Gediminas Jasionis
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Selwyn Resources Ltd (CVE:SWN) (PINK:SWNLF) Found the Bottom?

by Gediminas Jasionis Oct 7, 2011
swn_chart.pngSelwyn Resources Ltd (CVE:SWN) (PINK:SWNLF) is targeted by bulls since the company's share price bottomed out this week and news ignited additional buying pressure.

After hitting a new 52-week low of $0.14 on Tuesday, SWN continues to gain value. The stock gained 3% on Thursday as the share price continued to go up for the third consecutive day. The stock gained over 17% during these sessions and one of them managed to generate the heaviest trading volume for the past year, which reached nearly 13 million shares per day.

Such an increase in the interest from traders was induced by a news release. On Wednesday, October 5, the company announced drill results for the XY West deposit at the Selwyn project in Yukon. 

The assay results show high grade intersections of zinc (up to 10.3%) and lead (up to 4.35%) over significant lengths in two drill holes. The results of this drilling allowed to expand the original discovery along the trend to the northwest. XY West and XY Central deposits currently hold a lateral length of 2.5 thousand meters.

selwyn_logo.jpgIn a press release Selwyn also overcame the trouble to advocate investors that to date there hasn't "been sufficient drilling to define a mineral resource to NI 43-101 standards", nor it's clear if upcoming drilling will allow doing so. The company is still waiting for additional results from the most recent activities.

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