For 20 years, he earned his wealth the hard way " by learning about gold economics and setting a goal to acquire more gold royalty assets than anybody in the world. He then sold that company to Newmont Mining and became its President.

For all those years, Pierre worked at his business as hard as anyone could. He built the world's finest data base of gold properties, and he personally traveled the world to meet the miners and promoters, inspect the properties, gather the data, and become simply an encyclopedia on the subject.

Once when I brought him a prospective deal, a company with a real mine-finder at its head, a man who Pierre knew well " we were all friends -- and he said to me: "But what's the guy done recently?" Pierre's self confidence came from having his finger on the pulse of every piece of exploration and mining activity in the world " up to the current week.

Knowing you had to be current " in fact somewhat ahead of being current " a couple years later I told him I had incredible data on some minerals properties I didn't think he possessed (yet). He shook his head: "I've been there and I wouldn't touch that country with a ten foot pole. What, are you crazy?"

Obstinant? Never. Pierre is just focused on what he believes.

A nicer person you could not hope to meet. Once we flew back from a New Orleans hard money conference during stormy weather. We landed first at Oshkosh Wisconsin, then Chicago (where our plane was about 39th in the line up to take off, after we waited for hours in the terminal thinking we would have to stay overnight), next to Buffalo (on a rearranged flight that would get us closer) and then on to Toronto.

During this miserable day, I never heard an upset word from Pierre. I can only imagine he had his fill of my griping, but he never gave a hint.

Today, Pierre addressed an august audience in Montreaux Switzerland. He talked about the tonnes of gold bullion that the central banks of the world have lined up to sell through the summer. He says that the gold bull will return in September.

His timing isn't always impeccable (he called a recent gold bull about three times), but I think he may have it right this time. A couple days ago I "jumped in with both feet" as you know, and I may have jumped early.

At least Pierre has me thinking. That and the fact that the Toronto goldminers and prospectors sold off on Friday had me wondering.

One thing is for sure though; we are both on the same wavelength that gold is still in a long term bull phase, which is likely to continue for at least a couple years.

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PIERRE LASSONDE bio (from Newmont Mining Corp)

Pierre Lassonde was elected President of Newmont Mining Corporation in 2002. He joined the company following Newmont's acquisition of Franco-Nevada Mining Corporation Limited, which he co-founded and served as President and Co-Chief Executive Officer since 1982. Previously, he distinguished himself in the investment field as one of Canada's leading gold analysts and authored The Gold Book: The Complete Investment Guide to Precious Metals.

In 2002 he was awarded membership in the Order of Canada, the country's highest civilian honor. He holds two honorary Doctorate degrees in Engineering, from the University of Toronto and from the University of Montreal. His philanthropic activities have included the funding of academic buildings at the Ecole Polytechnique, as well as the endowment of the Lassonde Mineral Engineering Program and the Lassonde Institute at the University of Toronto, and the Lassonde New Venture Development Center at the University of Utah. He holds a Bachelor of Arts degree from the University of Montreal, a Bachelor of Science in electrical engineering from Ecole Polytechnique, and an MBA from the University of Utah.

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You may also know Pierre is Chairman of the World Gold Council, which is a London-based marketing organization supported by about half the industry.

Readers know I called for a break-out at noon on Wed. June 21st. Since then, GDX (U.S. goldminers ETF) has moved from $35.72 to $36.63, which is up over +2.5 pct in 3½ days, which is ok I guess.

But I thought it would be double that and now Pierre has me thinking. I did like the close today in the GDX and XGD (Toronto goldminer index) though. And I did like the $USD dropping -0.40 today to close at 86.47. I'd like to see $USD below 86.50 and preferably below 85.50 to give me some comfort. Moreover, spot gold tonight is up +3.60 to 587.80, so it is staying above the 580 base line I set for the breakout.

So, let me move the stops up to 575 (spot) and 35.50 on the GDX. If those are taken out on the downside, then we could be in for another pullback prior to the summer rally.

Pierre says that day won't be until September, but I'm forecasting before then " and really it may have already started, so I'm hanging in.

But the close stops are necessary. I want to preserve as much ammo (capital) for that day, because I think it's going to be a good one. And if I get stopped out on a flattish day, I'll be ready to go on the buy switch " day to day.

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