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Opawica, Low Risk

Bob Moriarty
Apr 26, 2010

Something has changed in the last month in the resource sector. For some reason junior mining companies have been lining up to advertise on 321gold. Maybe passing $1100 gold on the way up has made believers out of companies that have been sitting on their wallets for the last 18 months. We have added a dozen advertisers in a month.

I try to keep up with what our advertisers are doing and frankly it's difficult when we are adding them every two days. One new advertiser, Opawica (OPW-V) announced drill results yesterday. When I saw the announcement, [pdf] I went to their site. What I saw was remarkable. This is a low risk stock for certain.

The present market cap as of Friday is a tiny $6 million dollars with 55 million shares selling for $.11. For that you get 452,000 ounces of gold and 118.7 million pounds of copper. That means you can buy gold for about $12 an ounce. That seems pretty cheap to me. And you are getting over 2 pounds of copper worth $3.50 a pound per share. $7 worth of copper per $.11 a share stock seems really cheap.

But that wasn't what rocked me the most. In February Opawica did a deal on a project with a company called Upper Canada Gold. OPW took 11.74 million shares of UCC in exchange for the property. Just for fun I tried to figure out how much the 11.74 million shares of UCC were worth. As of Friday last, those shares held by OPW were worth $5.2 million.

So here's the math; for $11.00 you can buy 100 shares of Opawica giving you almost eight tenths of an ounce of gold worth about $939 and $715 worth of copper. Or if you consider OPW selling all their shares in UCC at Friday's price, the entire company is valued at under $800,000.

By the way, the drill results were good and they will be releasing drill results once a week for the next six weeks. They are on hole four of a minimum 6-hole 3600-meter drill program. Look for more good news.

We are biased. We own shares and OPW is an advertiser. Please do your own due diligence.

Opawica Explorations Inc.
OPW-V $.11 (Apr 23, 2010)
OPWEF-OTCBB 55.3 million shares
Opawica website

Bob Moriarty
President: 321gold

321gold Ltd