Topic: How To Invest

Hello. What do you think of U.S. Gold Corp. (UXG) in the mining sector? Regards.

Article Excerpt

U.S. Gold, $7.31, symbol UXG on Toronto (Shares outstanding: 117.1 million; Market cap: $855.7 million; www.usgold.com), owns properties in Mexico and Nevada. Its main prospects are its silver/gold discovery at the El Gallo project in Mexico, and its Gold Bar gold project in Nevada, which is moving toward production. El Gallo is still at an early stage of development. However, its estimated gold and silver resources now stand at 59.5 million ounces of silver and 567,492 ounces of gold. The company aims to start up an open-pit mine in late 2013. The mine would then produce 35,000 ounces of gold and 5 to 10 million ounces of silver a year. The Gold Bar project is more advanced than El Gallo. Its estimated gold and silver resources stand at 3.2 million ounces of gold and 1.3 million ounces of silver, and drilling continues to outline more reserves. The company is now undertaking a prefeasibility study to determine whether to go ahead…