Reversals today in the safe haven assets… Is it noteworthy?
Chris Temple took some time out of his day to join me for the market wrap. Today was an interesting day in the sense that we began the day very much like the past couple weeks but how we finished was much different. Safe haven assets including gold gave up all their marginal gains of the morning and ending the day down. Gold stocks also took a beating. We also comment on the upcoming Fed meeting and the odds (which just jumped to 52% for a rate hike) on which a rate hike could happen.
Click download link to listen on this device: Download Show
Ira Epstein end day Metals TA
Epstein’s end of day Agriculture:
https://youtu.be/dpN2538M2sE?t=33
Financial end of day TA:
https://youtu.be/UfbhEURFsnI?t=31
Thanks CFS.
Crazy!
For those interested,Rick Rule will be on bnn this Thursday at 1.
Always time to listen to Rick Rule and on BNN no less….
(although…..if we just listened to one from last year or the year before I’m guessing 80% of his one liner’s and advice would be identical…. ha! )
rhyme and reason RR
time for a little R&R…..
talking about R&R….just got back from the Biltmore…..little foggy on the estate, but, a great time was had by all….., the wine stinks for the price, just had the grapes from the estate or surrounding area…..water was better than the wine, but you know that…..
food was superior……I should add…..
Grove Park….is going down hill since the Omni took over……..jmho
Feb. 27, 2017 (GLOBE NEWSWIRE) —
“(MXSG) Mexus Gold US announced that as of February 22, 2017 its joint venture partner at the Santa Elena mine , MarMar Holdings Inc, finished 4.5 meters lift on the heap leach pad.”
“On February 24, 2017 MarMar started testing the leaching system which included the pumps, plumbing and drip leach distribution system. The tests are going well and will be completed by March 2, 2017. Marco Martinez, President of MarMar Holdings, stated the leaching solution will be introduced to the heap leach pad as soon as successful completion of the system tests which may be March 3, 2017. Mr. Martinez added that with .70 grams per ton the first #production in March should cover approximately 80% of the start-up costs. The mining plan goal is increase ore production to 10,000 tons per day by the end of 2017.” #Gold #Silver
Primero Announces $75 Million Term Loan Refinancing and Organizational Review
(Marketwired – February 27, 2017) –
“Primero Mining Corp. (TSX: P) (NYSE: PPP) is pleased to announce it has entered into a binding term sheet with Sprott Resource Lending Partnership (“Sprott”) for a $75 million three year term loan (“Debt Facility”). The Debt Facility is intended to refinance the Company’s existing $75 million revolving credit facility (“RCF”), of which $50 million is currently drawn, and partly for general corporate purposes. Sprott has concluded technical due diligence and the binding term sheet is subject to execution of definitive transaction documents, all regulatory and other third party approvals and satisfaction of other customary conditions precedent, the Debt Facility is expected to be closed this quarter.
Given the Company’s 2016 results, Primero has undertaken the following actions to streamline its organization and improve shareholder value.
Organizational Change Highlights:
> San Dimas Operations Re-Set to Reduce Complexity and Increase Profitability: Primero is working to reduce the complexity and scale of San Dimas operations in 2017. This is expected to result in significant decreases to the San Dimas workforce and other overhead costs which will enable the return to profitability and long-term sustainability of the mine.
> Black Fox Must Deliver Positive Cash Flow in 2017: The 2017 Black Fox mine plan shows improved grades, which would result in positive cash flows at current gold prices. Management will closely monitor the short-term operating results and cash flow to ensure the Black Fox mine delivers as planned, and will take necessary corrective actions if required.
> Reduced General and Administrative Costs: Primero has initiated actions to significantly reduce its general and administrative (“G&A”) costs in 2017. The Company has reduced its corporate office head-count by 30%, and will be downsizing its corporate office space and reducing directors’ expenses.
> Strategic Review Process Underway: The Company’s Board of Directors has commenced a strategic review process to explore alternatives to improve shareholder value. The alternatives could include such things as strategic investments, joint ventures or asset sales.
“We are taking the decisive action necessary in order to address the challenges currently faced by our Company,” said Joseph F. Conway, Interim President and Chief Executive Officer. “Securing the three year term debt facility with Sprott is a critical part of that. The priority now is to bring our Company back to profitability by reducing complexity, improving planning and delivering positive operating results at both of our mines. This has been a difficult period for the Company and for our shareholders. I am personally committed to leading Primero until we have returned the Company to profitability and financial stability.”
Sabina Gold & Silver Announces Back River Environmental Impact Statement Addendum Filed and Accepted by NIRB
(Marketwired – Feb. 27, 2017) –
“Sabina Gold & Silver Corp. (TSX:SBB) is pleased to announce the Company’s Addendum to the Final Environmental Impact Statement (the “FEIS Addendum”) for the Back River Gold Project), submitted to the Nunavut Impact Review Board (“NIRB”) on the 15th of February, 2017, has been formally accepted by NIRB and the technical review has begun.
$SBB permitting review timeline:
Sierra Metals Discovers Significant New High-Grade Zone at Cusi Silver Mine in Mexico
Feb. 27, 2017 /CNW/ –
“Sierra Metals Inc. (SMT) announces the discovery of new high grade silver intercepts occurring in the Santa Rosa de Lima complex located within the current Cusi Mine operational area…”
Daniella Cambone of kitco asked Sean Boyd of AEM if Sabina was a takeover target. He dint deny
+1
House urges EPA to rescind veto on Alaskan mine, despite local opposition
By Andrew O’Reilly Published February 27, 2017
“Some Republican lawmakers and mining executives are hoping that the appointment of Scott Pruitt as administrator of the Environmental Protection Agency will reverse the agency’s veto of a controversial mine in Alaska’s Bristol Bay, despite widespread local opposition to the project and a dearth of investors.
Rep. Lamar Smith, R-Texas, chairman of the House Science Committee, penned a letter last week to Pruitt that urged the new EPA administrator to rescind the 2014 veto of the Pebble Mine project amid claims that the agency overstepped its statutory authority under President Barack Obama.
“The committee has determined that the preemptive action taken for the Pebble Mine Project was unprecedented under the Clean Water Act and was justified by a questionable scientific assessment that relied on predetermined conclusions developed by EPA officials,” Smith wrote.
Smith added that rescinding the 2014 veto “will allow a return to the long-established Clean Water Act permitting process and stop attempts by the EPA to improperly expand its authority.”
K92 Mining Provides Update on Grade Control Drilling at Irumafimpa Deposit
(Marketwired – Feb. 27, 2017) –
“K92 Mining Inc. (KNT)(KNTNF) is pleased to announce recent results from the ongoing grade control drilling program at its high grade Kainantu Gold Mine, which is currently ramping up towards commercial production.”
Teranga Gold Reports Favourable Results from Drilling on the Sabodala Mine License
(Marketwired – Feb. 27, 2017) –
“Teranga Gold Corporation (TGZ)(TGCDF) is pleased to announce initial results from its exploration drilling program at its Niakafiri deposit on the Sabodala mine license in Senegal, West Africa.
“We are pleased to be drilling at Niakafiri. With the resumption of drilling, we believe there is considerable opportunity to upgrade the existing resources and reserves. With results received from 27 of the 115 planned holes, we are encouraged by the favourable results thus far,” stated Paul Chawrun, Chief Operating Officer of Teranga….”
Osisko Gold Royalties Acquires Silver Stream on Taseko’s Gibraltar Copper Mine in Canada
(Marketwired – Feb. 27, 2017) –
“Osisko Gold Royalties Ltd (OR) is pleased to announce that it has agreed to acquire a silver stream with reference to silver produced at the Gibraltar copper mine, located in British Columbia, Canada, from Gibraltar Mines Ltd., a wholly-owned subsidiary of Taseko Mines Limited. Osisko will pay Taseko a cash consideration of US$33 million for the silver stream. In addition, Osisko will make ongoing payments of US$2.75 per ounce of silver delivered.”
Speaking of Pads……..this is different:
CAPE CANAVERAL, Fla. (AP) — SpaceX said Monday it will fly two people to the moon next year, a feat not attempted since NASA’s Apollo heyday close to half a century ago.
Tech billionaire Elon Musk — the company’s founder — announced the surprising news Monday.
Two people who know one another approached the company about sending them on a weeklong flight just beyond the moon, according to Musk. He won’t identify the pair or the price tag. They’ve already paid a “significant” deposit, he noted.
Musk said SpaceX is on track to launch astronauts to the International Space Station for NASA in mid-2018. This moon mission would follow about six months later, by the end of the year under the current schedule, using a Dragon crew capsule and a Falcon heavy rocket.
The moon mission is designed to be autonomous — unless something goes wrong, Musk said.
“I think they are entering this with their eyes open, knowing that there is some risk here,” Musk told reporters in a telephone news conference, a day after teasing via Twitter that an announcement of some sort was forthcoming.
“They’re certainly not naive, and we’ll do everything we can to minimize that risk, but it’s not zero. But they’re coming into this with their eyes open,” said Musk, adding that the pair will receive “extensive” training before the flight.
That was a little different. Elon is always up to something…..
Anti-Nuke Dogma Trumps Common Sense On Nuclear Energy
James Conca , Contributor – FEB 22, 2017
“The report claims wind and solar prices have fallen dramatically, and rightly so, but then fails to mention they still cost more than existing power plants that have two or three times their lifespan. They also fail to tell the reader that natural gas or hydropower is necessary to backup wind and solar, at an unknown cost, something California is struggling with as their renewables approach 30%.”
All other legitimate reports disagree with the McCullough analysis, showing instead that this strategy of replacing Columbia Generating Station with renewables and gas would lose ratepayers about $1.6 billion over the next 20 years and put an extra 60 million metric tons of carbon dioxide into the atmosphere (IHS Cambridge Energy Research Associates, EIA, BPA) while laying off a thousand workers and three thousand more that depend on them….”
“It does seem foolish to close a power plant 25 years ahead of schedule when it’s producing energy at a price of 4.2¢/kWh, 93% of the time with only 17 gCO2/kWh, based solely on the hope that gas prices will not increase for 20 years. And Columbia Generating Station’s price can’t go up much in the next 20 years since their Power Purchase Agreement (PPA) recently signed with Bonneville Power Administration is set at between 4.7 and 5.2¢/kWh.”
In an era where facts no longer matter, consequences still do
February 21, 2017 – #Nuclear #Uranium
” For something as polarizing as nuclear power, facts-based decision making is critical to increasing support. (I understand the paradigm of fear of radiation is more emotional than fact based and I agree that we need to appeal to emotions to create the change we need – but let’s leave that to a future discussion. In any case it certainly doesn’t hurt to have the facts on your side.)”
“So, let’s look at what happens when countries believe they can eliminate #nuclear power from the mix and replace it with more #wind and Esolar power. Of course, I am talking about Germany….”
Less nuclear energy has meant higher costs, less clean energy overall and more deaths
February 25, 2017
Michael Shellenberger explains how less nuclear energy has meant higher costs and less clean energy overall.
* USA has shutdown nuclear plants prematurely because of lower natural gas costs
* this has increased emissions of CO2 and air pollution
* Overall energy costs have increased in the USA which correlate with lower nuclear energy mix
* Germany has 6 times more carbon intensive energy than France
* Germany shutdown nuclear energy and now is even more reliant on coal and fossil fuel
* France uses 80% nuclear power for electricity
* France has half the cost of electricity compared to Germany
* the global decline in nuclear power (-7.5% of energy mix) has not been replaced by solar and wind (4.5%)
* the global decline in nuclear (most of Japan nuclear shutdown, Germany shutdown, some early shutdowns in USA and Europe) has not been made up by the build in China and Asia and appears like future Europe and USA shutdowns (150 GW) will made up by new nuclear in China and India and Asia through 2030.”
http://www.nextbigfuture.com/2017/02/less-nuclear-energy-has-meant-higher.html
Miners Take A Beating But It’s Not All Bad News
by Ceo Technician
“The gold miners are back to where they were a month ago, but the way they got there today leaves ample cause for concern and has precious metals mining investors scratching their heads. With gold still holding above $1,250/oz and silver above $18.30/oz mining shares suffered a nearly 8% reversal from the intraday high to low in the GDX and an 11.5% intraday reversal in the GDXJ.”
“While there is a lot to say about today’s market action in the precious metals miners (check out my stream on CEO.CA for additional commentary) I want to point out the importance of today’s lows in the GDX/GDXJ and the potential inverse head & shoulders pattern which could be forming:”
http://energyandgold.com/2017/02/27/miners-take-a-beating-but-its-not-all-bad-news/
H&S – Probably the most overrated of all technical patterns these days, that seldom (<20%) come to fruition
GDX hasn’t been so oversold on the 60 minute chart since the December low.
http://stockcharts.com/h-sc/ui?s=GDX&p=60&yr=0&mn=6&dy=0&id=p83653644630
When a fork support failed, GDX fell straight to the next fork support and closed just above the 300 day MA.
I think the odds favor more downside tomorrow.
http://stockcharts.com/h-sc/ui?s=GDX&p=D&yr=0&mn=6&dy=0&id=p39374051064&a=509653162
Sounds grim.
It really does look like a giant inverse head and shoulders pattern playing out as Morris Hubbartt mentioned on his last few weekend video TA sessions and as goldfinger points out up above.
What do you think about the inverse head and shoulders pattern that could be completed by the pullback to today’s levels and the symmetry that between where we are now and where that left shoulder already pulled down to previously?
I think that H&S pattern will be completed.
It’s looking that way…. That’s fine and will provide excellent support moving out of that pattern to the upside when that break-out move begins.
GDXJ moved up 57% in two months; this pullback is just what we need to reinvigorate the bears and keep most bulls worrying. A big bull market move won’t happen until virtually everyone is focused elsewhere or positioned against it.
http://stockcharts.com/h-sc/ui?s=GDXJ&p=W&yr=6&mn=11&dy=0&id=p82359286903&a=509657341
Good point. By that rationale if things pull back a bit more then I should start adding to my positions…..
Latest Gary Savage:
The gold miners found a lot of resistance as they approached the 233 and 55 month exponential moving averages…
http://stockcharts.com/h-sc/ui?s=%24GDM&p=M&yr=20&mn=0&dy=0&id=p90696218520&a=377853726
At the same time, GDM priced in gold ran into significant fork resistance:
BARKERVILLE GOLD MINES INTERSECTS 12.27 G/T AU OVER 7.45 METRES IN SHAFT ZONE AT ISLAND MOUNTAIN
Barkerville Gold Mines Ltd. has released additional results from the continuing 2017 phase II Island Mountain exploration drilling program at the company’s flagship Cariboo gold project. The company is currently exploring and delineating Island Mountain with seven drill rigs and has mobilized the eighth rig to the untested tailings zone which occurs in the valley between Cow and Island Mountains. Detailed drilling results, a drill hole location plan map, level plan and long section are presented on the company’s website.
Island Mountain delineation drilling
Veining within the shaft zone continues to expand as demonstrated by drill hole IM-17-016 which intersected two wide zones averaging 5.62 grams per tonne gold over 11.40 metres (including 9.70 g/t Au over 5.30 metres), and 12.27 g/t Au over 7.45 metres (including 19.13 g/t Au over four metres). These new intersections occur 145 metres vertically below surface and correlate along strike of the vein system that was defined by previously reported drillholes BGM-16-551 and BGM-16-517 which intersected 9.22 g/t Au over 2.85 metres and 9.26 g/t Au over 3.50 metres, respectively. This new intersection is currently untested at depth and along vein strike into the footwall.
Pure Gold Mining drills 2.0 m of 58.8 g/t Au at Madsen
2017-02-28 06:37 ET – News Release
Mr. Darin Labrenz reports
PURE GOLD INTERSECTS 69.0 G/T GOLD OVER 1.2 METRES AND 30.0 G/T GOLD OVER 1.0 METRE AT THE MCVEIGH, MADSEN GOLD PROJECT
Pure Gold Mining Inc. has released drill results from the continuing 70,000-metre drill program at the company’s 100-per-cent-owned Madsen gold project. Results reported herein are from the four-drill-rig exploration program, designed to expand the high-grade gold resource near the existing permitted infrastructure and to demonstrate the expansive potential along the five-kilometre strike length of the Madsen gold-mineralized system.
Highlights from new drilling include:
30.0 grams per tonne gold over 1.5 metres in hole PG16-306 (McVeigh);
69.0 g/t gold over 1.2 metres in hole PG16-318 (McVeigh);
58.8 g/t gold over 2.0 metres in hole PG17-304 (A3);
Including 113.3 g/t gold over 1.0 metre.
Nice. Pure Gold has been hitting some great holes all last year and this year.
A solid team and solid strategic investors.
Palisade radio today:
https://www.youtube.com/watch?v=heohID2O3dY