David Erfle - Gold Market Commentary – Tue 19 Mar, 2019

Has Anyone Else Noticed The Increase In Announced Financings For Metals Companies?

Over the past couple months I have noticed a lot more companies announcing private placements. There have been some big deals and a number of small deals with a lot of deals that are struggling to close. David Erfle, Founder of The Junior Miner Junky joins me to share his thoughts on this pick up and what he looks for when deciding whether to invest in any of the placements.

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Comments:
  1. On March 19, 2019 at 12:19 pm,
    Paul says:

    David awhile back on one of your interviews you mention your favorite silver miner exploration company Minauram Gold. Is this stock a long term play on a big discovery off of drill results. I been watching this stock for awhile and they dont seem to be drilling very fast and latest results did not move stock. What is your outlook why you like it.

    • On March 19, 2019 at 1:00 pm,
      David Erfle says:

      When you look at the recent drill results, they are good but the key thing to point out on the last release is how widely spaced apart they are. The Minaurum strategy is to prove up a multi hundred million ounce high-grade silver camp at Alamos before detailed drilling begins. Although this is a cheaper but more risky strategy, the company has a very experienced and confident team who believes the entire system may have occurred from a caldera and is a radial fault. The team feels once they have proof of a multi million ounce silver concept, this will attract a major. They are currently mapping new veins and are discovering a new vein system every six weeks. There are two drills turning at Alamos and there will be another assay release in three months, while in the meantime, they are currently taking a lot of soil samples. The company is cashed up for 2 more years of drilling with C$10M in the treasury and also has four more highly prospective projects in Mexico as well. They are waiting for final permits for the Santa Marta Project in the southeastern part of Oaxaca State, Mexico. Dr. Jim. Franklin is a consulting geologist with over 35 years of experience in the study of mineral deposits and regional metallogeny. His thoughts on Santa Marta: “Santa Marta appears to have all of the classic features of highly productive VMS systems, such as the semi-continuous deposit set at Flin Flon comprised of the Main Mine, Calinan and Triple 7. The stringer zone at Santa Marta has undergone slight oxidative weathering, and already has supported a small historic mining operation. The massive oxide zone appears to have been largely not explored; we saw evidence of only two drill holes, and there are no records of what these intersected.”

      • On March 20, 2019 at 2:46 am,
        Excelsior says:

        Good thoughts on the Minaurum strategy David. I’ve watched MGG from a distance as I’m quite exposed to other Silver miners, but that was a good quick summary on the geological model and what they are looking to find.

  2. On March 19, 2019 at 12:59 pm,
    David Erfle says:

    When you look at the recent drill results, they are good but the key thing to point out on the last release is how widely spaced apart they are. The Minaurum strategy is to prove up a multi hundred million ounce high-grade silver camp at Alamos before detailed drilling begins. Although this is a cheaper but more risky strategy, the company has a very experienced and confident team who believes the entire system may have occurred from a caldera and is a radial fault. The team feels once they have proof of a multi million ounce silver concept, this will attract a major. They are currently mapping new veins and are discovering a new vein system every six weeks. There are two drills turning at Alamos and there will be another assay release in three months, while in the meantime, they are currently taking a lot of soil samples. The company is cashed up for 2 more years of drilling with C$10M in the treasury and also has four more highly prospective projects in Mexico as well. They are waiting for final permits for the Santa Marta Project in the southeastern part of Oaxaca State, Mexico. Dr. Jim. Franklin is a consulting geologist with over 35 years of experience in the study of mineral deposits and regional metallogeny. His thoughts on Santa Marta: “Santa Marta appears to have all of the classic features of highly productive VMS systems, such as the semi-continuous deposit set at Flin Flon comprised of the Main Mine, Calinan and Triple 7. The stringer zone at Santa Marta has undergone slight oxidative weathering, and already has supported a small historic mining operation. The massive oxide zone appears to have been largely not explored; we saw evidence of only two drill holes, and there are no records of what these intersected.”

  3. On March 19, 2019 at 7:15 pm,
    Jose Q. says:

    Thanks for the very sober commentary David and Cory. Got a bit squeamish listening to it honestly, as there seemed to be a great deal of concern in the comments. I take this as a positive sentiment indicator that we are close to another break higher in the PM complex in the next month or so. While everything you said was logical and reasonable, I can’t help but think the PM market has priced that in. In any event, we’ll see. Thanks again David for your insights.

  4. On March 20, 2019 at 2:49 am,
    Excelsior says:

    Today’s focus was on an uptick in Private Placements. (BTR) Bonterra just executed nicely.

    Bonterra Closes $36.7M Private Placement

    by @newswire on March 18, 2019

    https://ceo.ca/@newswire/bonterra-closes-367m-private-placement

    • On March 20, 2019 at 2:50 am,
      Excelsior says:

      Eric Sprott Announces Holdings in Bonterra Resources Inc.

      by @newsfile on March 18, 2019

      “Eric Sprott announces that he beneficially owns and controls, directly and indirectly 5,189,467 common shares (shares) and 3,128,500 share purchase warrants (warrants) of Bonterra Resources Inc., representing approximately 8.1% of the outstanding shares on a non-diluted basis and approximately 8.8% on a partially diluted basis assuming exercise of the warrants. ”

      https://ceo.ca/@newsfile/eric-sprott-announces-holdings-in-bonterra-resources-ca297

  5. On March 20, 2019 at 9:38 am,
    david says:

    Bob Moriarty put out some info on Rise Gold in California. Volume spikes over 6 times in a few hours. However, the Bankers are so intent on suppressing the miners before the Fed reports, they cap the price of RYES despite the huge jump in momentum. The scam continues.