http://www.kitco.com/charts/livegold.html

cheers GF.

POG tipped in this article........

http://www.fool.co.uk/news/investing/2011/04/08/why-im-keeping-hold-of-gold.aspx

London Mining among JP Morgans favoured small and mid-cap miners -

2:28 pm London Mining

http://t.co/J3zrkJw

is among JP Morgan's favoured group of small to mid-cap miners
London Mining (LON:LOND) and Petropavlovsk (LON:POG) have emerged as JP Morgans top picks following a fresh review of the UK small and mid-cap miners covered by its analysts. The broker believes that with commodity prices set to remain strong, this end of the sector offers interesting upside potential for investors.

The review by JP Morgans mining team is based not only on stock specific newsflow but also the brokers latest commodity and foreign exchange assumptions.

While commodity prices are not rising at previous rates, the brokers analysis indicates the UK small and mid-cap mining sector in general boasts stocks that are delivering strong production growth rates. In certain cases they are also potential direct beneficiaries of the substantial cashflow being generated at the senior end of the industry as they become eyed up as possible bid targets.

The broker reckons there is an especially strong case for optimism over iron ore and precious metals plays.

London Mining looks particularly well placed to benefit from JP Morgans forecast strength in iron ore markets over the near to medium term. At the moment, the company is working towards a September start-up for its flagship project, the Marampa iron ore mine in Sierra Leone.

Only late last month the company assured investors that Marampa remains on track for first shipments in the fourth quarter of this year thanks to a recently-agreed shipping deal.

For JP Morgan, Marampa offers near-term growth at low capital intensity and competitive operating costs.

Marampa was once a major iron ore producing operation in Sierra Leone. It operated for 42 years from 1933 until low iron ore prices forced its closure. Continuing weak markets and civil war in Sierra Leone prevented redevelopment of the mine until London Mining obtained a licence over the property in 2006.

From an historic tailings resource plus a primary iron ore target of 85 million tonnes at 37% iron just over a year ago, Marampa, has certainly grown in London Minings hands: current resources, as of January 2011, stand at 37 million tonnes of tailings running at 22% iron, and 906 million tonnes of primary ore grading 32% iron.

London Mining development plan for Marampa envisages the production of 3.6 million tons per annum of sinter concentrates from a blend of tailings from previous operations and soft, highly-weathered ore in its first phase.

The second phase expansion is aimed at producing 16 million tons per annum of concentrate from the remainder of the Marampa ore body over a 25-year mine life.

JP Morgans latest upbeat view on prospects for London Mining follows on from its very positive initiating note on the company back in May. Even then the broker was advising investors to begin building positions on the stock immediately adding that 2011 could prove to be a transformational year for the company.

The broker noted at the time that there were two potentially important catalysts for its share price going forward: initial production from Marampa, marking London Minings transition from developer to producer; and secondly, any deal to secure funding for Marampa Phase 2.

It currently rates London Mining at overweight with a price target of 520 pence.

Meanwhile among precious metals groups, the unloved gold miner Petropavlovs finally appears to be on the right track, says JP Morgan.

Petropavlovsk (formerly Peter Hambro Mining) is focused on Russia and has a number of production and exploration assets across Russia, with its principal operations located in the Amur Region, in the Russian Far East.

Investor sentiment over Petropavlovsk has been heavily undermined because of its persistently missed guidance over 2010.

On 22 June 2011 the company assured in an update

EPS forecasts from Digital Look, anyone think these look very good but will actually be better due to price of gold rising.

Petropavlovsk ForecastsYear Ending Revenue (m) Pre-tax (m) EPS P/E PEG EPS Grth. Div Yield

31-Dec-11 609.35 221.22 87.45p 9.3 0.0 +464% 9.15p 1.1%

464% rise in EPS to results in December and thats without the new high in Gold SP being taken into account.

Goldfinger - Can you enlighted a mere novice as to why over the last two trading sessions namely Friday and today (Monday) that after the Gold spot price reached a record level on Friday then reaching a new record today. The POG price finished down at the end of both trading days!! And yet when I look at both:

African Barrick Gold (LSE: ABG)
Randgold (LSE: RRS)

They have both risen at end of trading and yet POG goes in the opposite direction?

The US and Euro economies are in a mess. Everyone is backing Gold and POG is sitting at just over 8.00 even after their bullish market update on the 21st June.

Surely if the price of Gold is increasing then this should have a direct correlation with GOLD mining stocks? Or am I looking at it too simplistically?

Post 1144 will explain your query Ian. cheers GF.

Trading update thursday the 21st aswel. Looked like MMS collecting stock for the books today of POG. One can only guess that they are looking towards a favorouable update come thursday.

Going lioke the clappers this morning. Was subdued yesterday amid some strange MM dealing.

sp certainly been performing well in horrid markets, but by golly the management needs to start producing some rabbits after its dismal forecasting record over the last couple of years

Trading statement thursday cyners, followed by another 25th of August. Should lift the SP if all goes to plan.

and THAT has always been the problem!

how r u keeping young sticky?

Thanks GF - I had read that particular post and have just re-read it.

Better finish to the day :-)

Excelent half year results.

http://moneyam.uk-wire.com/cgi-bin/articles/201107210700147770K.html

And we have another update to come in late August.

Yep, with a jorc update still to come.....

first time in living memory that POG have actually delivered per forecast

Well,...it's a very good update and gold seems to be still in a rising trend...and the graph looks favourable for further rises in the sp...

Thursday, Jul 21 2011 by Fox Davies Capital

http://www.stockopedia.co.uk/content/fox-davies-capital-update-featuring-melrose-horizonte-minerals-minera-irl-petropavlovsk-ascent-resources-dragon-oil-58399/

Petropavlovsk (LON:POG) plc (POG, 822p, ▼ 0.96%) issued its trading update for the period from 1 January 2011 to 30 June 2011 Total attributable gold production for the first half of the year was 219,100oz, c.32% higher than during the same period in 2010 (166,300oz) and marginally ahead of the Group's estimate for the first six months of 2011. Production in the second half of the year is expected to be higher than in the first half, due to a greater contribution from the Group's seasonal heap-leach and alluvial operations. Total material moved at Pioneer during H1 2011, was c.84% higher than during the comparative period in 2010 (14,177,000m^3 vs. 7,707,000m^3). The Group reiterates its announced production target of 600,000oz for the year. Operating costs were in line with the Group's estimates, which have been under pressure from industry wide inflation and the appreciation of the Rouble against the US$, the Group's functional reporting currency. Oil Services Corporate News
--------------------------------------------------------------------------------

POG

http://www.proactiveinvestors.co.uk/columns/broker-spotlight/5957/

Sp climbing...900p a possibility .....in the short term......might be a pullback beforehand though as rest of the market not doing so well....other gold stocks down, and POG has risen quite a bit, so...: a dip before a rise....difficult to guess...

BRIEF-Petropavlovsk chairman sees gold prices hitting $2,000 an ounce
21 Jul 2011 - 08:19

LONDON, July 21 (Reuters) - Petropavlovsk PLC :

* Chairman sees no reason why gold prices should not hit $2,000 an ounce

((London Equities Newsroom; +44 20 7542 7717))

UPDATE 2-Petropavlovsk says on track to meet output target
21 Jul 2011 - 09:26

* H1 gold output 219,100 ozs, marginally ahead of target

* Reiterates 600,000 ozs production target for year

* H1 gold sales 266,000 ozs at average price of $1,455

* Operating costs in line but under pressure

* Enters $340 mln banking facility, capex fully funded


(Adds chairman interview, detail, share price)

By Julie Crust

LONDON, July 21 (Reuters) - Russian miner Petropavlovsk said gold output jumped 32 percent in the first half, marginally above expectations, and reiterated full-year guidance as it continues to rebuild confidence after a disappointing performance last year.

The London-listed miner also put an end to market concerns about its financing after announcing $340 million of new committed banking facilities, mainly from Russian banks, meaning its capital expenditure programmes are fully funded.

Petropavlovsk said it produced of gold 219,100 ounces in the first half and retained its 2011 output target of 600,000 ounces, in a trading update. It produced 506,810 tonnes in 2010, missing its target for 510,000-530,000 tonnes.

It had slashed its forecast twice in 2010 from an original 670,000-760,000 ounces after a delay in the delivery of major mining equipment, harsh weather as it worked to ramp up production at the Pioneer mine in Russia's far east, and lower grades. [ID:nLDE6A114X]

Gold sales surged 71 percent to 266,000 ounces as the miner also benefited from a 26 percent rise in the price it received for its gold.

The stock was up 3.0 percent at 0746 GMT, valuing the company at 1.6 billion pounds ($2.6 billion).

Shares in the company underperformed the gold price in the first half, along with many other London-listed gold miners, but have jumped 16 percent this month as gold prices hovered near record highs [GOL/].

"The gold price will continue to rise and I see no reason why $2,000 an ounce should be beyond our reach," Chairman Peter Hambro told Reuters, although he noted it was hard to predict the timing.

"Who knows what's going to happen today? If the euro thing goes wrong today, we could see $2,000 tomorrow."

European Union leaders will meet on Thursday to seek a convincing solution to Greece's debt crisis. Failure to reach agreement could cause economic damage to the global economy, the head of the European Commission warned. [ID:nL6E7IK1QO]

Gold prices have risen 13 percent this year, hitting a record $1,609.51 an ounce on July 19, on concerns about the euro debt crisis and U.S. debt ceiling talks.

Petropavlovsk said operating costs were in line with its estimates, but have come under pressure from industry-wide inflation and appreciation of the rouble against the dollar. It will provide details of costs when it releases first-half results.

"We now expect the shares to rally into first-half earnings on August 25, on expectation the company is on a firm footing operationally and that management is finally on track to meet or exceed guidance," said Liberum Capital in a note.

Petropavlovsk gave some positive updates on its exploration programme.

It has found two new mineralised zones at its Pioneer project, one of which is showing high grades, that contain non-refractory and refractory mineralisation.

"We haven't got the JORC (resource estimate) numbers for these, but they are significant because it means there is more oxide ore which we can process, and we are not so immediately reliant on the refractory ores.

"The need to switch from one type of ore to another is delayed, which is very good news."

It is difficult to recover gold from refractory ore, which accounts for about 80 percent of Russia's reserves, using standard processes, so the company is constructing a $181 million pressure oxidation (POX) plant.

Fears the miner would have to turn to the market to fund investment, including construction of the POX plant, had been once of the reasons for the company's underperformance in the first half.

($1 = 0.620 British Pounds)

(Editing by David Hulmes