8/2/2019 Jay Taylor refreshes Dynacor buy

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TAYLOR HARD MONEY ADVISORS, INC. PO Box 780555, Maspeth, NY 11378 (718) 457-1426 April 20, 2012

J Taylors WWW.MININGSTOCKS.COM

Energy & Tech Stocks

Weekly Hotline Message (Now in our 30thYear) April 20, 2012

Dynacor Gold Mines Remains a Favorite

Traded TSX: DNG/US OTC DNGDF 35.5million Shares O/S. Price 4/19/12 $0.66 =$23.4 million Market Cap. - Although Iremain bearish on gold mining shares given mygeneral bearish view on equities, now is a timewe want to hunt through the universe of goldmining shares to pick that that will not only beable to survive the downturn, but will be able tothrive at the expense of the dead bodies thatlitter the junior space when the markets finallystart to give the gold mining sector the respect itdeserves. No doubt that will happen after the

next recession reminds people that Ben Bernanke and other statists not only do not have an answer tosolving our problems but that they are making our situation sicker and sicker. At some point in timeduring the bull market in a lifetime for gold, the global economy will need some sort of gold backing in itsmonetary system. That is when I think we will see a mania in gold and gold stocks that will make the1980s blow off look like childs play.

Sharply in my focus is a small, still largely unrecognized company named Dynacor Gold Mines. Based inMontreal, this company just keeps plodding along increasing gold production and profits from itsoperations in Peru year after year. Not only has its growth been organic, which means it still has aminiscule 35.5 million shares outstanding, but it has a gold-copper skarn target in elephant country inPeru that could make this tiny company into something much larger. Unlike most junior gold explorationcompanies, this one has cash flow to fund its exploration efforts and thus avoid the most lethal dynamic of

the junior mining sector, namely dilution.

Im bringing this name back to your attention this week because the company just put out another verypositive report about its most recent quarterly production and revenues achievements. It produced arecord 13,101 ounces during Q1-2012. Thats a 32% increase over the like period of 2011. In conjunctionwith the higher metal production, Dynacor estimates a quarterly gold and silver sales record of US $23.5million compared to revenues of $14.7 million in Q1-2011 for a 60% increase.

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8/2/2019 Jay Taylor refreshes Dynacor buy

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TAYLOR HARD MONEY ADVISORS, INC. PO Box 780555, Maspeth, NY 11378 (718) 457-1426 April 20, 2012

Copyright @ 2012 TAYLOR HARD MONEY ADVISORS, INC. ALL RIGHTS RESERVED

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During the first quarter of 2012, Dynacor continued operating at optimum recovery rates of 94%,processing 17,558 tonnes of ore at an average grade of 22.39 g/t Au or 0.78 oz. tonne. That compares with13 520 tonnes at 22.11 g/t Au or 0.78 oz /tonne 2011. Leading to this increase in production was anincrease in the companys plant expansion during the fourth quarter of 2011.

Dynacor also reported record silver production of 41,112 ounces during the quarter. Thats a 94% increaseover Q-1 of 2011. Jean Martineau, who is well known to your editor, has a tendency to under promise and

over deliver. So when he projects 50,000 ounces of production this year, barring any unforseencircumstance, I think it is likely to happen. Steady growth in production and earnings can be expected.What is harder to predict but what could produce an enormous rocket-like projection in this companysshare price would be a major gold-copper discovery on its Tumipampa skarn target, that over lays a high-grade gold vein system that is part of the companys steady growth projectile.

Ever since I wondered into the Montreal offices of Dynacor in the summer of 2010 looking for Face theAnalyst video prospects, I have loved this company. Jean Martineau is as honest and hard working asanyone you will find in this business. And his honesty and hard work are paying off for shareholdersincluding himself. Jean and other insiders hold a significant portion of this companys shares, which ismost often a very good sign.

Look for periods of weakness like the present to add Dynacor to your holdings. The stock closed up 2cents yesterday on the latest production news. But at $0.66 it is only 2 or 3 cents above its 52-week low.This is a buying opportunity in my view though given my bearish macro viewpoint, Im not suggestingimmediate gratification with this or any other gold shares.

J Taylors Gold, Energy & Tech Stocks (JTGETS), is published monthly as a copyright publication of Taylor Hard Money Advisors, Inc.(THMA), Tel.: (718) 457-1426. Website: www.miningstocks.com. THMA provides investment ideas solely on a paid subscription basis. Companiesare selected for presentation in JTGTS strictly on their merits as perceived by THMA. No fee is charged to the company for inclusion. The currencyused in this publication is the U.S. dollar unless otherwise noted. The material contained herein is solely for information purposes. Readers areencouraged to conduct their own research and due diligence, and/or obtain professional advice. The information contained herein is based on sources,which the publisher believes to be reliable, but is not guaranteed to be accurate, and does not purport to be a complete statement or summary of theavailable information. Any opinions expressed are subject to change without notice. The editor, his family and associates and THMA are notresponsible for errors or omissions. They may from time to time have a position in the securities of the companies mentioned herein. No statement orexpression of any opinions contained in this report constitutes an offer to buy or sell the shares of the company mentioned above. Under copyrightlaw, and upon their request companies mentioned in JTGETS, from time to time pay THMA a fee of $500 per page for the right to reprint articles thatare otherwise restricted solely for the benefit of paid subscribers to JTGETS.

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