U.S. Precious Metals Firm’s Q1 FY19 Streaming Deliveries, Revenue Beat Expectations

Source: Streetwise Reports 10/11/2018

A BMO Capital Markets report reviewed this Denver, Colo.-based company’s quarterly sales.

In an Oct. 9 research note, Andrew Kaip highlighted Royal Gold Inc.’s (RGLD:NASDAQ; RGL:TSX) reported sales from its streaming agreements. Gold sales and silver and copper deliveries during Q1 FY19 were “higher than estimated.”

Gold stream deliveries were 46,000 ounces (46 Koz) versus BMO’s estimated 43.5 Koz, and gold inventory dropped to 20 Koz from 22 Koz. Silver and copper stream deliveries were 544 Koz and 0.7 thousand tons (0.7 Kt), respectively, compared to BMO’s expectations of about 456 Koz silver and 0.5 Kt copper.

During the quarter ended Sept. 30, 2018, the company’s streaming revenue is estimated at $69.5 million, which would exceed BMO’s $62.7 million forecast. At the same time, costs were down, coming in at an estimated $16.4 million versus BMO’s anticipated $19.8 million. “We expect a positive revision to our estimates,” Kaip indicated.

As for average metals prices, they were lower in Q1/19, quarter over quarter. Gold was $1,221 per ounce ($1,221/oz) versus $1,314/oz one quarter earlier. Silver was $15.25/oz compared to $16.55/oz. Copper was $5,800 per ton, down from $6,847 per ton.

Cost of sales during the quarter were $288/oz of gold equivalent, down from $349/oz in Q4/18.

Royal Gold is scheduled to release its Q1/19 results after the market close on Oct. 31, with a conference call to follow at noon Eastern Standard Time on Nov. 1.

BMO has an Outperform rating and a $98 per share target price on Royal Gold, whose stock is trading currently at ~$77.93 per share.

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Disclosure:
1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article.

Disclosures from BMO Capital Markets, Royal Gold, Oct. 9, 2018

IMPORTANT DISCLOSURES

Analyst’s Certification
I, Andrew Kaip, hereby certify that the views expressed in this report accurately reflect my personal views about the subject securities or issuers. I also certify that no part of my compensation was, is, or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.

Analysts who prepared this report are compensated based upon (among other factors) the overall profitability of BMO Capital Markets and their affiliates, which includes the overall profitability of investment banking services. Compensation for research is based on effectiveness in generating new ideas and in communication of ideas to clients, performance of recommendations, accuracy of earnings estimates, and service to clients.

Analysts employed by BMO Nesbitt Burns Inc. and/or BMO Capital Markets Limited are not registered as research analysts with FINRA. These analysts may not be associated persons of BMO Capital Markets Corp. and therefore may not be subject to the FINRA Rule 2241 restrictions on communications with a subject company, public appearances and trading securities held by a research analyst account.

Company Specific Disclosures
Disclosure 5: BMO Capital Markets or an affiliate received compensation for products or services other than investment banking services within the past 12 months from Royal Gold.
Disclosure 6C: Royal Gold is a client (or was a client) of BMO Nesbitt Burns Inc., BMO Capital Markets Corp., BMO Capital Markets Limited or an affiliate within the past 12 months: C) Non-Securities Related Services.
Disclosure 9B: BMO Capital Markets makes a market in Royal Gold in United States.

For Important Disclosures on the stocks discussed in this report, please click here.

( Companies Mentioned: RGLD:NASDAQ; RGL:TSX,
)

…read more

From:: The Gold Report

Time to Rebalance Your Precious Metals Portfolio

Source: Maurice Jackson for Streetwise Reports 10/10/2018

Some precious metals ratios are out of whack, says Andy Schectman of Miles Franklin Precious Metals Investments in conversation with Maurice Jackson of Proven and Probable, and explains why he believes now is a good time to rebalance.

Maurice Jackson: Joining us for a conversation is Andy Schectman, the president of Miles Franklin Precious Metals Investments.

We have some important topics to address today regarding physical, precious metals. Before we begin, for first time listeners, who is Miles Franklin, and what type of services do we provide?

Andy Schectman: Miles Franklin is a precious metals company that’s been in business in Minneapolis since 1990. We’ve operated almost 29 years without a customer complaint, ever. We have an A Plus rating with the Better Business Bureau, and are one of fewer than 30 companies in America to ever be approved by United States Mint as an authorized reseller of its product. And more than anything, in a federally non-regulated industry, Maurice, that stands for something.

We’ve seen so much fraud in this industry, typically centered around the low-priced online retailers. In fact, we’ve never had a customer complaint is something we’re very proud of. But the state of Minnesota takes it one step further. We’re the only state in America that regulates the precious metals industry. We are beholden to the Commissioner of Commerce with the surety and background checks annually of every single one of our employees.

“Silver is probably one of, if not the buying opportunity of a generation.”

That continuing education, compliance, surety bond is enough to make the majority of our competitors throughout the country boycott the state of Minnesota, as they too would be subservient to the same set of regulations that we are. And what it basically means is anyone buying precious metals from a company domiciled in Minnesota would have arguably the safest, most secure transaction in the country, because the state regulations all but guarantee it.

Maurice Jackson: You and I had an offline discussion regarding the opportunity of a lifetime that you see in silver. Let’s discuss the value proposition before us regarding silver. Please share, what has your attention at the moment, and why.

Andy Schectman: When I look back over the years and try to identify the moments or the trends that have shaped our success, and the calls that we have made as a company that have panned out, they typically center around anomalies or distortions in the price market. We can take a look at the position of the most sophisticated, well-funded, well-informed traders in the globe, the commercial banks, and in particular JP Morgan, and see something very illuminating.

First off, JP Morgan has amassed over 800 million ounces of physical silver in its house account. That is eight times what the Hunt Brothers tried to accumulate in 1980. It is, in fact, the largest physical position the world has ever seen at one time. And more significantly, it has used the suppressed paper price to accumulate the physical. Since it inherited Bear Stearns’ short position in 2008, JP Morgan has been net short. And the largest short position on the COMEX market. And believe it or not, have never had one losing day. Not one losing trade, ever, in its short book since 2008. It’s almost mathematically impossible.

A lot of investors wonder about this short position, and think that this could go on forever. JP Morgan has proven, with the success of it shorting the paper market, that it does not need to accumulate 800 million ounces of physical silver in order to manipulate the price. Quite to the contrary. I think it manipulated the paper price in order to accumulate 800 million ounces of physical silver.

And what has really gotten my attention is that for the first time since JP Morgan inherited Bear Stearns short position in 2008, and for only the third time in the last 45 years, the commercial banks have gone long in the futures market. Including JP Morgan. It has reversed course, and has gone long on the COMEX markets. So the combination of reverse course in the most sophisticated, well-influenced, well-funded traders on the globe, going long on paper, you see the world’s largest ever accumulation of physical silver in its house account.

I think the two combined are really very, very intriguing to me. If nothing else, people should stand up and take notice of what the big boys are doing right now.

Maurice Jackson: Andy, just to clarify, because sometimes there’s a lot of ambiguity regarding the actions of JP Morgan. Talk to us, is the relationship between the proxy SLV (iShares Silver Trust) and JP Morgan?

Andy Schectman: Yes, it is. JP Morgan has the ability to pull silver out of SLV, and take possession of it. But by doing so, it allows it to take possession of silver without it being recorded. So Ted Butler would tell you that’s one of the ways that it has accumulated vast amounts of physical silver, sort of off the books. So yes, I think the ability for JP Morgan to take possession of silver out of SLV is one of the vehicles that it has used to accumulate vast amounts of silver without it being recorded through the normal channels of taking metal off the COMEX Exchange.

Maurice Jackson: Now for the individual investor, Mr. Schectman, let’s talk about what actions they can and should do regarding silver prices currently.

Andy Schectman: I think you don’t have to look any further than the ratio between gold and silver right now. If you go back literally 45 years, there’s been but one brief moment, and that was in 1993, where trading your gold and silver would’ve netted you more silver. In fact, what’s interesting now, Maurice, if you look at the last 50-years worth of price action, pretty much the average ratio …read more

From:: The Gold Report

Golden Triangle a Bright Spot in Gold Exploration

Source: Streetwise Reports 10/09/2018

With gold prices moving sideways, the Golden Triangle of British Columbia—and several companies exploring there—continue to provide a bright spot for gold exploration.

Three different gold rushes and some of Canada’s greatest mines have been found on the Golden Triangle, located just inland from the Alaska Panhandle.

The mines include Premier, Snip and Eskay Creek. Other significant and well known deposits located within the Triangle include Brucejack, Galore Creek, Copper Canyon, Schaft Creek, KSM, Granduc and Red Chris.

Rick Mills of Ahead of the Herd noted, “After decades of productive mining and some big discoveries, the Golden Triangle went dormant. Isolated from major infrastructure, the area was expensive to conduct sampling, surveys and drill programs in, and due to its harsh winter climate, was only accessible for half a year. Not much news came out of the Golden Triangle during the 1990s and 2000s. When gold prices weakened to about $400 an ounce, several mines shut down, unable to make a decent margin against fixed costs.”

Over 130 million ounces of gold, 800 million ounces of silver and 40 billion pounds of copper have been found in the area, but experts believe this is only the tip of the iceberg.

“The BC Geological Survey database has identified over 900 mineral occurrences, 67 of which have documented mineral resources,” said Mills. “Lately there has been a resurgence of interest in the Golden Triangle, with something of a staking rush going on there as juniors position themselves for the next discovery hole. So what changed? The excitement is being driven by five factors.”

These factors, according to Mills, are:

New Deposits: Pretium Resources Inc. (PVG:TSX; PVG:NYSE), Seabridge Gold Inc. (SEA:TSX; SA:NYSE.MKT) and Imperial Metals Corp. (III:TSX) all made multimillion pound strikes.

New Infrastructure: “New road and power infrastructure built by the British Columbia (BC) government includes the paving of the Stewart-Cassiar Highway north from Smithers; port facilities for export of concentrate opened at the town of Stewart; and most importantly, a $700 million high voltage transmission line to bring power to mining properties previously inaccessible to the grid and reliant on diesel-powered portable generators,” according to Mills.

Declining Snow Cover: The retreat of glaciers reveal rocks never before seen.

New Geological Theory: A new twist is that most of the Golden Triangle’s deposits are found within a few kilometers of a contact zone (Triassic-Jurassic unconformity).

Higher Gold Prices: Low gold prices shut down several operating mines in the Golden Triangle during the 1990s and early 2000s, and also squelched exploration. “Since then a tripling of gold prices has injected gold fever back into the area, and combined with a new geological theory and the above factors, breathed new life into the possibility of discoverers hitting the next Valley of the Kings or KSM,” Mills asserted.

Against this backdrop, gold explorers including Golden Ridge Resources Ltd. (GLDN:TSX.V), Aben Resources Ltd. (ABN:TSX.V; ABNAF:OTCQB) and GT Gold Corp. (GTT:TSX.V) continue to report impressive results.

Mike Blady, CEO of Golden Ridge Resources, said its recent discoveries in the heart of the Golden Triangle set the company apart from the crowd.

“We are one of the few companies to make a new discovery this year, so that sets us apart from the rest of the companies in the area,” Blady told Streetwise Reports. “We discovered a new gold-copper porphyry called the Williams Zone that was discovered by our team using geophysics and geochemistry, and we confirmed it with drilling.”

The company acquired the Williams Zone property in 2014 from Barrick Gold Corp. (ABX:TSX; ABX:NYSE) and performed an aerial survey of the area in 2015.

“So it all started back in 2014, there was an airborne survey flown on the project in 2015, which found a single point anomaly on the north side of the project,” Blady noted. “Single point anomalies generally turn out to be nothing,” but subsequent exploration confirmed the company had struck pay dirt.

“In 2016, we did some reconnaissance geochemistry on that part of the property and were pleasantly surprised with a strong copper-gold anomaly. The following we year we came back and used ground-based geophysics to further delineate the Williams zone. The anomaly was covered with overburden and dense forest, so our next move was to strip back the overburden by hand and sample the bedrock, which turned out to be the first rock samples ever taken from the Williams zone,” Blady said.

“The first Williams Zone hole was the culmination of the last three years of slow, methodical exploration work that led to the success we had: HNK-18-001, 327 meters grading 0.31% copper, 0.35 g/t gold, 1.94 g/t silver, which we released on August 14. An initial discovery hole of this magnitude is very exciting for our geologic team and company. Deposits in the Golden Triangle need to be large and high grade to be of economic value; this discovery is a huge step in the right direction.”

In September, Golden Ridge announced its drilling continues to intersect broad intervals of copper-gold mineralization at Williams, with holes HNK-18-005 and HNK-18-002 intersecting similar geology to HNK-18-001: 326 meters grading 0.36 g/t gold, 0.29% copper and 1.92 g/t silver for HNK-18-005 and 276.15 meters grading 0.31% copper, 0.24 g/t gold and 2.33 g/t silver on HNK-18-002.

Chris Paul, vice president of exploration for Golden Ridge, noted, “The continuity of grade and thickness at the Williams Zone is very encouraging, as are the increasing grades toward the east. The abrupt change in grade across the fault to the east suggests a portion of the high grade has been displaced, possibly downwards, and the true thickness and grade of the Williams is yet to be seen.”

Golden Ridge is also conducting Induced Polarization (IP) surveys, and in late August reported successful results.

“The IP survey successfully delineated a strong chargeability anomaly which is coincident with the porphyry …read more

From:: The Gold Report

If This Doesn’t Scare You, Nothing Will

Source: Clive Maund for Streetwise Reports 10/09/2018

Technical analyst Clive Maund charts the markets and explains why he finds that the U.S. stock market is at an unprecedented overbought extreme.

There are times in life when being alarmed is actually a healthy defense mechanism that gives you an advantage over the many for whom “ignorance is bliss.” This is one of those times.

The U.S. stock market is now at a dangerous unprecedented overbought extreme, as the charts that we will look at in this update make abundantly clear, after years of being wafted higher by a combination of QE, ZIRP and stock buybacks, and latterly Trump’s tax bonanza, which has kept the party going by making windfall cash available for still more buybacks. However, with QE having already reversed into QT (Quantitative Tightening) and rates rising, the tide has already turned, and the vice is closing inexorably on the market, which will soon buckle and collapse back into an overdue and very necessary bear market that will serve to at least partially flush out the monstrous excesses of the past decade, before they come riding to the rescue with QE4. The magnitude of these excesses means that the bear market is likely to be anything but orderly, and it should be characterized by at least one big crash phase.

With respect to the timing of the onset of this bear market, which will likely start with a crash phase, because of the continually increasing pressure being exerted by QT and rising rates, we can expect the Republican party to pull out all the stops to prevent it caving in before the mid-term elections in just under a month, since a strong economy is one of the central planks of their campaign. What may happen is that we see wild volatility around the time of the election and then, regardless of the outcome, the market goes down soon after. However, we should keep in mind that October has long been notorious as the month when stock market crashes are most likely to occur, and the Deep State, which controls the Democratic Party, would love nothing better than to bring the market crashing down ahead of the mid-terms in an effort to discredit Trump and the Republicans and reduce their share of the vote.

The chief purpose of this article is to make it crystal clear to you, via the following charts, that the market is at a wild extreme and will soon tip into a savage bear market that will wipe out a lot of leveraged traders, so that you will not only be ready to take steps to protect yourselves, but for good measure position yourselves to turn this situation to your advantage.

We start by looking at a very long-term chart for the S&P500 index that goes all the way back to 1980, which gives us a Big Picture perspective. On this chart you need a magnifying glass to see the 1987 crash, which seems funny now, because it was big deal at the time. You can also see the glorious Clinton years bull market of the 1990s, which ended with the dotcom bust and then Greeny (Alan Greenspan) manning the monetary pumps to get things going again, which led to the property boom and subprime crisis that triggered the 2008 meltdown. After that all pretense at fiscal restraint vanished and we entered the era of full bore QE coupled with about 10 years of ZIRP, which caused debt to skyrocket and enabled massive leveraged speculation, which is what has caused the market to ascend to giddying heights, as stock buybacks rose to unsustainable extremes, kept going more recently by Trump’s tax cut.

So now what? Having created a situation of wild unsustainable extremes, the Fed has taken its metaphorical foot off the gas pedal and planted it on the brake, slowly at first to avoid rattling the markets, but slowly pressing down harder on it, as it desperately seeks to create “wiggle room” for the next crisis by raising rates and scale back its huge Treasury book. This is the cause of the liquidity drain, or Quantitative Tightening (QT). The “little guy” is, of course, blissfully unaware of all this as he gets sucked into the market at the top, believing all the hype about the “strong economy.” Actually the economy is strong; it’s the underpinnings that are anything but strong, like the continually expanding debt, and it won’t be Trump that is responsible when the whole thing comes crashing down—the causes of this impending crisis go back to way before Trump showed up on the scene. A massive liquidity drain is going on behind the scenes that will starve the market of funds to continue ascending and cause stock buybacks to shrivel as rates continue to rise—Jay Powell, the Fed Chair, has made it plain that he plans to carry on regardless with this policy, at least until it really hits the fan. Once players fully comprehend what is going on and that “the jig is up,” there will be a wild stampede for the exits, which is why the market is expected to not just drop, but crash—actually it would be odd, given the situation that is evolving, if it didn’t.

Now we will look at more charts which furnish additional evidence regarding the wild extremes that we are now at.

We start with the Bear Market Probability Chart, which is a very useful chart, because even a moron can understand it. The fact that a reading is at a high level does not necessarily mean that a bear market is imminent, but the higher the reading gets the more likely it is, and as we can see on this chart, it is now at readings that exceed by a significant margin those ahead of the 2000 top and the 2007 top, making the onset of a major …read more

From:: The Gold Report

Imminent for Explorer: Resource Update at One Project, Drill Program Launch at Second

Source: Streetwise Reports 10/09/2018

This gold-silver company continues to simultaneously advance two of its projects in Mexico.

Goldplay Exploration Ltd. (GPLY:TSX.V; GLYZF:OTCQB) provided an operational update on San Marcial and El Habal.

At San Marcial, the company’s high-grade silver-lead-zinc project, the primary focus of work underway is to calculate and release an NI-43-101-compliant resource estimate before year-end 2018. The update will encompass results from the 2010 drill holes and reinterpretation of the 2008 drill holes. A three-dimensional model of the deposit will also be used in this process. Sampling of the drill core, still in progress, should be completed soon.

Also at San Marcial, Goldplay is preparing for “exploration over the coming months” of the 3 kilometers of unexplored mineralized trend there, noted the news release. It identified six discrete areas for drilling, and they encompass the 14 gold targets that geologists recently pinpointed, including mineralized breccia’s strike extensions.

With respect to El Habal, Goldplay’s gold-silver project, the company is working to identify, assess, confirm and prioritize additional drill targets, with the intent of subsequently conducting a drill program.

These efforts come following completion of an initial drilling campaign, at the Arenal, La Reina and Santos targets, and geophysical work, both of which indicated “an intrusive related gold system as a possible source of mineralization at El Habal,” according to the release. Also, Goldplay subsequently took soil samples over three prospective areas, La Española, Octavia and Zona Sur, which included some newly identified targets.

The company will review results from those and historical soil samples for indicators of key mineralization and structural controls. Other related, planned work, according to the release, includes geological mapping and sampling to delineate the connection with known mineralization in the already drilled area, structural mapping of surface and underground exposures “to better understand the key structural controls on the distribution of gold mineralization,” and completing the geophysical model.

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Disclosure:
1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Goldplay Exploration. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Goldplay Exploration, a company mentioned in this article.

( Companies Mentioned: GPLY:TSX.V; GLYZF:OTCQB,
)

…read more

From:: The Gold Report

Why Five Industry Experts Have This Gold Explorer on Their Radar Screens

USGD Project Map

Source: Streetwise Reports 10/09/2018

With Nevada gold projects taking center stage in the M&A sphere, one new gold explorer that has grabbed the attention of industry observers is moving quickly to prove up its project.

Nevada is no slacker when it comes to massive gold mines. Barrick Gold’s Cortez Gold Mine and Goldstrike Mine each produce over 1 million ounces of gold a year, and Newmont Mining’s Carlin Operations aren’t far behind.

Nevada gold acquisitions are rampant this year as well.

In the past year alone, Hecla Mining acquired Klondex Mines for a staggering $426 million, Alio Gold acquired Nevada-based Rye Patch in a deal valued at $128 million and Coeur Mining has just taken over Northern Empire at the cost of $90 million. Good companies with good projects are in demand.

One company with similar geology in the same geography is just getting started.

American Pacific Mining Corp.’s (USGD:CSE; USGDF:OTC) flagship property is the Tuscarora Gold Project in Elko, Nevada. “Tuscarora is similar to Klondex’s Fire Creek property, a high grade, high-level epithermal vein system,” American Pacific’s CEO Warwick Smith told Streetwise Reports.

Bob Moriarty of 321 Gold noted in May that “it’s always nice to drill a home run hole with 143.5 g/t gold grade but even better when you can pick up such a project essentially for peanuts after someone else already found the vein system for you. . . We know from past results from both Newcrest and Novo that there are multiple bonanza grade veins at Tuscarora.”

American Pacific Mining (USGD:CSE; USGDF:OTC) emerged from a “hot” gold company last year.

Novo Resources Corp. (NVO:TSX.V) was one of the top gold discoveries of 2017. In mid-2017, Novo announced the discovery of gold nuggets at its Karratha gold project in Western Australia. This was the first indication that Novo’s world-famous geologist, Dr. Quinton Hennigh, and his theory of a massive field of gold nuggets in Western Australia may be proven correct.

This discovery propelled Novo Resources’ stock price upwards. Over the next three months following the announcement of this discovery, its stock went from CA$0.83 to a peak of CA$8.55, an increase of about 930%. The stock sits at CA$2.67 at the time of writing.

Early investors made handsome profits from Novo Resources.

Chen Lin, the force behind the newsletter What is Chen Buying? What is Chen Selling?: “I discussed [the Tuscarora project] with Quinton Hennigh two years ago. He told me it was a project that he had an eye on for 20 years…”

“American Pacific Mining was founded to advance one of Nevada’s most promising projects,” said CEO Warwick Smith.

He explained that this was American Pacific Mining’s “once in a lifetime opportunity.” One of American Pacific’s directors, Ken Cunningham, knew Dr. Quinton Hennigh, president and chairman of Novo Resources. The two sides managed to quickly cut a deal, and the Tuscarora Gold project was optioned by American Pacific Mining Corp. for a bargain price.

Nick Hodge in Nick’s Notebook: “American Pacific was able to get the project for the bargain price of $375,000 in payments and 800,000 shares over three years.”

“Location and jurisdiction are make-or-break in mining,” Smith explained.

Tuscarora lies between major mining trends and gold projects in Nevada, with a signature quite similar to Klondex’s Fire Creek—a narrow vein of a high grade gold mineralization in the heart of the state.

Wall Street Window notes that American Pacific Mining’s “main target is Tuscarora, which is a high grade, early stage gold project located in a prime precious metal district in Nevada…”

The company was able to tap Eric Saderholm to be its president. Saderholm at that point was the exploration manager for the Western U.S. at Newmont Mining Corp. (NEM:NASDAQ), the second largest gold mining company in the world with a market cap of over $16 billion.

“Saderholm is known as one of Nevada’s top geological talents and an expert in his field. He joined the team as the company went public, bringing decades of discovery to production experience in both major and minor resource companies with him,” Smith told Streetwise Reports.

The Gecko Investor Group wrote on March 7 of this year that American Pacific is “probably in the world’s best place to do mining right now—Nevada.”

When it comes to gold, grade is king. The Tuscarora project has high grades from past drilling. Historical results showed intervals of up to 180 grams of gold per tonne over 1.5 meters. Other drill holes have shown grades of 143 grams and 74 grams of gold per tonne over widths of 1.5 meters and 3.1 meters, respectively.

The property has already produced gold, with historical production of 204,000 ounces of gold and 7.5 million ounces of silver.

American Pacific Mining (USGD:CSE; USGDF:OTC) moved quickly and expanded the Tuscarora project. It increased the number of claims from 24 to 91 and the project area from 447 acres to 1,818 acres. “We know we have something special on our hands,” said Smith.

Chen Lin: American Pacific Mining “is one of the juniors to watch this summer.”

These five industry experts think that American Pacific is a good opportunity for those interested in investing in the gold sector.

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Disclosure:
1) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: American Pacific Mining. Click here for important disclosures about sponsor fees. An affiliate of Streetwise Reports is conducting a digital media marketing campaign for this article on behalf of American Pacific Mining. Please click here for more information.
2) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell …read more

From:: The Gold Report

Canadian Gold Company Closes CA$11.6 Million Financing

Source: Streetwise Reports 10/06/2018

The firm intends to use the funds on its three past-producing mines in the U.S. Great Basin.

Liberty Gold Corp. (LGD:TSX) recently closed its bought-deal financing, which resulted in about CA$11.6 million being added to the company coffers. Liberty will use the proceeds for working capital and for exploration and development work at its three flagship projects in the western U.S.: Goldstrike in Utah, Black Pine in Idaho and Kinsley in Nevada, according to the news release.

As for the financing specifics, a group of underwriters purchased, on a bought-deal basis, 25,125,000 units of Liberty Gold at a price of CA$0.40 apiece, which yielded CA$10,050,000 for Liberty. The group also exercised the over-allotment option to the extent possible, buying another 3,768,750 of Liberty units, which generated another CA$1,507,500 for the company.

Cumulatively, 15,893,750 units (or about 15.9 million) were purchased for a total of CA$11,557,500, or roughly CA$11.6 million.

Each unit consisted of one common Liberty share and one common share purchase warrant. One warrant allows for one common share to be bought for CA$0.60 any time before Oct. 2, 2021.

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Disclosure:
1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: none. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Liberty Gold. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Liberty Gold, a company mentioned in this article.

( Companies Mentioned: LGD:TSX,
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From:: The Gold Report

Gold Explorer Reports ‘Best Channel Sample to Date’ at Peru Project

Source: Streetwise Reports 10/06/2018

Cumulative sampling reveals high-grade gold mineralization in two adjacent zones.

Palamina Corp. (PA:TSX.V; PLMNF:OTC.MKTS) announced the Cayos zone, at its southeastern Peru project, returned 3 meters (3m) of 30.5 grams per ton (30.5 g/t) gold, “which represents the company’s best channel sample to date at Coasa,” President Andrew Thomson said in a news release.

Six samples were taken from a 200-by-300m area of the Cayos zone. They consisted of “two composites from small informal mining adits, two continuous channel and two selective rock-chip samples,” noted the release. The composite samples returned 16.5 g/t and 9.8 g/t gold.

Palamina pursued the Cayos sampling after its Veta zone, located 1.5 kilometers north, revealed four gold zones. Chip sampling from an 800-by-500m swath at Veta returned up to 620 g/t gold, and channel sampling showed up to 1.8m of 19.6 g/t gold.

“The Veta and Cayos gold zones have both returned significant gold grades from quartz veins, and channel sampling has also confirmed significant gold mineralization within the slate and siltstone host rocks on both,” according to the release.

Pending results from the geophysical study will help Palamina determine the interplay between Cayos and Veta, and better understand the geological structures at Coasa overall.

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Disclosure:
1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: none. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Palamina Corp. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Palamina Corp., a company mentioned in this article.

( Companies Mentioned: PA:TSX.V; PLMNF:OTC.MKTS,
)

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From:: The Gold Report

A Mining Analyst’s Perspective on the Industry

CMD Gold Mine

Source: The Critical Investor for Streetwise Reports 10/04/2018

A mining analyst with decades in the industry, Kees Dekker, in this interview with The Critical Investor, discusses not only his experience as an analyst in the field, but also numerous criteria that he recommends for investors to use when doing their due diligence.

Once in a while I run into countrymen in the mining business, and as a Dutchman this doesn’t happen too often. Notwithstanding this, I was connected to a gentleman named Kees Dekker through a mutual contact, and it appeared soon enough that Kees shared a preference for critical analysis with me. Having worked a long career in the mining business when located predominantly in South Africa and Namibia after graduating in the Netherlands but doing projects all over the world, he now aims to work as a freelance mining analyst. I am more than happy to provide him with a platform to introduce himself, as examples of his analysis indicated to me that he could be of great value for anybody who’s interested in thorough research on a mining company. Some of these sometimes very extensive examples will be published, starting shortly after this interview, to give a good idea of the level of Kees’ analyzing capabilities. For now, it is time to introduce Kees Dekker, so here we go. – The Critical Investor

The Critical Investor: Thank you, Kees, for participating in this interview. It is a pleasure to get to know a countryman who knows his way around the mining industry and who also likes to analyze mining companies. For starters, can you tell us your background and experience?

Kees Dekker: Let me first begin with some basics. I am 64 years of age, and currently reside with my wife in Namibia, the country where I started my career after obtaining BSc and MSc degrees in Geochemistry (BSc, MSc) in Utrecht, Netherlands. I subsequently got BCom and MBA degrees from South African universities. We returned to Namibia after our two adult sons left for Germany to pursue careers there.

My career started back in 1979 as an exploration geologist for a subsidiary company of Gold Fields of South Africa (GFSA), which was at the time the third largest global gold producer, but also controlling a number of major base metal and coal companies. In 1983 I was appointed senior geologist at a large base metal mine, the Black Mountain Minerals mine in South Africa.

After completing an MBA in Cape Town, sponsored by GFSA, I joined head office in 1986 as a senior mineral economist at Gold Fields in the Coal and Base Metals Evaluation Section. There I was involved in the annual valuation of Group Companies, coordinating feasibility studies and carrying out project evaluations.

In 1988, I was appointed Section Head of the Coal and Base Metal Valuation Department, managing and mentoring five analysts. In 1990 I was appointed to Group Economist when I managed economists involved in macro-economic analysis, monitoring commodity market development and producing metal price forecasts, as well as advising the pension fund trustees on equity investments and supervising a country risk analyst.

In 1992, I was appointed as Assistant Manager of the GFSA Group, when I had reporting to me an Architectural Section, a Quantity Surveying Section, a Project Management Section and a Property Administration Section, which also looked after the assets of Gold Fields Property Company, listed on the Johannesburg Stock Exchange. The position was often used by GFSA to provide commercial exposure before moving to a more senior position elsewhere in the Group.

In July 1995, I was appointed Regional Manager in Quito, Ecuador for Latin America, except for Brazil. Unfortunately, following the severe downturn in 1999 in the mineral industry and with Gold Fields doing particularly poorly, new management decided to retrench many people including myself.

In 2002, I was appointed as New Business Manager by Oryx Natural Resources, focused on finding diamond projects in Africa. Oryx offered me a job in 2003 as President of its operating diamond mine in the DRC. I left this job after I concluded that the operation did not have the chance to ever be feasible, and I joined another diamond-focused company called Matikara Limitada in Angola, as Chief Operating Officer. Matikara was a JV company between the second largest diamond producer in South Africa, Transhex, and Lev Leviev, who had the monopoly for marketing Angolan diamonds for a long time.

After this, in 2006 I joined RSG Global, a reputable mining consultancy, which got acquired by Coffey Mining in 2007, as Manager for southern Africa. Because of a very different corporate culture I decided to follow my former Manager – Audits at RSG, Mick McMullen, and joined Lachlan Star, one of his companies, in May 2008.

CMD gold mine, Chile (credits: Kees Dekker)

At Lachlan Star I was coordinator of a pre-feasibility study of a gold project in Zambia, followed by the review, acquisition and resource expansion of a gold mine in Chile until the summer of 2012.

Since 2012 I have acted as a freelance consultant involved in technical reviews of among other, the Stillwater Mining Company operations and projects, Nevada Iron Limited, New Chris Minerals and for private equity funds such as QKR (acquisition of the Navachab mine in Namibia), the Casablanca Capital (Cliffs Natural Resources) and Blackstone Special Opportunity fund (Talvivaara mine in Finland and the Renard diamond project of Stornoway). I have also visited projects in many other exotic places like India, Eritrea and Zimbabwe. Right now I am looking to intensify my work as a consultant as I feel too young to retire yet.

Sandawana Emerald mine, Zimbabwe
Sandawana Emerald mine, Zimbabwe (credits: Kees Dekker)

TCI: That’s an impressive resumé in mining, and you seem to have covered a variety of fields, from doing exploration yourself to managing studies to managing large exploration projects to acquisition of assets. What would you consider your field of …read more

From:: The Gold Report

Bob Moriarty: From the Geopolitical to the Geological

Novo Resources Tenement Holdings

Source: Maurice Jackson for Streetwise Reports 10/04/2018

Precious metals expert Bob Moriarty, in a wide-ranging conversation with Maurice Jackson of Proven and Probable, discusses trade wars and trade pacts, real wars, precious metals and some equities that have grabbed his attention.

Maurice Jackson: Joining us for a conversation is Bob Moriarty, the founder of 321gold and 321energy and the author of two of my personal favorite books, “The Art of Peace” and “Nobody Knows Anything.” Mr. Moriarty, welcome to the show, sir.

Bob Moriarty: Thank you. It’s good to talk to you.

Maurice Jackson: Bob, as always, it’s an honor to have you on our show, sir. We have some important topics to cover for the audience. I would like to begin our discussion regarding geopolitics by regions beginning in the United States. What has your attention and why?

Bob Moriarty: Oh God. I think this week by the time you put this out will know one way or another, but the Kavanaugh debacle, it’s embarrassing. The rest of the world is watching the United States make a fool of themselves.

Maurice Jackson: It truly is. Let me ask this as well. How about the Federal Reserve increasing increase rate? Talk to us also about your thoughts regarding the new trade agreement that we have with Canada.

Bob Moriarty: Well, I’m glad to see there is a trade agreement. Certainly, Canada has recognized its 300% tariffs on dairy products were foolish. Socialism is very popular, because when you feel the government is doing something just for you, you’re all in favor of it. Canada’s policy has been good for 16,000 dairy farmers in Canada and bad for everybody else. It was a stupid policy on their part. I’m not a big fan of Donald Trump. I think the man’s a blithering idiot; however, some of his points are perfectly valid. Canada had absurd tariffs on dairy products, protecting their dairy industry. They needed to change them. Obviously, I don’t have all the details any more than you, but Trump has been successful in getting Mexico to realize there were issues that needed to be sorted and China and now Canada. I think it’s a good idea.

Maurice Jackson: How about the Federal Reserve increase in interest rates? Should that be something that we should be concerned about?

Bob Moriarty: When you’re in debt far more than you can ever pay, it really doesn’t make a rat’s ass what the interest rate is, because the critical issue isn’t the interest rate. The critical issue is can I pay this back? The Federal Reserve is raising interest rates. They’re reversing QE. They were incredibly stupid for 10 years. Now, we get to pay the price. Now, there’s going to be a massive recession/depression. That’s going to occur regardless of the interest rates. The interest rate increase just make it happen a little faster.

Maurice Jackson: I’m going to be interested to see what’s going to occur with the peripheral markets here as they unwind this QE per se. Let’s move now to the Middle East and specifically Syria, which involves a number of players fighting there. What are you focused on?

Bob Moriarty: Let me ask a question first of all, because the issue has to go to the heart of self-defense. Under the British education system, they teach you the question is more important than the answer. There’s a very valid reason for that. If you don’t ask the right question, you never come to the right answer. We are fed nonsense on a regular basis. It’s because people don’t ask the right question. Let me ask you a question, does Israel have a natural right to self-defense?

Maurice Jackson: They do.

Bob Moriarty: Okay. If Israel has a natural right to self- defense, does Syria have that same right?

Maurice Jackson: They do as well.

Bob Moriarty: Yeah, of course they do. Even more interesting, if Israel and Syria have a natural right of self-defense, does Gaza?

Maurice Jackson: They do.

Bob Moriarty: Of course they do. They’re not really a country, per se. Israel is just cut up Palestine into little tiny unmanageable parts, but yes. Everyone has the right to self-defense. Do you personally have a right to self-defense?

Maurice Jackson: Yes, I do, sir.

Bob Moriarty: Of course you do. Everybody does. We assume that Israel has a right to self-defense and not only do they have a right to self-defense, the United States has an obligation to fight their wars for them. That’s really pretty stupid, but Syria has right of self-defense. Iran has the right to self-defense. Iraq has the right to self-defense. Gaza has a right to self-defense.

All of the problems in the Middle East go back to Israel wanting to steal land. They’ve been stealing land since 1947, and Russia has just said, “Okay, here’s a line in the sand. If you cross it, we’re going to shoot your aircraft down.” Russia has put in a bunch of S300 SAM missiles into Syria and said, “Okay, United States, you stay out. Turkey, you stay out. Israel, you stay out.” They’ve got all the right in the world to do that. I’ll be real candid. I’m speaking as a pilot with 1200 hours of flying as a combat pilot with over 800 missions. I wouldn’t mess with Russia.

Maurice Jackson: No, they seem to be a very formidable foe there. We’re talking about the U.S. involvement in the Middle East. The United States this year will become the largest producer of oil. How will this impact our relationship and involvement in the Middle East in the future years?

Bob Moriarty: I’m not sure that there’s a direct connection. Our central problem in the Middle East is the total and absolute control that AIPAC …read more

From:: The Gold Report