Idaho Gold Developer Demonstrates Post-Tax 53% IRR

Source: Bill Powers for Streetwise Reports 09/16/2019 Bill Powers of the Mining Stock Education podcast discusses the news flow from this junior explorer. At the 2019 Beaver Creek Precious Metals Summit last week in Beaver Creek, Colorado, I had the opportunity to meet one-on-one with numerous junior mining management teams. Due to a rising gold price environment, the expectation and general mood among the management teams was much more positive than the previous year. While there, I interviewed Craig Lindsay, president and CEO of Otis Gold Corp. (OOO:TSX; OGLDF:OTCMKTS), along with Alan Roberts, who serves as the company’s vice president of exploration. Craig summed up the sentiment at Beaver Creek as such: “This is my third year in a row of coming here and it’s great to see a bunch of new names in terms of investors—institutional investors and high net worth investors. There’s pretty much every major mining company here looking for projects. That tells me that we’re on the cusp of a pretty interesting move in the gold market. That alone is going to create some amazing opportunities for investors who want to get into this space, which has been downtrodden for a number of years.” Both Craig and Alan were not just generally encouraged with the current sector sentiment, but were also specifically enthused about Otis Gold’s prospect of continued success at their flagship Kilgore development project, located in Clark County, Idaho. Kilgore’s Impressive Preliminary Economic Assessment Otis Gold Corp. recently released a positive preliminary economic assessment … Continue reading

Global Insanity Prevails

Source: Michael Ballanger for Streetwise Reports 09/14/2019 Sector expert Michael Ballanger uses storytelling and personal experience to unpack the myths and machinations behind the precious metals and financial markets. “Destroyers seize gold and leave to its owners a counterfeit pile of paper.” —Ayn Rand Why don’t we start things off a tad differently this evening? Let me relate to you all a parable from the Book of Quantitative Easing where all is good and noble in the world of government oversight, the most widely used oxymoron in the history of mankind. Granny Smith, now in her late nineties, wakes up one morning and finds that her dear husband for nigh-on seventy years has gone on to meet his Maker. But alas, as distraught as one would expect her to be, she is covertly delighted because, well, old Egbert Smith was not exactly the man she married and being forced to change his diaper and his bedsheets each night had grown both tiresome and difficult. When the lawyer had finished probating the will after eight meetings that could have been just as effective with one, it was learned that Granny was in possession of a sizeable pool of capital, on the order of US$5,000,000. She immediately ordered a meeting with that nice young man from the bank that “smiles at me and always smells good” in an effort to determine what she should do with her money. You see, for the past fifty years, husband Egbert handled the family finances because, … Continue reading

When Will it be Safe to Jump Back into the Gold and Silver Pool?

Source: Streetwise Reports 09/12/2019 Bob Moriarty of 321 Gold discusses what the Daily Sentiment Indicator is saying about the precious metals markets. Once again the DSI (Daily Sentiment Indicator) made an accurate call on a major top in gold and silver. The DSI reached nosebleed territory for gold about four weeks ago suggesting the metals were nearing shoal waters. Silver and platinum got stupid a week ago and I suggested a correction would be timely. Investors should remember that when someone writes a recommendation or makes a comment no matter whom it is, they are expressing an opinion. I don’t give a damn how many facts or figures someone uses, it’s an opinion. But in my experience the use of the Daily Sentiment Indicator has proven very accurate calling the top in the stock market in 2018 and the bottom in late December. Now, once again it has identified a tradable top. People got way too bullish on the metals. All I saw and heard was a ton of people talking about how high gold and silver were going to go. The number of outstanding contracts hit a record high. It always does at tops, that’s what makes it a top no matter how long it lasts. The weak hands buy at tops and sell at bottoms. They also are the biggest users of margin so once a decline gets serious they panic and start a cascading decline. I am on record calling for a top in the overall market … Continue reading

Gold Weather Veins in Big Red

Source: Streetwise Reports 09/12/2019 The explorer recently released early-stage sampling results for its Golden Triangle property that identifies a “significant gold discovery.” Streetwise Reports caught up with Ian Slater, the CEO of Libero Copper and Gold Corp. (LBC:TSX.V:, LBCMF:OTCQB). Slater is ramping up his international firm’s exploration program at its Big Red property in the Golden Triangle of British Columbia, Canada. The Golden Triangle is difficult to mine, terrain- and weather-wise, but payoffs for tenacity have been consistent during the past 150 years. The region sports several of Canada’s most lucrative copper-gold mines, including Premier, Red Chris, Snip, Brucejack and Eskay Creek. There is road access into Big Red, so the harsh winter is the main obstacle to working the area—the weather window is July through October. Big Red is a big patchwork: It covers 20 contiguous claims totaling 26,000 hectares. Slater is fresh off of raising $3.7 million in a private placement for Libero. The placement found institutional support and was oversubscribed by $1 million. Slater said the expected proceeds are more than enough to finance Big Red exploration and general capital needs for the next two mining seasons in the Golden Triangle. Slater’s team includes legendary geologist Leo Hathaway of Lumina Gold Corp. At Lumina, Hathaway’s historic discoveries resulted in a $1.6 billion buyout. Slater and Hathaway are pushing to commence the Big Red exploratory drilling program in a few days. They aim to finish the first round of drilling before the heavy snows of October. “We spent … Continue reading

Analyst Raises Target Price of Canadian Miner Given 'Continued Momentum'

Source: Streetwise Reports 09/11/2019 Key points management made on a recent investor tour are presented in a BMO Capital Markets report. In a Sept. 5 research note, analyst Andrew Kaip reported that BMO Capital Markets raised its target price on Pretium Resources Inc. (PVG:TSX; PVG:NYSE) to CA$24 per share from CA$20 given that “we continue to see upside for shares of Pretium.” After BMO took Joe Ovsenek, CEO, and John Hayes, senior vice president of corporate development, through Toronto to meet with investors, Kaip wrote, “we sense investors are beginning to become more comfortable with the company’s execution and are now more focused on future priorities such as upcoming catalysts.” In his report, Kaip summarized the highlights from management’s comments. 1. As for H1/19 performance, Pretium is expected to increase production quarter over quarter and achieve its H1/19 guidance of 170,000 ounces (170 Koz) gold along with its 2019 guidance of 390–420 Koz. 2. By the end of September, Pretium must decide whether or not to buy back 75% of the gold sales offtake. Kaip indicated that “at current metal prices, it makes sense to spend the $60 million.” 3. Pretium will continue to pay down debt throughout the rest of this year and next. Ovsenek said he’d like the company debt free. 4. Expansion plans to 3,800 tons per day (3.8 Ktpd) by year-end 2019 are on track. Only minor mill upgrades still need to be done. Kaip added that “permitting has opened the door to further expansion to … Continue reading

Red Lake Explorer Keeps Making Discoveries

Source: Maurice Jackson for Streetwise Reports 09/10/2019 Chris Taylor, CEO of Great Bear Resources, talks with Maurice Jackson of Proven and Probable about his company’s exploration efforts in Canada’s prolific Red Lake District. Maurice Jackson: Joining us for our conversation is Chris Taylor, the president, director and CEO of Great Bear Resources Ltd. (GBR:TSX.V; GTBDF:OTC). Pleasure to be speaking with you today to share the value proposition before us in Great Bear Resources. Before we delve into project specifics, Mr. Taylor, please introduce us to Great Bear Resources and what is the opportunity you present to the market? Chris Taylor: Great Bear is a Canada focused high-grade gold explorer. Our project, the Dixie property, is located in the Red Lake District of Ontario, which is quite famous for being probably the premier high-grade gold district in the country. Maurice Jackson: Speaking of opportunity, I think you’re being quite modest here. Great Bear has rewarded shareholders in the last 52 weeks with a 400% return. Congratulations. The company’s been able to answer a series of questions with very impressive results and they are all responding with yes. Let’s find out why the stock price is soaring. Great Bear Resources is focused on a new high-grade gold discovery in Red Lake, Ontario. Take us there and provide us with some historical context on the region. Chris Taylor: Red Lake is known for producing a large number of high-grade gold ounces. It’s quite road accessible. You can connect in through the remainder of … Continue reading

An 'Electrical Storm' of Catalysts Converge to Jump Start Sales of Eguana's Solar-Power Storage Solutions

Source: Knox Henderson for Streetwise Reports 09/10/2019 The small-cap energy storage firm just signed a global production agreement with industry heavyweight Jabil. The Punch: Eguana Technologies Inc. (EGT:TSX.V; EGTYF:OTCQB), which provides solutions for residential and commercial energy storage is about to supremely capitalize on a wave of industry catalysts and government-led solar powered storage initiatives. These advancements affecting demand, distribution and production culminate into a “perfect electrical storm,” which should boost revenues from about $1 million per quarter to six times that amount and beyond in the next 12 months. The product is there, the installs are waiting, the last piece of the puzzle, which was to exponentially ramp up production, was ushered in through a recently announced big-fish partnership backed with the essential, scalable financing. Since that announcement we see a clear buying signal as the stock has a solid base at $0.10. EGT.V appears to now have the momentum to climb back to a previous plateau of $0.17, then beyond as this translates into real sales. That big fish is a global production agreement, announced September 3, with industrial giant Jabil Inc. (JBL:NYSE), a $4.5 billion market-cap company with more than $22 billion in global revenue. The sweetener on the entire arrangement is that Eguana is now backstopped, with working capital support by Export Development Canada (EDC) to guarantee its loans and lines of credit with Eguana’s banking partners, so production and financing is instant and scalable from one to 100,000 units. “Given the success the company has … Continue reading

Exploring for Copper in Major Belt in the Yukon

Source: Maurice Jackson for Streetwise Reports 09/09/2019 Tim Johnson, CEO of Granite Creek Copper, speaks with Maurice Jackson of Proven and Probable about his company’s exploration activities in the Yukon. Maurice Jackson: Joining us for conversation is Tim Johnson, the president and CEO of Granite Creek Copper Ltd. (GCX:TSX.V). Pleasure to be speaking with you today regarding the value proposition before us in Granite Creek Copper. Before we delve into project specifics, Mr. Johnson, please introduce us to Granite Creek Copper and what is the opportunity you present to the market? Tim Johnson: Granite Creek Copper is a member of the Metallic Group of Companies; that’s a group that identifies what we see as undervalued opportunities. In Granite Creek Copper’s case we’ve acquired a large brownfields land position in the Minto Copper Belt in Yukon, Canada. It’s a type of thing that you can acquire at the low part of the market, which we think we are for copper, and we only see upside from here. We have assembled a team of professionals who can advance a project and we’ve acquired a significant land position. Maurice Jackson: Take us to the Minto Copper Belt and provide us with some historical context on the region. Tim Johnson: Well, it’s an interesting region. At one time it was held by a single junior mining company, United Keno Hill Mines. It did quite a bit of exploration in the belt. It was part of the discovery of the two major deposits in the … Continue reading

Silver's Sharp Reaction Back

Source: Clive Maund for Streetwise Reports 09/09/2019 Technical analyst Clive Maund charts silver and explains why he believes it hasn’t hit a final top. Silver reacted back sharply on Thursday and Friday after a parabolic blowoff top. This was not a final top, but it does indicate that silver needs to take a rest and consolidate/react back, probably for at least several weeks. The latest silver COT is also showing a 1-year record extreme for positions, giving grounds for caution… Click on chart to pop-up a larger, clearer version. Although the longer-term Hedgers chart for silver is not at the extremes that it reached in 2016 and 2017, readings are also at levels that give grounds for caution, especially considering that silver just did a parabolic slingshot move. Click on chart to pop-up a larger, clearer version. Chart courtesy of sentimentrader.com The conclusion is that silver has started a corrective phase, and, given the nature of the beast, it could be quite scary for the unprepared once it breaches the parabolic uptrend, but with gold especially having signaled the start of a major bull market any such corrective action will be viewed as presenting a rare opportunity to buy silver investments at very good prices ahead of the major uptrend that is expected to follow. Originally published on CliveMaund.com on September 9, 2019 Clive Maund has been president of www.clivemaund.com, a successful resource sector website, since its inception in 2003. He has 30 years’ experience in technical analysis and has … Continue reading

Wounded Animals, Indeed

Source: Michael Ballanger for Streetwise Reports 09/09/2019 Sector expert Michael Ballanger offers his observations of recent activity in the gold and silver markets. “The permabulls will tell you that the bullion banks and their treasury department conspirators have lost all power in this ‘new paradigm’ and we should relax and refrain from worry. I tend to disagree because wounded animals are the singular most dangerous of all creatures on this debt-ravaged planet, and with gold at $1,552, these cartel cretins are now wounded, angry and very desperate animals.”—Michael Ballanger, Sept. 2, 2019; silver at $19.00 one day before the top OK, so now that there is zero doubt surrounding the recent demise of the bullion banks, I was reminded yesterday (amidst the gnarling and gnashing of many a silver bulls’ incisors) of a famous Mark Twain quote surrounding rumors of his passing: “The reports of my death are greatly exaggerated.” That is exactly the reply of the criminal cartel last week as bullion bank shenanigans took a page out of the Carpe Diem playbook and absolutely pounded the precious metals with such feral ferocity that they quite predictably set off a retail panic of the highest order. One very prominent gold and silver bull tweeted out, “It should be noted that Crimex silver is still up on the week!”, to which I quickly and cynically replied, “Tell that to my margin clerk.” Tweets defending the tape action were furious all day Friday after noticeable calm on Thursday, and the fact … Continue reading