Sierra Gold Corp (OTC:AMNP), an American gold mining company focused on discovery and production of gold mines, has increased 32% total in the past two days after oil-producing countries such as Russia, China, and France announced they would stop using the dollar to price crude oil. The dollar weakened due to decrease in demand and value of gold and oil rose as investors look to precious metals as a more stable substance. The EUR/USD ratio increased for the period as the USD weakened. We'll look to see if the trend is sustainable. Let's hope inflation doesn't kill us.
Financials:
Market Cap: 80.75 million
Total assets: .35 million
Liabilities: .39 million
Equity: -.04 million (decrease in value of equity such as property, equipment)
Cash: .05
net change in cash from quarter 1 to quarter 3: 0.01, 0.0, .05
avg volume: 268,000
Volume for past two days: 3 million
News: Sierra Gold Corp has signed a letter of intent to acquire 75% of Discovery Day Gold Project for $2 million paid over two years. The project covers 950 acres. To raise the funds Sierra is offering an additional 2 million shares. Analysts predict a huge upside for the acquisition.
In addition, Gold Corp (mrkt cap: 34.42 bil) just paid $8 billion for mines next to Sierra's high-yield potential mines. With money like that, it's possible Sierra is just waiting to be bought out which would send valuation through the roof.
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