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Sunrise in Nevada

Bob Moriarty
Nov 3, 2014

I first wrote about Nevada Sunrise in April of 2014. The company owns 21% of the Kinsley Mountain project as part of a Joint Venture with Pilot Gold. I just wrote a piece about Pilot Gold a couple of days ago.

Pilot is the operator on the Kinsley Mountain project and is spending over $6 million in exploration for 2014. On a regular basis, they announce great drill results. In September they announced 6.16 g/t gold over 45.7 meters. In July they had 5.59 g/t gold over 38.1 meters. A June press release spoke of 3.35 g/t gold over 41.1 meters.

A group that is well financed controls Nevada Sunrise. The company keeps management fees low and expenses down. Literally they are flying on the coattails of Pilot Gold and that's a good thing. The smartest guys in the business control Pilot. Nevada Sunrise doesn't have to do anything except meet their cash calls. They can let Pilot do the heavy lifting.

Nevada Sunrise has about 5 million warrants that have a $.15 exercise price and an additional 1.5 million warrants exercisable at $.55 and 1.1 million warrants at $1.35. With over $2 million in the bank, the company has no immediate cash issues and can count on at least an injection of $750,000 from existing shareholders should they need it. They are fully financed and I wouldn't expect further dilution for at least a year.

With $2 million in the bank and a market cap of about $6.4 million for Nevada Sunrise, the market values the Kinsley project at a mere $20 million. With the technical team provided by Pilot and the gold hits they have already come up with, a $20 million valuation for the project is simply absurd. Dr. Moira Smith told me 18 months ago she believed Kinsley could be the southern end of a new Long Canyon gold trend. Every drill hole since then has backed up her opinion.

Pilot plans on drilling the north end of the Kinsley Mountain range shortly. The BLM has mailed them the approved Plan of Operation and as soon as it is received, Pilot has a drill program planned. If they hit on the north end of the range where the geophysical data is stronger than it was at Long Canyon, expect fireworks from both stocks. Pilot Gold is a bet on both Nevada and Turkey so it's hard to say how much Kinsley provides to their total market valuation but Nevada Sunrise is a pure bet on Kinsley Mountain.

Nevada Sunrise is well managed, well financed. They are partnered with one of the finest juniors in the mining sector and have a brilliant project. With shares down 65% in six months, they are perfectly positioned to participate in a rapid move higher when gold and silver turn.

Nevada Sunrise is an advertiser so naturally I'm biased. I do not own shares. You are responsible for your own due diligence.

Nevada Sunrise Gold Corp
NEV-V $.30 (Oct 31, 2014) 22.4 million shares
NVSGF-OTCBB 32.7 million fully diluted
Nevada Sunrise website


Bob Moriarty
President: 321gold

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