The first company is Western Silver Company (WSZ). Western Silver is a mineral exploration company focused on discovering and developing silver properties in the Americas. The company has 100% control of one of the world's largest open pittable silver-gold-zinc-lead deposits at Penasquito, central Mexico, an area with excellent infrastructure and low political risk. An independent feasibility study has concluded that Penasquito has robust economics, significant expansion possibilities and upside, and should be developed immediately. Western Silver also has an interest in the world-class San Nicolas zinc-copper project in Mexico with Teck Cominco and owns the Carmacks Copper Project in the Yukon.

The second company is Goldcorp (GG). Goldcorp is the world’s lowest cost and fastest growing multimillion ounce gold producer with operations throughout the Americas and Australia. They recently reported very strong earning for the 2005 year. Gold sales in 2005 totaled 1,344,600 ounces compared to 427,600 ounces in 2004. Cash costs per ounce in 2005 were less than $25 compared to $115 in 2004.

Goldcorp has extremely strong fundamentals as demonstrated by its relative P/E ratio, company growth ratio, EPS rank, price rank and group rank. I look for this company along with the entire Gold & Silver sector to continue to their strong performance into 2006.