ADA , Acadian Gold now producing zinc - Page 4

More news! Back home in Cape Breton too!



Acadian Gold acquires 52 barite mineral claims in N.S.


Acadian Gold Corp (C:ADA)
Shares Issued 106,517,990
Last Close 3/20/2007 $1.03
Wednesday March 21 2007 - News Release

Mr. G. William Felderhof reports

ACADIAN GOLD ACQUIRES BARITE DEPOSITS IN ATLANTIC CANADA

Acadian Gold Corp. has acquired a 100-per-cent interest in 52 mineral claims (842 hectares) in Cape Breton Island, N.S., known as the Lake Ainslie barite-fluorite deposits, thereby assuming control of what is believed to be the largest insitue resource of barite in Atlantic Canada, based on historical information. The deposits host an uncategorized resource of 4.25 million tonnes grading 34.0 per cent barite and 17.3 per cent fluorite (Conwest Exploration Company Ltd., 1972). This equates to approximately 1.6 million tonnes of contained barite (90 per cent). These resources are not National Instrument 43-101 compliant and as such cannot be relied upon. However, the estimation is based on 129 diamond drill holes totalling 16,394 metres of drilling. There is potential for expanding these resources through additional drilling. The principal consumer of barite is the oil and gas industry. Barite is the principal component in drilling mud, serving as a weighting agent thereby preventing blowouts and gushers.

Barite is presently priced at $275 (U.S.) to $325 (U.S.) per tonne and acid grade fluorspar at $230 (U.S.) to $240 (U.S.) per tonne (Industrial Minerals Magazine, March, 2007, page 84).

Will Felderhof, president and chief executive officer, stated: "Control of the Lake Ainslie Barite-Fluorite deposits represents another step forward in the growth of Acadian Gold. These deposits are strategically located with respect to infrastructure and proximity to tidewater and are an obvious fit for our Atlantic Canada focus."

Scotia mine (zinc-lead) update

All mobile equipment necessary for mine start-up is now on site, and road construction for the open pit has commenced. Refurbishment of the mill is expected to be completed by March 30, 2007, and initial ore throughput is anticipated to commence in mid-April.

Photos showing the state of readiness of the Scotia mine start-up taken on March 16, 2007, can be viewed on the company's website.

Other

Terence Coughlan, BSc, PGeo, is acting as qualified person in compliance with National Instrument 43-101 with respect to this release and has reviewed the contents for accuracy.

© 2007 Canjex Publishing Ltd

This one is looking good today, having touched $1.12 on average volume. For anyone still on the sidelines, anything under $1.10 is an excellent entry price IMHO. Look at the charts, it's set for a big move once the financing closes and production begins. It reversed off the bottom at $1.01 which was a textbook 38.2% Fib retracement. I have a Fib target of $2.14 and a fundamental target that's much higher.

The story continues to be put out:

http://www.herald.ns.ca/Business/566003.html

Current Market Depth:

JonEcash

I am locked and loaded.

I think it won't be long before this one goes berzerk. Once it goes, it will be too late. They have to much going for them to be stuck at the 1$ level.

Very nice.

I'll be watching this one on Friday.

ADA recommended again by gold guru McCoach.

His #1 pick

this one is going up soon.

McCoach on ADA.

I'm posting this from SH, since I'm not a subscriber:

Hi JonEcash,

can you tell me what is "SH"?

I believe he's referring to http://www.stockhouse.ca.


~C

2007-04-02 07:07 ET - News Release

Mr. G. William Felderhof reports

ACADIAN GOLD CORPORATION CLOSES $20 MILLION PRIVATE PLACEMENT

Acadian Gold Corp. has completed the private placement of a total of 15.25 million equity units at a price of $1.05 per unit and an additional 3.8 million units on the exercise of an overallotment option granted to the underwriters for total gross proceeds of $20,002,500.

Each unit consists of one common share of Acadian Gold and one-half of one common share purchase warrant. One whole warrant will entitle the holder to subscribe for one common share for $1.35 at any time until the date that is 18 months from closing.

Acadian Gold paid the underwriters, Northern Securities Inc., Canaccord Adams and Bieber Securities Inc., a work fee and a cash commission equal to 6.75 per cent of the proceeds of the offering and issued a number of warrants to acquire underwriters units equal to 6.75 per cent of the units sold under the offering. Each underwriters' unit warrant entitles the holder to acquire one underwriters' unit for $1.05 at any time until the date that is 15 months from closing. Each underwriters' unit comprises one common share and one-quarter of one common share purchase warrant, with each whole underlying warrant entitling the holder to acquire one common share at $1.35 at any time until the date that is 15 months from closing.

All of the securities issued in connection with the offering are subject to a four-month hold period from the date of issue.

The net proceeds of the private placement will be used to advance Acadian Gold's zinc-lead mine (the Scotia mine) into production and for general corporate purposes.

Will Felderhof, President stated, "Closing this private placement for $20 million was the final milestone to bring the Scotia Mine into production. The Scotia Mine has now been given the green light to proceed to production, and it is anticipated that the mill will begin processing ore in mid to late April. This will definitely be a big event for the Acadian Gold shareholders and our employees at Scotia Mine who worked very hard to ready the mine and mill for production. As well, success at the Scotia Mine will result in a positive contribution to the Nova Scotia economy."

For additional information on the Company's properties and activities, please visit our web site at www.acadiangold.ca. If you wish to be added to the Company's e-mail or fax distribution list for future news releases and updates, please contact us at phone: 902 444-7779, fax: 902 444-3296, email: mail@acadiangold.ca.

We seek Safe Harbor.

Good trading today to close at the HOD putting up another white candle on the chart with decent volume.

In addition to today's press release about the closed financing (posted above), here's a good local news article talking about the mine and it's potential. Hold onto your shares or buy more on the dips if you can. This is now a game of dollars rather than pennies.

http://thechronicleherald.ca/Business/568262.html

I think the share dillution effect is over now. Share price starting to built momentum. Unless there is a natural disaster, this will only be good news from now on.

I am locked and loaded....ready for the real ride up.

I've been waiting on the sidelines looking for an entry point and I'm thinking now is the time to buy in. Anyone know why there has been some insider selling? Are any warrants or options outstanding that can be exercised soon?

Those recent insider sells were most likely to take part in the March 14 PP which closed yesterday. Sell the shares at $1.02 to $1.05 and buy a unit at $1.05 which includes a half warrant. The sells also weren't much of their holdings. Not too concerned at all, and the market agrees since the share price climbing.

I know there are 1.15M $0.35 warrants set to expire on May 14th but I have a feeling most of those have probably already been exercised.

Looks like we're moving up in the world with the tier reclassification. Stock has pulled back a bit, and is providing a chance for good entry points IMHO, for anybody not yet in this one.

Hope some of you have taken advantage of the buying opportunity that the pullback has presented. I picked up more at $1.05 this morning, but I doubt we'll get down there again with the floor having moved up according to the latest market depth (which is looking much stronger). Looks like the MM's wanted to bounce this one off the PP price.

Anyways, just got an email response from the V.P. that production is only days away according to his engineers and everything is looking good. Slight delay was due to the 4 day Easter holiday. Once that happens, we can expect an NR. Have a look at AUN to see how news of actual production and cashflows can move a stock. And with the price of metals set to rise this year.....

Yes sir JonEcash,

I wonder how big AUN is compared to ADA as far as production revenues. Could give us a good idea to where ADA will be heading.

Roulston.

Lawrence just put out his latest newsletter and ADA was one of the few stocks that got his highest rating of 2a (none got a 1 rating). His rating system is:

1, 2a, 2bb, 2b, 2c, 3

This one hasn't even begun to move yet which is amazing considering imminent production and the recent rise in zinc and lead. Time to back up the truck if you can IMHO.....

ACADIAN GOLD ENGAGES INVESTOR RELATIONS SERVICES FROM MICHAEL BAYBAK AND COMPANY, INC.
SCOTIA ZINC-LEAD MINE TO START-UP


Halifax, NS April 20, 2007

FSC / Press Release


ACADIAN GOLD ENGAGES INVESTOR RELATIONS SERVICES FROM MICHAEL BAYBAK AND COMPANY, INC.

SCOTIA ZINC-LEAD MINE TO START-UP


Halifax, Nova Scotia CANADA, April 20, 2007 /FSC/ - Acadian Gold Corporation (TSX - VX: ADA), ("Acadian Gold") announced today that it has entered into a twelve month contract with Los Angeles, California based Michael Baybak and Company, Inc. ("MBC") to conduct institutionally-oriented investor relations programs on behalf of the Company. Headed by Mr. Michael Baybak, MBC is a long-term institutional and media investor relations specialist in the natural resource sector, with a focus on introducing Canadian resource companies of merit to broader institutional and retail investor audiences.

Acadian Gold will pay MBC a monthly fee of US$7,000 for the one-year term of the agreement, but has the option of terminating the agreement after the first five months of service. Acadian Gold may renew the agreement after the first year of services. A two-year stock option to acquire 600,000 common shares of Acadian Gold ("Shares") exercisable at CDN$1.10 per Share will be issued to a principal of MBC, subject to regulatory approval. The option vests in four stages, with 25% (150,000 Shares) vesting at the end of each quarter during the twelve month term of the agreement.

Scotia Mine (Zinc-Lead)Update

Excellent progress is being made with plant refurbishment now complete and initial throughput of low grade ore scheduled to commence April 27, 2007.

Production started today!

Mine back in business
Lead and zinc operation in Gays River resumes today
By KELLY SHIERS Staff Reporter
ADVERTISEMENT

After almost two decades of silence, the Scotia mine in Gays River will roar back into operation this morning as its first loads of ore are processed into lead and zinc.

"There’ll be a lot of happy people out there," Bill Rogers, Acadian Gold Corp.’s chief operating officer, predicted just before the first rock was blasted from the open-pit mine.

"A lot of those guys have put a lot of work in there since last May. We’ve had the mill all apart in little pieces and put it all back together and those guys are operators and they want to see it go."

Acadian, founded by Will Felderhof, has the only operating lead and zinc mine in the province. The company hopes to use cash from the operation to help develop four gold mines on the Eastern Shore as well as other projects, such as mining its barite deposit in Cape Breton.

In July 2006, the company paid $7.5 million for the mothballed mine on 560 hectares near Shubenacadie, a 40-minute drive from downtown Halifax. Since then, it has spent just over $4 million refurbishing the mill. Company officials say none of the money came from government.

A previous owner had already spent about $18 million in 2000 for an environmental assessment and other work that paved the way for the mine to switch from an underground operation to an open pit.

In an earlier interview, company vice-president Terry Coughlan described the operation as a "Cadillac mill" when it opened in 1979 and said time had taken little toll on the idle facilities and equipment. As a result, the mine was still an attractive proposition, especially as the price of lead and zinc continues to rise.

The last time the mill operated in the 1990s, zinc, used in everything from cars and nutritional supplements to nuclear power plants, was selling at about 40 cents a pound. It now sells around $1.45 a pound and, as world stockpiles dwindle, some analysts predict it could rise higher than $2 a pound. Lead, which was about 23 cents a pound when the mill closed for the last time, now sells for about 85 cents a pound.

Mr. Rogers said the mill will process 80 tonnes of rock into three tonnes of zinc and lead each hour. Although operational snags are common in the first couple of months during any plant startup, officials expect the mill to run round-the-clock once it is fully operating by the end of June.

The mine now employs 60 people, with more expected to be hired. Up to 40 contractors also remain at the site.

( kshiers@herald.ca)

In today at 1.11. Chart is looking pretty nice.