Mike Larson – Safe Money Report – Fri 17 Aug, 2018

By Cory댊 A Rotation Of Money Is Underway

Mike Larson, Editor of the Safe Money Report shares his thoughts on the rotation of money that is underway in the markets. Utilities and consumer staples have been performing very well. Add in the weakness in commodities it all could be foretelling us of a tough time ahead for the overall economy.

Download audio file (2018_08_17-Mike-Larson.mp3)

Click here to visit the Weiss Ratings site and follow along with what Mike is writing about.

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From:: The Korelin Economic Report

Turkey tariffs hike on US goods threatens country’s coal imports — WoodMac

By Cecilia Jamasmie

Turkey’s move to hike tariffs on US imports this week threatens the country’s coal supply since a weakened lira will likely make the commodity a very expensive one, even as its price in US dollar terms declines, a report by Wood Mackenzie shows.

According to the Scottish research and consultancy group, high costs of imported coal in Turkish lira terms puts at risk a few million tonnes of metallurgical and thermal coal imports from several countries, particularly the US.

“Even if Turkey relaxes rules sufficiently to allow the use of low-cost, high-sulphur coal, the retaliatory tariffs the European country has imposed on US coal will negate their cost advantage,” Wood Mackenzie Research Director, Andy Roberts, writes.

On Wednesday, Ankara hiked its import tax on US thermal coal to 13.7%, from an initial 5%, thwarting Washington’s plans to boost its coal exports to the country in the near term.

High costs of imported coal in Turkish lira terms puts at risk a few million tonnes of metallurgical and thermal coal imports from several countries, particularly the US.

The move was retaliatory, after President Trump announced last week, on Twitter, that the US was doubling tariffs on imported Turkish metals.

Prior to that, Wood Mackenzie had forecast a substantial decline in Turkish coal imports between 2018 and 2020, based on expectations of continued Turkish lira weakness, the country’s battle between inflation and growth, losses in trade, regional instability and strong growth in renewable generation.

“In the short term, demand for coal will be lowered given higher prices,” Roberts writes. “In the longer term, these new tariffs will slow Turkish economic growth and with that, further weaken the demand for coal.”

At risk is some portion of Turkey’s seaborne thermal coal import – which totals about 30 million tonnes per annum (Mtpa) — and which comes from Colombia, Russia, South Africa, Mozambique and the US. The new tariffs could threaten the American portion of those imports, estimated in 1 Mtpa.

The immediate impact will be felt by traders as their margins could evaporate, says the expert, adding that those willing to trade in the Turkish market are likely to require guarantees and early payments.

Also at risk is the country’s plan to allow the use of higher sulphur thermal coal. Initially, the government had been expected to increase the permitted sulphur content for imported coal from around 1% to 3-4%, by opening the doors for high-sulphur US coal suppliers, particularly from Northern Appalachia and the Illinois Basin. The tariffs, however, won’t allow that, Wood Mackenzie forecasts.

The post Turkey tariffs hike on US goods threatens country’s coal imports — WoodMac appeared first on MINING.com.

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From:: Infomine

Enforcer Gold terminates option agreement on the Montalembert Gold Property

By Hamza Ghaznavi

Enforcer Gold Corp. (TSXV:VEIN) announces that it has determined not to proceed with its option to acquire a 100% interest in the Montalembert Property located in Quebec. Pursuant to the Option Agreement dated November 16, 2016, Enforcer has provided ninety (90) days written notice to Globex Mining Enterprises Inc. (“Globex”) (TSX: GMX) to terminate the option, effective November 15, 2018.

Enforcer’s comprehensive 2017-18 exploration program at Montalembert included a 1,711 line- kilometre high-resolution aeromagnetic VLF-EM survey, a 45 line-kilometre induced polarization (“IP”) survey over the historic vein occurrences, stripping and channel sampling along the Galena-No.2-3 veins followed by 45 HQ core holes totalling 5,784 m. Additionally, reconnaissance prospecting lead to the discovery of the OR79 zone, which was further tested by an IP survey and 18 NQ core holes totalling 1,749 m. Overall, assay results from drill testing along each of the vein structures were significantly lower than results obtained from surface sampling and a very strong nugget effect on the distribution of gold is apparent. After a thorough review of the 2017-18 exploration results, the Company has determined that no further exploration is warranted by Enforcer on the Montalembert property.

Enforcer retains a 100% interest in its Waswanipi Gold Project, a 19,352-hectare (47,818-acre) property acquired in 2018 that adjoins to the west and northeast of the Montalembert Property. The land position covers a classic Abitibi greenstone belt sequence of deformed intermediate to mafic volcanics, felsic to mafic intrusive rocks and feldspar porphyry. Based on government assessment files, very limited exploration for gold has been conducted over the project area. Of this land package, Globex retains a 1.5% NSR on all claims acquired within 3 km of the external boundary of the Montalembert Property (see press release dated February 1, 2018).

About Enforcer Gold Corp

Enforcer Gold Corp is a Canadian-based mineral exploration company and is earning a 50% interest in the advanced-stage Roger porphyry gold-copper project from SOQUEM. Roger hosts the Mop-II gold-copper deposit located 5 km from the mining center of Chibougamau, Quebec in the prolific Abitibi greenstone belt.

Enforcer’s VP Exploration, Antoine Fournier, PGeo, is a Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the content of this news release.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

Click here to connect with Enforcer Gold Corp. (TSXV:VEIN) for an Investor Presentation.

The post Enforcer Gold terminates option agreement on the Montalembert Gold Property appeared first on Investing News Network.

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From:: Investing News Network

Drilling Results Show Additional near Surface Copper Mineralization – Samalayuca Property, Chihuahua State, MX

By Hamza Ghaznavi

VVC Exploration Corp (TSXV:VVC) today announced assay results from 6 additional diamond drill holes (DDH) from the ongoing drilling program at its Samalayuca Copper Property (the “Property”) in northern Chihuahua State, Mexico. A total of eleven DDH’s have now been completed in the Gloria Extension Zone (GEZ). The results from five of these holes (SC17-22, SC17-23, SC18-24, SC18-25 and SC18-26) have previously been reported. All eleven DDH’s which tested the zone intersected significant copper mineralization as detailed in the table below.

This completes the drill program on the GEZ, with the results defining and extending the copper mineralization in the near surface zone. A total of 1,299.5 meters have been drilled in eleven holes, two in 2017 and nine in 2018. The drill holes, which tested a 200-meter section of a 350-meter strike length zone, all intersected near surface, copper mineralization. The Company commenced drilling in early August in the Gloria Extension East Zone (GEEZ), located 20 meters to the east of the GEZ, separated from it by a fault. The GEEZ is an “on strike” extension of the GEZ with copper mineralization traced by artisanal miners over an 850 m strike length.

Results from the eleven (11) drill holes testing the GEZ, are summarized below, with only values >0.1% Cu shown.

Hole Number From (m) To (m) Length (m) Ag (ppm) Cu (%)
SC17_022 14.5 42.25 27.75 7 0.510
SC17_023 10 61 51 5 0.36
SC18_024 8 38 30 6 0.342
Including 9 23 14 10 0.539
SC18_024 53 59.5 6.5 5 0.223
SC18_025 Sec 1 57.2 65 7.8 7 0.394
SC18_025 Sec 2 69 77.9 8.9 4 0.270
SC18_025 Sec 3 84 115 31 6 0.394
SC18_026 Sec 1 34 59 25 7 0.433
SC18_026 Sec 2 126.4 129.2 2.8 3 0.194
SC18_027 52.5 60.5 8 3 0.214
SC18_028 19.7 51.5 31.8 2 0.376
SC18_029 Sec 1 8.5 26.5 18 1 0.310
SC18_029 Sec 2 68 72 4 19 0.967
SC18_030 36 89 53 6 0.357
SC18_031 84.7 93.7 9 4 0.215
SC18_032 Sec 1 3.95 11 7.05 3 0.195
SC18_032 Sec 2 58 64 6 3 0.462

GEZ Drilling

The GEZ is a copper mineralized zone, previously discovered and mined by artisanal miners (gambusinos) in the 1950’s and 1960’s, from two shallow open pits. VVC started diamond drilling in November 2017 and completed the last of the eleven DDH, SC-17-022, SC-17-023 and SC-18-024-032 in July. Results from the first five DDH have previously been reported, with the three most recent, SC-18-024-026, reported in a news release dated August 2, 2018.

VVC’s Chairman, Dr. Terrence Martell pointed to the results from the GEZ as further confirmation of the potential of the Company’s Samalayuca Copper Property and added. “We are now focused on drilling the 850-meter strike length of the GEEZ where eight holes have been drilled to date, all intersecting near surface copper mineralization. Assays are pending and will be announced when received.”

A plan map and sections 425E, 475E, 525E, 575E, show the dimensions of the copper mineralization in the GEZ. The maps and sections along with drill locations and results can be viewed on our website at: www.vvcexpl.com.

Exploration Summary – Samalayuca – 2018 Phase III Drilling Program

The Company’s Samalayuca Phase III drilling program, planned for 3000 meters, began in May 2018 and is expected to be completed in September 2018. The drilling is intended to further evaluate the potential of the GEZ and GEEZ areas, and to evaluate mineralized zones in previously mined areas at La Concha and an area which includes the Zorra, Suerte, Juliana and Trinadad artisanal pits, none of which have been drilled by VVC.

The Company’s goal is to define the thickness and grade of the mineralized zones and their structural / lithologic settings using information gained from structural mapping and drilling. The drilling shows the potential of the property to host significant stratiform copper mineralization, which has been traced for over 5 km based on the shallow artisanal mines and VVC’s drilling of the 32 DDH completed to date.

Geology

The Samalayuca property covers copper mineralisation in the Samalayuca Sierra, characterised as Stratiform Copper Deposit type, as recognized by qualified persons, Michel Gauthier and Jocelyn Pelletier (2012), and Jacques Marchand and Michel Boily (2013). Fine disseminated chalcopyrite-bornite and associated oxide copper minerals, common to these deposits, are noted in a wide chloritized zone along the Sierra with mineralized zones from 3 to 36 m wide, true thickness, as defined in the old surface pits. The stratigraphy strikes NW and dips gently, approximately 25 degrees to the NE, although it is variable. Vertical faults can generate supergene copper enrichment when they cut the mineralised strata. The old mining works by the artisanal miners (gambusinos) targeted the higher grade, surface, copper zones, exploiting them by shallow (< 20 m deep) open pits and hand cobbing the ore for direct shipping to the smelter.

Analysis and QA/QC

A total of 1189 core samples were sent to the ALS Chemex laboratory in Chihuahua city, MX for analysis by their ICP61 technique. Mineralisation is mainly oxidized copper minerals such as malachite, azurite, chrysocolla, brochantite, and others with some disseminated copper sulphides, such as chalcopyrite, bornite, and chalcocite.

ALS Chemex analytical services are accredited by SANAS and are carried out with a quality assurance protocol in line with ISO 17025:2005. Samples are stored at the Corporation’s field camps, then put into sealed bags until delivered by company personnel to the laboratory where the samples are prepared and analyzed. Samples are logged in the tracking system, weighed, dried and finely crushed to better than 70% passing a 2 mm (Tyler 9 mesh, US Std. No.10) screen. A split of up to 1,000 g is taken and pulverized to better than 85% passing a 75-micron (Tyler 200 mesh) screen, and a 50-gram split is analyzed. Blanks, duplicates and certified reference material (standards) are inserted to monitor laboratory performance.

This news release has been reviewed for accuracy and compliance under National Instrument 43-101 by Peter M. Dimmell, BSc., P.Geo. (NL, ON), a VVC Director and Qualified Person as defined by NI 43−101, Standards of Disclosure for Mineral Projects. He has approved the scientific and technical disclosure in the news release.

About VVC Exploration Corporation

VVC is a Canadian exploration and mining company focused on the exploration and development of copper and gold deposits in Northern Mexico, specifically the Samalayuca copper …read more

From:: Investing News Network

Turkey = NOISE… Here’s What Really Matters…

By Zach Scheidt

Zach Scheidt

This post Turkey = NOISE… Here’s What Really Matters… appeared first on Daily Reckoning.

“Turkey? Am I Really Talking About Turkey??”

I got a laugh this week when I got an email from Alan Knuckman with this in the subject line.

Over the past week or so, the markets have been under pressure thanks to a debt crisis in Turkey. The country itself has some big debts that are becoming harder and harder to pay. Meanwhile, many individuals in the country also carry high debt loads and there are reports of people taking out bank loans to cover the interest on existing bank loans.

Common sense tells us that this won’t end well.

But why is this affecting U.S. markets? And what exactly does this mean for your retirement account? That’s what I want to talk about today…

Well, the world’s debt markets are connected like a spider web. Many of Turkey’s debts are denominated in U.S. dollars and/or euros. And that debt is held by financial institutions in the U.S. and Europe.

So there is a legitimate fear that these institutions could take a big hit, and they could be forced to sell other positions to make up the losses they’re taking on Turkish debt. This is a simplification of course, but you can see how investors are worried that this issue will spread into other markets

Still, despite all of the headlines, this isn’t the type of crisis that will totally derail global markets. It’s nothing like what we saw when the U.S. mortgage industry imploded ten years ago.

Not only is Turkey a relatively small player on the global front, but there’s another big difference between today and when the last financial crisis hit…

Back in 2007, prices on a lot of assets were very high and very speculative. You had people quitting their jobs to buy land and build new homes. Even some members of my immediate family decided to become mortgage brokers (even though they had no experience in lending at all!). Essentially, there was a mania building and everyone was excited about the economy, excited about investing, and excited about the real estate market…

When things became too speculative, it was natural for a crisis to send giant ripples through global markets. But when stock prices, asset prices, and other investments aren’t trading at sky high levels, there’s not nearly as much risk.

So today, you can still invest with confidence because we’re not anywhere close to the excessive optimism that typically precedes a market meltdown.

Now, let’s take a step back and take a look at what’s REALLY happening in today’s economy.

Earlier this week, the U.S. Census bureau released the monthly retail sales report for July.

Last month, sales were up 0.5% over the June numbers, and this is the sixth straight month that we’ve seen gains in retail sales. The report was better than most investors were expecting, and the strength primarily came from apparel stores and restaurants.

Sound familiar?

The 0.5% number may sound small at first, but think about what happens when sales grow by that much month after month after month… And last fall as we got closer to the holidays, sales growth was even higher!

The growth accumulates over time and really goes far in helping our economy grow.

I place a very high importance on these retail sales figures — much more than the importance of Turkey or even the ongoing trade discussions.

That’s because for all the talk about international issues and trade risks, the U.S. economy is still DOMINATED by consumer spending. About two-thirds of our economy is driven by people like you and me spending money to help drive profits at businesses — to create more jobs — and to boost stock prices for retail companies.

We’ve talked extensively about the wealth effect in the U.S., and how individuals have more money to spend and more confidence to pull their wallets out of their pockets.

This week’s retail sales figures show us that the wealth effect is still alive and well. And as long as that trend continues to work, we’ll continue to invest in the best retail stocks we can find.

Tune in tomorrow as I dive deeper into this booming retail sector and give 2 stocks that are benefiting most from this “wealth effect.”

Here’s to growing and protecting your wealth!

Zach Scheidt
Editor, The Daily Edge
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The post Turkey = NOISE… Here’s What Really Matters… appeared first on Daily Reckoning.

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From:: Daily Reckoning

JX Nippon Mining, Mitsui dodge strike at Chile’s Caserones mine

By Cecilia Jamasmie

The main union at Chile’s Caserones copper mine, majority-owned by Japan’s JX Nippon Mining and Mitsui Mining, has accepted an adjusted contractual offer from management, which marks the end of the negotiation process and removes the threat of a strike.

“We have reached an agreement on the drafting of the collective contract, and we have signed the collective agreement,” the board said in an internal memo sent to workers early on Friday.

Had a deal not been reached, workers were ready to go on strike Friday morning.

Talks between the parties were about to fail several times during the negotiation process over last-minute differences, but the company and union members finally reached an agreement past midnight Thursday.

Caserones mine, behind schedule ever since it began producing in May 2014, not only has been affected by threats of strikes and a series of technical problems in its ramp-up phase. It has also cost the Japanese miners hefty impairment charges.

JX Nippon Mining, the metal unit of JXTG Holdings, which has a 51.5% stake in Caserones, posted in April a 128.6 billion yen-charge (about $1.2bn at today’s rate) for the mine in the financial year to March 31, which brought its total impairment loss on the operation to 276.9 billion yen.

Japanese trading house Mitsui & Co, in turn, reported in May its first loss since it was established in 1947, following a series of one-time impairment charges, the largest of which came from its interests in the Northern Chile-based copper mine.

Caserones, located at an altitude of 4,200m to 4,600m above sea-level, close to the border with Argentina, produced last year 122,800 tonnes of copper, just over 2% of Chile’s total annual copper output.

The figure still fell short of the 150,000 tonnes target intended when kicking off construction of the mine, operated by Minera Lumina Copper Chile (MLCC).

The post JX Nippon Mining, Mitsui dodge strike at Chile’s Caserones mine appeared first on MINING.com.

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From:: Mining.com

Crash Day In Silver and Gold

By David Morgan

Crash Day In Silver and Gold

David discusses the recent drop in silver and how it is another “spike low.” These massive down days are often very sudden quick drops. These “spikes” are a good entry and exit point if you’re looking to get into the market.

People don’t act consistently and keep to a simple strategy. He discusses what works for him in these markets and what he uses as indicators. He has bought this dip and will buy more if it drops again and expects a gradual price increase once the precious metals market gets moving and later on a price surge.

Mr. Morgan talks about the concept of overhead resistance and why its a psychological barrier to price increases. There is a lot of this resistance that has to be overcome before the price can move higher. However, these are small markets, and resistance could be quickly overpowered if there is a flight to safety. He would not short this market at this level.

David feels the next move up won’t be from a commodity boom. The market will likely bifurcate with gold, silver, oil, and agriculture moving up. There will be a run to safety with a move to the dollar first.

The post Crash Day In Silver and Gold appeared first on The Morgan Report Blog.

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From:: David Morgan

Ted Butler: New Hope For Higher Silver Prices

by Tyler Durden Mon, 07/23/2018 – 20:35 Authored by Adam Taggart via PeakProsperity.com, Precious metals analyst Ted Butler returns to the podcast this week to discuss the long-suffering silver price.Will the beatings continue? Or is there finally reason to believe that, after seven painful years of languishing, silver may finally see a brighter future?Butler predicts a turning point is nigh. And ironically, he thinks silver’s savior will be the same cultprit responsible for keeping the price suppressed for all these years: Every time we’ve had a rally in the last 10 years, ever since J.P. Morgan took over the investment bank Bear Stearns, J.P. Morgan has added aggressively to its paper short division on the COMEX as speculators, technical funds and what-have-you come in to chase rallies higher. J.P. Morgan has always been the seller of last resort, and they sell whatever is required to satisfy all buying. And, ultimately, after that buying is satisfied, the prices roll … Continue reading