this jerk thinks the congo is a better bet than venezuela....sometimes the internet is not a good thing....imo

i dont think he reads the papers....

Manager: John Lee, Mau Capital Management
Style: Special situation, value driven
Fund: Eagle Crest Pacific Ltd. hedge fund
Strategy: Focused on small-cap junior resource stocks

Buy Recommendations:

Independent Nickel Corp.
Moto Goldmines Limited
Apogee Minerals Ltd.

Short Recommendation:

Pan American Silver Corp.

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Commentary:

"I look for a steady rebound in commodities and commodity equities this fall. The commodities correction and US credit crunch resulted in a 25% correction in TSX Venture Composite Index since July, which is now trading near its 3 year low at 1,950, far from the recent peak of 3,200 reached in November 2007. At these prices, there are plenty of bargains to be had.

"Independent Nickel is a nickel explorer with a property in Lynn Lake, Manitoba. The stock raced from 20¢ to 60¢ in May 2008 when their neighbour, major nickel producer Western Areas accidentally drilled on Independent Nickel's property and made a major discovery. Hunter Dickinson announced in July that it had agreed to buy a 40% stake of Independent Nickel at 35¢, and Victory Nickel made an all-share buyout offer in August. Currently at 27¢, Independent Nickel is a great buy.

"Moto Goldmines Limited is a gold exploration and development company. Their principal focus is to progress the Moto Gold project in the north-east region of the Democratic Republic of Congo. In February 2008, Moto reported over 25 million ounces of gold in its 70%-owned project. The company is chaired by Sir Sam Jonah, one of Africa's leading businessmen and non-executive president of AngloGold Ashanti Limited. The stock is currently at a two year low of approx $2.33, down from a recent peak of $6 in February. Currently at $200-million market capitalization, it is $100-million cheaper than the hopeless Crystallex in Venezuela."

"Apogee Minerals is advancing its silver-zinc-lead Pulacayo project in Bolivia to production. Pulacayo produced 600 million ounces of silver in its glorious past. It's world class and had never been subjected to modern exploration before Apogee got hold of it. Apogee is to release a new 43-101 estimate from its 8-month drilling program highlighted by samples including 25m of 1,030 g/t silver. Down from its peak of $1.50, the stock is yet to recover amid political noises in Bolivia. Currently at a four year low of 23¢, Apogee is an ideal bottom-fishing candidate.

"My reluctant short is Pan American Silver. The stock has held up fairly well amid recent wreckage in the market. The stock’s current valuation of $10 per reserve ounce seems excessive considering spot silver is trading at $13.60 per ounce. Shorting Pan American can be a hedge for junior sector exposure."

Selected holdings:

Red Hill Energy Ltd.
Khan Resources Inc.
Serengeti Resources Inc.
Sacre-Coeur Minerals Ltd.
New World Resource Corp.

2008 return to date: - 4.49%
(Through July 31, 2008)

2007 return: 105.67%*
Since inception: 96.43%*

*Fund inception date is March 1, 2007

Morningstar rating: N/A