Visit www.juniorreport.com for more information
Sustainable Exploration and Explosive Portfolio Gains?
On this edition of the Junior Report, I bring you Corazon Gold (CGW.V); a recently formed junior gold company, which I believe has the potential to be the next B2 Gold and translates to a real portfolio-changer for readers.
In The Junior Mining World, Cash Is KING.
With $7M sitting in the till, Corazon’s financial future is looking very bright indeed with the ability to fully finance the exploration of their Santo Domingo property. Currently, the company has begun plans to complete a three-phase drill program in the near future. Corazon is also actively looking to purchase additional properties to diversify their exploration profile. These days, most junior miners are running on empty, making Corazon’s position the envy of their peers the world over.
Nicaragua 101
The largest country in Central America, Nicaragua has potential written all over it, especially if B2 Gold’s quarterlies are any indication, painting Nicaragua as a country literally spilling at the seams with gold. As the original gold discovery of the Spanish Empire over 200 years ago, the followers of their conquistadors were well aware of the bounty of these lands. Historically however, the modern drill bit has barely began to tap the surface of this country, making Corazon the proverbial lone wolf striking at the heart of elephant country. The sky is the limit here.

Nicaraguan Highlights
- Modern, well-established mining laws
- A clear and transparent permitting system in place
- It is the largest and least-explored country in Central America
- The country has an overall literacy rate of 93%
Stable and safe, Nicaragua is a great place to invest with a healthy capitalistic view from the populace and a reasonable tax structure. With its strong governmental and community ties, I do not anticipate Corazon running into any hicups in Nicaragua.
Santo Domingo
Located 10km east of B2’s La Libertad mine, Santo Domingo is Corazon’s flagship property. The entire block pretty much belongs to B2 Gold, and the Santo Domingo property is surrounded by B2 Gold claims on all directions. The property is covered with shallow quartz veins. This concession has never been drilled or mapped with modern exploration techniques.
The single key fact that brought Corazon to the front page of my world is that it is a mere 200m away from B2 Gold’s Jabali vein. To those of you unfamiliar with Jabali, it is a vein structure containing 522,393 ounces averaging 4.58g/t Au. The Jabali structure is a lot richer than what they are mining at the La Libertad mine, where the average mill feed is merely 1.6g/t Au.
Highlight Holes From The Jabali Vein:
6.09m @ 41.2 g/t
32.74m @ 8.74 g/t
10.93m @ 6.25 g/t
The Santo Domingo project lies on a broad belt of tertiary volcanic rocks, containing two major units, the Matagalpa and Coyol groups. The Coyol group is the lower of the two and is gold bearing and classified as a low-sulphidation epithermal quartz adularia system.
Upon further exploration, and if drill results keep proving to be favorable, I am sure that B2 Gold will want to scoop up this project because the Jabali vein is only 200m away from Corazon’s concessions. In a report available on B2 Gold’s website, they state that they plan to mine the ore at the Jabali vein as it will be more economically viable due to higher grades.
-

- Santa Domingo Concession Map
The Insiders Are Fully-Loaded… Are you?
Corazon has a very high percentage of insider ownership and a share structure that is tighter than a whistle. The insiders own a mind-blowing 48% of the float, which is unheard of in the junior mining world and a lot higher than anything that comes to mind. To top all this off, institutional investors control 44% of the float. The public float is VERY tight. If the anticipated drill results at Santo Domingo come to fruition, I expect a sharp increase in shareholder price, as there will be no resistance or hurdles to overcome.
The major financial institutions that own the stock are Sentry Precious Metals Growth Fund and Sentry Investments. These guys have done their due diligence and they believe that this will be a winner. Not often do you find funds investing in such grassroots projects.
I would also like to point out that today the stock is trading for
.26. In January 2011, when initial seed financing was done, they were done at
.20. Not often do you get to invest at a price that these risky financings are done at!
Management, Management, Management.
As readers can probably already tell, management is a key focus to a lot of my reports. I only choose companies with excellent management teams and this one is Grade-A like all the rest.
Even though this is President/CEO Patrick Brauckmann’s first project he is doing a fantastic job, with the financing done at almost record prices Patrick knows what he is doing and he has quickly proved it. He also has a great board of directors and excellent staff. The big names on board are Dr. Carl Hering, who has had senior roles at Noranda Exploration and Placer Dome. The rest of the board is also star-studded with a great mix of finance and geology professionals.
I would also like to mention that Corazon has great community relations, as this is very important for a company that is operating outside of North America. Not only does Corazon employ 40 people, they also are assisting the locals on cleaning the Artiwas River. Corazon is committed to improving environmental and social conditions at Santo Domingo. They also have started a tree nursery that is planting native trees around the area, as well as sponsor Operation Smile, a globally active organization that provides safe, effective reconstructive surgery for children born with cleft lips and palates.
Key Facts That Make Corazon a Winner:
- Clean and tight share structure
- High percentage of insider ownership
- Great management team
- Flagship property with the intent on acquiring future properties
- Great community relations
Corazon Employees Cleaning Up The Artiwas River
When you invest in Corazon you are not only buying into a great company that has potential to be a ten-bagger, you are also earning karma points and being a good global citizen by putting your investment dollars into a company that is investing in making the world a better place!
Visit http://www.juniorreport.com for the full report and more information!