Source: Kevin Michael Grace of The Gold Report (7/22/13)

In a recent interview with Streetwise Reports, Eric Coffin comments on Comstock Metals Ltd. Gold juniors need to get back to the basics, says Coffin, and it is going to take large discoveries to get the market excited again. In this interview with The Gold Report, Coffin explains how the new economics of gold production require investors to concentrate on companies with three specific qualities, and names companies and the regions that could generate breakout projects.

We thought you'd be interested in reading Eric Coffin's comments on Comstock Metals Ltd. below:

"One company we started following last summer is Comstock Metals Ltd. The company has made a discovery that is right across the river from the original Golden Saddle discovery, which Kinross Gold bought for $140M in 2010 and which really kicked off the area play. Comstock has generated a number of pretty good holes from the VG zone of the QV project, basically 2�3 g/t material, up to 4�6 g/t per tens of meters in a flat lying zone or close to a flat lying zone. I think there's a good chance Comstock will have repetitions of that zone.

"Comstock has just finished doing a lot of structural mapping, which is helping it sort out the discovery zone. The company just finished its phase 1 drill program and has started phase 2. It just reported the first results from phase 1, which included a couple of holes with 40�50m grading about 1.5 g/t. Those were both 150m stepouts. More interestingly, Comstock reported intercepting the zone with hole 17. That is a huge stepout�over 600m. There are no assays reported yet from this hole. If it contains even moderate grade that would be important because the hole greatly increased the scale potential of the zone. I think that if Comstock can find 1�1.5 Moz, that would be enough to push the combined economics of its QV project and Golden Saddle across the river over the finish line. I think the combination of those two deposits would result in something with enough scale for development." View Article

To read Eric Coffin�s latest subscriber only alert on Comstock Metals, please click here now

�Comstock isn�t getting a standing ovation for these results but you have to respect the company�s willingness to step up and drill in a terrible market and these holes are a success that has improved the value of that project. With Phase II starting there will be more news flow from CSL and its worth accumulation on weakness for that news.�

Click here to read HRA�s Special Delivery Alert on Comstock Metals [July 15, 2013]