Emgold: 2 million oz. gold for $3 million

(Why is this stock still so cheap?)

Silver Stock Report

by Jason Hommel, February 13th, 2013

The ticker symbols are: 
US Pink Sheets symbols: EGMCF.PK, EGMCF
Canadian Vancouver exchange: EMR.V, V.EMR

Emgold December 2012 Corporate Pesentation:

As of Dec. 1, 2012
Shares Outstanding: 60,008,605
Fully Diluted including all options and warrants: 100,715,671
Share Price:  ..05/share CDN

Market Cap: $3 million CDN 

The Idaho Maryland Mine, one of Emgold's top projects, in my hometown of Grass Valley, is one of the highest grade gold mines in the world. 

Gold Resources (NI 43-101 Tech Report)
Measured Resources:
1.10 million tonnes at 0.21 ounces per tonne = 212,000 oz. of gold

Indicated Resources:
0.57  million tonnes at 0.48 ounces per tonne = 259,000 oz. of gold

Measured and Indicated Resources
1.67 million tonnes at 0.28 ounces per tonne = 472,000 oz. of gold

Inferred Resources
2.57 million tonnes at 0.39 ounces per tonne = 1,002,000 oz. of gold

That's a total of 1,945,000 ounces of gold.

The exploration potential is up to 3-5 million ounces of gold, or even more. 

Emgold's last feasibility study projected their Idaho Maryland mine being economically profitable with gold prices at $420/oz.  At $1600/oz., this leaves $1,200/oz. as pure profit.

They plan to be able to produce up to 200,000 oz./year, x $1,200/oz., giving a profit of about $240 million/year, or more as gold prices increase.

For a $3 million market cap company?!  Why is this stock so cheap?

They need to raise around $125 to $175 million to start mining.  That's nothing given the potential profit.

But it's difficult to raise money now with gold still so misunderstood and ignored by investors.

Gold mining has returned to California, with numerous other projects across the state getting permitted.

Underground mines within a three mile radius of Idaho-Maryland Mine produced 13 million ounces of gold from 1850 to the mid-1950’s. 

My hometown of Grass Valley is where the hydrolic gold mining method was once practiced.  There are huge water nozzels, stamping mills, and water wheels scattered around town, as historical relics of the rich gold mining history of the town.


I own 540,000 shares of Emgold stock, purchased at around 10 cents/share, and nobody has paid me to write about Emgold. 

For more information, read the corporate presentation, or contact the company.  I'm not an insider, I'm not the Investor Relations contact for Emgold, and I don't have any inside information.

Emgold December 2012 Corporate Pesentation:


I strongly advise you to take possession of real gold and silver, at anywhere near today's prices, while you still can.   The fundamentals indicate rising prices for decades to come, and a major price spike can happen at any time.

JH MINT & Coin Shop
13241 Grass Valley Ave
Grass Valley, CA 95945
(530) 273-8175

Minimum telephone order $5000 for free shipping, USA shipping only.
Open 10AM to 5PM Pacific Time, Monday to Friday, closed weekends and bank holidays. 
Kerri handles internet phone orders:
(530) 273-8822

NEW Location in Auburn, CA!
JH MINT Silver & Gold
1760 Highway 49 A140
Auburn, CA 95603
(530) 889-1086

You can also buy silver from my mom at www.momssilvershop.com
Mom will ship overseas, even large orders up to $300,000 or larger, and also in lots of more or less than 100 ounces.   
3510 Auburn Blvd #12
Sacramento, CA 95821


Jason Hommel