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Eagle Hill Exploration Corp. (TSXV: EAG)
 

Eagle Hill Exploration Corp (TSX: EAG) is well funded Canadian exploration company with an advance + Read More
Home > Junior Resource Stocks > Greencastle Resources Ltd.
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Greencastle Resources Ltd. (Symbol: V.VGN)

Company Name: Greencastle Resources Ltd.
HQ Location: Toronto, Ontario
Company Website: www.greencastleresources.com
Shares Outstanding

44.5 Million

Closing Price (Nov 29, 2010)

$0.275

Market Cap: $12.3 Million
Average Daily Volume 280,000
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The Ubika Research Resource Stock Watchlist is a feature that profiles junior mining stocks. Visitors will discover high potential Canadian mining stocks, the best gold stocks, small cap energy stocks and junior gold companies through this very popular feature.

Share Highlight / 1-Year Stock Chart

Share Highlight
 
Greencastle Resources Ltd. - Chart

Business Overview

Greencastle Resources Ltd. is a diversified resource exploration company with interests in gold and oil & gas exploration and royalties. The Company currently holds interests in oil and gas properties in west central Saskatchewan, all of which are located near existing producing oil and gas fields. Its gold properties are in the exploration stage. Greencastle has interest in the Jewel Ridge gold prospect and the Indian Creek gold property located in Nevada. It recently entered into an option agreement to acquire a 100% interest in a gold property, covering approximately 13,000 ha (28 claims), in the Nechako Plateau region of British Columbia. The property is geologically on trend with the Blackwater property of Richfield Ventures Corp. (TSXV: RVC)+ More info

What is interesting about Greencastle Resources Ltd. (V.VGN)?

  • A unique small cap junior resource company with diversified portfolio of resource assets with exposure to highly lucrative areas of oil and gold.
  • The company has approximately $6 million in cash or $0.14 per share and no debt. In addition, in December 2009, an independent engineering firm estimated the net present value of its royalty oil business at approximately $5.1 million or $0.11 per share. Together, the tangible book value is closet to $0.25 per share or close to the market price, which implies that it’s gold exploration assets and related upside is getting virtually no value currently in the market.  
  • The company has consistent cash flow from oil and gas royalties and strong exploration potential from highly prospective gold exploration projects.
  • The company has a carried interest in an oil property with 11 producing wells. To date, the company has received over $9,000,000 in royalty income from its oil producing assets and expects this income to continue for many more years. 
  • Greencastle has highly prospective gold exploration projects in British Columbia and Nevada. Its most recent acquisition is the gold property covering approximately 13,000 ha (28 claims), in the Nechako Plateau region of north-central British Columbia. This property is geologically on trend with the famous Blackwater property of Richfield Ventures Corp. (TSXV: RVC) where Richfield Ventures had some huge exploration success and is currently working to delineate its bulk tonnage gold project.
  • The company just completed a geophysical survey to define targets for follow up exploration at the Nechako property and intends to focus its exploration program here in the near future.
  • The company has two gold exploration projects in Nevada (Jewel Ridge property and the Indian Creek property) located strategically on the Battle Mountain Trend, one of the world’s most prolific gold trends. 
  • The company carried out several drill programs during 2003 to 2005 at its Nevada gold properties and obtained some interesting results including 2.1 grams per tonne gold over 40 meters at the Jewel Ridge property. Its Indian Creek property is in the heart of the Cortez Hills / Pipeline district. 
  • With approximately $6 million in the treasury and no debt the company is well funded to carry its exploration and development programs.
  • It has only 44.5 million shares outstanding and no warrants outstanding. A favourable capital structure could potentially results in strong upside in the share price if the company achieves some success with planned exploration programs at its gold project in British Columbia.

Risks

Greencastle Resources Ltd. is an early stage exploration company. The commercialization risks associated with mineral exploration and development are high and its prospects for discovering economically viable resources are uncertain.  Gold prices can fluctuate and a decline in gold could impact the share price of the company adversely. Early stage exploration companies typically needs significant amount of capital and although currently well financed, Greencastle Resources may still require additional financing. This could result in shareholders’ dilution.

Greencastle Resources Ltd. News

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Greencastle Resources Ltd has entered into a commercial relationship with Ubika Corporation for research coverage and capital market services and has agreed to pay fees and stock options for being mentioned at smallcappower.com. Hence the highlighted company information is an advertisement only and does not and will not constitute an offer to buy or sell securities in the highlighted company.

Was any fee (either in Cash or in Stocks/Options) paid by the company to smallcappower.com or its principal’s Ubika Corporation and/OR Investor Cubed Inc for providing services Yes
   
Common Stock/Options Ownership in Greencastle Resources Ltd.  
Analyst(s) No
Analyst’s family members No
Analyst’s firm, their affiliates and/or subsidiaries Yes
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