Excelsior Gold Limited (EXG) is an ASX-listed gold exploration company seeking to develop its flagship Kalgoorlie North Gold Project, located approximately 45 kms north of Kalgoorliein Western Australia

As at 31 December 2012, the Fund had purchased 332 properties since inception for a total of $143.6M and received conditional acceptances on 110 properties. Since our Initiating Coverage report released in October 2012, the Fund has purchased an additional 100 properties at a cost of $49.2M.

The company has decided to focus its attention on the gold and copper prospects, with uranium interests being maintained in preparation for an expected sector recovery. The company has announced that its focus for 2013 will be on the Curara Well and Allamber Projects.

Search for strategic partner continues. The company is now entering into negotiations regarding the investment to assist with the funding and development of the companies phosphate assets in Angola and the Democratic Republic of Congo (DRC).

The company has developed a multi-commodity portfolio, which includes interests in base and precious metals and uranium. Our valuation of THX ranges from $0.076 to $0.155 per share. We view the new strategy of the company to focus on a select few projects and rationalisation of the portfolio as a positive step for the company.