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  Kent Exploration Inc.  

TICKER:  TSX.V:KEX; PK:KXPLF   

DESCRIPTION:  Kent Exploration is a mineral exploration company, with a portfolio of properties highly prospective for gold and silver, base metals and coal mineralization in the western United States, western Canada, western Australia and New Zealand. The company intends to spin off the Australia and NZ properties into a new company.

Click here to view a presentation by Graeme O'Neill, President and CEO of Kent Exploration


WEBSITE:  http://www.kent-exploration.com


The information below is based on the most recent information we have received from analysts and the companies participating in The Gold Report. We encourage you to visit the company's web site for updates.
TGR: You mentioned earlier that some of the equities still are undervalued and they need to catch up, even ones that have had some good appreciation in 2009. Can you share with us some of those companies that represent some good investment opportunities?

VG: Certainly. Kent Exploration is one I've recommended. Investors who bought it originally when I first talked about it at 4 cents are very happy. And at 22 cents now, I'm still not recommending to sell it because there's quite a bit of room for appreciation on Kent. They have these assets in New Zealand and Australia that have gold on it already, but they've done some work on the project already and came back with some of the results. Some of them, for example, of 80 grams a ton.

So it's certainly a very prolific area and Kent's right in the heart of it. I think they're going to see a lot of appreciation based on those numbers. Kent's still only worth in the neighborhood of $8 million at the most, so it's still a very undervalued company. Based on these results, I was actually very impressed and think that it wouldn't be unrealistic for the company to double again from here.

    -   The Gold Report Interview with Victor Gonçalves (01/29/10)

"Kent Exploration received a Geophysical Report based on aerial surveys conducted on the company's Gnaweeda Gold Project in the northern Murchison Province of Western Australia. The Gnaweeda Gold Project lies approximately 35km northeast of the town-site of Meekatharra, and extends over 28km of the Gnaweeda Greenstone Belt.

The report has identified 11 additional high-priority targets on the property; bringing the total number of targets at Gnaweeda to fourteen. Two of the new targets 'appear to extend off the existing Gnaweeda tenements,' so Kent Exploration and Teck Australia have staked two additional claim blocks to cover the extended target zones.

Kent Exploration is currently planning to drill the Turnberry and Bunarra target zones, where the first phase diamond drill program is planned to commence the first week of March 2010. Drilling is also planned for the St. Anne's zone, which is to be drilled in the second phase diamond drill program.

Kent Exploration has an option to earn up to 100% in the Gnaweeda Project by funding A$3 million over four years. Teck Australia also has the right to earn-back 75% of the project by spending 2.5 times Kent Exploration's exploration expenditure."

    -   Proactive Investors (01/18/10)

TGR: Who else are you watching?

VG: A company we talked about in August was Kent Exploration Inc. At that time, I think it was at 7 or 8 cents, and now it's pushing close to 25 cents. It's done quite well, and for good reasons. They've acquired some New Zealand and Australian properties with almost 700,000 ounces of gold on them. They have near-term cash flow of barite, anywhere from $1.2 million to $1.5 million a year. They've drilled their Flagstaff property in Washington State, where they have very high-grade holes that they're trying to prove because these are historical holes drilled in the early '80s. And it's in a safe jurisdiction and all those good things we need in a company. It's well run. Graeme O'Neill (the CEO) is one to spend money where it's required and not do it frivolously, so that's one thing I like about him. His management team is the type to make sure things get done from A to Z. That's what they're doing now. Based on the fact that the company has approximately 28 million shares, it's only a $7 million company with some very nice results coming out. They've done well so far, and still have room to grow. I'm quite eager to see what happens.

    -   The Gold Report Interview with Victor Goncalves (11/06/09)

"Investors are finally beginning to take notice of Kent Exploration (KEX, TSX-V), which broke out Friday, October 23, to a new 52-week high on massive volume of 4.3 million shares (it closed at 20 cents). We stress the word 'beginning' because in our view, as we reported on October 19, this company represents an incredibly intriguing and exciting investment opportunity.

With a market cap of just $6.4 million, our analysis is that Kent is still grossly undervalued and Friday's breakout confirmed that a powerful bull market phase for this stock—quite possibly a dramatic phase—has indeed emerged.

Kent is clearly a special situation. . .This company went public in August, 2006, and took advantage of the financial crisis to add very valuable projects at minimal cost. The fundamentals and prospects have changed dramatically with this company, and the market is going to reward it with a significantly higher valuation as a result.

The Alexander Prospect, which includes the old Alexander Mine that produced about 40,000 ounces of gold prior to closing in 1943, was estimated by Macraes Mining (the precursor to Oceana) to contain an inferred (non-compliant) resource of 643,000 ounces of gold. We're also keeping a close eye on what Kent is doing in Australia with Teck as the two companies have partnered on the highly prospective Gnaweeda Gold Project.

The current drilling program at Flagstaff and the search for high-grade gold there has the potential to produce a dramatic upside move in the stock price. And we believe the Alexander River Project in New Zealand is going to prove to be a big winner for Kent and its proposed spin-off, Archean Star Resources."

    -   BullMarketRun (10/25/09)

"We know this sounds almost too good to be true, but thanks to technical analyst Clive Maund—one of the best in the precious metals business—we have come across a junior exploration company that presents one of the most intriguing investment opportunities we've seen in this current cycle. Incredibly, it is trading at just 16 cents and has a market cap of only $5 million (but not for long).

We say 'incredibly' because:

  1. This company is currently drilling into some rich historical drill holes that returned such stunning results as 1.3 ounces of gold over 18 metres;
  2. This company is very close to generating substantial cash flow from barite reserves of at least one million tons. In fact, as far as we know, it is the only publicly-traded company in North America that can produce high-grade barite;
  3. This company has just partnered with a major—Teck—on the highly prospective Gnaweeda gold project in Western Australia;
  4. This company has just recently acquired a New Zealand gold property (a former producer) with an historical inferred resource of 643,000 ounces.
But wait, it gets even better. This company is progressing so well, it's about to give its shareholders a dividend! Yes, a dividend in the form of shares in a publicly-traded spin-off that will hold and develop its very promising Australian and New Zealand gold properties.

The market, in our view, has clearly not factored in the good possibility of a gold/silver discovery at Flagstaff, nor has it fully grasped the significance of what Kent has assembled in Australia and New Zealand—a substantial package of high quality gold prospects in proven gold camps, and a very advanced situation at Alexander River with ounces in the ground.

At its current price—only 16 cents—Kent offers very significant upside potential and minimal downside risk, so the risk-reward ratio here is very attractive. The fundamentals should drive this stock to considerably higher levels, as the technicals also suggest in Clive Maund's analysis."

    -   BullMarketRun (10/19/09)





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