July 4, 2016
By Dudley Pierce Baker
http://CommonStockWarrants.com
RESTRICTED ACCESS FOR GOLD & LIFETIME SUBSCRIBERS
I have been asked by some new subscribers to provide some more information on the Top Positions in my portfolio. Some of these positions I have owned for several years and a few are recent. While I do not share the monetary value of any position, #1, etc, has that ranking as a percentage of my portfolio as of this day.
The positions are not planned but as the markets develop and shares and/or warrants increase in value, in other words, I don’t wake up one morning and say, ‘I want xyz gold to be my #1 position’.
As an overview, my personal intent is that all of my positions have the potential to be 10 Baggers, gaining 1,000% or more. They may all not work out, but this is my plan as I am looking for home runs.
1. Canasil Resources – TSX:CLZ
Current Opinion: BUY
Canasil has been in my portfolio for many years. I have met the CEO at several investment conferences through the years and this company was once a pick of Lawrence Roulston of Resource Opportunities. CLZ is basically operating as a project generator with a couple of interesting properties in Mexico. The good news on their drilling program with Orex-TSX:REX on the Sandra Escobar project in Durango, Mexico has accounted for the spark which has created the large rise in the value of the shares. I continue to hold my position and look for more positive developments.
As I recall, my shares were purchased for as low as C$0.04 to C$0.15.
Recent News
2. Canadian Zeolite – TSX:CNZ
Current Opinion: BUY
I have followed this story for a few years as a friend of mine, Ed Skoda is a director of the company. The company is only now starting a news flow and apparently some major players in the Vancouver area have become involved and the shares have shot up substantially in the last two weeks. This is a long term hold for me as there should be more news flow and the sale of zeolite which may continue to drive share prices higher.
The company did a name change earlier in 2016 from Canadian Mining Company-TSX:CNG to Canadian Zeolite and there was a 1 for 6 rollback of shares in March 2015.
3. Victoria Gold – TSX:VIT
Current Opinion: BUY
VIT has what is called a shovel ready gold project in Yukon, Canada and is continuing to drill and expand the resources.
There are several big funds involved in buying shares and the shares are currently near their yearly highs.
As I recall my shares were bought in 2013 between C$0.15 and as low as C$0.08.
I see VIT has a potential takeover candidate. This is definitely a play on higher gold prices and if some projections are correct of new highs in gold, perhaps up to the $5,000 level, these shares should trade substantially higher, IMO.
“…The Eagle Gold Project is shovel-ready and when in production will produce +200,000 ounces of gold annually at an operation cost of approximately $600 per ounce. The Project is fully permitted for construction and operations…”
4. Moneta Porcupine – TSX:ME
Current Opinion: BUY
Moneta is in my opinion another option on substantially higher gold prices. Their Golden Highway Project in Timmins appears to be a very undervalued exploration play. I recall at one time Jay Taylor followed this company but I believe that Jay and others have given up over the last couple of years with the bear market.
The company’s latest Presentation as of June 2016 indicates institutional ownership of 7.2%, including Eric Sprott.
5. Kootenay Silver shares and warrants – TSX:KTN and TSX.KTN.WT
Current Opinion: BUY either
KTN is one of my newest positions.
I have know Jim McDonald, CEO for several years from investment conferences and from a mutual friends annual Polo Tournaments. However, KTN really got my attention with their acquisition of Northair Silver which included some new stock warrants. I acquired shares in Northair and received some stock warrants and common shares in KTN. I continue to own both the shares and stock warrants.
Basically, the stock warrants have been overpriced since they began trading but it is, what it is, as there are few sellers.
Pan American Silver, TSX:PAA currently holds a 10% position in Kootenay.
The company owns several projects in Mexico including Promontorio in Sonora. Per their NI-43-101 this is a 92 million ounce silver equilvalent resource.
I see KTN shares and warrants (5 year life) performing well over the next couple of years with rising silver prices.
6. Starcore Int’l Mines – TSX:SAM
Current Opinion: BUY
SAM is an interesting situation as they are currently a small gold producer at their San Martin Mine in Mexico and their own processing facility. In addition, they acquired the old Creston Moly property for cash as it came out of bankrupcy in 2015.
Large Molybdenum Project in Sonora, Mexico
In February 2015, Starcore International Mining, through its acquisition of Creston Moly Corp, acquired a 100% interest in the El Creston Property. The El Creston Property hosts a 5.5 km long x up to 1.5km wide trend of hydrothermal alteration in which several zones of molybdenum +/- copper +/- silver mineralization occur. At the El Creston Main/Red Hill Zone a significant resource of molybdenum and copper has been outlined. In addition, there are five other zones, Alejandra, A-37, Red Hill West, Red Hill Deep and the West Copper with potential to host significant resources of molybdenum and/or copper.
So with numerous assets SAM should see substantially higher share prices with higher gold and commodity prices.
Jay Taylor of MiningStocks also has a buy recommendation on SAM.
7. Quaterra Resources – TSX:QTA
Current Opinion: BUY
I have owned my position for several years and had owned shares in the previous bull market and sold them for up to $3 and $4 after acquiring them for pennies in 2002 to 2003. I originally heard of QTA from Lawrence Roulston of Resource Opportunities many years ago. My question now is, ‘can QTA do it again’? That is, going from pennies to many dollars per share. This is what I am looking for and I will hang in with Tom Patton as the CEO.
Basically a copper play with their Yerington property in Nevada and with JV partner Freeport-Mcmoran. QTA also has retained an interest in the Nieves Silver property in Mexico which I under from private sources that drilling is being considered.
QTA has around $8 million cash.
Bottomline is if you can buy at say under C$0.10 (currently at $C0.065) this could be a major winner of thousands of percent for one’s portfolio.
The Gold Report – June 14, 2016
The Gold Report – August 20, 2015
8. Silver Bull Resources – TSX:SVB
Current Opinion: BUY under C$0.30
This is one of my few holdings that I am actually under water, however, they have a serious silver and zinc asset in Mexico which I had the opportunity to visit along with Bob Moriarty of 321Gold and Gordon Holmes of The Gold Report several years ago. My cost is around C$.50 a share but the shares are now starting to increase again with the rising silver prices.
This asset should be considered a play on higher silver and zinc prices.
9. Alamos Gold warrants – TSX:AGI.WT and AGI.WT.A
Current Opinion: BUY AGI.WT.A
This is a good example of first liking the company and then looking to see if there are stock warrants trading.
Alamos is an intermediate gold producer and should perform well in this bull market, thus I want to own the warrants. Here there are two warrants trading. The AGI.WT is more of a crap shoot at this point with an exercise price of C$28.46. The AGI.WT.A is a more conservative play with an exercise price of C$10.00.
10. Pilot Gold and Nevada Sunrise – TSX:PLG and TSX:NEV
Current Opinion: BUY
I lump PLG and NEV together to currently represent the #10 position in my portfolio as they have a JV together.
Nevada Sunrise holds an approximate 21% interest in the Kinsley Mountain Gold Project(“Kinsley Mountain”), operated by Pilot Gold Inc. (TSX: PLG), who holds an approximate 79% interest. Drilling by the Kinsley Mountain joint venture in 2013 through mid-2015 intersected high-grade gold mineralization over appreciable widths in the Western Flank target area. In November 2015, Pilot Gold Inc. and Nevada Sunrise released a maiden NI 43-101 compliant resource estimate for Kinsley Mountain. An Indicated gold resource for three types of mineralization was calculated of 405,000 ounces of gold at a grade of 2.27 grams per tonne, contained within 5,529,000 tonnes, and an Inferred resource was calculated of 122,000 ounces of gold at an average grade of 1.13 grams per tonne, contained within 3,362,000 tonnes (resource estimates calculated by Mine Development Associates, Reno, NV, effective October 2015 – see link to NI 43-101 report in Investors on this website, or under Nevada Sunrise’s filed public documents at www.sedar.com).
NEV has also been acquiring some lithium properties in Nevada.
Bottomline, I like both companies and see some great upside opportunities for both.
