America's Gold Rush Moves Back East | Romarco Minerals

March 22, 2011

With gold prices at all-time highs, exploration companies in the U.S. are looking everywhere for gold. Although Nevada has long been the key place to go, the biggest new finds of the past decade have been elsewhere. Most investors are familiar with the huge deposits found in Alaska, but few are aware of the major re-discoveries of enormous gold deposits on the East Coast--where the first American gold rush began.

The Carolina Slate Belt is 1 of 2 massive East Coast Gold Systems (Photo Courtesy of USGS)

Stretching from Georgia to just west of Washington DC lie two of America's largest gold systems, the Carolina Slate Belt and the Virginia Gold Pyrite Belt on the Piedmont plateau. Not too long after Thomas Jefferson recounted in his Notes on the State of Virginia that nearly an ounce of gold was found on the shores of Central Virginia's Rappahannock River, prospectors had rushed to the scene. By 1799, North Carolina's Reed Gold mine was in operation and by 1840, hundreds of mines from the Carolinas to Virginia were cranking out large quantities of gold. After 1950, however, nearly all production had ceased and this massive gold trend went largely forgotten.

Now a handful of small exploration companies are reminding us just how much gold remains. Canadian company, Romarco Minerals (R.TO; RTRAF), attracted investors in 2009 with high-grade gold discoveries at the 19th century Haile mine in South Carolina. Upon completion of its 2 million ounce inferred resource estimate, shares had already risen over 1000%.

There are still several undervalued companies that are likely to make the region's next big re-discoveries. Strongbow Exploration (SBW.V; SBWFF), for instance, acquired in September land between the Haile mine and another past producer, the Brewer mine. Last week, it added to its portfolio the old Parker mine in central North Carolina. With a small market cap of just $40 million, no debt, cash on hand, and a newly launched exploration program, Strongbow will be increasingly attractive.

Our 2011 Undervalued Precious Metals Investment Guide provides even better opportunities to get in on the East Coast gold rush before everyone else.

This article was originally published by Investinations on www.argmaur.com.