Catalyst Resource Group, Inc. CATA
It’s has been a little while since we fished around for bargain stocks, so we decided to go on a bottom-play hunt this morning. So far, our search has yielded a potential play that fits the bill. CATA is trending up from its 52wk. low of .0015, having already begun to bounce.
We want to monitor the situation with CATA going forward, as it seems the stock has just recently awakened, perhaps due largely in part to a recent agreement announced by the company earlier this month, as outlined in the following PR:
LOS ANGELES, CA and VIENTIANE, LAOS, Mar 04, 2012 (MARKETWIRE via COMTEX) — Catalyst Resource Group (OTCQB: CATA) (PINKSHEETS: CATA), a company engaged in innovative processing technologies to extract gold and platinum group metals, today announced that Company has signed a Definitive Agreement to acquire an 80% equity interest of Laos Minerals Mining, Inc.’s ownership in a 68-km2 gold concession known as the San 8 and San 60 areas of the Somsanouk Village, Sanakham District, Vientiane Province, Lao People’s Democratic Republic, in exchange for cash and monetary commitments to further explore and develop this project in the near future.
Exploratory activities on these concession areas previously carried out by Newmont (www.newmont.com), BRGM (www.brgm.fr) and more recently by Kingsgate Consolidated Ltd. (www.kingsgate.com.au) in 2011 have shown potential minable gold vein deposits aggregating several hundred thousand ounces. There also would be the possibility of finding up to one million or more ounces of minable gold and large bulk of base metal deposits. At today’s gold price, the total estimated value of these concession areas could range approximately from $US510 million to $US1.7 billion.
The closing of this transaction is scheduled to occur on April 16, 2012 but no later than May 30, 2012. The Company plans to carry out additional mapping, trenching, sampling and follow-up geophysics to define drill targets and then drilling of these targets in collaboration with a select regional mining contractor or a joint-operation partner.