Message #5 From:
NewsBot Date: December 28, 2007 11:51:42 AM
Pacific Gold Rated 'Hold/3' By Analyst Kipley Lytel In Investrend 'Benchmark' Research Update
Analyst Lytel cites Pacific Gold Corp.’s
suspension of gold production and elevated liquidity concerns, while
valuable intact assets and a proposed public spin-off hold potential to
unlock shareholder value and potential funding.
(Investrend Research Syndicate) Analyst Kipley J. Lytel, CFA, applying a “Hold/3”
rating in a Benchmark Research Update, dated December 21, 2007,
published by Investrend Research, cites Pacific Gold Corp.’s
(OTCBB: PCFG) suspension of gold production thru mid-2008 for elevated
liquidity concerns, while valuable intact assets and the proposed
spin-off of Pilot Mountain hold potential to unlock shareholder value
and offer a potential funding source.
The full Investrend report on PCFG, including important disclosures,
disclaimers and analyst qualifications, is available at http://www.investrendresearch.com
, or may be directly accessed via this link: http://www.investrend.com/Admin/Topics/Articles/Resources/906_
1198514364.pdf. Investors are advised to read disclosures carefully
before trading in the equities of any enrolled company.
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In the report, analyst Lytel also stated:
"A material negative event relating to the Black Rock Canyon producing
mine has jeopardized the near-term outlook for Pacific Gold Corp. (“PCFG”).
New sources of funding are paramount, as PCFG must quickly re-acquire a
new dewatering apparatus to move Black Rock Canyon back on its
production course. While management can swap some other non-core
equipment, both the timing & likelihood of accessing new requisite
funding sources remain uncertain. That said, should the new custom built
Trommel system be secured, then PCFG operating costs should be
streamlined via efficiency & reduced operating expenses.
Inasmuch as our rating action is predicated on these events, we believe
the long-term intrinsic mining prospects of PCFG remain solid. Indeed,
given PCFG is able to regain its production footing in Black Rock
Canyon, the opportunity frontier for the Company will be promising.”
Analyst Lytel concluded:
"The current PCFG stock price of around $0.05 reflects the Nevada Rae
Gold subsidiary operating suspensions.
“Pacific Gold Corp.’s
management has successfully financed and managed their company
reasonably over the past three years, however, there is both a requisite
funding and operational mining cloud over PCFG that will need clarity
for a positive rating move. Furthermore, unless the Pilot Mountain
Resources can be spun-off (currently a lien), we anticipate any future
funding may either add a layer of debt or dilution to shareholder value
(or both)."
All Investrend Research reports published for PCFG, including important
disclosures and disclaimers are also available via the company's
InvestorPower(tm) Page, posted at Investrend.com (http://www.investrend.com).
InvestorPower(tm) Pages are directly accessible from http://www.investrend.com/company/list.asp?sPathParam=yes.
Investors are advised to read those disclosures carefully before trading
in the equities of any enrolled company.
Pacific Gold Corp. is enrolled in Investrend Research's pioneering
professional research program, which facilitates independent analysts to
provide coverage for shareholders in companies that otherwise would have
little or no analyst following. Enrollment fees for the Benchmark
research platform are $26,800, and the fees are being paid by the
company. Analysts are paid in advance of initial reports by Investrend
Research to eliminate pecuniary interest, and neither the analyst nor
anyone associated with Investrend Research may own or trade in the
stocks of a company under coverage.
Investrend subscribes to the exacting "Standards for Independent
Research Providers" at http://www.firstresearchconsortium.com,
as well as the CFA-NIRI Guidelines at http://www.cfainstitute.org.
Investrend's Research platform is also executed in accordance with
Guidance set forth by U.S. Securities and Exchange Commission's Advisory
Committee on Smaller Public Companies at http://www.sec.gov/info/smallbus/acspc/acspc-finalreport_d.pdf.
Anyone interested in receiving alerts regarding Pacific Gold research or
webcasts should e-mail contact@investrend.com
with "PCFG" in the subject line, or click on http://www.investrend.com/contact.asp.
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Forward-looking statements are based on current facts and analyses and
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