From: james flannigan on SI

12/20/2011 1:52:02 PM

THERE IS NO QUESTION NES IS THE NEXT VEN

With all the years drilling data coming to close out the 2011 year its very clear that NES has now reached the ranks of a world class discovery.The latest 1 km stepout hole now suggests that the expected 5 million ounce discovery at Ana Paula updated to 43-101 in Q1 20012 is pointing to a double of the foot print at the discovery and is on track to suggest at least a 10 million once resource.Finding a million ounces of gold is like finding a needle in a haystack..Only 1 in 2000 JR companies ever find a million ounce deposit. Far more rare is a 3 million ounce find.And a further far far more rare is a would class gold deposit over the 10 million ounce range.

In the case of NES its truly in a world of its own that being a rare discovery that happens less that 5 times on average in a decade.Yet even with those great odds a educated investor can spot a world class discovery on only a few holes.Number like NES is posting is no fluke or one hit wonder.Rather its a guide to tell investors early that a rare situation is unfolding.Investors who see the future before the rest of the market profit when the unknown becomes known.Nes is offering investors a chance to make VEN and ARU like returns in a very choppy market.With tax loss selling over in the next few days investors who looked at NES to buy but did’nt are now getting the chance to make outstanding returns in 2012 even in tough market conditions.

I have seen world class deposits many times before the rest of the market Arequipia was my first lesson in buying early in 1996.They were posting drill results only half the grades and widths as NES.I bought the stock for $2 in $300 gold.After only a dozen holes with no resource calculation Barrick offered $29 per share.The offer was rejected and Barrick came back at $32 and it was a done deal for $1.1 billion in $300 gold.

I will bet that NES is going to get a bid before we do a 5 million ounce 43-101. There can be little doubt about it the majors need this deposit and are not going to wait until we get to 10 million ounces.

I rate NES a SCREAMING BUY.

James

December 20th, 2011
Categories: Uncategorized . Author: caliche