
	Silver Stock Newsletter #8 by David Zurbuchen April 11th, 2006 www.silverinscripture.com

	Abcourt Mines: The Silver-Zinc Extraordinaire

Daily and Weekly Technical Analysis Charts on Abcourt Mines by Roy Martens

Abcourt: The Basics

	-Symbol(s): ABI.V (Toronto Venture Exchange) – ABMBF.PK -Website: http://www.abcourt.com/ -Outstanding Shares: 35.0 million -Fully Diluted: 43.3 million -Fully Diluted Market Capitalization @ $.77US: $33.3 million -Expected First Production: 2Q 2007 For every share of Abcourt Mines, you are exposed to 15.2 pounds of zinc, 0.48 ounces of silver, and 0.004 ounces of gold. This represents a value of $28.94/share. Note: This is not a price prediction. Using: $600/ounce gold, $12.85/ounce silver, and $1.34/lb. zinc.

	A Comparison to Yukon Zinc

	-Symbol(s): YZC.V (Toronto Venture Exchange) – YZCCF.PK -Website: http://www.yukonzinc.com/ -Outstanding Shares: 235.9 million -Fully Diluted: 291.2 million -Fully Diluted Market Capitalization @ $.58US: $168.9 million -Expected First Production: 3Q 2007 For every share of Yukon Zinc, you are exposed to 6 pounds of zinc, 0.26 ounces silver, 0.63 pounds copper, 0.73 pounds lead, and 0.0012 ounces gold using only the resources of the Wolverine property. This represents a value of $14.19/share by itself, and if we include the resources from the Ice and Logan properties, the value jumps to $22.76/share. Note: These are not price predictions. Using: $600/ounce gold, $12.85/ounce silver, $1.34/lb. zinc, $2.70/lb. copper, and $.53/lb. lead.

	Abcourt’s Properties

	Abcourt Mines is a Canadian based mining, development and exploration company which owns a 100% interest in two past-producing mines which are strategically located in Northwestern Quebec. Of primary importance is the Abcourt-Barvue silver-zinc mine. Currently, a feasibility study is being conducted on this property, and its completion is expected by the end of April. This report will reveal all the necessary details which will be used to more accurately value the company and project future price targets. Not only that, but the study will likely expand Abcourt’s current silver-zinc resource numbers by 20%-40%! It needs to be reiterated that the Abcourt-Barvue silver-zinc mine was a past producer which was put on hold in 1990 because of depressed metals prices. Therefore, there is existing infrastructure in place that has a replacement value of $12 million dollars. Currently, there are existing resources of 21 million ounces silver and 659 million pounds zinc, and these numbers are compliant with the National Instrument 43-101 certification. The expected cost to start the Abcourt-Barvue mine running is only $12 million. Management does not wish to dilute the share count beyond 50 million shares in order to finance this project, and will therefore probably need to carry out a combination of debt and equity financing. This means that Abcourt may need to forward sell* a certain percentage of the silver and zinc production for the 1st year of the mine’s operations. Abcourt's management does not currently have an official hedging policy one way or the other, but they are well aware that its practice is not only unpopular but also that it can be very dangerous. The mine plan calls for 8 years* of open-pit mining, and operations can begin within 12 months* of the release of the feasibility study. The silver-zinc ore body will be mined by the open pit method, and the ore will be shipped by truck to a local mill. Using a local mill will save Abcourt from having to undergo any massive financing, which would otherwise result in significant dilution. The mine life could be prolonged as the resource numbers are upgraded. One of the main preparatory tasks in order to bring the mine online will be the removal of a clay overburden layer that covers the silver-zinc deposit. This is best done during the winter months, and therefore the Abcourt-Barvue silver-zinc mine is in good shape to be up and running by early next spring. Abcourt also owns the Elder gold mine, which was a past producer from 1947 to 1966. Like the Abcourt-Barvue mine, Elder has a substantial amount of infrastructure in place, with a total replacement value of $13 million dollars. Besides the historic resource of 140,000 ounces of gold, there is 500 feet of shaft that has never been mined or explored. Abcourt Mines will be conducting a drilling exploration program in 2006 with the intention of both doubling the resource to 280,000 and rendering it National Instrument 43-101 compliant. At present, the plan is to finance a recommencement of operations at the Elder gold mine with the revenue stream from the Abcourt-Barvue silver-zinc mine, thus avoiding the need to dilute the share count any further beyond the anticipated 50 million shares. The Elder gold mine could be brought into production in just 6-12 months following commencement of operations at the silver-zinc mine. Abcourt also holds 100% interest in two exciting exploration properties, the Tagami gold property and the Vendome-Barvellee silver-zinc property. Both of which will continue to be explored during 2006 and beyond. A more detailed report will be forthcoming after the release of the feasibility study.* Please begin conducting your due diligence now so that you can be prepared to take advantage of any near-term correction that occurs within the metals market. I postulate that this week we will witness the final blow-off before a correction early next week. If this occurs, there is a strong possibility Abcourt will fall with the rest of the juniors (see Roy's TA analysis). I could very well be wrong as it is impossible to pinpoint such events, but I’m still choosing to play it safe and acquire a cash position of 15-30% of my total portfolio. Again, my driving point is “Be Ready”, because Abcourt Mines appears to be one of the most undervalued silver-zinc plays on the market, and that same market just might work in our favor by providing one last clearance sale over the next several weeks before the results of the feasibility study are released.

	Further Research

	Diggin’ Silver in Quebec by David Bond: David Bond is planning to release a follow-up article on Abcourt Mines later this week, having just visited the property about 10 days ago. Jason Hommel’s Silver Stock Report #57: “Abcourt has been in business as early as 1977. The mine last operated from 1985 to 1990. In 1980, the stock price hit a high of $4.95/share. In 1985, they raised and spent $20 million Cdn. to start production, and in 1990 production was put on hold due to low silver and zinc prices.” ”Imagine trying to run a business for 14 years with no revenue! Yet, during that time, they have managed to keep the company debt free, and dilution to a minimum! Yearly costs to keep the claims and equipment of this family-run mine are $100,000, so that has been their secret of survival.” Abcourt’s Website: www.abcourt.com Contact Information: Joe O’Brien Investor Relations Abcourt Mines (416) 750-8041 jobrien@abcourt.com Disclaimer: I own both Abcourt Mines and Yukon Zinc, but neither company has paid me to write this article. Furthermore, this should not be construed as specific investment advice. You must first conduct your own due diligence before making any investment decision.

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