The SK Mountain fixed blade knife, made out of titanium bonded stainless steel, is one of the Camillus knives from the Les Stroud signature series.

At Acme United (ACU – $10.02), the owner of the Camillus brand, everybody is excited about the new knives and in full preparation to deliver them to the first customers.

The Les Stroud Interview

In the interview, published in the March 2012 issue of Knife World, which is now on newsstands, Les Stroud opens up about how knife companies started to approach him with proposals when his survival show took off. He explains that none of those proposals were the right fit until Camillus came calling with plans for a larger project.

Mr. Stroud says that he was involved in every step of the design process. He told the technical people at Camillus what requirements the knives had to meet in terms of design, usability and comfort. And each time a prototype was ready, he took it outside to test. Only after several of these cycles the designs were finalized. He added that a survival knife has to help you to survive and that he wanted to make sure these knives did exactly that, without compromises.

At this moment, the Les Stroud Signature knife family consists of four knives: The SK Arctic has a mid-sized fixed blade, the SK Mountain has a somewhat larger and partially serrated fixed blade, the SK Desert is a mid-sized folding knife and finally the SK Jungle is a large machete knife. More survival tools will be launched in the coming months.

Conclusion

The Les Stroud knives and tools will be marketed under the Camillus brand and will be available in stores throughout Canada and the United States by June 2012. This is an ideal timing, as the fourth season of Survivorman, in which Les Stroud will use the new Camillus knives, will air in the summer of 2012.

Because the TV series has up to 2 million viewers in the United States alone, it’s no wonder why several new and existing customers visited the Camillus booth at the SHOT Show and immediately placed orders.

Find out more about Camillus Knives at CamillusKnives.com.

Smallcaps.us Advice: Buy

Price Target: $12.21

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Disclosure: Smallcaps.us is a consultant for Acme United Corporation. Any and all compensation received from companies is mentioned in our disclaimer.

Mr. Yannis Tsitos, President and CEO of Stronghold Metals Inc.

Moreover, results from an ongoing drill program, totaling 15,000 metres, show tremendous upside potential for the resource. To date, Stronghold announced analytic results on 46 holes of which 44 intersected gold mineralization of meaningful widths and grades. This is very exceptional, if not unique.

Interesting to note is that more than 250,000 ounces of gold is hosted in saprolite rock, making it relatively easy to mine the gold at a low cost. It’s Stronghold’s intention to start production of gold from the saprolite host as fast as possible.

In our recent interview, Mr. Yannis Tsitos, the Company’s President and CEO, shares his enthusiasm for Stronghold’s potential to yield significant rewards for investors as it moves towards production.

In 2012, Stronghold aims to publish an updated NI 43-101 resource estimate, which will include the results from the current drill program. The Company will commence mineralogical and metallurgical tests, an environmental base study and it also plans to deliver a Preliminary Economic Assessment on the soft rock saprolitic ore part of the property.

In January of 2012, Stronghold significantly improved its Earn-in and Joint Venture agreement with Omai Gold Mines Ltd., a subsidiary of IAMGOLD Corp, to earn a 100% interest in the Eagle Mountain gold project in Guyana.

The most eye-catching change is that Stronghold doesn’t have to make anymore cash payments to fully acquire the property. The Company immediately receives a 50% stake in the property in return for the issuance of 7.5 million shares of Stronghold to Omai Gold. Moreover, Stronghold earns the right to acquire the remaining 50% interest in Eagle Mountain on or before April 30, 2013, by paying Omai Gold $1 million in cash or shares, at Stronghold’s discretion. Also this event is discussed at length with Mr. Tsitos.

Listen to our interview by clicking the play button on the media player or download the convenient transcript of the interview. We welcome your comments!

Smallcaps.us Advice: Buy

Price Target: $0.90

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Disclosure: Smallcaps.us is a consultant for Stronghold Metals Inc. Any and all compensation received from companies is mentioned in our disclaimer.

With the old adage “A picture is worth a thousand words” in mind, Global Minerals Ltd., 32% owned by Esperanza Resources (EPZ – $1.60), published a number of photographs on the significant progress it has made on bringing the Strieborná property, in the Republic of Slovakia, back in operation.

Before	After
The entrance of the mine in 2011	The entrance of the mine today
The haulage tunnel at 300m in 2011	The caved-in sections have been cleared and supports have been placed
The photos above show that the 1600 meter haulage and access tunnel has been restored, along with full electrical service. It took about 6 months to clean out and restore the entire tunnel.

On the left, part of the decline, which starts at surface and about 25 meters above the haulage tunnel, and goes all the way down to approximately 250 metres below surface. The decline is used to transport equipment, tools and people up and down. Currently, Global Minerals is pumping out the water and expects to reach the bottom of the decline by late spring 2012. Once they get down to that level, they’ll be able to make a connection with the Strieborná vein, after which a drill program will begin to expand the already significant high grade resource. The photo on the right, also taken inside the decline, shows on the top left the air supply (white pipe) and at the bottom left the pipe which is used to pump up the water (grey pipe). Again, mine ventilation and underground power systems will be refitted as deeper access becomes available due to the dewatering.

The Strieborná Vein

The Mária Vein, which is parallel to the Strieborná vein, has been mined since the 14th century, making it one of the oldest known and mined vein occurrences in the region. The Mária Mine was in operation until the end of the second World War when it became part of a state controlled organization.

The Strieborná vein itself was discovered in 1981 adjacent to the Maria mine. It was subsequently explored on four underground levels totaling over 3,000 metres in length. Underground exploration and diamond core drilling on the vein was conducted from 1982 until 1994 by the exploration branch of the Slovak Geological Survey.

After London-based CMX Resources Limited (CMX) verified the resource results reported by the Slovak Geological Survey in 1994, all underground workings were flooded. When Global Minerals gained control over the Strieborná property in 2007, it contracted AMC Consultants (AMC) to prepare a NI 43-101 Technical Report based on the work and results of the Slovak Geological Survey and the verification program conducted by CMX.

The April 2008 NI 43-101 technical report on Strieborná defined a silver/copper/antimony resource which is expected to be economically significant. It included 1.9 million tonnes (Measured and Indicated) grading 231.7 g/t silver, 1.1% copper, and 0.7% antimony and 1.5 million tonnes (Inferred) grading 280.0 g/t silver, 0.9% copper and 0.6% antimony.

The NI 43-101 resource occurs within a mineralized structure of 1.2 kilometres long, 600 metres deep and an average thickness of 3.4 metres. This is the so-called Strieborná vein.

In addition to the Strieborná vein, the property includes several parallel veins and similar structures. Although these veins have been explored by underground tunneling and drilling and are known to be mineralized, they have not been included in the resource estimate as further exploration is required.

Preparing an Preliminary Economic Assessment (PEA)

While access to the Strieborná vein is being restored, the Company is preparing a Preliminary Economic Assessment, or PEA, which should be ready in the second quarter of this year.

Next to the NI 43-101 resource report, the PEA will also include results from metallurgical testing, which demonstrates that a conventional, low cost flotation process will yield a high grade silver/copper/antimony concentrate with as much as 5,423 grams silver per tonne (158 tr. ounces per ton) at recoveries of 96% for silver and 97% for copper. Hydrometallurgical treatment of the concentrate can then be used for selective removal of antimony, arsenic and mercury.

Furthermore, a mine plan and production schedule will be included.

Conclusion

The rehabilitation of the Maria Mine is important, because it will provide access to the Strieborná (which translates as “Silver”) vein.

The PEA will also give an indication of the economic value of the property, and as such of Esperanza’s stake in Global Minerals. Although we’ll have to wait a few more months for the answer, I’m positive a relatively good minable 28 million ounces silver resource plus copper and antimony is worth a nice amount of money.

Smallcaps.us Advice: Buy

Price Target: $3.36

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Disclosure: Smallcaps.us is a consultant for Esperanza Resources Corporation. Any and all compensation received from companies is mentioned in our disclaimer.

The new Les Stroud knives and tools will soon be available in stores throughout Canada and the United States.

Moreover, several new and existing customers visited the Camillus booth and immediately placed orders at the show. As a result, Camillus expects to see a significant sales increase for 2012.

Les Stroud

When Acme United, late last year, announced an agreement to build and sell Camillus survival knives and tools, co-designed and promoted by outdoor adventurer Les Stroud, I thought it was a big event, now I know for sure it is.

Les Stroud is the star of the six-time Gemini-nominated hit TV series Survivorman, which is broadcast on the Outdoor Life Network (OLN) in Canada, Science Channel in the U.S. and Discovery Channel International. The TV series is licensed for broadcast in over 120 countries worldwide and became the highest rated show in history of both OLN Canada and the Science Channel U.S. Ratings in the U.S. alone have hit 2 million on individual episodes.

The Les Stroud knives and tools will be marketed under the Camillus brand and will be available in stores throughout Canada and the United States by June 2012. This is an ideal timing, as the fourth season of Survivorman, in which Les Stroud will use the new Camillus knives, will air in the summer of 2012.

Rick Constantine, the Vice President for Camillus, said that although last year’s SHOT Show was a big success, it was nothing compared to what happened this year (see photo below). People were lining up to see the Camillus knives and to speak with Les Stroud.

SHOT Show Sales

The annual Shooting, Hunting and Outdoor Trade (SHOT) Show is largest trade show of its kind in the world. Some 1,600 exhibitors from all over the world filled the Sands Expo and Convention Center in Las Vegas and received more than 61,000 visitors this year, which is a record.

This year’s show saw tremendous enthusiasm on the part of sellers and buyers. From the opening bell, buyers filled the aisles to review and order products. This was also the case at Camillus where several big name retailers signed contracts. The knives will be shipped in the upcoming months.

Conclusion

The people at Acme United did a terrific job of turning a bankrupt knife manufacturer into a well-respected brand with excellent products and booming sales.

Remember that for more than a hundred and thirty years Camillus was a synonym for the finest knives available, until it went out of business in 2007. Acme bought the brand names and intellectual property in a bankruptcy auction that same year and re-launched the brand only 2 1/2 years ago with zero sales.

Prior to its bankruptcy, Camillus was an $18 million business. Although it will take some time to reach that level again, I’m convinced that we’ll see Camillus take a significant step towards that goal in 2012.

A large crowd gathered around the Camillus booth with Les Stroud signing.

Smallcaps.us Advice: Buy

Price Target: $12.21

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Disclosure: Smallcaps.us is a consultant for Acme United Corporation. Any and all compensation received from companies is mentioned in our disclaimer.

Visible gold in the Eagle Mountain drill core.

The most eye-catching change is that Stronghold doesn’t have to make anymore cash payments to fully acquire the property. The Company immediately receives a 50% stake in the property in return for the issuance of 7.5 million shares of Stronghold to Omai Gold. Moreover, Stronghold earns the right to acquire the remaining 50% interest in Eagle Mountain on or before April 30, 2013, by paying Omai Gold $1 million in cash or shares, at Stronghold’s discretion.

The parties agreed to this amendment because Stronghold accelerated it exploration program on Eagle Mountain last year and already incurred more than twice the required expenditures under the original agreement.

The Amended Agreement

To date, Stronghold has paid Omai Gold $600,000, issued 4 million shares and incurred approximately $ 3.5 million in exploration expenditures on the property.

By transferring an additional 7.5 million shares to Omai Gold before February 29, 2012, Stronghold will earn a 50% interest. Under the original agreement, Stronghold was obligated to pay an additional $1.9 million ($2.5 million in total) and transfer 2 million shares by October 31, 2012 to earn the 50% interest.

Basically what happened was that Stronghold, in order to acquire a 50% stake in Eagle Mountain, gave 5.5 million shares (7.5 million minus 2 million which it had to pay anyway) instead of $1.9 million cash.

What’s very interesting is that when we divide the cash due to Omai Gold by the number of shares it offered instead, we find out at what price Stronghold’s shares were valued in the agreement. So 1.9 million divided by 5.5 million equals $0.345 per share, or 44 percent above Stronghold’s current stock price!!

As a result of this agreement, IAMGOLD, through Omai Gold, becomes the largest shareholder of Stronghold, owning 15.8 percent of issued and outstanding shares.

Furthermore, the $1 million payment due by April 30, 2013 to earn a 100% interest is equal to the original agreement, except that now Stronghold has the option to pay in shares.

On granting of the mining license, Stronghold has to pay $3.5 million, instead of $7 million as agreed upon in the original deal. Also this amount can be paid in shares at Stronghold’s discretion.

And finally, Stronghold must pay an additional $5 million in cash within 180 days after the commencement of commercial production of gold from Eagle Mountain.

Moving Towards Production

Stronghold is focused on bringing Eagle Mountain into production and plans to intensify the pace of its exploration work.

In 2012, the Company aims to publish an updated NI 43-101 resource estimate, which will most likely be in excess of 1 million ounces of gold. It will commence mineralogical and metallurgical tests, an environmental base study and it also plans to deliver a Preliminary Economic Assessment on the soft rock saprolitic ore part of the property.

Conclusion

The amendment of the agreement is a very positive step for Stronghold because:

• The Company has no short term cash payments due to Omai Gold;
• IAMGOLD didn’t have to amend the agreement, but opted to do so at a 44% premium on Stronghold’s share price. This shows the strong confidence IAMGOLD has in Stronghold;
• All of Stronghold’s assets can now go to the development of Eagle Mountain, and
• It consolidated IAMGOLD as a solid long term partner in the Eagle Mountain project.

By the way, I will soon conduct an audio interview with Mr. Yannis Tsitos, the president and CEO of Stronghold Metals, in which I’ll ask him about this amendment and his plans to move Eagle Mountain into production.

If you have a question for Mr. Tsitos, drop me a mail, and I’ll try to include it.

Smallcaps.us Advice: Buy

Price Target: $0.90

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Disclosure: Smallcaps.us is a consultant for Stronghold Metals Inc. Any and all compensation received from companies is mentioned in our disclaimer.

Mr. Douglas Dobbs, Vice President of Corporate Finance and Development at Mines Management Inc.

In our interview, we follow along with Mr. Dobbs as he describes the Company’s recent activities as well as its plans for the future.

Mr. Dobbs gives us a healthy dose of decision-driving information, from resource estimates of over 200 million ounces of silver and approximately 1.7 billion pounds of copper to a breakdown of the expected costs involved in bringing the Montanore project to production.

Investors find out why Mr. Dobbs is enthusiastic about prospects for Company financing, and can also get a clear picture of Mines Management’s executive team and its background.

Mr. Dobbs shares his interesting views on today’s commodities market and he rounds out the interview by making a case for investing in his Company while, he suggests, the stock price is undervalued.

Our interview is available in a convenient transcript format and you can listen to our interview with Mr. Dobbs by clicking the play button on the media player below. We’d love to hear your comments or questions.

The Trimair paper trimmers have had strong customer response and will be available in several major retailers starting in early 2012.

Consumers will often buy a product not because it won a GOOD DESIGN award, but simply because it looks better than those of its competitors. Usually this is exactly the product that won a design prize.

The iPoint electric pencil sharpener, for example, won a GOOD DESIGN award in 2009. Since then, its sales have never stopped growing and reached about $10 million in fiscal year 2010, making it Acme United’s single best selling product.

GOOD DESIGN

GOOD DESIGN is one of the oldest and most important design competitions worldwide. This year the Museum received thousands of submissions from over 48 countries globally. Among them were products from the biggest and most famous brands like Apple, Hewlett Packard, BMW, Porsche and Microsoft.

Trimair Paper Trimmers

The new Trimair Rotary and Guillotine paper trimmers (see images below) combine an eye-catching design with an outstanding performance, which is critical in today’s high demanding markets.

The tools feature Titanium bonded blades, making them 10 times harder than stainless steel. As a result, the Guillotine trimmer can cut up to 30 sheets of copy paper at once. At the same time, the trimmers have the famous Westcott contemporary design, which makes them stand out on the shelf.

We’re sure these products will have a broad appeal to businesses and schools, to the crafts markets and to consumers in general.

3% Annual Dividend

Acme’s Board of Directors recently declared a quarterly cash dividend of 7 cents per share which is payable on January 30, 2012 to stockholders of record on the close of business on January 9, 2012.

At Acme United’s current share price, that’s an annual yield of almost 3 percent, which is substantially higher than the interest rate you earn on a regular savings account or a 10-year bond.

The Company has been paying quarterly dividends for many years and has increased the amount by 1 cent every 6 to 8 quarters. This is an excellent way to show confidence in the business and the market. Additionally, it builds long term shareholder value.

Conclusion

In order for a product to sell, it used to be sufficient that it worked well. Nowadays, consumers have an almost endless choice of impeccable working products. As a result, Companies need to go that extra mile to manufacture outstanding items that have additional features and a fabulous design. Apple would only sell half as many iPhones as it does today, if the mobile phone had an everyday design.

Acme United saw this trend and acted upon it a few years ago. As a result, iPoint pencil sharpener sales exceeded $10 million in 2010 with sales still rising.

Next to excellent product design and innovation, Acme United’s growth story is also supported by a 7 cents quarterly dividend, which at today’s share price is an annual yield of almost 3%.

The new rotary (above) and the guillotine trimmers.

NSGold geologists taking rock samples at Dios Padre

Moreover, the geophysical survey revealed a very large conductive anomaly of 600 metres wide by 800 metres long with a depth of at least 300 metres, which is the limit of the effective range of the survey method. This mass lies just to the north of the most recent historic mining operations.

All the identified zones obviously represent prime targets for future exploration and drilling.

Phase I Completed

During the second half of 2011, NSGold’s geologists conducted an extensive geological survey at Dios Padre to identify new drill targets.

First, the property was systematically mapped with 17 lines of each 2,000 metres long. Next, a geochemical rock sampling program was initiated by taking rock samples of approximately two to three kilograms weight at 100-metre intervals. These samples were sent to ALS Minerals Laboratory in Vancouver, which analyzed them for 36 elements, including gold, silver and copper.

Additionally, a 3-D Induced Polarization (IP) ground geophysical program was carried out by SJ Geophysics Ltd. With the acquired geophysical data digital maps of the underground were produced along with a three dimensional model.

INDUCED POLARIZATION

Induced polarization (IP) is a geophysical imaging technique used to identify subsurface materials. It’s a valuable tool for base-metals and gold exploration because it can narrow down drill targets on a vast exploration property. As a result, drill efforts can be concentrated on those areas instead of “drilling blind”.

During an IP survey, an electrical current is induced into the subsurface through two electrodes, which charges the surfaces of metallic minerals in the ground. Once the current is switched off again, the voltage decays, but the ground is left with a small storage of energy. This amount of stored energy gives clues into what minerals lie below the surface.

Technical Report

Based on these geological results, an updated technical report for Dios Padre will be prepared. It will include all the geochemical and geophysical results, along with a proposed work program to further advance the property.

The report will be published later this month, after which an extensive drill program will commence to determine the geometry, shape and grade of the identified zones.

NSX Silver Spin-Out

After the updated technical report on Dios Padre is filed, the Company expects to complete the spin-out of the NSX Silver shares to the current NSGold shareholders.

Conclusion

The results from the geological work conducted at Dios Padre are very positive. It identified several high prospective zones, which were unknown thus far.

In the coming months, drill rigs will test these areas so that we’ll find out more about the property’s vast potential.

Drilling activities at Cerro Jumil.

Infill and step-out holes 219 through 222 intersected gold values between 0.82 and 2.51 grams per tonne. Noteworthy in hole 220 are two consecutive samples of 1.5 metres each, which contain 119 and 82 grams per tonne respectively (see table below).

However, for both the calculation of an average interval grade and a resource estimate, assay results exceeding 10 grams per tonne are reported as a only 10 grams per tonne. This is called top cutting and is used to minimize the impact of the nugget effect.

Furthermore, drill results from holes 223 through 225 in the north, clearly show us where the mineralized zone ends as they intersected no mineralization (see map below). Three step-out holes in the Maiz zone, unfortunately had no significant mineralization.

Upcoming Work

Two additional drill rigs have been contracted and will be operating at Cerro Jumil by the end of this month. They will be used for step-out drilling at the Southwest Extension area and the Colotepec target zone; and for infill drilling at the known mineralized zone to upgrade the inferred resource to measured and indicated.

By adding two rigs Esperanza shows it wants to move the project forward quickly.

Project Financing

When a property is sufficiently developed, the owner will seek equity and debt financing to move it to production. Because Cerro Jumil is entering that stage, Esperanza has appointed Euroscandic as an independent financial advisor to help find a bank or institution to lead the debt portion of the project financing.

Dialogues with non-equity capital providers have been initiated with the aim of awarding the Lead Arranger mandate in the first quarter of 2012.

It’s a wise decision of Esperanza to initiate this process as it will allow the Lead Arranger an early review and participation in the feasibility study, which will undoubtedly expedite the financing process.

Conclusion

With over $20 million in its treasury on September 30, 2011, Esperanza is sufficiently funded to continue the development of Cerro Jumil and to bring it into full feasibility in the course of 2012 with the ultimate goal of advancing the property to production.

Cerro Jumil currently has a resource estimate of 1.2 million gold equivalent ounces and analytic results from the 2011 drill program show the number will be expanded.

If you haven’t taken an initial position in Esperanza Resources, do so now. And if you already own shares of the Company, you might consider adding some. I will take advantage of these prices to add to my position.

Our current price target for Esperanza Resources is $3.36.

Smallcaps.us Advice: Buy

Price Target: $3.36

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Disclosure: Smallcaps.us is a consultant for Esperanza Resources Corporation. Any and all compensation received from companies is mentioned in our disclaimer.

The Tucuma gold/copper property is located in the State of Para, Brazil and covers a total area of approximately 11,456 hectares.

Stronghold Brasil Mineração is a private company incorporated under the laws of Brazil and currently holds a 100% interest in the Tucuma gold project which is located in the State of Para, Brazil and consists of 6 mining concessions comprising a land package of 11,456 hectares. It is anticipated that the closing of the acquisition will occur on or before February 29, 2012.

Under the terms of the agreement, Stronghold will receive as consideration for the sale:

• 16,300,000 common shares of Kensington, or approximately 52.3% of Kensington’s issued and outstanding shares; and
• Three seats on the Kensington 5-member Board of Directors.

Kensington will also receive the infrastructure which Stronghold has built in Brazil, including the local, but very experienced, exploration team.

Financing

Because Kensington is a Capital Pool Company, trading in its shares has been halted since the Letter Of Intent for this transaction was announced in August 2011. As a result, it’s hard to put a valuation on Stronghold’s 52.3% stake.

What is interesting to note is that along with this transaction, Kensington also announced a brokered private placement to raise gross proceeds of $2,000,000 by the issuance of 8,000,000 units at a purchase price of $0.25 per unit. Each unit will consist of one common share and one-half of one common share purchase warrant. Each full warrant will entitle the holder to acquire an additional common share of Kensington at an exercise price of $0.35 per common share.

So the $0.25 offer price may give an indication of Kensington’s stock price once it starts trading again. A stock price of $0.25 per share times 16.3 million shares, would add more than $4 million to Stronghold’s balance sheet.

Kensington intends to use the proceeds of the private placement to finance an exploration program on the Tucuma property and to build a portfolio of exploration and advanced stage gold properties in Brazil.

CAPITAL POOL COMPANY

A Capital Pool Company is a specially created vehicle that allows access to the TSX Venture Exchange.

The exchange enables seasoned directors and officers to form a CPC with no assets other than cash and no commercial operations, which is listed on the TSX Venture Exchange to raise a pool of capital.

The CPC then uses these funds to seek out an investment opportunity in a growing business. Once the CPC has completed its “qualifying transaction” and acquired an operating Company that meets Exchange listing requirements, its shares continue trading as a regular listing on the TSX Venture Exchange.

Often the operating private business is acquired through a “reverse takeover”. Instead of paying cash for the Company being purchased, the CPC will pay with newly issued shares. Because the number of shares issued to the owners of the operating private Company often represents a majority of the outstanding shares of the CPC shell, the owners of the private Company now control the CPC.

Often, the original owners of the CPC get to keep shares in the public Company as compensation.

Tucuma History

Historically, the Tucuma property has produced significant quantities of gold from small scale mining by artisanal miners. Therefore, the property represents an excellent opportunity to explore for both sheer hosted economic gold vein mineralization and for gold-copper systems of the IOCG (“Iron Oxide Copper Gold”) type.

From 1995 to 2006, Tucuma has been subject to exploration programs by several different companies. Work included soil and rock geochemistry, airborne and ground geophysical surveys, RC and diamond drilling. Initial diamond drill testing of this extensive gold anomaly was conducted in 1997. Historical discovery hole T97-11b tested the Filomena gold anomaly and returned 6.3 grams of gold per tonne from 54.32 m to 63.44 meters (9.12 meters), and a further intersection from 120.06 m to 134.82 m graded 6.399 grams of gold per tonne.

Next to the Filomena zone, several other areas of gold and copper/gold occurrences of the IOCG type were identified from these exploration programs and drill campaigns.

After acquiring the property in June 2010, Stronghold initiated a phase 1 drill program consisting of 6 diamond drill holes. Five holes (1,105 m of drilling) tested the Filomena target area, including the area around historic discovery hole T97-11b. The 6th hole tested another high-priority gold target on the property, named the Augusto area. Highlights of the drill results include 7.90m at 3.28 g/t Au along hole T2010-3A over the Filomena target and 7.00m at 1.32 g/t Au along hole T2010-4B over the Augusto target.

Conclusion

The sale of the Tucuma property to Kensington Court is a win-win situation for both Companies.

• Kensington Court will be able to concentrate on developing the Tucuma and other Brazilian gold properties; while
• Stronghold can again focus all of its attention on advancing it flagship Eagle Mountain gold property in Guyana;
• Stronghold expend over $1 million on developing Tucuma since it acquired the property. It won’t have to do that anymore and can now target all its financial resources to Eagle Mountain; and
• With 52.3% of Kensington’s shares in the treasury, Stronghold adds, at least, $4 million to its balance sheet.

Smallcaps.us Advice: Buy

Price Target: $0.90

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Disclosure: Smallcaps.us is a consultant for Stronghold Metals Inc. Any and all compensation received from companies is mentioned in our disclaimer.