Royal Canadian Mint raises $600 million in gold fund IPO

Section:

By Tim Kiladze
The Globe and Mail, Toronto
Wednesday, November 23, 2011

http://www.theglobeandmail.com/globe-investor/investment-ideas/streetwis...

The Royal Canadian Mint's retail gold fund is an unheralded success.

Since the books opened three weeks ago, the initial public offering has raised $600 million. That technically makes it the largest IPO of the year. However, some may argue that because it's a retail product, you can't compare it to the likes of Gibson Energy Inc. or Parallel Energy Trust.

The Mint issued exchange-traded receipts that offered the buyers direct beneficial ownership of gold with no intermediaries, such as an asset manager or counterparty. The ETRs will be listed on the Toronto Stock Exchange in Canadian and U.S. dollars.

... Dispatch continues below ...



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Prophecy Granted Landmark Chandgana Power Plant License

Company Press Release
Monday, November 21, 2011

VANCOUVER, British Columbia -- Prophecy Coal Corp. (TSX: PCY)(OTCQX: PRPCF)(Frankfurt: 1P2) announces that its wholly-owned Mongolian subsidiary, East Energy Development LLC, has received the license certificate from the Mongolian Energy Regulatory Authority to construct the 600-megawatt Chandgana power plant.

This 600-mw thermal power plant license is the first of its size issued by the Mongolian government. To ensure strict compliance with Mongolian laws and regulations in obtaining this license, Prophecy retained Mongolian and international consultants over the past 18 months and spent much effort on community relations.

Coal for the Chandgana mine-mouth power plant will be supplied from Prophecy's Chandgana Tal deposit, for which the company has already obtained a full mining license. Tal contains 141 million tonnes of measured coal and is located just 9 kilometers north of Prophecy's Chandgana Khavtgai project, a deposit with more than 1 billion tonnes of measured and indicated coal.

Chandgana is 60 km from Underkhann city (East Energy System) and 150 km from Baganuur city (Central Energy System). Construction of transmission lines linking the two cities through Chandgana is seen as a top priority for a much-improved and more efficient national Mongolian energy system.

John Lee, chairman and CEO of Prophecy Coal, says: "Prophecy has distinguished itself as the premier candidate to build the next Mongolian thermal power plant. There is an understanding among all stakeholders that Mongolia, being one of the world's fastest-growing economies, needs additional power. With the International Monetary Fund projecting a deficit for Mongolia of more than 600 mw by 2016, this need has become urgent and can no longer be delayed."

For Prophecy Coal's full press release, complete with maps, please visit:

http://www.prophecycoal.com/news_2011_nov21_prophecy_granted_landmark_ch...



While other gold fund offerings exist, retail investors gobbled this one up because its government backing adds extra safety, its holdings are 100 per cent physical and its management is only 35 basis points annually. (Investors who bought in the IPO will also pay sales commissions to their brokers.)

Toronto-Dominion Bank and National Bank Financial co-led the offering. Considering how successful it was, there’s a good change there will be more issues. Rival offerings such as Central Gold Trust and Sprott Physical Gold Trust have come back to the market, some quite often.


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Sona Drills 85.4g Gold/Ton Over 4 Metres at Elizabeth Gold Deposit,
Extending the Mineralization of the Southwest Vein on the Property

Company Press Release, October 27, 2010

VANCOUVER, British Columbia -- Sona Resources Corp. reports on five drillling holes in the third round of assay results from the recently completed drill program at its 100 percent-owned Elizabeth Gold Deposit Property in the Lillooet Mining District of southern British Columbia. Highlights from the diamond drilling include:

-- Hole E10-66 intersected 17.4g gold/ton over 1.54 metres.

-- Hole E10-67 intersected 96.4g gold/ton over 2.5 metres, including one assay interval of 383g of gold/ton over 0.5 metres.

-- Hole E10-69 intersected 85.4g gold/ton over 4.03 metres, including one assay interval of 230g gold/ton over 1 metre.

Four drill holes, E10-66 to E10-69, targeted the southwestern end of the Southwest Vein, and three of the holes have expanded the mineralized zone in that direction. The Southwest Vein gold mineralization has now been intersected over a strike length of 325 metres, with the deepest hole drilled less than 200 metres from surface.

"The assay results from the Southwest Zone quartz vein continue to be extremely positive," says John P. Thompson, Sona's president and CEO. "We are expanding the Southwest Vein, and this high-grade gold mineralization remains wide open down dip and along strike to the southwest."

For the company's full press release, please visit:

http://sonaresources.com/_resources/news/SONA_NR19_2010.pdf