Get Gold and Silver Before Middle East Devolves into Civil War

News out of Saudi Arabia today and tensions in the strait of Hormuz for months has been signaling to astute investors be careful of a geopolitical black swan coming from the Middle East.  This could be a game changing event in the Middle East today as oil and precious metals soar on today's news that there was a "Drone Attack on Saudi Oil Field".

For weeks now I have been noticing with lots of small cap oil stocks despite hitting new lows there was a big pickup in insider buying.  Now many of these junior oil stocks could run higher.  I'm also thinking the entire energy complex including our beaten down battery metals stocks could start bouncing higher too as oil prices spike higher.  Notice the recent move of this little cobalt stock above the 200 DMA last Friday.

The fighting between the Shiites and Sunnis is centuries old and won't be solved in the next few weeks, months or years and probably not in our lifetimes.  The USA economy has already been under pressure and rising oil prices could be another big blow to a US manufacturing industry staggering into a possible economic recession.

The Fed meets this week and will probably lower rates again to keep the real estate and stock market propped up despite a declining yield curve.  Remember the Fed has put possibly billions into pushing up markets to a historic overbought condition through manipulating rates to record low levels yet these low rates haven't stimulated factory and wage growth stats show anemic growth.

Mortgage rates are at all time lows and Americans are once again leveraging themselves again into 401k's and real estate.  I am concerned that younger investors who haven't gone through the financial crisis are repeating the same mistakes of the past which is buy houses all on credit with no savings reserve.  Once the house of cards comes crumbling down and foreclosures start again we could see another housing crisis.  Most urban areas are unaffordable at the moment to the middle class.  But those of us who have been around knows that with time those imbalances get corrected through real estate crashes.

Negative rates and soaring US debt has placed the country on an unsustainable path where either they cut government spending and entitlements or devalue the currency completely.  Our politicians in DC are doing whatever they can to keep the US dollar down but everyone else in the world is doing something similar in this race to debase.  China, South Americans and the Europeans are winning that race now.

However, even China is suffering with an economic slowdown despite their crashing Yuan.  There are growing concerns of the Pro West supporters in Hong Kong.  Protests have gotten violent showing us there is still a side of China that the West doesn't fully get.

That is why its more important to own gold and silver now more than ever.  For years the major miners have made poor decisions overpaying in risky jurisdictions.  Shareholders have gotten poor with little dividend growth while the management got very rich through options, salary and change of control payments.

Even the gold price moving higher past $1500 USD and into record highs in other fiat currencies has not caused a gold rush into the producers, developers and explorers.  This takes time and confidence that this recent move in gold is here to stay and not just a short term blip.  So far very little money other than Eric Sprott has moved into the juniors and even good exploration results are met with relentless selling.

The money for exploration has dried up over the past generation.  The majors cut their exploration teams back in the last cycle.  Many of the old timers who knew how to mine the gold are gone now into the next world or way past retirement.  The TSX Venture is hitting all time lows while the big banks and Big Board stocks hit all time highs through Government supported share buybacks.  The only answer and turnaround could be a major discovery similar to Hemlo, Eskay Creek or Voisey's Bay to get exploration turned around.

I closely monitor and invest in the junior miners raising money to drill for new discoveries because that is why we are in this sector to make money.  The big money in mining is made in getting in before a discovery hypothesis is confirmed through drilling.  In some cases sentiment in the markets and sector can be so bad that the market doesn't recognize yet the opportunity.  This is where we dig around the press releases and news filing for undiscovered stories not really known yet but could be if they hit on drilling.

1)One of my favorite explorers recently has had some of the best drill results in Canada but for some reason has been hit hard by short sighted sellers despite adding a 3rd drill rig and announcing a winter camp up in Central BC on its 100% owned property.  This exciting explorer is accelerating exploration with this 3rd drill rig.  In my opinion, the adding of this rig and setting up winter camp are the clues in the press release indicating management believes that this system is going to get thicker and higher grade building tonnage.  According to the Chairman, "The continued discovery of very impressive size and grade intervals in the 421 zone in the 2019 campaign are exceeding our expectations."

2)I hear at the Metals Investors Forum in Vancouver conference this little junior drilling right now in the #goldentriangle is run by the Geo who helped build Lumina Copper for billionaire Ross Beaty was a big hit.  They have a target that looks very similar to GT Gold early days and are just starting to drill.  The stock has gotten some recent traction as they made a new discovery sampling over 4 g/t Gold over 100 meters.  This company is going full speed ahead and should start drilling any day now up in the Golden Triangle.

3)Another big turnout at the Metals Investor Forum conference was for this junior that has gotten a lot of interest recently when they announced the start of drilling in Nevada.  This is a new company that is starting to drill within four months of being a public company.   They also just announced DTC eligibility which will allow more US investors to participate.  The property was drilled last by previous operator in 2017 and hit 1.3 g/t over 133 meters.  Recent technical work shows that there could be much more upside.  Let's see what truth machine says in several weeks.  

4) We will be having a new interview with an explorer in the Yukon backed by Newmont Goldcorp hitting exceptional high grade porphyry results right on the road leading up to the Coffee project.  This could be another top takeout target in by 2020.  They intersected 400 m of 1.2 g/t gold in first area tested for a deep porphyry.  New interview with management being published shortly!

Jeb Handwerger is not a registered investment advisor!  Junior Mining Stocks are very risky! Buyer Beware!

Assume Author (Jeb Handwerger) owns shares in featured companies and that I want to sell them for a profit.  Sponsors are website advertisers so that means I have been compensated and have a conflict of interest to help boost awareness of this story. The content of this article is for information only. Readers fully understand and agree that nothing contained herein, written by Jeb Handwerger about any company, including but not limited to, commentary, opinions, views, assumptions, reported facts, calculations, etc. is to be considered implicit or explicit investment advice. Nothing contained herein is a recommendation or solicitation to buy or sell any security. Author is not responsible under any circumstances for investment actions taken by the reader. Author has never been, and is not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and does not perform market making activities. Author is not directly employed by any company, group, organization, party or person. The shares of these companies are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they will consult with their own licensed / registered financial advisors before making investment decisions. Readers understand and agree that they must conduct their own due diligence above and beyond reading this article. Author is not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article or future content. Author is not expected or required to subsequently follow or cover events & news, or write about any particular company or topic. Author is not an expert in any company, industry sector or investment topic. 

 

 

 

 

 

 

 

 

Libero $LBC.V Drilling in Golden Triangle Starting to Look Like Another Gt Gold?

This summer while many investors were away for family vacation, gold made a major breakout through $1350 USD and into new multi-year highs as we highlighted.  Now its only a stone's throw from $1600. Then only a short few weeks ago, silver followed gold breaking out of a major base.  Now its above $19.


The Gold-Silver Ratio which hit a high above 90 to 1 this summer is now breaking down finally.  That's a good sign for the small junior explorers that are closely correlated with silver. The juniors have been pretty much ignored since 2012.  We could be just starting an inflow back into the junior miners.  Prior rallies like 2003-2007 and 2009-2011 could signal a powerful reversal of the prior bear market trend.

Look at this chart of the gold stocks in relation to gold bullion.  Its finally breaking out of downtrend after hitting a record low.  Notice how the early investors in that bull market in 2000 made out.

News is beginning to hit the markets from some of our explorers.  I have a few investments in the Golden Triangle in BC this season.  This is where we have seen a lot of interest by the majors recently most notably Newmont in their recent investment in $GTT.V GT Gold which continues to hit great results but may be fairly valued at $110 million.

Another one which is just getting started is Libero Copper $LBC.V which should change its name and add gold as they just made a significant gold discovery today.  Their Geologist and VP Exploration is  Leo Hathaway who works with Ross Beatty at Lumina and has 25 years experience making numerous discoveries.

Leo was very instrumental in the early success of Lumina started in 2004 and now has over a $200 million market cap.  Libero still has a market cap under $15 million but they are working on a project which looks almost identical to GT Gold early days in the Golden Triangle.  Their Big Red Project looks very exciting especially after all the technical modeling work done by Leo and the team.  They see some parts of the project with great potential and just raised $3.7 million to drill it.

Today Libero announced sampling results which confirm a new gold discovery.  "5 contiguous 50 metre continuous rock chip samples returned intervals of 2.91 grams per tonne gold over 250 metres including 6.14 grams per tonne gold over 100 metres in two contiguous samples."  Drilling this September could confirm another major Golden Triangle Discovery that hardly no one knows about yet.  See the full news release by clicking here...

Libero will be presenting at MIF in Vancouver and Precious Metals Summit in Beaver Creek.  Schedule a meeting by contacting them here: +1 604 638 2545 info@liberocopper.com

See my new interview with Libero $LBC.V VP Exploration Leo Hathaway by clicking here...

 

Best wishes,

Jeb Handwerger

Disclosure:
Author (Jeb Handwerger) owns shares in LBC.V and they are a featured sponsor company.  Sponsors are website advertisers so that means I have been compensated and have a conflict of interest to help boost awareness of this story. The content of this article is for information only. Readers fully understand and agree that nothing contained herein, written by Jeb Handwerger about any company, including but not limited to, commentary, opinions, views, assumptions, reported facts, calculations, etc. is to be considered implicit or explicit investment advice. Nothing contained herein is a recommendation or solicitation to buy or sell any security. Author is not responsible under any circumstances for investment actions taken by the reader. Author has never been, and is not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and does not perform market making activities. Author is not directly employed by any company, group, organization, party or person. The shares of these companies are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they will consult with their own licensed / registered financial advisors before making investment decisions. Readers understand and agree that they must conduct their own due diligence above and beyond reading this article. Author is not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article or future content.

2 Big Conferences Next Week Could Boost #JuniorMiningSector

Important developments are taking place this week as investors return from the end of the summer doldrum season.  Conference season picks up this weekend and next at the Metals Investors Forum and the Precious Metals Summit in Beaver Creek.  Both are sold out!!!

I expect to see a consistent flow of news and for gold to consolidate while silver and the junior miners play catch up to the higher gold price.  I believe many investors have missed out on the move in gold this summer and are looking to position in some forgotten junior miners still unknown by the masses.

Take notice of the chart above of the gold-silver ratio which just recently almost hit 95-1 gold to silver ratio.  Now silver is outperforming this week causing the gold silver uptrend to breakdown.

The Venture Exchange and small junior miners perform better when the gold-silver ratio breaks down which it appears to have recently done.  Notice some of the great junior rallies occurred 2003-2007 and 2009-2011.

Could we be in for a few good years?  As I heard one speaker say once we had the pain of the bear market lets enjoy the gain of the next bull market.

This weekend we have the Metals Investors Forum where already we see some interest coming in to some of the companies about to present with the newsletter writers.  Eric Coffin will be there with his picks such as Great Bear $GBR.V which came out with great drilling news taking the stock from 50 cents to $8 bucks... Minera Alamos $MAI.V, Barrian Mining $BARI.V and Libero Copper $LBC.V are three which are all drilling for #gold right now and put out news they are presenting.  So I expect some good content soon.

Then next week you have one of the best mining shows in Beaver Creek Colorado.  The junior mining market appears to be in the early stages of a bull market and many investors are still underweight or have zero exposure to gold.

Junior mining has been chronically underfunded for years and the majors have not put much money into exploration.  Some of these miners will die if they don't grow or get in early on discoveries.  That is why significant discoveries like Great Bear have gone from 50 cents to $8.

I believe there are other discoveries out there that have not really taken notice from investors or situations with tired shareholders who used good drilling news to sell out.  Take a look at the results these past few weeks with $GTT.V #GT Gold backed by Newmont and $SUNM.V #sunmetals backed by Teck that both have great results but market has ignored them.  Unfortunately among retail investors BC still has a bad rap but that could change with some of these great results.

Keep a close eye on Strikepoint Gold $SKP.V which is drilling right near Pretium in the #goldentriangle.  Lots of smart investors know this is a discovery 20 years in the making.  They released news that they have sent in assays and are getting them rushed!  I'm hoping for a discovery and a break of a major 2 year downtrend.

 

Triumph Gold $TIG.V could be a big discovery in the Yukon.  They are drilling the deepest hole into the richest porphyry in Yukon history !!!! Jordan Roy Byrne says Triumph looks phenomenal!

 

Finally, silver is making a major breakout and you must follow the #kenohill #silverdistrict in the #yukon.  Alexco $AXU could be a takeout target and $MMG.V #metallicminerals may be next.  The same guys who built Novagold and Trilogy are building a model around Alexco which could generate possibly a consolidation of the district by a major...just my thinking but what do I know.  Remember Barrick tried to buy out Novagold this is the same team who built that asset?  They are doing amazing work in #kenohill.

Finally, its time for silver and the junior explorers as evidenced above by the breakdown in the gold to silver ratio.  These next few weeks could see lots of new interest in the juniors as investors waken up to the rising precious metal prices breaking out into six year highs.  We will watch carefully over the next few days for exciting news.  Stay tuned.

Jeb Handwerger

@goldstocktrades

 

Disclosure:

Jeb Handwerger is not a registered investment advisor! I am an investor and help companies with digital marketing.  Junior Mining Stocks are very risky! Buyer Beware! Assume Author (Jeb Handwerger) owns shares in these companies and that I want to sell them for a profit.  We have website advertisers so that means I may be compensated to help boost digital awareness (traffic). The content of this article is for information only. Readers fully understand and agree that nothing contained herein, written by Jeb Handwerger about any company, including but not limited to, commentary, opinions, views, assumptions, reported facts, calculations, etc. is to be considered implicit or explicit investment advice. Nothing contained herein is a recommendation or solicitation to buy or sell any security. Author is not responsible under any circumstances for investment actions taken by the reader. Author has never been, and is not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and does not perform market making activities. Author is not directly employed by any company, group, organization, party or person. The shares of these companies are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they will consult with their own licensed / registered financial advisors before making investment decisions. Readers understand and agree that they must conduct their own due diligence above and beyond reading this article. Author is not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article or future content. Author is not expected or required to subsequently follow or cover events & news, or write about any particular company or topic. Author is not an expert in any company, industry sector or investment topic.

 

 

 

 

Junior Mining Investing Comes Down To One Thing…Making Shareholders $$$

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New Discovery In Central BC Has Tons of Upside Remains Open Up and Down Plunge!
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I've been showing some charts to readers over the past few weeks urging caution on the overall equity market despite reaching record territory on the Dow and S&P500.  We have had 10 years of a bull market after 2008 which Bernanke and Obama did what they knew best which was to print dollars and increase the money supply.  They may have kicked the can down the road for 10 years but what happens when the next crisis starts?  What bullets does the Fed have left?  Interest rates are already negative?  However, despite all this money printing in the USA, China, Japan and the rest of the world has been devaluing their currencies at much faster rates making the dollar the least stinky fiat currency.
Gold is breaking out pretty much in all currencies.  The US Dollar which has been artificially strong has kept gold below all time highs despite breaking out against pretty much every other fiat currency.  That may change soon as President Trump wants to devalue the US dollar and has nominated someone to the Fed Judy Shelton who believes in a gold standard.  Once the dollar goes lower all the precious metals will move higher dragging silver and copper along.
Despite the markets one can still find the highest quality juniors following up on some of the best results in 2018 for any miner in the world.  For over a year I have highlighted one story in BC in particular even before the metals broke out.  In the early stage exploration sector you have to know the people who can get the job done.  Natural resource investing comes down to being able to make shareholders money.  The way to make money is to have a great team of people working on a great project.  Sure some people can make it once on a deal by sheer luck but if you see a team doing it not once but twice or more than three times then you know they are professionals.
I was involved in their first big win when Newmont came in to buy their asset for over $2 billion dollars right near the end of the last bull market in gold.  I thought I was so smart but little did I realize that it was not easy finding another group like this with so much success.
This group has raised billions of dollars but has returned much more than they raised to shareholders which is so rare and unique in the mining industry.  How have they been able to be so successful even during one of the worst bear markets in mining history?  Its clear that these guys love what they do and are passionate about discovery.  They attract and mentor young talent into the team.
They are so successful that many companies and opportunities come to them which allows them to be very selective in the projects they work on.  They have a scientific formula to find assets and then build teams and companies around these discoveries which generates shareholder value.

 

Last year this team found an excellent project in Central BC which had over $25 million of work spent on it with over 400 drill holes.  The project had over 400 drill holes with an existing copper resource.  No one really looked at th project in 20 years...it was kind of lost in time.  So the team took the historical work and digitized it into a computerized database.

 

The group funded the company internally and then brought on a top CEO who is known in BC drilling the discovery drill hole at the Red Chris mine.  Once the company had a top CEO and the new computerized database they then raised $6.5 million to drill in 2018.

 

Using top geological science led by world experts the drilling resulted in what could be a new disruptive discovery in BC which has caused great excitement among the mining community most notably from Teck Cominco which then came in as a strategic shareholder by investing at a huge premium to the market.  Its an ideal location for a mine in Central BC and can be worked year round.

 

Two rigs are currently turning with over 30 people on site.  I expect by the end of July news should start and I expect that to continue after September.  With a little bit of blessing and some good science the team hopes to stay up there year round.

 

There is a lot of interest from the majors in new discoveries in BC.  Newmont bought into the Galore Creek Project where they are spending $275 million to become 50/50 partner with Teck.  Newcrest paid over a billion to buy 70% of the Red Chris mine this year.  South 32 the mining giant has opened an office in BC looking for opportunities.

 

This company drilling results this year must be watched.  This is very high grade gold, copper and zinc asset in a mining jurisdiction with a rule of law and in a location that can be driven to in an area with nearby mines and infrastructure.   This team has a track record of building wealth not by luck but time and time again through science, passion and hard work.  The timing is excellent now as the program has just started up with news coming in just a couple of weeks possibly following up on best copper drill results in 2018.

 

To sum up I will quote PI Financial analyst Phil Ker, "The CRD discovery at Stardust...reflects significant exploration upside...remains open up and down plunge...foresee significant upside to build on this exciting discovery...attractive polymetallic high-grade profile." 15k meter program!

 

All the best,
Jeb Handwerger
Disclosure:
Author is biased. He owns shares and they are a featured sponsor company. Sponsors are website advertisers so that means author has been compensated and has a conflict of interest to help boost awareness of this story. The content of this article is for information only.  This is not investment advice!
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Rare Earths Sector ETF $REMX Booming Again On Trade War With China

Summary

1)Rare earth critical mineral crisis heating up as China Retaliates against Trump Tariffs.

2)Rare Earth Shortage could cripple tech giants such as Apple and Tesla.

3)Rare Earth ETF $REMX was over $100 during last rare earth crisis in 2011 now its under $15.

4)If Chinese cut off rare earths, prices could skyrocket in parabolic rise.

5)China Controls Rare Earth Sector which was invented in USA.

Over eight years ago I wrote about a crisis that could unfold in the United States related to rare earth imports from China.  Remember the Chinese control the rare earth market.  These rare earths are used in your phones, Ipads, and hybrid/electric vehicles.  Just think of rare earths in all your advanced technologies which involve magnets like hard drives and speakers.  Some think the rare earth boom has been and gone...but I think its coming back and it could be very soon.

 

In this article published back in September of 2011, I warned about a potential   rare earth critical minerals crisis which could cripple the United States economy especially technology companies that use rare earths (REMX) such as Tesla (TSLA) and Apple (AAPL) when tensions with China flare up again.

China usurped the rare earth industry away from America back in the 1980's when GM sold its magnet technology to the Chinese.  No one cared back then as the metals were kind of obscure and the American Public cared more about Michael Jackson.  But the Chinese knew that these metals would be the guts of the new mobile technology and defense systems.

I tried to get Obama to make an emergency executive act back during the Credit Crisis to boost jobs and develop a secure USA rare earth supply chain.  All I heard was crickets.

Back then they ignored the fact that these metals are behind our top defense systems, guided missile programs and technologies the public is still unaware as its being kept top secret.  For years I warned that America was becoming a client state of China as the elites sold our most advanced industries for pennies.  As I said back then, "We are now on the verge of reaping the whirlwind resulting from our short sightedness on rare earths."

The new administration under Trump has listened to a large segment of the population who know their businesses have been shutdown by the Chinese shrewd game of catering to the corporate elites.  Those who have allowed our uranium and rare earth secrets to be sold over the past 30 years should be tried for possibly treason.  Such a tragedy as we are now in such a weak position with the Chinese.

Our technology depends on rare earths and Trump should consider what I requested Obama to do almost 10 years ago to make an emergency executive order to fast track American rare earth and battery metal development.

China is shrewdly gaming us into positions of weakness and dependency. To ignore the global chess game being developed by China is close to an act of treason or at least malfeasance by our elected representatives.  It is survival time on a national level.

Recently Lynas (LYSCF) one of the only publicly trade rare earth producers may be signaling to the market that America may be the place for rare earths as they are planning to build the first rare earth separation plant with an American Chemical company.  I wrote years ago that Lynas should do that rather than build an expensive facility in Malaysia which has shown to be an unfriendly jurisdiction from an operating perspective.  They have had a lot of local opposition in Malaysia. Glad they are finally listening to investors like me that said to invest in USA.

It is noteworthy that there was a huge presence of short sellers in rare earth and uranium stocks.  Almost eight years ago we were almost ready to start rare earth production in the USA before the Chinese cut the prices dramatically.  All development stopped and Molycorp went bankrupt as well as many of the junior developers.  China with a single click destroyed the sector which was trying to get started and all the investors who had the foresight.

 

Remember China has a bullet on how to respond to Trump's tariffs right now.  All they have to do is restrict rare earth exports crippling the US Economy as they did 10 years ago.

Unfortunately, It may take 10-15 years now to restart industry.  A lot of the American expertise from the 1950's were around 10 years ago but now are way past retirement.

There is speculation that the Chinese are prepared to shut down rare earth exports in response to Trump.  Share of the rare earth etf (REMX) were up yesterday on record volume as Bloomberg reported the President of China visited a rare earth facility to send clear message to Trump.

Investors should be prepared for Chinese retaliation with rare earths which could send prices soaring like it did in the past.  The Chinese have warned the US that they have tools at their disposal to retaliate against Trump.  That weapon of choice may be rare earths.

Remember the Rare earth ETF (REMX) hit a high above $100 back during the last crisis in 2011...now its trading under $15.  No one remembers what happened 10 years ago but we do.  The market has totally ignored rare earths until this week when we saw this record volume as sources are saying the Chinese may retaliate with rare earths.  If they do get ready for the next bubble in rare earths which may even surpass the 2010 run.

 

Disclosure: I am/we are long REMX.

Sun Metals $SUNM.V $SMTTF Shedding Light on a Whole New Disruptive Discovery in Canada

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It was in the late 1990's when I was just graduating high school that I decided I wanted to go into junior mining.  I remember studying the life of Herbert Hoover who went from being a poor farm kid to President of the United States based on his background in mining exploration.  I studied the history of some of the top American Families and realized it was the shares of natural resource stocks growing exponentially in value that created that generational wealth.

I was blessed to start out in this sector at a major bottom around the turn of the century.  After September 11th and the beginning of the Iraq War gold started an uptrend which lasted 10 years.  It was so easy picking gold stocks, especially if they were US listed and sponsored by institutions.  The explosive market even allowed some of the lower quality juniors to jump higher as the gold price continued to climb.

After multiple quantitative easings in 2010 and soaring sovereign debt levels investors thought inflation could climb to double digits.  Gold and silver soared to $1900 gold and $50 silver.

However, the majority of investors did not predict stocks and real estate to rise with no inflation of commodity, precious metals or food prices yet.  Stocks and housing have soared while commodities and precious metals have based for over 8 years.  The recent cover of a major financial publication was entitled "Inflation is Dead".

Its during these psychologically challenging bear markets that a mining investor really has to show if he knows his stuff and can make it through one of the most difficult bear markets of all with a declining gold and silver price and when all the weak hands are shaken out.

Most producers or developers will struggle in these environments unless they make a new high grade discovery.

Notice this year numerous examples in junior mining where despite 90 out of 100 stocks declining, a handful can show incredible relative strength if they are building value finding high grade orebodies in exciting mining jurisdictions.

Untitled 7This is a market where you need to stick with the mining explorers telling you where the high grade can be, not the engineers telling you what is wrong with a project at the Feasibility stage after sometimes 100's of millions have been put into the project.  I notice companies announcing these economic studies and they rarely go up after publishing them instead they mostly go down as it usually is a reality wake up call to the market.

You need to know the people behind the company.  This is an area that can be challenging because bad actors weasel into what looks like kosher situations. Make sure to download the filings and reference check the management and directors.  Do they have a track record of making money for their shareholders or are they in it just to get a paycheck to support their high priced lifestyles.  If you see a Chairman and CEO with a track record of major value creation that's a good sign.

One example in this really tough junior mining market which we have been writing about for over a year is one that could have that rags to riches potential as it is what could be classified as a "disruptive discovery".

A "disruptive discovery" is when the consensus of experts thought something couldn't be there.  Its happened in the past with Eskay Creek up in BC which became one of the worlds richest mines and it could be happening now with Sun Metals finding a carbonate replacement deposit in BC which up until this point has never yet been found.

Usually they are found in places like Ecuador and Mexico, not B.C. Canada.  I highlighted this company last summer before drilling hole 421 which was one of the best high grade drill holes in the World last year.

Even after this hole was announced the stock went down as investors were stoned off cannabis stocks.  It wasn't until Teck came in and took 11% of the company, that investors started to realize that Sun Metals may just be getting started into this high grade CRD system.

Untitled 5Sun Metals also has cleaned up the structure, consolidated 100% ownership now of the Project and eliminated royalties.

Now watch Sun Metals $SUNM.V $SMTTF this week as they head to the Las Vegas Money Show to tell their story.  I heard they are on a panel with Brien Lundin next week.  Remember these are the same guys who built Fronteer Gold into a billion dollar company in Nevada back in the last cycle.  Some of my smart mining analyst friends think this could even be better?

 

When Dr. Mark O' Dea and Dr. Peter Megaw who have made fortunes for investors in these type of deposits says this drill hole is a game changer pay attention.  These are some of the best explorers in the mining business.  CEO Steve Robertson was also hugely instrumental in the Red Chris Discovery that Newcrest just bought up in BC.SUNM Interview Template

Sun Metals is bouncing off the 50 DMA in a clear uptrend and could be on the verge of a breakout as they announce the kickoff of the next drilling program which will follow up drill hole 421.  It's going to be an exciting summer and I suggest you reach out to management before the drills start turning to ask the tough questions while you can before the news flow starts.

Its been over two decades since I started investing in the mineral exploration business. During this time I have come to recognize the true leaders in our industry who consistently win for their shareholders.

If you have followed my blog since I started in 2009 you will remember one of my first favorites Fronteer Gold $FRG which I wrote about for years before it was purchased by Newmont for over $2 billion in 2011. That win was huge for my readers and for me personally. In addition it was nice to be recognized and to build my reputation in the mining industry.

I unfortunately didn’t know at the time that would be the end of that gold bull cycle which I rode from the beginning in the early 2000’s. This correction since 2011 for now 8 years has caused many weak companies to go under or move into other fast money sectors like weed or bitcoin for a quick blip.

What is the benefit of these bear markets? Its nature’s way of weeding out many of the low quality management teams and underperforming fund managers. It becomes quite apparent during these corrections the blue chip management teams which consistently reward their shareholders with major buyouts.

Donald McInnes and Mark O’Dea from the Oxygen Group now have sold 5 companies. The one we witnessed firsthand was Fronteer’s Long Canyon in Nevada and I believe we may be onto our second major win with this group which might even be more disruptive than opening the entire eastside of Nevada as Fronteer did back in 2011.

This new discovery made by Oxygen Group’s Sun Metals $SUNM.V $SMTTF last year with drill hole 421 was amazing to me and immediately when I saw the news I shared it with all of you on my website back in November of 2018. It is unheard of to find in Canada a CRD like this with such high grades and size. This could be a disruptive discovery. Drill hole 421 intersected 100M of 5% Copper into the heart of what could be a major mineralized system.

This could be just the start like early stages of Long Canyon but better. There is extremely high grade gold plus high grade base metals.

Carbonate Replacement Deposits (CRD’S) are famous in Mexico where billion of ounces of precious metals have been mined for hundreds of years for a very simple reason. They are huge, simple to mine and they are high grade.

They have precious metals and base metals. Chemistry of the carbonates or limestone minimizes the oxidation so the metallurgy of these systems are simple. CRD’s can be the most profitable mines and have made early stage mining investors a fortune. A lot of Mark O’Dea’s wins have been CRD’s.

Its very rare to find a CRD in Canada which is one of the best places to mine from a geopolitical perspective. That is why Teck $TCK the large NYSE producer who does impeccable due diligence bought into $SUNM.V at a premium. This was a huge vote of confidence in the project.Despite the mining market malaise $SUNM.V Sun Metals is in an uptrend showing great relative strength. Drilling to follow up on the area of drill hole 421 one of the best intersections in Canada for 2018 is starting within weeks.  Listen to my recent interview with Sun Metals $SUNM.V SMTTF CEO Steve Robertson below.

Disclosure:
Author (Jeb Handwerger) owns shares in SUNM.V and they are a featured sponsor company. Sponsors are website advertisers so that means I have been compensated and have a conflict of interest to help boost awareness of this story. The content of this article is for information only. Readers fully understand and agree that nothing contained herein, written by Jeb Handwerger about any company, including but not limited to, commentary, opinions, views, assumptions, reported facts, calculations, etc. is to be considered implicit or explicit investment advice. Nothing contained herein is a recommendation or solicitation to buy or sell any security. Author is not responsible under any circumstances for investment actions taken by the reader. Author has never been, and is not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and does not perform market making activities. Author is not directly employed by any company, group, organization, party or person. The shares of these companies are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they will consult with their own licensed / registered financial advisors before making investment decisions. Readers understand and agree that they must conduct their own due diligence above and beyond reading this article. Author is not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article or future content.


 

 

First Cobalt $FCC.V $FTSSF Next Battery Grade Cobalt Supplier For EV Market in North America

 

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First Cobalt $FCC.V $FTSSF just put out news today.  See my interview with First Cobalt $FCC.V $FTSSF CEO Trent Mell.

 

-successfully produced a battery grade cobalt sulfate using the First Cobalt Refinery flowsheet.

-closer to recommissioning the only permitted primary cobalt refinery in North America.

-discussions currently underway with automotive companies, cobalt miners and capital providers can now move to a more advanced stage.

See the full news release by clicking here... https://www.firstcobalt.com/investors/news/first-cobalt-produces-battery-grade-cobalt-sulfate

Disclosure:

Jeb Handwerger is not a registered investment advisor! Junior Mining Stocks are very risky! Buyer Beware! Assume Author (Jeb Handwerger) owns shares in featured companies and that I want to sell them for a profit. Sponsors are website advertisers so that means I have been compensated and have a conflict of interest to help boost awareness of this story. The content of this article is for information only. Readers fully understand and agree that nothing contained herein, written by Jeb Handwerger about any company, including but not limited to, commentary, opinions, views, assumptions, reported facts, calculations, etc. is to be considered implicit or explicit investment advice. Nothing contained herein is a recommendation or solicitation to buy or sell any security. Author is not responsible under any circumstances for investment actions taken by the reader. Author has never been, and is not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and does not perform market making activities. Author is not directly employed by any company, group, organization, party or person. The shares of these companies are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they will consult with their own licensed / registered financial advisors before making investment decisions. Readers understand and agree that they must conduct their own due diligence above and beyond reading this article. Author is not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article or future content. Author is not expected or required to subsequently follow or cover events & news, or write about any particular company or topic. Author is not an expert in any company, industry sector or investment topic.

#Gold $GLD and $GDX #GoldMiners Forming Cup and Handle Breakout

Pullback in gold today could be an opportunity!

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Tell your friends! Please forward this article to a friend or share the link on Facebook, Twitter or Linkedin.

For informational purposes only.  This is not investment advice.  May contain forward looking statements.

Disclosure: Author (Jeb Handwerger) owns shares and I want to sell them for a profit.  Lorraine is a sponsor.  Sponsors are website advertisers so that means I have been compensated and have a conflict of interest to help boost awareness of this story. The content of this article is for information only. Readers fully understand and agree that nothing contained herein, written by Jeb Handwerger about any company, including but not limited to, commentary, opinions, views, assumptions, reported facts, calculations, etc. is to be considered implicit or explicit investment advice. Nothing contained herein is a recommendation or solicitation to buy or sell any security. Author is not responsible under any circumstances for investment actions taken by the reader. Author has never been, and is not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and does not perform market making activities. Author is not directly employed by any company, group, organization, party or person. The shares of these companies are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they will consult with their own licensed / registered financial advisors before making investment decisions. Readers understand and agree that they must conduct their own due diligence above and beyond reading this article. Author is not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article or future content. Author is not expected or required to subsequently follow or cover events & news, or write about any particular company or topic. Author is not an expert in any company, industry sector or investment topic.

Will Guyana Be Barrick’s $ABX Next Big Jurisdiction or Newmont $NEM?

For many months I've been highlighting a small junior miner in Guyana run by some of the top geologists and engineers in the business.  It was ignored for most of 2018 but this year in 2019 has been one of the best performers in junior mining as they have made a new high grade and shallow gold discovery which has raised the eyebrows of the smartest decision makers in mining.

Lots of smart people are following Guyana as its a jurisdiction largely underexplored and where there can be massive large scale gold discoveries.  Barrick's new President and CEO Mark Bristow loves Guyana and recently made an approximately $4 million investment in a small grassroots explorer.  This could be just the beginning of investments made in Guyana.  Guyana is an English speaking country with British Law and a stable democracy. There could be a major mining and natural resource boom in Guyana in 2019.

Although Barrick is investing in grassroots or what some may think "moose pasture", I'd prefer to stick to projects already derisked with economics with a PEA or Pre- Feasibility with no environmental or social issues and is ready to go right into production.  I like to see new high grade shallow discoveries already near existing infrastructure.

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There is a little junior adding high grade gold ounces every day with two rigs turning with a deposit open in many directions and at depth.  The new discovery is 1.5 km away from its major project.  They announced news today that the new high grade deposit is expanding and is open to depth and along strike.

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Now this little rapidly expanding junior miner is planning another step out 100 m along strike to better define this new discovery as this new mineralized zone could transform this little junior and attract the major miners like Barrick, Newmont or possibly Iamgold who currently produces in this area and already owns 4% of this junior.

Listen to my recent interview with this 40 year miner who worked at the top of BHP for many years by clicking here... 

GXS Interview Template

See today's news release by clicking here...

See the excellent geological diagrams and maps from recent drilling by clicking here...

Check out the company's latest presentation by clicking here...

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Sign up for my free newsletter by clicking here… 

Please see my disclaimer by clicking here…
To send feedback or to contact me click here
Tell your friends! Please forward this article to a friend or share the link on Facebook, Twitter or Linkedin.

For informational purposes only.  This is not investment advice.  May contain forward looking statements.

Disclosure: Author (Jeb Handwerger) owns shares and I want to sell them for a profit.  Lorraine is a sponsor.  Sponsors are website advertisers so that means I have been compensated and have a conflict of interest to help boost awareness of this story. The content of this article is for information only. Readers fully understand and agree that nothing contained herein, written by Jeb Handwerger about any company, including but not limited to, commentary, opinions, views, assumptions, reported facts, calculations, etc. is to be considered implicit or explicit investment advice. Nothing contained herein is a recommendation or solicitation to buy or sell any security. Author is not responsible under any circumstances for investment actions taken by the reader. Author has never been, and is not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and does not perform market making activities. Author is not directly employed by any company, group, organization, party or person. The shares of these companies are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they will consult with their own licensed / registered financial advisors before making investment decisions. Readers understand and agree that they must conduct their own due diligence above and beyond reading this article. Author is not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article or future content. Author is not expected or required to subsequently follow or cover events & news, or write about any particular company or topic. Author is not an expert in any company, industry sector or investment topic.

#South32 $SOUHY Partnership Could Mean Huge Gains Ahead

For months now I have been highlighting that the commodities could be one of the best places to be in the late stage of an economic boom.  There is no doubt stock and housing markets globally have been quite high fueled by record low interest rates and commodities in relation to these markets are incredibly cheap.  Base metals especially copper could represent a discount buying opportunity not seen in at least 20 years.

Gold has already rallied since this past August, yet base metals such as copper and zinc are just beginning to breakout but could make huge run as inventories have been dropping rapidly over the past few months.

Now we are finally seeing a copper breakout into new 6 month highs.  The critical $3 mark may be not very far off.  As I told my readers that when the selling in copper does end we could see a "V" shaped violent reversal which we have witnessed since the beginning of the year.  This could rapidly accelerate if the tensions of the Trade War between China and the USA die down.

I have been highlighting the strength of some of the largest miners in the world hitting new highs and generating increasing free cash flow and profits.  Most notably I highlighted these two stocks on Twitter.

South32 which is a spin off of BHP has shown increasing profits and revenues.  They have made major moves into the junior market by buying Arizona Mining for $1.3 billion and partnering with Alaskan copper miner Trilogy Metals $TMQ back in 2017.  The stock is up now more than 350% from that news.

Today South32 announced partnership with another junior copper developer near Fairbanks Alaska which I have been featuring for months now at ridiculously low levels.  Check out the news today which is just starting to get noticed by my readers as I have been the only one discussing this stock other than Paradigm Capital which has a 7x target.  See the news today and contact the company asap before the market realizes the opportunity here...

For full disclosure please know I am a shareholder of this little Alaskan company and they are a website sponsor so conflicts of interest apply.

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Sign up for my free newsletter by clicking here… 

Please see my disclaimer by clicking here…
To send feedback or to contact me click here
Tell your friends! Please forward this article to a friend or share the link on Facebook, Twitter or Linkedin.

For informational purposes only.  This is not investment advice.  May contain forward looking statements.

Disclosure: Author (Jeb Handwerger) owns shares and I want to sell them for a profit.  Lorraine is a sponsor.  Sponsors are website advertisers so that means I have been compensated and have a conflict of interest to help boost awareness of this story. The content of this article is for information only. Readers fully understand and agree that nothing contained herein, written by Jeb Handwerger about any company, including but not limited to, commentary, opinions, views, assumptions, reported facts, calculations, etc. is to be considered implicit or explicit investment advice. Nothing contained herein is a recommendation or solicitation to buy or sell any security. Author is not responsible under any circumstances for investment actions taken by the reader. Author has never been, and is not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and does not perform market making activities. Author is not directly employed by any company, group, organization, party or person. The shares of these companies are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they will consult with their own licensed / registered financial advisors before making investment decisions. Readers understand and agree that they must conduct their own due diligence above and beyond reading this article. Author is not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article or future content. Author is not expected or required to subsequently follow or cover events & news, or write about any particular company or topic. Author is not an expert in any company, industry sector or investment topic.