounces of gold and 3.7 billion pounds of copper. New Afton holds 2.5 billion pounds of copper, 2.7 million ounces of gold and 8.3 million ounces of silver. In June 2010, New Gold bought Richfield Ventures (symbol RVC on Toronto) for $550 million in New Gold shares. Richfield owns the Blackwater gold property in central B.C., about 450 kilometres north of the New Afton project. Blackwater holds as much as 3.8 million ounces of gold. After it brings New Afton into production, New Gold aims to…