Brien Lundin, in the July, 2016, edition of the Gold Newsletter, says buy Golden Reign Resources Ltd., recently 26 cents. This is the first time he has recommended the stock. Golden Reign's flagship asset is its San Albino gold project in Nicaragua. The project is low on tonnage, but high on grades; in fact it is one of the world's highest-grade deposits amenable to open-pit mining. Management is currently mulling development options that could include both open-pit and open-pit/underground scenarios. According to a preliminary economic assessment completed last year, a 250-tonne-a-day operation would generate an internal rate of return (IRR) of 37.4 per cent and a net present value (NPV) of $105-million (U.S.), after taxes and royalties. Golden Reign figures that with a few tweaks to the mine plan, it could double production to 500 tonnes a day, which in turn would boost the IRR to 54.2 per cent and the NPV to $173.9-million (U.S.). The company expects to be able to finance the expansion using cash flow. Mr. Lundin likes Golden Reign's clear path to production from San Albino, as well as the "impressive blue sky" of its other assets in Nicaragua. The stock is a good buy at current levels and a great buy on weakness.