Gryphon Minerals Limited (GRY) is a minerals exploration company, focused on the exploration for gold, uranium and base metals 

Gryphon Minerals moves closer to being a gold producer

We looked at Gryphon Minerals (ASX: GRY) a few weeks ago, but we could not get set at a price we wanted. The stock kept dropping to $1.145, way below our expected entry price. However, as the graph shows, we started to get a nice up-trend over the last few days. We may see the price fill the large gap it left on the way down and possibly reach the previous resistance level at $1.82 or so and may well go beyond this price level.

Chart as at 10 October 2011

Gryphon Minerals (ASX: GRY) continues to become a gold producer in the richly endowed west African country of Burkina Faso, with a Definitive Feasibility Study progressing on the company's plus-two million ounce gold resource.

The company had more than $41 million cash available as at the end of September, which is anticipated to be sufficient to fund its ongoing operations and exploration and development programs in Burkina Faso and Mauritania.

A Definitive Feasibility Study is underway at Gryphon’s Banfora Gold Project in Burkina Faso, based on a 3.5 million tonne per annum operation.

In September, Gryphon announced an Inferred Resource at the Banfora Project of 29 million tonnes at 2.1 grams per tonne for 2 million gold ounces, of which the majority is shallow and above 100 metres from surface.

The recent discovery at the Stinger Target in the Banfora Project, along with a preliminary independent engineering study at the project, indicate that Banfora is on track to become a multi-million ounce gold deposit.

$1.50 - $1.55 could be a nice entry point.