Pacific Gold Corp. Gains Momentum with Black Rock Canyon Gold Mine and Project W Acquisition

Strategic Insights -

Pacific Gold Corp. has been making significant progress in its gold and base metals operations, with the Black Rock Canyon gold mine currently under construction and scheduled to begin gold production in the first quarter of 2006. The mine is expected to generate revenues of up to $5.3 million in 2006, with EBITDA of up to $2.5 million. With the recent increase in gold prices, the company's stock is well positioned for potential growth, trading at a low price of $0.24 per share.

Key Takeaways:

  • Pacific Gold Corp.'s Black Rock Canyon gold mine is scheduled to begin gold production in the first quarter of 2006, with estimated resources of up to 500,000 ounces of gold.
  • The mine is expected to generate revenues of up to $5.3 million in 2006, with EBITDA of up to $2.5 million.
  • The company's stock price is trading at a low of $0.24 per share, making it an attractive investment opportunity.
  • Pacific Gold Corp. has made significant progress in its base metals operations with the acquisition of Project W, a large tungsten-based deposit in Nevada.
  • The company's mission statement is to acquire up to $2 billion of mineral deposits by 2009, with the acquisition of Project W bringing it closer to achieving this goal.
  • The Black Rock Canyon mine is located in Lander County, Nevada, in the proximity of the Cortez Gold Mine, owned by Placer Dome and Rio Tinto PLC.
  • Pacific Gold Corp. has four operating subsidiaries, including Nevada Rae Gold, Inc., Pilot Mountain Resources Inc., Fernley Gold, Inc., and Oregon Gold, Inc.
  • The company has secured funding through debt and equity financing, including a $1.5 million debt issue in December and $4.6 million in equity and debt financing in the second quarter of 2005.
  • Pacific Gold Corp.'s acquisition of Project W is expected to contribute significantly to the company's growth, with the ore deposit valued at up to $700 million based on a feasibility study prepared by Kaiser Engineers and Union Carbide.

Statistics:

  • Pacific Gold Corp.'s stock price: $0.24 per share
  • Estimated resources of the Black Rock Canyon mine: up to 500,000 ounces of gold
  • Revenues expected for the Black Rock Canyon mine in 2006: up to $5.3 million
  • EBITDA expected for the Black Rock Canyon mine in 2006: up to $2.5 million
  • Number of shares outstanding: approximately 37,500,000
  • Estimated time to mine life: over 20 years
  • Funding secured: $1.5 million debt issue in December and $4.6 million in equity and debt financing in the second quarter of 2005

Sources:

  • M2 PressWIRE - "The Stockpage: Stocks to Watch!" (January 17, 2006)
  • Pacific Gold Corp. website - www.pacificgoldcorp.com
  • Kaiser Engineers and Union Carbide feasibility study (cited in M2 PressWIRE)
  • Securities and Exchange Commission filings (cited in M2 PressWIRE)