JIM SINCLAIR'S COMMENTS AUGUST 22, 2008

Posted On: Monday, September 22, 2008, 7:15:00 PM EST Two Criterion About The Gold Market You Must Know Author: Jim Sinclair Dear Extended Family, Today's events have put two very important criterion in place for the markets that you must be aware of going into January 14, 2011. 1. The dollar has a solid roof above it that now cannot be penetrated. 2. Gold has a solid floor underneath it that now cannot be penetrated. Selling the dollar on strength and buying gold on weakness with attention to what I have taught you has lost 90% of its risk factor. With a solid floor under gold, the gold mining business becomes a more sound investment than it ever has been. That is simple logic and is now fact. With diminishing reserves and very few potential mines coming online, the juniors with the real thing will transition to valuation based on the value of their underlying assets and the quality of deals they make with partners. This will effectively end the rein of the short seller, both illegal and legal. This understanding will be of great value to you as we move towards 2011. The more dynamic the event, the less words are required for you to grasp the CONSEQUENCES. Respectfully yours,