Archive for the ‘Colorado Goldfields Inc. CGFI’ Category

Red Chip Featured Company: Colorado Goldfields, Inc. (CGFI.OB)

Monday, October 6th, 2008

Colorado Goldfields, Inc. (CGFI.OB) is a new player in the mining field focused on the exploration and retrieval of gold and silver in the state of Colorado. The company is targeting its efforts on three historically proven mines that only require minor rehabilitation to achieve full-scale production sites. CGFI has obtained an 80% interest at the Gold King, Mayflower, and Mogul mines located in San Juan County, Colorado. All three mining properties are located within a 9-mile radius of the Pride of the West Mill, which consists of 120 acres of private land, an office building, a laboratory building, water rights, and a modern gravity, flotation and cyanide leach mill. The mill has the capacity to process up to 700 short tons per day.

The Gold King Mine is a 170-acre property with known gold potential. CGFI is reinterpreting the geological data and models of the mine, and will conduct a geophysics program in conjunction with surface drilling to better evaluate the steps required to move the site to production level within the next two to three years. The 250 acres of the Mayflower Mine can easily be accessed by a gravel road. Historically about 520,000 ounces of gold and 12.3 million ounces of silver were removed from the Mayflower Mine.

Echo Bay Mines, which owned the site in the 1980s, conducted further exploration of the site and found the continuation of historical ore grades below the main area that was mined. Due to financial issues, Echo was not able to proceed with its mining efforts. The Mogul Mine is a high-grade zinc/lead/silver property that adjoins the Gold King Mine. The site has not been actively mined since the early 1900s and has the potential for a large tonnage of ore. Historically, the ore grade from the site has been 6.5% zinc, 4% lead, and 0.75% copper.

John Ferguson, DOO of CGFI, recently stated, “We anticipate, subject to third party assay verification, that we will be able to determine if there are one or more mineable veins in this system parallel to the principal Gold King Davis vein. We are excited about the possibility of multiple veins containing historically unrecognized ore shoots.”

Ferguson continued with comments about the Mogul Mine, “The surface outcrop of the vein is approximately 40 feet wide. Historical data from mining in the zone above the drill holes indicates a good grade of silver, lead, copper and zinc with important gold. We are hopeful that drilling on the Mogul vein will indicate the existence of commercially viable ore.”

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Colorado Goldfields, Inc. (CGFI.OB) Presents a Golden Opportunity

Tuesday, September 16th, 2008

Colorado Goldfields (CGFI.OB) is a Denver-based junior exploration and mining company primarily exploring for gold and silver. The company is focused on mining in the traditionally rich mining areas of Colorado.

Colorado Goldfields has focused on a major gold project in the legendary Silverton Mining District of Colorado. The company has an option to earn an 80% interest in three extremely promising gold mining properties, featuring advanced, formerly producing mines. These mines are: the Gold King, Mayflower, and Mogul mines located in San Juan County in southwest Colorado.

Colorado Goldfields’s 2008 drilling program is progressing toward positive results. John Ferguson, the company’s director of operations, recently reported that “The core drilling program begun summer 2008 is progressing on schedule. The first two drill holes on the Gold King have intercepted multiple mineralizations. While assay reports remain in progress, the mineralizations appear to be consistent with historic information that showed significant gold, silver, and other mineral deposits at this location.”

Colorado Goldfields hopes to reach profitably within the next 18 months. This is based on both the prospects for the mines and the availability of an inactive, modern, 500 to 700 ton-per-day capacity mill facility located near the mines. This modern mill facility will allow for an attractive short-term production time frame.

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Colorado Goldfields Inc. (CGFI.OB) – Exploring in a Legendary Mining Area

Friday, August 22nd, 2008

Colorado Goldfields Inc. (CGFI.OB) is a Denver-based junior exploration and mining company primarily exploring for gold and silver in Colorado. The company’s business model provides an outstanding combination of former producing properties with excellent exploration and production potential and a currently inactive, modern 500 to 700 ton-per-day capacity mill to allow for an attractive, short-term production time frame.

Continuing the legacy of the historic Colorado gold rush, Colorado Goldfields is focused on a major gold project in the legendary Silverton mining district of Colorado. Colorado was once the location of one of the greatest gold rushes in North American history. Since 1859, millions of ounces of gold have been mined in Colorado. Today, Colorado is once again the site of increasing gold exploration.

Colorado Goldfields has the option to earn an 80% interest in three extremely promising gold mining properties. The company’s properties feature advanced, formerly producing mines including the Gold King, Mayflower, and Mogul mines located in San Juan County in southwest Colorado. These properties have historically proven to contain significant quantities of gold, silver, and base metals.

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Colorado Gold Fields Inc. (CGFI.OB): A Golden Opportunity for Investors

Friday, August 15th, 2008

Colorado Gold Fields Inc. is a purchaser and explorer of gold and mineral properties throughout its home state of Colorado. The company potentially has access to some of Colorado’s richest gold and mineral properties that have been dormant for decades. Colorado Gold Fields holds an option to acquire an 80-percent undivided interest in the Gold King and Mogul Mine properties comprising 44 patented and 13 unpatented mining claims located in San Juan County, Colorado; and a 70-percent undivided interest in 19 patented mining claims in the Mayflower mine.

The aforementioned properties were once among the most prolific producers of gold, silver and other minerals in Colorado, but have been dormant since the 1990s due to environmental concerns. Estimates show that the Gold King property may have as much 406,000 ounces of gold and almost 4 million ounces of silver. In fact, Colorado Gold Fields began drilling at Gold King earlier this week.

The company also has an inactive mill that it says can reach a capacity of 500 tons to 700 tons per day production when activated. The mill is valued at $12 million, and several smaller mining companies have already approached Colorado Gold Fields about use of it. In an effort to boost shareholder return, the company plans to open access to the mill.

With gold being the commodity many banks and investors turn to around the world when oil prices soar and the US dollar weakens, Colorado Gold Fields may warrant a look by potential investors. The company announced yesterday that its board of directors locked up 40,500,000 shares, or 40 percent of its float, for two years, and the company believes it can be profitable within 18 months. The company also has an international focus via the recent acquisition of a Mexican rival.

Shares of Colorado Gold Fields currently trade at 11 cents and have had average volume of over 188,000 a day for the last three months, an especially high volume for companies of this size. Colorado Gold Fields has a market value of almost $10 million.

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Colorado Goldfields Inc. (CGFI.OB) is Stepping Up Exploration Efforts

Thursday, June 19th, 2008

Colorado Goldfields Inc. is an exploration and mining development company based out of Denver, Colorado. The company’s efforts are primarily focused on the development of three historically-producing gold properties in Colorado’s famous Silverton mining district. The Gold King, Mayflower, and Mogul mines of San Juan County are Colorado Goldfield’s tickets to becoming a major player in the American gold mining industry.

The company recently expanded its capabilities with the purchase of a new drilling rig, the Longyear 34, which will enable the company to carry out its exploration efforts with greater efficiency. President Todd Hennis noted, “The purchase of the Longyear 34 rig will increase our exploration flexibility on the 2008 drill program and in later years. We look forward to placing this drill rig in service and anticipate drilling previously unexplored areas of the Gold King property.” The new equipment is expected to arrive this week, and to be working in conjunction with another rig operated by Godbe Drilling, Colorado Goldfield’s drilling partner.

Gold is a material that will always maintain its intrinsic value. Throughout history, no other substance has been more widely valued, and present day demand is reaching an all-time high. There are many ways to invest in gold, from purchasing actual bullion, to taking an interest in gold-related companies like Colorado Goldfields.

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