Elray Resources, Inc.
(OTCBB: ELRA)
Trade Alert!
"ELRA Could Be Our Next Big Gold Play!"
We are hearing rumors of news that will be coming out in the very near
future which bodes well for ELRA and with Gold Prices approaching
$1200 per oz. (USD) we think ELRA has a bright future.
Publisher's Note:
July was kind of a quiet month with markets trying to figure out where they wanted to go, but things started moving back up at the end of August and we wanted to find a special stock winner for our members to start off August off on the right foot. We think we have found that stock in ELRA. The ELRA stock chart looks fabuluous right now. It recently broke out of a double-bottom formation to the upside and has moved through both it's 13 day and 50 day moving averages and both MACD and Stochastic indicators are strongly bullish right now.
With gold hovering just below $1,200 price levels we think that ELRA could be just what the doctor ordered for our members to start off the month with a winning gold stock play. Do your own homework and due dilligence on ELRA but we think you will like what you see. Put ELRA on your watchlist and keep an eye out for company news coming out very soon!
Elray Resources Inc. (OTCBB: ELRA)
Detailed
Quote: http://www.otcpicks.com/quotes/ELRA.php
Business Summary
Elray Resources Inc. (OTCBB: ELRA) is a junior exploration
and development Corporation which has successfully accumulated a
portfolio of four highly prospective, heavily mineralized mining
tenements in Cambodia and South America.
Elray’s Cambodian projects are the subject of a recently completed
NI43-101 Report from Behre Dolbear (BDA) Independent
International Consulting Geologists from Australia, and reports from
independent Field Geologist (Nick M Tate).
Further opportunities exist for the Corporation to explore for precious
metals in the Cambodian border territories of Laos, Vietnam,
Thailand and Indonesia.
The Company recently entered into a Letter of Intent to secure a
prime exploration property, known as Picacho, in Ecuador’s prolific
and legendary El Oro Province, located in the south eastern region
of the country.
Official records reveal that the major regional mining company,
SADCO, extracted over 4.5 million ounces of gold from the region
between 1905 and 1950, marking the area as prolific, with an
average grade of 14.5 grams/ton of gold. Active projects in the area
include Dynasty’s Zaruma, Dynasty and Jerusalem projects which
between the three projects have over 2 million measured and
indicated ounces of gold with over 3 million ounces inferred.
Elray's primary objective is to source potential and viable projects, conduct geological assessments and if the analysis proves
satisfactory, to seek Joint Venture partners to further develop the properties.
Financing Status
Elray Resources Inc. has secured financing from a private equity
fund, which has committed funds for continued exploration and
development.
Mining Projects:
Senator Project - Cambodia
The Senator Mine Project is a very good exploration target with the reported underground working, map reference by the French mapping and reporting of the 1970s and observed mineral and waste materials on the surface. This is an interesting project that has a reported 105 meters long audit following an average 1.5 meter wide multi-metallic massive sulfide vein with recoverable free gold. The initial target appears to be a multi-metallic quartz vein system up to about a reportedly 1.5 meters width. Small, local miners are working saprolitized (weathered) quartz vein with high-grade gold contents four kilometers ESE of the historical workings on the property which support the potential for additional styles and occurrences of mineralization on the project ground.
Angkor Wat (Rom Day Vein) Project - Cambodia
The Angkor Wat license is immediately adjacent and southeast of the Senator license. Delcom (2005) carried out a grid soil sampling program over a 1 km square area near the centre of the license and reported average gold grades of 0.5 g/t (by panning samples?).
Several associated workings indicate the Rom Day shaft targeted a vein that strikes NNW for a distance of approximately 50 m and dips steeply E. No significant vein material could be located on the dumps, but some small fractures in the wall rocks contained traces of quartz, calcite, chalcopyrite and tourmaline. The host rock is a fine grained quartz diorite with an unusual pink coloured albite-chlorite alteration assemblage. Some rocks on the dump have patches of strong sericite alteration. It seems likely that this is a similar style of mineralisation to the Senator Vein.
The local workers reported that they were not following a vein, but testing samples to locate the direction of the gold mineralisation. Ore from the shafts appears to be weathered quartz diorite with minor vein quartz material. Several float rocks of gossan after sulphide vein were observed at surface. One float rock of massive magnetite Skarn was located near the shafts.
Porphyry Creek Project - Cambodia
The Porphyry Creek Project covers 90 km sq in the District of Tbeng Meanchey, Preah Vihear Province approximately 210 km north of Phnom Penh. The site is located approximately 110 km north form Kampong Thom along a major secondary road which took 4 hours to traverse due to the weather and surface conditions at this time. There is limited to no geological data published on Cambodia in general and none for this specific location in the public domain.
The Prophyry Creek Project is a multiple style mineralization project. We have observed and sampled an interesting new style of mineralization for Cambodia on the SW edge of the ground that suggests there is a copper porphyry that underlies the project, either directly beneath the sampled outcrop or in a really close sense. A select sample of the chalcopyrite and malachite/azurite micro-veining appearing near vertical in fairly close spacing (10 to 15 veinlets of 0.5 to 1.0 mm thickness per meter) produced results up to 1% copper in the quartz rich granodiorite outcropping in the steam and banks of a small drainage. This is a very significant find and its potential value can not be over stressed.
El Oro Province - Ecuador
Elray Resources, Inc. recently announced that it had entered into a Letter of Intent to secure a prime exploration property, known as Picacho, in Ecuador's prolific and legendary El Oro Province, located in the south eastern region of the country.
The Company reports that official records reveal that the major regional mining company, SADCO, extracted over 4.5 million ounces of gold from the region between 1905 and 1950, marking the area as prolific, with an average grade of 14.5 grams/ton of gold. Active projects in the area include Dynasty's Zaruma, Dynasty and Jerusalem projects which between the three projects have over 2 million measured and indicated ounces of gold with over 3 million ounces inferred.
El Oro province (Spanish: Provincia de El Oro; Oro (es:oro) = Gold) is the southernmost of Ecuador's coastal provinces. It has been named that way because of its historically important gold production.
Gold Mining in Cambodia
The gold mining industry within Cambodia is currently in a state of transition. Although considered smallscale by international standards, the scale and extent of operations is increasing. Sector growth has been characterized by an increasing number of miners employed, ever more complex and deeper mine excavations (some up to 80 meters deep), and the introduction of chemical-based gold recovery techniques that represent a movement up the technology curve.
In 1975 twelve gold deposits were known to exist within Cambodia having been identified by French geologists. Ten gold deposits were located in the western regions of Cambodia with a further two located in northwestern Cambodia. The latter regions however were comparatively inaccessible as a result of thick jungle and in later years the presence of the Khmer Rouge. However during the Vietnamese occupation throughout the 1980s however the northeastern region was one of the safest in Cambodia and thus favorable for gold prospectors.
Within a few years seven new significant gold deposits had been discovered by local farmers in the northeast, instigating a 'gold rush' to the region. There are currently 19 known gold deposits in Cambodia.
Year by year gold mining has become an increasingly important profession in Cambodia, both for full-time professional migrant gold miners who move from one gold deposit to another, and for local farmers who supplement their income between agricultural seasons. At present, it is estimated that between 5,000 and 6,000 people are employed during the peak mining season in Cambodia, which begins in November and finishes in May, i.e. Cambodia's dry season (Department of Geology, Pers. Comm., 2004). New mining settlements, whose population can number up to 1,000 people, have appeared close to many major gold deposits. These transformations place stress on local communities and additional pressures on the local environment.
One of the major differences between the mining industry in Cambodia and those in other countries is the organizational grouping of the miners. Mainstream international mining companies are not represented and the sector appears increasingly dominated by local, Korean or Chinese backed small companies. There are many independent gold mining individuals and small groups, but it would appear that the number of independent miners is decreasing in the face of increasing control over mining areas by concessionaires, companies, and wealthy miners. In addition, military personnel are posted to operations partly to maintain control and partly for civil order. Political overtones create an added dimension that shapes the Cambodian gold mining sector.
Two types of small-scale mining operation are found to be predominantly conducted in Cambodia: open trenching, and underground shafting/tunneling. The choice of mining method is dependant on the location of the gold-bearing ore. Pocket mining is also conducted on surface placers and shallow deposits, although many of these locations are now exhausted and unprofitable.
Company Chart
ELRA's stock chart looks impressive right now. Volume has been increasing nicely in the last week and after completing the formation of a double bottom formation ELRA has had a breakout above the $.07 resistance level and has continued it's upward movement. As ELRA completed the double bottom formation it broke above both the 13 and 50 day moving averages and the MACD and Stochastics indicators have turned bullish and remain bullish through today.
The ELRA chart is looking very bullish right now and we know there are going to be a number of IR guys working on it over the next week so hopefully it will continue it's nice run and give our BullseyeMicrocaps.com members a chance to make some profitable trades on it. Put this one on your watchlists and do your homework on it fast.
Elray Resources, Inc.
#15, 291 Street,
Sangkat Boeng Kok 1,
Tourl Kok District,
Phnom Penh, Cambodia
Phone: (702)-940-9714
Web Site:
http://www.elraymines.com
