Stronger Miners are a Positive Indicator for Samaranta Mining Corp.

Brittney Barrett  |

Gold rose 6.8 percent for the week as ongoing market volatility and plodding domestic growth stoked concerns about the future and safety of equities and the USD. Gold has been on the equivalent of a ten year bull run and analysts argue it could continue in the coming years amid concerns over the global economy. Recent trading has seen investors not only more enthusiastic for gold, but also for gold miners. The last ten weeks especially have been impressive for miners according to data from New York options-data provider Trade Alert LLC. Figures indicate that open interest in call options on Market Vectors ETF Gold Miners (GDX) has doubled in that period and is now reaching close to an all-time high.

Speculation seems to be that the price of gold will stay higher as a result of a number of factors from emerging growth markets to competitive currency devaluation and that the GDX and miners will move substantially higher is the coming year.

If the conjecture is correct it could to the benefit of Samaranta Mining Corporation (SAX.TSXV). Samaranta is a resources exploration and development company actively exploring for gold and other precious metals with a main focus on Colombia. Colombia remains a vastly unexplored region, creating unique opportunities for companies with involvement in the region.

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The continued long-term demand for gold has the potential to exhaust certain mining areas but the wealth of gold and other precious metals in Colombia provides it with a distinct advantage. Samaranta recognizes the unique potential of the region and has been aggressively expanding its holdings with considerable success.

It’s most recent interest is a 117,647 hectare area in the Colombian department of Choco, located on the border between Colombia and Panama. Gold mining has been traced as far back as the 1600’s in Choco and is the area’s primary source of income. Samaranta hopes to leverage the areas increasing gold production into profits and recently filed a letter of intent to begin that process. Should the most recent letter of intent materialize as Samaranta intends it to, the company has the potential to profit  from both the  natural and economic factors at play.

Beyond Novita,  Samaranta also recently announced its acquisition of an 80 percent interest in the 14,300 hectare Siguire property in the historically prolific Birimian Greenstone Belt in Guinea, West Africa. The company also continues to engage in a more in depth investigation of the gold resources on its Guadalupe property. The most recent and comprehensive analysis of the new Gamma Spectrometer and Magnetometer survey of the site, located beside the north edge of the Frontino Gold Mines in Colomobia reveals eight areas the company has deemed worthy of further investigation.

The aggressive approach Samaranta has adopted in its Colombian gold pursuits has the potential to work in its favor provided the current market trends persist.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not necessarily represent the views of Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to:


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