Tuffnell Ltd (OTC:TUFF) Finds Gold and Re-Gains Gold Value
17 Feb 2011

That Tuffnell Ltd (OTC:TUFF) stock is extraordinary volatile recently is seen with one glance at its price chart. Also seen is the suddenly booming volume since last Monday, accompanied by the usual sharp surging up of the share price. The trading alerts from last Wednesday, sent by 4 promoters who did not get paid, were not the only reason. The exciting news about the company are abundant this year, even suggesting the company has found gold on its property.

Some announced by the company details on its exploration program at the Little Butte Gold/Copper Project , and also some drilling results from that same project provided yesterday, initiated the new action for TUFF, the third one of its kind since last September. Also a fact worth mentioning: TUFF filed last week to have raised $200,000 through a private placement of its common stock. Although yesterday the stock price stopped again at the $0.95 resistance, the volume is stronger this time and traders may enjoy jump above that level.

TUFF closed yesterday at $0.945 with a 5.23% share price increase. A total of 1.46 million shares were traded and by now the stock has already entered the overbought area. Before throwing money into the gloriously growing TUFF stock, however, one should also get acquainted with the company behind.

According to the SEC filings, the Phase II Exploration program on the mentioned project has obviously been able to identify certain gold and copper mineralization. Assay results are though yet to be interpreted. After that, the company will start planning Phase III of the program.

The filings must have inspired some investors to dream that the company that had at the end of last year only some cash and some mineral property interest valued at a total of $78,000 could soon become a major gold producer, multiplying value for its shareholders and making large profits. The existence of gold mineralization and that of a commercially viable deposit are two different things, however, so until Tuffnell starts planning its commercial production the stock will most probably remain as volatile and speculative as it has been so far.

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