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LSTG - Estimated Reserves of $18.14B Right in Goldcorp's Backyard

Goldcorp's NEXT Takeover Target! Newly-Listed Lone Star Gold (LSTG.OB) Is Estimated To Be Sitting On Gold and Silver Worth At Least... $18.14 Billion! Buy Shares of Lone Star Gold Corp. (LSTG.OB) Now around $1.00, Before Its Gold-Starved Neighbor, Goldcorp, Gobbles It Up For... $179 Or More a Share!

Immediate Buy Alert:

Goldcorp's NEXT  Takeover Target!

Newly-Listed Lone Star Gold (LSTG.OB) Is Estimated
To Be Sitting On Gold and Silver Worth At Least...

$18.14 Billion!

Buy Shares of Lone Star Gold Corp. (LSTG.OB) Now around $1.00, Before Its Gold-Starved Neighbor, Goldcorp, Gobbles It Up For...

$179 Or More a Share!

Lone Star announced that on August 26th, 2011, it signed a USD$15 million agreement with a Hong Kong based equity investor. According to the terms of the agreement, Lone Star will use the proceeds specifically to speed exploration and development of the Company's Mexico based La Candelaria gold and silver mining project. The equity financing agreement does not involve any debt. Rather, the terms of the agreement give Lone Star the option to draw down from the $15 million amount as and when needed in the amount of $100,000 or multiples thereof.

"We're fortunate to have secured a substantial equity financing agreement with a serious investor," commented Daniel Ferris, Lone Star Gold's Company President. "We're also fortunate to have an experienced leadership team in place that will know how to best utilize the agreement's proceeds to move Lone Star toward its short-term mandate of rapidly becoming a mid-tier producer in Mexico."

Fellow Investor:

Why in the world would giant Goldcorp (NYSE:GG; market cap $43.28 billion), the world's largest gold producer, pay $179 a share for Lone Star Gold Corp (LSTG.OB) a little-known, exploration-stage gold company whose stock is currently trading around $1?

I'll tell you why: because for every share of Lone Star Gold stock (LSTG.OB) Goldcorp would get $157.32 worth of in-the-ground gold!

I'll show you the numbers in a moment.

But, what you also need to know is that...

Even if gold is north of $1,750 an ounce... YOU can own it now for just $11.12 an ounce when you buy shares of Lone Star Gold (LSTG) while it's still around $1 a share!

You might sell them down the road to Goldcorp for a 1,790% profit! $10,000 invested now could turn to $1,790,000!

IMMEDIATE BUY ALERT

SYMBOL
LSTG.OB
RECENT PRICE
$1.00
TARGETS
Near-Term Target . . $5.00
6-Month Target . . . .$25.00
TAKEOVER
$89 (Min) to $179 (Max)

But, you need to act now before Goldcorp starts the takeover process. If it sounds too good to be true, remember that the last time Goldcorp made a similar deal (for a piece of Mexico's Urique gold district) it made billions in profit!

Back in 2006, Goldcorp paid $9.5 billion to get its hands on the El Sauzal gold mine in Chihuahua Mexico. The mine was owned then by Glamis Gold and, at the time, produced only a few thousand ounces of gold a year.

But Goldcorp had done its homework. They were certain there was huge potential in the El Sauzal mine and they knew they had a bargain even when they ended up paying $54 a share for Glamis stock.

Glamis Shareholders Got Rich On Goldcorp's Takeover!
Lone Star Gold Corp (LSTG.OB) Could Be Next!

Goldcorp was right. Its newly-purchased El Sauzal mine became the largest producer in Mexico with a recent peak production of over 274,000 ounces a year. Goldcorp was happy to pay a huge premium for shares of Glamis, and it made billions on the deal.

Now, I believe Goldcorp desperately needs to pull off a similar deal! But with the price of gold now around $1,750, the $54 a share they paid for Glamis now translates to something close to $179 a share. I'll show you the numbers when you keep reading.

 

Giant, Goldcorp (Up 3,086%) Needs More
Gold to Support Its Stock Price!

According to the company's most recent report, its El Sauzal gold mine is now approaching the end of its very profitable run. The expected decline in production is finally occurring. Gold production in 2010 was down to 152,100 ounces, off some 25%, or 51,700 ounces, from its 2009 total of 203,800 ounces.

At that rate, production will dry up completely in just a few years. Goldcorp is running out of gold at its El Sauzal mine!

What is Goldcorp going to do now?

Lone Star Gold Corp. (LSTG.OB) Has An Estimated $18.14 Billion
Worth of Gold and Silver Right In Goldcorp's Backyard!
Lone Star is Goldcorp's Logical Next Acquisition!

Geologists confirm that there is an enormous, almost staggering, amount of gold left in the volcanic-based Sierra Madre Occidental mountains of Chihuahua Mexico. In fact, according to the latest assays, there are many billions worth of proven gold reserves located on properties adjacent and close to Goldcorp's now-sputtering El Sauzal mine.

And, as an investor, what should interest you is the fact that one of the most-promising leases, Lone Star's La Candelaria project is right next door to Goldcorp's petering El Sauzal mine!

Goldcorp would have an easy, inexpensive and fast start up if it takes over the La Candelaria project because it already has all the necessary infrastructure and machinery practically on site at its El Sauzal mine. It's a perfect match!

This newly-listed and still undiscovered by Wall Street, exploration company has somehow managed to get its hands on a 1,976 acres (~800 hectare) mining concession sitting smack in the sweet spot of the same gold-rich geological formation from which Goldcorp has already taken $billions!

According to a 2009 geological survey and report, Lone Star's La Candelaria property showed gold samples grading as high as 0.35 grams/ton and silver samples grading as high as 89 g/t, indicating potential reserves of...

  • 7,210,000 ounces of gold...
  • 150,000,000 ounces of silver. . .
  • With a combined potential valuation of $18.14 billion!

$18.14 Billion Worth of New Gold Would
Do a Lot For Goldcorp's Stock!

Now, ask yourself...if you were a director of Goldcorp, the world's largest gold producer... a NYSE corporation with a market cap of some $43.28 billion...and if your number-one-best-producing Mexican gold mine was petering out. . .and you knew, with almost absolute certainty that there is $18.14 billion worth of gold and silver sitting almost in your backyard... do you think you'd be contemplating a buyout?

You betcha! Especially when the stock of the company that owns all that gold (LSTG.OB) is currently trading at a ridiculous $1 a share!

And how much will Goldcorp be happy to pay to takeover the adjacent gold prospects that belong to Lone Star Gold (LSTG.OB)?

Let's do the math:

  • We know that Goldcorp paid $9.5 billion ($54 a share) for Glamis back in 2006 when gold was trading at just $550 an ounce and the El Sauzal mine was producing just 1,000 ounces of gold annually.
  • Given the now-proven production history of Mexico's Urique gold district, a similar price tag for Lone Star's leases seems like a steal.
  • But, gold is now trading about 218% above its 2006 price. That means the $9.5 billion Goldcorp paid for Glamis in 2006 would be more like $20.7 Billion today.
  • If Goldcorp pays just $9.5 billion for Lone Star's leases, the per-share price works out to $82.39 per share of Lone Star Gold (LSTG.OB)!
  • But, if Goldcorp has to up the ante due to current gold prices, a price tag of $20.7 billion works out to $179.53 for each share of Lone Star Gold (LSTG.OB) that you can buy now at around $1.00!

Based on a recent, cutting edge survey conducted
by Olvera Rosas, Mexico's most respected geologist, if you invest $10,000 now in LSTG at around $1 a share you could walk away from a takeover with a staggering $1,790,000!

A takeover move by Goldcorp would be in keeping with what's going on in the international gold mining industry. As said recently on national TV:

Rob McEwen, the founder of Goldcorp, the world's biggest gold producer, believes gold is ultimately headed for $5,000 an ounce.

But, even if a takeover price of $179 is overly optimistic (and I'm not saying it is!) anybody who buys Lone Star Gold Corp. (LSTG.OB) now at around $1 will make enormous profits in a takeover situation. And a takeover is the logical next move for Goldcorp. It needs to get its hands on the gold-rich leases that lie adjacent to its sputtering El Sauzal mine.

Whether or not Goldcorp steps to the plate soon, Lone Star Gold Corp. (LSTG.OB) has everything going for it. Even without an imminent takeover maneuver, I expect to see this $1 stock trading at $4-$5 in the next few months. And if Goldcorp makes a move, all bets are off!

That's why I'm urging you to buy shares of Lone Star Gold Corp. (LSTG.OB) now while it's still trading around $1!

Who am I and why should you put stock in what I'm saying?

My name is Eric Dany. I'm the editor of Eric Dany's Stock Prospector. My specialty is digging up the facts on little-known companies whose stocks are about to explode with profits!

In addition to my regular monthly newsletter, every year since 2004 I put out my Annual Winning Stock Report. Last year's Winning Stocks averaged...

A 12.8% return, which was 20% more than the Dow. Our best performing Winning Stock was up 30% and the lowest return a loss of 4.3%. In 2009 our results were even more impressive
with an average gain of 42.1% versus 9.0% for the Dow.

Some of my other recent winners include:

  • Suncor Energy – 500%
  • Yanzhou Coal – Up 418%
  • Transocean – Profits at 100%
  • Darling International – Up 303%
  • Sunovia Energy – 488%
  • Moly Corp – Up 108%

My research also showed that Illumina Inc. was undervalued and poised to move up. It gained over 100% after it became a Prospector Pick. These stocks moved hard and fast.

Now I'm telling you that still-undiscovered Lone Star Gold Corp. (LSTG.OB) is the absolute best way to take advantage of rising gold prices and these uncertain times.

Right now, every investor wants to know which way the market is headed. My answer is that you can't worry about the overall direction. This market is strictly for stock-pickers. You want to be in the kind of special-situation stocks that are not dependent upon an up market for their shares to gain.

As you know, there's still a ton of money sitting on the sidelines, waiting patiently for a stock that's able to present a market-proof scenario. Read on and I'll show you a long list of other Jr. gold exploration companies that have rewarded savvy investors with gains of 360% in just 4 days...514% in just one day...1,500% in just 12 months. That's why I'm urging you to act now.

You don't want to miss this one. So be sure to select the link below for the complete story on my latest pick.

Don't wait until Lone Star Gold actually receives that imminent and near-certain takeover offer from giant, Goldcorp!

Buy the stock now at around $1. There's plenty of good, reliable core drilling and historic data to support the fact that Lone Star (LSTG) is sitting smack in the middle of the same precious metal belt as its neighbor, Goldcorp.

For complete details on Lone Star Gold, plus a ZERO RISK trial subscription and 5 Special Reports, just select the link below:

Yours for profitable investing -

Eric Dany Editor,
Prospector Newsletters

This truly is a zero risk, no-strings opportunity and you'll find everything you need to know to decide whether to invest in Lone Star Gold when you select the link above. This is your chance to get your retirement plan back on track. Don't let this one slip through your fingers!

 

Note: The Company has relied upon historical results from several sources in the evaluation of the Urique Project. As a majority of the results quoted were taken before current QA/QC and sample security protocols were adopted. These results should be considered 'historical' in nature and can only be used as a quantitative guide as to the relative tenor of mineralization and should not be relied upon as to what potential resources exist on the property.

IMPORTANT NOTICE AND DISCLAIMER: This paid email advertisement by Eric Dany's Stock Prospector (hereafter "EDSP" does not purport to provide an analysis of any company's financial position, operations, or prospects and this is not to be construed as a recommendation by EDSP, or an offer to sell or solicitation to buy or sell any security. Lone Star Gold Corp. (hereafter "LSTG"), the company featured in this issue, appears as paid advertising. Mermaid Finance Ltd has paid $95,000 for the dissemination of this info to enhance public awareness for LSTG. Although the information contained in this advertisement is believed to be reliable, EDSP makes no warranties as to the accuracy of any of the content herein and accepts no liability for how readers may choose to utilize it. The information contained herein is based exclusively on information generally available to the public and does not contain any material, non-public information. Readers should perform their own due-diligence before investing in any security including consulting with a qualified investment advisor or analyst. Readers should independently verify all statements made in this advertisement and perform extensive due-diligence on this or any other advertised company. Eric Dany has received twenty thousand dollars for this and related marketing materials. Eric Dany/EDSP also expects to receive new subscriber revenue, the amount which is unknown at this time, as a result of this advertising effort. Eric Dany and EDSP nor any of their principals, officers, directors, partners, agents, or affiliates are not, nor do we represent ourselves to be, registered investment advisors, brokers, or dealers in securities. EDSP is not offering securities for sale. An offer to buy or sell can be made only with accompanying disclosure documents and only in the states and provinces for which they are approved. Research and any due diligence was conducted by an outside researcher for this advertisement. More information can be received from LSTG's website at www.lonestargold.com. Further, specific financial information, filings and disclosures as well as general investor information about publicly listed companies and other investor resources can be found at the Securities and Exchange Commission website at www.sec.gov and www.nasd.com. Any investment should be made only after consulting with a qualified investment advisor and only after reviewing the financial statements and other pertinent corporate information about the company. Many states have established rules requiring the approval of a security by a state security administrator. Check with www.nasaa.org or call your state security administrator to determine whether a particular security is licensed for sale in your state. This advertisement is not intended for readers in any jurisdiction where not permissible under local regulations and investors in those jurisdictions should disregard it. Investing in securities is highly speculative and carries a great deal of risk, which may result in investors losing all of their invested capital. Past performance does not guarantee future results. The information contained herein contains "forward-looking" statements and information within

regarding expected continual growth of the featured company. "Forward-looking" statements are based upon expectations, estimates and projections at the time the statements are made and involve risks and uncertainties that could cause actual events to differ materially from those anticipated. "Forward-looking" statements may be identified through the use of words such as expects, will, anticipates, estimates, believes, or by statements indicating certain actions may, could, should, or might occur. Any statements that express or involve predictions, expectations, beliefs, plans, projections, objectives, goals or future events or performance may be "forward-looking" statements. In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the publisher notes that statements contained herein that look forward in time, which include other than historical information, involve risks and uncertainties that may affect the company's actual results of operations. Factors that could cause actual results to differ include, but are not limited to, the size and growth of the market for the company's products and services, regulatory approvals, the company's ability to fund its capital requirements in the near term and the long term, pricing pressures and other risks detailed in the company's reports filed with the Securities and Exchange Commission. Eric Dany's Stock Prospector is a trademark of Eric Dany. All other trademarks used in this publication are the property of their respective trademark holders. EDSP is not affiliated, connected, or associated with, and are not sponsored, approved, or originated by, the trademark holders unless otherwise stated. No claim is made by EDSP to any rights in any third-party trademarks.


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