Kaminak Gold* (KAM : TSX-V : $2.68), Net Change: 0.18, % Change: 7.20%, Volume: 165,714

We like our Coffee strong! Shares of Kaminak Gold jumped after a major Bay Street brokerage initiated bullish coverage on the name. The analysts target price is predicated on the company proving up a 2.5-million-ounce gold resource at their Coffee property in the Yukon. The analyst highlighted the major opportunities and challenges that KAM will have in developing the project. The analyst highlighted the presence of “multiple mineralized zones, with a combination of low (1-2g/t gold), medium (2-5g/t), and high (5-10g/t) grades that could allow for both a larger operation (to gain economies of scale), and a blending of ore sources to achieve a reasonable average grade during operations.” The analyst also noted that the “initial challenge for KAM is to determine the size/geometry of the deposit, as the physical characteristics (average grade, grade consistency/distribution, depth from surface, dimensions of mineralized zones, etc.) will become major inputs into the various development parameters.” Despite the company having an excellent summer 2011 drill program, shares of KAM are down significantly from their previous highs. Given the seasonal nature of Yukon gold explorers the analyst recommended accumulating KAM shares in front of the company’s summer 2012 drill plan. KAM announced several weeks back that they would commence a fully funded 50,000 m drilling program on their Coffee property in late March 2012