New Gold (NGD): Sheer coincidence

You just know that this.......

New Gold Inc. (NGD)						As of July 6th, 2010
Filing Date	Transaction Date	Insider Name	Ownership Type	Securities	Nature of transaction	# or value acquired or disposed of	Unit Price
Jul 05/10	Jun 29/10	Gallagher, Robert	Direct Ownership	Common Shares	10 - Disposition in the public market	-350,000	$6.604
Jul 05/10	Jun 29/10	Gallagher, Robert	Direct Ownership	Common Shares	51 - Exercise of options	160,000	$3.210
Jul 05/10	Jun 29/10	Gallagher, Robert	Direct Ownership	Common Shares	51 - Exercise of options	190,000	$2.710
Jul 05/10	Jun 29/10	Gallagher, Robert	Direct Ownership	Options	51 - Exercise of options	-160,000	$3.210
Jul 05/10	Jun 29/10	Gallagher, Robert	Direct Ownership	Options	51 - Exercise of options	-190,000	$2.710

....has absolutely nothing to do with this:

"On July 7, the Fifth Auxiliary District Court in Mexico City denied the company's appeal against the September 2009 ruling by the Federal Court of Fiscal and Administrative Justice that ordered SEMARNAT, the Mexican government's environmental regulatory agency, to cancel the company's EIS in November 2009.

.........

""While we are disappointed by this most recent decision, we will continue to pursue all avenues to ensure the continuous operation of Cerro San Pedro," stated Robert Gallagher, President and Chief Executive Officer."

I mean, it's only 350,000 options with (pre-tax) net proceeds of $1.28m. Who would ever screw over their shareholders for such a measly sum?

mining snippetz

Silver porn! Dia Bras (DIB.v) pleases the crowd with the above photo and the news release that goes with it. You'll also note the latest in MinerFashion. Derek Zoolander taught 'em everything they know.

New Gold (NGD) 4% down? Wasn't this news supposed to shoot it skywards? Shome mishtake shurely, ossifer!

Animas now 27% down at 68c.

Meanwhile, the stock that dare not speak its name (K-Y) has news. This press release today has a phrase that you don't see very often:

"....Cryst_llex has acted reasonably..."

This big ol' world never stops surprising, ah tellz ya.

New Gold (NGD) suspends operations in Mexico

Goodbye. Oh monsieur Lassonde, you didn't do your DD, did you? Tut tut tut.......



Here's the Press Release, and here's how it starts:

VANCOUVER, Nov. 19 /PRNewswire-FirstCall/ - New Gold Inc. ("New Gold") (TSX and NYSE AMEX-NGD) is cooperating with Mexican government authorities and pursuing all legal appeals after the company was notified yesterday that it must suspend mining operations at its Cerro San Pedro Mine, known regionally as Minera San Xavier ("MSX"). Although mining has been suspended, gold recovery operations of existing inventory on the leach pads are continuing.

Following a ruling by the Federal Court of Fiscal and Administrative Justice, SEMARNAT, the Mexican government's environmental protection agency nullified the mine's Environmental Impact Statement ("EIS") which was issued in 2006. PROFEPA, the Mexican environmental enforcement agency, issued the order requiring MSX to suspend mining as a consequence of the nullification of the EIS.

MSX has appealed the decision of the Federal Court of Fiscal and Administrative Justice and intends to pursue all legal avenues with respect to the recent actions of both SEMARNAT and PROFEPA. New Gold is seeking immediate remedies. MSX has also filed a new EIS with SEMARNAT.

"This is a continuation of a decade of challenges from a group of individuals largely from outside the area who are opposed to the mining operations at Cerro San Pedro. We are taking all possible steps to respond to challenges to our legal ability to operate the mine, and believe that we will resume full operations" says yada yada continues here

Good to see that Mexico has finally grown a pair....that's the only bit that surprised me, but as I wrote in IKN29 last weekend...

The IKN Weekly does not have the same agenda as the IKN blog and does not try and pass judgement on these things. It is up to the individual investor to decide whether NGD suits his or her portfolio, but in this case I’ll venture to say that I would not be a shareholder in New Gold for the forseeable future. That’s just me. Enough said.

New Gold (NGD): Business as usual in Mexico

The normal high standard of reporting by Al Jazeera is found in this report that comes along with this video....

....about the controversial Cerro San Pedro mine operated by New Gold (NGD). Al Jaz gets all sides of the argument onto tape in three minutes (bar the company's, who refused to be interviewed) as it talks to locals for and against the mine which, as the report points out, is operating illegally according to Mexican law.

Here's the link to the report. My thanks to reader 'TS' for the headsup on this, as giving all sides of a story is the way to do these things. Kudos AlJaz

New Gold (NGD): the leverage play

Gold spot shoots, and so does NGD.

3 month chart

In the recent IKN Weekly, the leverage NGD has to gold was discussed and, although not called as a buy, it was pointed out that the price target moves up quickly between $900/oz and $1000/oz gold. With gold moving to $950/oz today, the big move we saw today was pretty much expected Chez Otto.

Results season

The 1q09 results are coming in among the miners. Here are a couple that caught my eye.

1) New Gold (NGD) which has always been a bit of an underachiever, put in a nice quarter and beat all estimates (including my own, and by some way) by posting a 6c EPS. However that total includes a $10.1m one time gain on a bond (well, secured notes to be exact) buyback. The fusion with WGW is on track. NGD popped 10% yesterday and has its CC this morning.

2) Amerigo Resources (ARG.to) posted a $4.78m loss for 1q09 that isn't a surprise to anyone, but is guiding positively for the rest of the year. This will be good news for at least one regular reader of IKN (hi "A" :-).

In The IKN Weekly this weekend I'll be including a NOBS report on New Gold (NGD), bang up to date and including analysis of the latest quarter. Another reason to come aboard if you haven't already. So if you feel like taking a flyer and risking U$25 on a month's subscription the button's over there on the right of the page. Remember that if you do and decide it's not for you after a month, the unsubscribe is quick, easy and no quibble. The last thing I'm going to do is trap you into a service that you don't want.