SLK - Selkirk Metals Corp - Page 2

Some nice gains the past 2 days of trading.




Here is a nice writeup for SLK:

http://wealthdaily.net/newsletter.php?pub=wd&id=246

Pretty nice grades, zinc stocks are just not reacting to the news yet.

Apparantly the Hard Rock Analyst co-editor Eric Coffin likes Zinc and SLK

An excerpt from the following story:

http://www.stockhouse.ca/shfn/editorial.asp?edtID=18758


Of the base metals, Coffin says he is probable most comfortable with zinc. "It's still in supply deficit and it doesn't look like that will change anytime soon. There is some concern with zinc because its largest demand sector is automotive, which has been facing problems in the United States." Globally, though, he believes demand is still strong especially for automobiles in China.

He prefers investing in a zinc company with an accessory metal, such as silver. Coffin likes Selkirk Metals (TSX: V.SLK, BullBoards), which he suspects will have a lot of results coming in the next three months. "It's really important during this time when people are nervous that the first thing to ask a company is: What's your information flow. In a hesitant market such as this you don't want to buy a stock where you're not going to hear from a company for six months - you have to have information flow."

Selkirk Metals Corp.: Massive Sulphide Zinc-Lead Horizon Continues to Expand on the Creek and E-Zone Ruddock Creek Property

VANCOUVER, BRITISH COLUMBIA, Oct 11, 2006 (CCNMatthews via COMTEX News Network) --

Selkirk Metals Corp. ("Selkirk" or the "Company") (TSX VENTURE:SLK) is pleased to provide this update of operations for the Ruddock Creek Property, which is located 100 km north of Revelstoke in the Kamloops and Revelstoke Mining Divisions, British Columbia (the "Property").

Drilling has commenced on the first of 12 additional zones of massive sulphide mineralization that serve to outline the SEDEX basin at Ruddock Creek. Recent Creek Zone drilling represents a significant stepout of the drilling to date and is located 900 metres southwest of the westernmost drilling at the E-Zone. To date, 4 holes have intersected massive sulphide over widths of between 6.3 and 10.64 metres at the Creek Zone. The Creek Zone is located along the southern edge of the known SEDEX basin and forms part of a continuous series of massive sulphide showings, including the T and Lower T showings which have been traced at surface for over 600 metres. Previous drilling results from the T Zone included 7.3 metres of 10.6% zinc and 2.24 % lead. This series of massive sulphide showings forms a part of the 5kms long "Ruddock Creek Massive Sulphide" system. Drilling will continue to extend the Creek Zone both along strike and down dip.

Two other drill rigs continue to operate on the E-Zone and are extending the E-Zone along strike to the west and down dip to the north. The zone has now been intersected for over 1 kilometer down plunge from surface, and the width where defined in sufficient detail, is approximately 400 meters. Significant zones of massive sulphide mineralization have been intersected which confirm the interpretation of the zone as a continuous massive sulphide horizon dipping to the north at 45 degrees, and plunging at 40 degrees to the west. The zone remains open to the west where the most westerly drill hole RD-06-152, which was recently completed, intersected the massive sulphide horizon with assays pending.

The most recently received drill results are from holes located along the northern and eastern edge of the massive sulphide horizon in the E Zone area. These intersected narrow zones of massive sulphide mineralization consistent with the interpretation of a westerly trending SEDEX basin. DDH-06-129 at the east edge of the E Zone intersected 4.65% zinc plus lead over 5.38m, DDH-06-131, 132, 136 and 137 are all located along the northern edge of the basin and encountered combined zinc plus lead values of 9.9% over 2.95m, 5.2% over 5.1m, 8.8% over 1.3m and 5.2% over 1.9m respectively. Drill hole DDH-06-127 located along the southern edge of the basin intersected 5.84% combined zinc plus lead over 7.26m. DDH-06-128 was not completed due to technical problems.

As a result of the successful 2006 drilling program on the E-Zone which has confirmed the continuity of the massive sulphide mineralization, the Company has now made the decision to proceed with planning for the development of an underground decline. This will facilitate underground diamond drilling to fully delineate the E Zone mineralization and allow for bulk sampling. The construction of road access to Light Lake, where the decline will be collared, is nearing completion, and will be finished prior to the end of the 2006 program. The location, direction and final details of the decline will be finalized once all the data from current field operations have been received and compiled.

As the Company has mentioned previously the assay results from the majority of the drilling in 2006 are yet to be received but visual results have served to confirm the continuity of the sulphide mineralization over a sufficient area to justify the initiation of engineering studies. As part of these studies representative samples of the base metal mineralization are being collected for detailed petrography and metallurgical studies in anticipation of commencing a scoping study. As the final results from the 2006 drilling program are received the Company will complete a resource analysis, which will in turn be updated as exploration continues and as part of the planned scoping study.

Exploration on the Ruddock Creek Property is being conducted under the supervision of the Company's Qualified Person (as defined by NI 43-101), Jim Chapman, P.Geo.

Pursuant to the option agreement with Doublestar Resources Ltd. (TSX VENTURESR) Selkirk has now completed the obligations to acquire a 60% interest in the Ruddock Creek Property and has notified Doublestar of its intention to proceed with the additional expenditures necessary to earn a 70% interest.

CORPORATE

Selkirk also wishes to announce a non-brokered private placement to raise up to $1,000,000 by the issuance of up to 1,666,666 flow-through units ("FT Units") priced at $0.60 per FT Unit. Each FT Unit consists of one flow-through common share and one half of one common share purchase warrant (each whole warrant is hereinafter referred to as the "Warrants"). Each Warrant is exercisable into one non-flow-through common share for twelve months from the date of issuance at a price of $0.80, except that if over a period of ten consecutive trading days, the weighted average closing price of the common shares on the TSX Venture Exchange exceeds $1.60, the Company may give notice in writing to the Warrant holders within 30 days of such an occurrence that the Warrants shall expire on the 30th day following the giving of such notice unless exercised by the holders prior to such date.

Selkirk will pay a Finder's fee equal to 6% of the gross proceeds raised by the Finder, payable in cash. In addition, the Finder will receive warrants equal to 10% of the FT Units placed by the Finder, with each warrant exercisable into one common share at a price of $0.80 for twelve months from the date of issuance.

The Company anticipates that there may be insider participation in the above private placement, for which the Finder will not receive a commission.

The proceeds from this offering will be dedicated to the exploration and on-going development of the Company's Ruddock Creek Property.

The above private placement is subject to all regulatory and board approvals.

At least the PP is being done at .60 cents and its also nice that the warrants are priced at .80 cents. I'm just going to have to hold this one longer than I had expected.

The Company anticipates that there may be insider participation in the above private placement, for which the Finder will not receive a commission.

Sounds positive...

Decent gains today...+10%

Hopefully the start of an uptrend.

+.15 cents...

if it clears .69 cents, very very thin ask up to .80 cents. (9500 shares to be exact)


Edit:

So much for that...someone slammed it nicely (market sell).

Nice couple days for SLK RSI still reasonable, zinc prices on the rise and the Ruddock creek drill program under way.