Resource Stock Update - V12 #12.4, - Commodity Bull Market, PSE, PJO, FDC, MSC, EXL - Nov. 21, 2006

PO Box 1020  Owen Sound, Ontario, Canada   N4K 6H6
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Web Site  "http://www.playstocks.net"       Phone-519-374-9332

We had a number of our stock picks soar in the last few days, but first and important update on the
Commodity bull market

                   Commodities, the sleight of hand

They are at it again, once again we see a wide divergence in how the new (as of July 2005)
Reuters/Jeffries CRB index shows a commodity market in decline compared to the old true and tried
CRB index that shows commodities still in an upward climb with a new high set in early November

The "government manipulation team", "plunge protection team" or what I call the "New Fed", that not
only manages the money supply and interest rates but has also become a manager of economic data are
up to their blatant games of manipulation and corruption.

Is it any wonder that American voters stated in the recent November election that their #1 concern
in politics is ethics??

New Reuters/Jeffries CRB index. This is the commodity index that is widely published in all the
financial papers and quoted in the financial news

http://www.crbtrader.com/data/default.asp?page=chart&sym=CRY0

When Rueters/Jeffries conceived this index, they made a wonderful case study on how this index is
better and would have historically outperformed all other indexes. What a bunch of crap

Since July 2005 the index has moved from about 309 to 310, basically it has gone no where, a 0%
return

This is the old reliable CRB Index that has not seen significant change in decades

http://www.crbtrader.com/data/default.asp?page=chart&sym=CIY0

In July 2005 it was about 309 the same as the new index which was conceived at that time. However,
the old consistent index closed at 395 yesterday, for a gain of 84 points or 27% over 16.5 months

You see there is two totally different pictures, one looks like a bull market, the other an end to a
bull market

The Dow Jones AIG index is in between

The Dow Jones AIG commodity index was about 155 last July and closed today at just over 170 for a
gain of 15 points or 9.7% gain

http://finance.yahoo.com/q/bc?s=%5EDJC

Interesting, but the big driver in commodity prices in the past few weeks has been the grains, and
they have really not participated much in this commodity bull market yet. As such they could climb a
lot higher than the 25% or so they have tacked on in the past several weeks.

This new Rueters/Jeffries CRB index has only one purpose, to understate the rise in commodity prices
and mislead the investing public.

I wrote a report on this index in late 2005, but never got all the charts together and posted on the
web site. I dug up the charts and put it together, you can find it on the web site now at this link.

RSReportCRBDec2005.asp

It is a real eye opener and a must read if you want to understand the truth on what is happening in
the commodity market today

Pacific Stratus TSXV:PSE   OTCPinks:PVPVF        Recent Price $C8.30
Entry Price $4.10                   Opinion - hold

In mid September I suggested buying the stock as it seemed to wakeup and the speculation would start
and suggested holding in early November as news on their Creciente-1 exploratory well in Colombia
was expected soon and I thought the news would be good

It certainly was and in fact it was awesome as they reported last week that the well tested at an
amazing rate of 71 mcf/d

Pacific Stratus completed a short-term open-hole production test at its 100-per-cent-owned La
Creciente-1 (LC-1) well in the Lower Magdalena basin of Colombia. Halliburton Latin America SA
projected an all open flow production potential of up to 71.8 million standard cubic feet per day of
gas for the Cienaga de Oro reservoir. The well head flowing pressure (WHFP) test was executed along
the 595-foot section of sandstones in the Cienaga de Oro formation. The short test was carried out
during Nov. 10 to 12 following international standards of four equal-time flow periods of four
hours. The LC-1 well is located less than 10 kilometres from the existing Guepaje-Corozal gas
pipeline. Gas samples have been sent to laboratories for definitive analysis of quality and
calorific value.

This is a major discovery with potential to drill a number of other wells in their claim block.

This will take some time and a major financing will be required. I expect the stock may hang around
these prices until they do a major financing and then there is potential to see much higher prices.
I would continue to hold the stock for further gains, a lot of risk has now been removed as this
first well has come up big.

http://www.stockhouse.com/comp_info.asp?symbol=PSE&table=LIST

Investor Relations: Vanguard Shareholder Solutions

TEL: 1 (866) 341 4111

website at www.pacificstratus.com

Palmarejo    TSX:PJO                             Recent Price  $8.70
Entry Price   $7.40                 Opinion - hold, buy on weakness

There was lots of opportunity to buy this stock below $7.00 after my newsletter went out so timing
was good to get into  ahead of the pop last week on drill news

Palmarejo Silver reported the latest drill results from the La Patria-La Virginia-Maclovia project
in the Trogan tenements, located in the Temoris district, Chihuahua, Mexico.

La Patria is located along the greater-than-four-kilometre Todos Santos to Maclovia mineralized
corridor, 6.5 kilometres south-southeast of the Palmarejo project. Recent diamond core and reverse
circulation (RC) drilling has been undertaken at the La Virginia and Maclovia prospects on a
1.2-kilometre segment of the trend.

A total of 50 RC holes and 15 diamond core holes have been drilled since the beginning of 2006 for a
total of 8,181 metres and 3,403 metres respectively.

Recent drilling has returned some excellent intercepts including the following down hole intercept
assay results (one gram per tonne (g/t) AuEq lower cut-off):

* 4.50 metres at 5.26 g/t Au, 107 g/t Ag (7.0 g/t AuEq) LPDH052D (Virginia);
* 7.50 metres at 7.14 g/t Au, 78 g/t Ag (8.4 g/t AuEq) LPDH056D (Maclovia);
* 2.00 metres at 23.13 g/t Au, 1329 g/t Ag (45.3 g/t AuEq) LPDH057D (Maclovia);
* 4.57 metres at 4.97 g/t Au, 99 g/t Ag (6.6 g/t AuEq) LPDH058 (Virginia);
* 6.09 metres at 1.67 g/t Au, 54 g/t Ag (2.6 g/t AuEq) LPDH059D (Maclovia); and
* 16.00 metres at 1.99 g/t Au, 30 g/t Ag (2. 5 g/t AuEq) including:
and 3.00 metres at 5.71 g/t Au, 70 g/t Ag (6.9 g/t AuEq) LPDH061D (Virginia).

These are some good grades and across decent widths. It is also interesting to note that this zone
is 6.5 kms in the direction towards Paramount's San Miguel

PJO also reported High-grade gold intercept in deep drilling at the Guadalupe target.

TGDH091D intersected the Guadalupe fault 65 metres down dip of the high-grade gold-silver intercept
in hole TGDH055D (12 metres at 19.34 grams per tonne gold and 638 grams per tonne silver). The
TGDH091D intercept included a six-metre interval grading 54.15 grams per tonne gold and 115 grams
per tonne silver (56.1 grams per tonne AuEq).

The stock is still a good buy at these prices, but given the recent run up on news, I would look to
buy on weakness. If you bought earlier, great and I would continue to hold

Gerri Paxton Tel:  450-677-2054    gpaxton@pjogold.com

http://www.stockhouse.com/comp_info.asp?symbol=PJO&table=LIST

http://www.palmarejogold.com/

Forum Uranium   TSXV:FDC                Recent Price C$0.55
Entry Price - $0.36                     Opinion -   buy

My recent two updates to buy the stock in early and mid November turned out to be excellent timing,
as the stock popped today on news of a uranium discovery

FORUM FINDS 1% URANIUM AND PRIORITY DRILL TARGET AT NEWLY DISCOVERED HOBO ZONE

Forum Uranium announced results from its summer exploration program on the southern half of its Key
Lake Road property. This property is located 70 kilometres south of Cameco Corp.'s Key Lake
mine/mill complex in the Athabasca region, Saskatchewan. Surface uranium mineralization was
discovered within two kilometres of the Key Lake mine road at the newly discovered Hobo zone,
grading up to 1.82 per cent U3O8. Eight drill holes, comprising 1,000 metres are planned on the Hobo
zone as part of a 3,500-metre drill campaign on the Key Lake Road project this winter.

Tel: 604-638-3949

Email: info@forumuranium.com

Website: www.forumuranium.com

http://www.stockhouse.com/comp_info.asp?symbol=FDC&table=LIST

And can you believe it, Finally Meridex has sprung to life

Meridex     TSXV:MSC                 Recent Price C$0.22
Entry Price 0.55                     Opinion - hold

It would appear that the new president that has come aboard is bringing considerable money and
investors with him. The stock has traded 2 million shares in 2 days and has climbed $0.08 cents
closing at $0.22 today and was as high as $0.25. Never the less, I do not have any confidence nor
trust the management. They did a lot of cheap financings at $0.10 and $0.15. I plan to just watch
the trading and see how high it might go and will suggest selling at that point.

I will send an update out at that time

From the news release:

Meridex Software Corp. has appointed Matthew Dion as president and chief executive officer,
effective Nov. 20, 2006.

Mr. Dion has over 14 years of experience in the software industry. He was previously with Apparent
Networks, where he was vice-president of marketing, responsible for all marketing and product
management functions. Brought in by the CEO to help grow the company, he helped move the company
into the lucrative VoIP market and grow revenues by more than 50 per cent year over year.

Prior to joining Apparent Networks, he spent 10 years at Crystal Decisions helping grow the company
from a 60-person start-up to the fastest-growing enterprise software company in the world, with more
than 1,600 employees and $300-million (U.S.) in revenues. During his time at Crystal, he was
intimately involved in the partnering strategy and had broad responsibility including joint
ventures, business development, public relations, analyst relations, product marketing, product
management and vice-president of sales. The company was ultimately acquired by Business Objects for
approximately $1.2-billion (U.S.).

He was also a member of the Board of Vancouver-based Active State, when it was acquired by Sophos
for $23-million in 2003. He is currently on the board of directors of 90 Degree Software, Time
Search Inc. and Inetco Systems Ltd. He holds a degree in Business Administration and Psychology from
Simon Fraser University in British Columbia and is a member of BC Technology Social Ventures
Partners.

http://www.stockhouse.com/comp_info.asp?symbol=FDC&table=LIST

Exall Resources    TSX:EXL               Recent Price  C$3.10
Entry Price $2.58                    Opinion - hold

In late October, I noted that the stock looked like it was breaking out and suggesting buying again.
It then pulled back some and today we seen a strong move on some very high grade drill results.

BC 19-2 -- 108.3 grams per tonne (g/t) gold (Au) over 3.8 metres and        107.7 g/t Au over 3.9
metres

I would continue to hold for higher prices as their Red Lake gold discovery developes further.

These results are some of the best high-grade gold intercepts (BC 19-2 -- 108.3 grams per tonne
(g/t) gold (Au) over 3.8 metres and 107.7 g/t Au over 3.9 m) drilled to date in the Bruce Channel
gold discovery zone (BCD) and has extended the discoveries' gold-mineralized envelope an additional
200 metres to the south-southwest.

The high-grade gold intersections in BC 19 series holes are located 65 metres south of the
previously known most southerly edge of the BCD gold-mineralized envelope and the extensive gold
mineralization encountered in BC 21 is another 200 metres farther south-southwest of BC19-2. This
significantly enlarges the BCD gold-mineralized envelope, which is now 1,100 metres vertical, 615
metres in a northeast-by-southwest direction and 450 metres in a northwest-by-southeast direction
and open in all directions.

Anomalous gold values were encountered in BC 21 from approximately 730 metres to 1,020 metres (290
metres) and from 1,400 metres to 1,983 metres (583 metres). Bore hole BC 21 was prematurely
terminated in the gold-mineralized zone due to the depth limitation of the drill rig. The geology,
alteration and mineralization are similar in all respects to the mineralization previously
encountered in the BCD farther to the north-northeast. This significant step-out from the Bruce
channel discovery zone has major implications for the size potential of the gold-mineralized
envelope.

Tel.:(416) 368-3949

Website  - http://www.exall.com

http://www.stockhouse.com/comp_info.asp?symbol=EXL&table=LIST

(c) Copyright 2006, Struther's Resource/Tech Report

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