GOLDEN QUEEN MINING CO. LTD.

Current Price: 0.800

Golden Queen Mining Co. Ltd (TSX:GQM) is a company driven to explore and develop gold and other precious metals. PinnacleDigest will be evaluating the Soledad Mountain Project, and taking a look at Golden Queen Mining in respect to the gold sector which so greatly affects it.

PinnacleDigest believes Gold may be poised for a gain in momentum in the upcoming weeks. There has been speculation that the Feds will continue to hold rates for the meantime.  The value of the US dollar is still expected my many to be eroded in the coming weeks and months. Both these factors should substantially support the price of gold. Gold settled at $627.50 an ounce for December delivery on the Comex division of the New York Mercantile Exchange Tuesday.

Last week gold seemed to realign slightly with oil, as it dropped $7.60 an ounce. It is looking great compared to oil which is scraping the bottom of its year and five month low. The housing slump continues to worsen in the United States which will damper production and overall enthusiasm. The Labor Department has reported a 1.6 percent drop in prices paid to producers for October. This matches the largest decline on record.

The Golden Queen Mining Co. has been preparing and awaiting the development of the Soledad Mountain Project. They are proposing to develop a gold-silver, open pit, heap leach operation on its Soledad Mountain property. Geographically, the area is located in Kern County in southern California. Every element of the Soledad Mountain Project (the “Project”) has been rethought and reengineered in the past twenty-four months in an effort to find sound technical and cost-effective solutions that will permit the Project to proceed. They completed the technical studies on September 15, 2005. PinnacleDigest is awaiting further progress on this prospect.

Although the housing slump and economic downturn are being acknowledged by some, they are truly profound issues affecting the market. Construction and building permits are falling rapidly, and it now the worst housing slump in fifteen years. These factors will pressure the Fed to not change its overnight lending rate. These factors have to be continually monitored, as they all influence the moves of gold. It should be remembered that gold has been nothing but a positive commodity in the past five years. Gold has improved every year since 2001 and more than doubled in that time.  PinnacleDigest will continue to study the gold markets, as we investigate companies within it.