-- Posted Sunday, 19 November 2006 | Digg This Article
Written exclusively for www.Goldseek.com
Geocom Resources (GOCM.OTCBB) is one of those high quality-low profile resource companies flying below the investor radar screen just waiting to be noticed. I believe there is a very bright future for this company and that is one of the primary reasons I’m so pleased to present them to your attention. This is a “heads up” article if you will; a general introduction and if you simply have an awareness of the name and the quality of Geocom Resources, I will have accomplished what I set out to do.
Why such seemingly minor goals in this introductory article? Truth be told, it really isn’t that minor although at first blush it may appear that way. Getting any company’s name on the investor’s radar is a big deal. Additionally, as company news presents itself down the road, it will be to your personal benefit to understand this company, where their projects are located, and why you might consider becoming involved. In my opinion, this company is a buy. Oh, what the heck, it’s a strong buy! I’m not pleased about utilizing the vernacular of Wall Street but sometimes it actually serves a purpose.
For the sake of full disclosure, I’ll tell you right off the bat that I’ve recently participated in a private placement, I’m working with the company to elevate their profile, and they are an advertiser on Goldseek. You can’t be much more direct than that.
However, what you should also realize both now and in the future, is that I just don’t take on any company that offers to reimburse me to “write them up” (and there have been quite a few lately!). That was never the case to begin with, and as my “dance card” becomes crammed, it becomes ever more imperative that I work with companies that meet my criteria for success. They certainly don’t have to be the largest companies in the world with the most advanced projects, but they do have to have a shot at success with a competent and experienced management team that understands the nature of integrity in business—especially as it would pertain to a public company.
Ultimately, you must understand that I take pride in doing a significant amount of “homework” or due diligence before I choose to become involved with any company and that research usually begins with the CEO of the company. If not the CEO, then certainly someone closely affiliated with the head of the management team. As point in fact, it’s a good thing if I choose to become involved with a company—good for you, good for me, and hopefully a benefit for the company. You may well substitute the word profitable for “good”.
Incidentally, if any of you are accredited investors, and wish to become involved in any future financings, by all means contact me via the information channels offered below.
A Spark to Trigger Your Imagination
When I bring these Mining Exploration companies to your attention, I’m always looking for two points of departure. One is quality; the other is a trigger that will spark your imagination. Of course, any company with which I’m involved has to have the people, the projects, the ability to fund, the ability (and the willingness) to tell the story and possess integrity to boot. Those are my five criteria. Over time almost everyone develops their own set of standards which help them to evaluate these different companies.
Someone said recently that choosing these junior exploration companies is like choosing a lottery ticket and therefore one should purchase a bundle of them and not become to heavily invested in any single company. I totally disagree with that concept, but again everyone develops their own strategy over time.
I believe that if one becomes familiar with the projects, with management, with their model, with all manner of things related to success in business and in mining, one begins to narrow the field and maximize the opportunities. There are companies with good projects and management and there are companies with excellent projects, models and management. I’m seeking the latter and in my opinion, Geocom fits right into that category.
Choosing these juniors does not have to be a lottery exercise, especially in a Gold Bull Market. The more I’m around this business, the more I realize how absolutely important senior management becomes in the equation for success.
Now, the spark to trigger your imagination will become clearer over time, but for now, allow me to direct your attention to the Geocom-Kinross reconnaissance program being implemented in Southern Chile. News will be forthcoming so stay tuned.
Below is one of the panels pertaining to Chile in the Geocom Power Point CD presentation referred to in this article.
There is another dynamic of which you should be aware. It is my understanding that Kinross is aggressively expanding and enhancing their exploration arm and Geocom fits right into that model like hand in glove.
Additionally, you are most likely aware that Kinross and Bema Gold may well join forces and that bodes well for Geocom in the future. Because Kinross is about to have their profile elevated significantly, Geocom’s exposure to the investment community will also be elevated. I believe that these events will have juxtaposition at an opportune time.
The CEO of Geocom is John Hiner
It took me quite some time to get acquainted with John Hiner, CEO of Geocom. Over time, the more I spoke with him, observed his plan or his model, reviewed his projects and his partners, the more impressed I became. As importantly, I gained a sense that this was a man of integrity who was a sharp cookie and a seasoned experienced geologist to boot. He has vision because he’s been in this business for over 35 years. He has worked on some substantial projects with some very significant companies. He knows his stuff and that bodes well for the investors in the company.
The idea that GOCM has acquired substantial JV partners, such as a Kinross and BHP Billiton, for different projects in various parts of the world speaks well of the way this community views Mr. Hiner, his capabilities, and his integrity.
Mr. Hiner’s credentials, along with the board of Directors are all located on their web site at www.geocom-resources.com.
I want to quickly bring to your attention one of the Board Members, Clyde Harrison. I had the enjoyable opportunity of speaking with Clyde who happens to be commodities trader and manages a commodity fund. Being a public figure, he has written several “talks”, or speeches and at some point in the near future, I’m going to request that they be posted on Goldseek. I believe you’ll enjoy them because they are chocked full of wit and common sense.
What is the model?
Mr. Hiner’s concept is to focus on exploration in geopolitically stable environments and then bring on substantial Joint Venture (JV) partners to share the cost and the burdens of the exploration programs especially if a discovery is made. Given a discovery, Geocom will retain a certain portion of the project which makes it economically viable to proceed forward to the next project and repeat the process. His model does not suggest that GOCM will be the operator of a mine at any time.
This model allows the company to do what they do best, and that is exploration. Geocom has three or four experienced geologists on staff at any given time which makes it viable to be reviewing the mountains of data that come across their desks on a weekly basis.
JV Partners and Projects
The following are a list of some of the projects and JV partners with which Geocom is currently involved.
1. Iliamna Project in Alaska—JV with BHP Billiton World Exploration Inc.
2. La Carolina Project in Argentina—JV with Latin American Minerals
3. The Santa Rosa Project in Northern Chile
4. The Marcelita Project also in Northern Chilie
5. The Escorpion Project in Chile—Minera Canela is the JV Partner
6. The Cucaracha Project in Northern Chile
7. “Recon” program in Southern Chile—with JV Partner Kinross (“reconnaissance”)
All of these projects with the exception of No.7 have detailed descriptions on their website.
Below is another panel from the GOCM CD “Power Point” presentation as it refers to Illiamna and its proximity to both “Pebble” and “Donlin Creek”.
This chart below compares the Iliamna Project in Alaska with Northern Dynasty’s Project in the same Region.
Please note the date of February 3, 2006
Two Suggestions That May be of Benefit to You
Before we go further, there are two things I’d like to bring to your attention.
First, the obligatory visit to their website is in order: www.geocom-resources.com. In today’s high tech world, company websites are as important to investors as water is to a duck.
And secondly, Geocom has produced an exceptional CD which I’d like to send you. It really tells the story about the company in a very visual, linear, and understandable fashion. It’s rather entertaining as you zip through the “Power Point” presentation. If you want to really understand this company; this is the vehicle with which to accomplish the task.
This CD also will serve as an additional learning tool because these are the same types of “Power Point” presentations that a company will take to a brokerage firm when they are endeavoring to initiate coverage for their company. You can visualize yourself as being one of the brokers at the firm you personally use and understand first hand how the story is being presented to them.
John Hiner, CEO of GOCM, has personally narrated the presentation.
Simply Email me at consulting@seacoastpub.com and write Geocom CD along with your name and address. If you’d like to include your name and phone number, I will personally protect it judiciously.
a.) Then if you’d like additional information on the company, just write “Info” and I’ll put your email address on our contact list. You’ll be certain to receive the latest news and releases when they are released to the public.
b.) If you are interested in any other companies I am covering, make mention of it and I’ll put you on my personal (well protected) list and keep you up to speed.
c.) if you are an accredited investor, who would like to be notified of future financings, include that request as well. Keep your requests as short and to the point as suits your comfort level. Your name and address will not be disseminated in any way without your direct consent.
Conclusion
Geocom is a company that I’d like for you to put on your radar screen. I would not hesitate to recommend purchasing it at these levels and would personally be comfortable recommending it at significantly higher levels due to the growth I perceive occurring at the company. When the company begins issuing news as to what they are accomplishing on some of their projects, I believe it will certainly begin to attract a wider audience. The management is top notch and if you believe as I do, that this bull market in the precious metals is just beginning, then by all means consider Geocom for your portfolio.
Finally, it can be difficult to track the activities of junior mining companies. After all, it is not the vernacular to which we are accustomed. The GEOCOM CD is worth receiving and reviewing because it describes in visual detail exactly what the company is endeavoring to accomplish and the model they are utilizing. This is an exceptional tool that will assist you in being in a position to see exactly how a presentation is made to a major institutional investor. That information alone is worth its weight in (dare I say it) gold!
Until Next Time,
D. Stewart Armstrong
Consultant to the Junior Mining Sector
consulting@seacoastpub.com
Disclosure and Disclaimer by the Author: In the spirit of full disclosure, although D. Stewart Armstrong, Seacoast Consulting, and or Seacoast Publishing, are independent entities, they may be employed by this particular company, may own shares in this company, and this company may be an advertiser on GoldSeek.com. The author is an independent analyst and is also a paid consultant to the Junior Mining Sector both domestic and international. The author is a private investor in the precious metals markets with positions in many junior mining companies. The author is not a board qualified or licensed investment advisor. The author emphasizes that this article is for informational purposes only and is based upon sources deemed to be reliable. All written, verbal, and other mediums of dissemination of said material and information are deemed to be accurate and acquired from reliable sources but the author cannot and does not accept responsibility for any possible errors or omissions in the information contained herein or in calculations disseminated by any company. The author does not guarantee any type of investment results or make any claims as to the viability of said opinions. The author accepts no responsibility for any investment decisions you or your representatives may make or the results thereof. The author steadfastly recommends that investors conduct their own due diligence before becoming involved in any investment, especially in the mining sector. That would include direct contact with the company in order to confirm or substantiate any facts, opinions, or ideas represented by these companies and referred to in these articles. Always consider the possibility of hiring professional advice from a certified investment advisor before making any investment transactions. Again, consider these articles as opinions and please consider that investing in Junior Mining Companies is a high-risk, high reward proposition and you must take full and total responsibility for your own actions, or the actions of your representatives. This disclaimer applies to this article and to all articles published previously by the author and ones to be published in the future. This disclaimer also applies to the medium wherein this information is published: on line (as in the Internet) or offline (as in a magazine or newspaper).
-- Posted Sunday, 19 November 2006 | Digg This Article
