Gold Hits New High. Production Focused Juniors Should do Well.

GORO ($7.35):  GORO should be in gold production by the end of the year.  If they can show cash costs of $100/oz, the stock will push into the teens.  At $1,000 Gold, Year 1 cash flow expected to be $60 million and growing to $170m by Year 3.  GORO currently has a $338m market cap.

TLR ($0.68):  TLR’s Butte Highlands Gold Project is fully funded to production and is staged to produce gold by year end 2010.  At $1,000 Gold and $400 cash cost/oz, TLR will likely cash flow $15m in Year one growing to as much as $25m in years following.  TLR currently has a $27m market cap.

Disclosure:  LONG GORO and LONG TLR