Brian Leni - Founder of Junior Stock Review – Mon 30 Sep, 2019

Regardless of metals prices here are a couple stocks to pay attention to

Brian Leni, Founder of the Junior Stock Review website attended a metals conference over the weekend where he came across a couple companies that caught his eye. Here is a list of the companies in order we discuss them…

  • Adriatic Metals – ASX:ADT
  • O3 Mining – TSX.V:OIII
  • Adventus Mining – TSX.V:ADZN
  • New silver plays

Click here to visit Brian’s site. And email me with any companies you would like his thoughts on – Fleck@kereport.com.


Comments:
  1. On September 30, 2019 at 11:30 am,
    Matthew says:
  2. On September 30, 2019 at 12:46 pm,
    Excelsior says:

    (MMG) (MMNGF) Metallic Minerals Announces $2.75 Million Strategic Investment by Eric Sprott

    by @nasdaq on 30 Sep 2019

    Greg Johnson, Chairman and CEO stated, “We are very pleased to have the support of one of our industry’s most prominent and renowned investors in Mr. Eric Sprott. This strategic investment in Metallic Minerals highlights the potential of our flagship Keno silver project in the high-grade Keno Hill silver district of Canada’s Yukon Territory. With these funds we are well positioned to continue our exciting work at Keno as well as our recently acquired La Plata silver-gold-copper project, both of which we believe have excellent potential to be quickly advanced to resource stage.”

    “Upon completion of the financing Eric Sprott will hold a 13% interest in the Company on a non-diluted basis and 19% on a partially diluted basis.”

    https://ceo.ca/@nasdaq/metallic-minerals-announces-275-million-strategic

    • On September 30, 2019 at 3:40 pm,
      Excelsior says:

      Glad to see Eric Sprott taking positions in the quality Silver stocks like Metallic Minerals, Americas Gold & Silver, Excellon, Dolly Varden, Kootenay, etc… as they’re in my portfolio and I see a lot of upside potential in them over the next 2 years.

      In addition, I have a number of the gold companies Sprott has invested in like Pure Gold, Jaguar Mining, and Bonterra, which all look to be underrated compared to their peers and have multibagger upside from here as this metals cycle unfolds going into 2020 and 2021.

      Ever Upward!

      • On September 30, 2019 at 3:48 pm,
        Excelsior says:

        I’m surprised Eric doesn’t have a stake in Silvercorp, Alexco, or Impact Silver, but I guess nobody can own them all. (I’m trying though 🙂 )

        > I added to my positions in SVM, AXU, and IPT today as the Silver miners sold off as all 3 are solid companies in the space with nice upside and downside leverage to the metals prices.

        The Chinese will be back from holiday soon, so I expect more buying to come back into the market from Asia later in the week or by next week, and short term the miners went from overbought to oversold.

        • On September 30, 2019 at 3:57 pm,
          Matthew says:

          Sprott recently said that he owns a small stake in Impact. It was maybe a month ago in one of his weekly interviews.

          • On September 30, 2019 at 4:16 pm,
            Excelsior says:

            Ah yes…. I remember him saying that on one of those weekly wraps to Craig.

            OK, I’m hoping he’ll increase his IPT stake more meaningfully then. 😉

          • On September 30, 2019 at 4:35 pm,
            Matthew says:

            He used to have a large position and I bet he will again. Heck, even my position fell to 50,000 shares in early 2017 and was 20 times that a year later.

          • On September 30, 2019 at 4:41 pm,
            Excelsior says:

            Yeah, good point. Sometimes the best practice is adding to positions on the way higher and averaging up when you got a tiger by the tail.

            I’m still watching Impact to see if they surprise the markets with some more exploration results later this year, and believe the higher Silver prices in Q3 should have at least underpinned their operations value. They don’t report the same way other companies do, or have an official AISC, but $17-$19 Silver in August & September had to have helped the cause.

          • On September 30, 2019 at 5:08 pm,
            Matthew says:

            There’s real gold potential, too. Maybe someday we’ll spin out Impact Gold.🤞

          • On September 30, 2019 at 6:50 pm,
            Excelsior says:

            That would actually be pretty cool to have both an Impact Silver and Impact Gold.

            It reminds me of Scorpio Mining spinning out Scorpio Gold. I’m considering adding more SGN here, because it is way under the radar for most investors and I don’t believe most people know that they got the capital raise done, got 100% ownership, and got the permits to explore and mine again. It appears they are going to do a Scorpio Gold 2.0 here.

        • On September 30, 2019 at 4:33 pm,
          Excelsior says:

          I understand that some investors don’t like investing in Silvercorp (SVM) because its operations are in China, but it has the best margins and cost profile in the Silver/Zinc/Lead producers space by a landslide and is making crazy amounts of free cashflow lately.

          SVM had huge leverage to rising prices in 2016, and did great this year more than doubling in value.

          What is really odd is that Silvercorp has a 29% stake in NUAG New Pacific Metals, and SVM hasn’t really responded to the huge run up in NUAG just the last few weeks. NUAG is an explorer that now has a market cap of $615.94 Million, so 29% of that is $178.62 Million in value that Silvercorp holds. That is about 20% of Silvercorps market cap, but I don’t believe it is being factored into to their value, as it is mostly based on their production profile at this point.

          I wouldn’t be surprised to see Silvercorp either cash in on some of this paper they hold, or get serious and just takeover NUAG and get it over with. However with a valuation this high, if I was Silvercorp, I’d lighten their load and pull some profits on what has been a great investment. Shoot, there are plenty of smaller Silver producers they could just acquire with those funds paired with their free cash flows.

          • On September 30, 2019 at 4:38 pm,
            Excelsior says:

            I guess it was this very wide intercept of silver that really surprised the markets, leading to more newsletter coverage from Brien Lundin and the GSA letter from John Doody. It is rare to see such large intercepts of economic grades like that, and Bolivia is still rather unexplored.

            _____________________________________________________

            (NUAG) New Pacific Continues Reporting Wide Drill Intercepts at Silver Sand Including an Intercept of 93.5 Metres Grading 336 Grams per Tonne Silver Within a Broad Zone of 165.5 Metres Grading 204 Grams per Tonne Silver

            by @nasdaq on 27 Aug 2019

            https://ceo.ca/@nasdaq/new-pacific-continues-reporting-wide-drill-intercepts

      • On October 1, 2019 at 5:36 am,
        Excelsior says:

        I mentioned Pure Gold Mining (PGM) as another Gold developer that Sprott has a position in, and they put out good news this morning:

        _____________________________________________

        (PGM) (LRTNF) Pure Gold Mining:

        Drilling Nearly Doubles Strike Extent of Wedge, Extends Madsen Red Lake Mine Gold System to Seven Kilometres

        by @nasdaq on 1 Oct 2019

        https://ceo.ca/@nasdaq/drilling-nearly-doubles-strike-extent-of-wedge-extends

    • On September 30, 2019 at 7:11 pm,
      Excelsior says:

      (BHS) (KXPLF) Bayhorse Commissioning Silver Milling and Concentrate Circuit at the Bayhorse Silver Mine; Closes First Tranche of Private Placement

      by @newsfile on 30 Sep 2019

      https://ceo.ca/@newsfile/bayhorse-commissioning-silver-milling-and-concentrate

  3. On September 30, 2019 at 3:52 pm,
    Excelsior says:

    On the more ugly side in the Silver/Zinc/Lead space……

    Silver Bull (SVB) put out a stinker of a news release today. I was just considering taking out an initial position in them, but looks like I’ll hold off a bit longer….

    _______________________________

    Silver Bull (SVB) Halts Operations at the Sierra Mojada Project Due to Blockade

    by @nasdaq on 30 Sep 2019

    “Silver Bull has an agreement with Mineros Norteños on two mineral licences which cover the eastern part of the Sierra Mojada deposit. These licences are subject to a 2% production royalty capped at US$6.875 million (“the Royalty”) to Mineros Norteños should a mine go into production.”

    “Since 2014, Silver Bull has been fighting a law suit by Mineros Norteños seeking payment of the Royalty, including interest at a rate of 6% per annum since August 30, 2004, even though no revenue has been produced from the applicable mining concessions. Mineros Norteños also sought payment of wages to the Mineros Norteños members since August 30, 2004 under this agreement, even though none of the individuals were hired or performed work for Silver Bull under this agreement and Silver Bull did not commit to hiring them. On October 4, 2017, the court ruled that Mineros Norteños was time barred from bringing the case. On October 19, 2017, Mineros Norteños appealed this ruling. On July 31, 2019, the Federal Appeal Court held the original ruling. This ruling has been subsequently challenged by Mineros Norteños. If Mineros Norteños challenge is unsuccessful Silver Bull will win the law suit.”

    https://ceo.ca/@nasdaq/silver-bull-halts-operations-at-the-sierra-mojada-project

  4. On September 30, 2019 at 3:59 pm,
    Excelsior says:

    On the ugly side in Gold exploration (JUGR) Juggernaut cratered today as their exploration program didn’t yield the expected results. Jr exploration is a risky game.

    Another one bites the dust…..

    Juggernaut Exploration Ltd. (JUGR.V)

    $0.0150 down -0.0250 (-62.50% loss)

    • On September 30, 2019 at 4:00 pm,
      Matthew says:

      New ticker symbol: JUGRNOT

      • On September 30, 2019 at 4:01 pm,
        Excelsior says:

        Haha! Yes, that is more appropriate.

        • On September 30, 2019 at 4:03 pm,
          Excelsior says:

          Another explorer that was highly anticiapted but dropped from the $.18-$.19 range down to $.025 recently was Luckystrike Resources Ltd LUKY.V.

          It was down over 16% today. This is the binary nature of some of these drill plays. Either they go parabolic up after good news, or they do a fishing line drop if they put out dusters….

          This is also why I only speculate on a few drill plays at a time, but position mostly in the mid-tier to smaller producers, or undervalued Developers sitting on a good project, because there is some knowns about their projects, and they still have the ability to surpise with exploration success, but don’t live and die by it.

          • On September 30, 2019 at 4:12 pm,
            Excelsior says:

            I didn’t own JUGR or LUKY, but had contemplated getting in for the drill results. Thank goodness I didn’t follow the herd on those. However, I’ll confess to getting my clock cleaned on Golden Ridge (GLDN) this drill season. I didn’t have a large position, but it stung nonetheless.

            Honestly there haven’t been many great drill releases for most of this exploration season. Yes, Great Bear did well, but even they sold off today when their drill results released didn’t live up to the insane valuation priced for perfection. I believe Westhaven had a good drill release the end of last year and more results that came earlier this year, and then gravity set in there as well. Adriatic mentioned up above in this editorial had some nice discovery holes last year followed up by good work this year.

            Really other than those 3, I’m having a hard time remembering any really stunning results that have come out over the last few months from true greenfields explorers.

            Discovery and exploration is very tough, and most of the easy deposits at surface were found long ago.

            It may take some of the companies drilling near known deposits and existing mines that do some brownfields exploration to get things going in this sector.

            Of course, there are many assays still stuck at the labs that the markets await, but there has been a steady stream of explorers missing the mark for the last few months. This sector needs a few monster discoveries to bring in some new investors to this sector and give investors a few wins to rotate into other stocks.

          • On September 30, 2019 at 5:01 pm,
            Excelsior says:

            To the point raised above about looking to brownfields projects near known deposits or old mines for the exploration results, it should be mentioned that Mako Mining really has put out some stunning news lately:

            ______________________________________________

            (MKO) (MAKOF) Mako Mining Corp

            545.96 g/t Gold and 219.0 g/t Silver Sampled in Trench Outside Current Pit Limits at San Albino

            @newswire on 26 Aug 2019

            https://ceo.ca/@newswire/54596-gt-gold-and-2190-gt-silver-sampled-in-trench

          • On September 30, 2019 at 5:02 pm,
            Excelsior says:

            (MKO) (MAKOF) Mako Mining Corp Infill Drilling at San Albino Expands High-Grade Zone, Highlighted by Intercept of 50.78 g/t Gold Over 5.1 Meters, Including 173.3 g/t Gold Over 1.0 Meter

            September 26, 2019

            https://makominingcorp.com/news/index.php?content_id=123

    • On October 1, 2019 at 6:57 am,
      OOTB Jerry says:

      Thanks guys…………….MORE GREAT INFO………appreciate………

  5. On September 30, 2019 at 7:10 pm,
    CFS says:
  6. On September 30, 2019 at 7:16 pm,
    CFS says:

    OQMGF big move today

    • On September 30, 2019 at 9:18 pm,
      Excelsior says:

      O3 Mining is the new shiny Osisko toy in the marketplace. Lot’s of investors are bedazzled.

  7. On October 1, 2019 at 7:42 am,
    Excelsior says:

    UBS Doubles Down On Gold — Ups Its Forecast Again!

    Simon Constable – Sep 30, 2019

    “The usually-conservative Swiss bank UBS has upped its forecast for the price of gold for the second time in less than two months.

    Now it says the price for the yellow metal could reach as high as $1,730 a troy ounce next year, up $50 from an August forecast, a recent UBS report states. The note last month pointed to the possibility of $1,680 over the same timeframe.

    If gold did soar that far it would be 17% above the recent price of $1,469.

    The UBS report explains:

    “An environment of negative and lower-for-longer real rates, slowing growth with downside risks, and elevated uncertainty strengthens the case for holding strategic gold allocations.”

    https://www.forbes.com/sites/simonconstable/2019/09/30/ubs-doubles-down-on-gold–ups-its-forecast-again/#2d94a08e122f

    • On October 1, 2019 at 7:51 am,
      Excelsior says:

      Gold Prices Plunge Right On Cue As China Golden Week Begins

      Mon, 09/30/2019

      “One glance at the last few years and the gold price action should not be a huge surprise…”

      — Source: Bloomberg

      “As of today, China will be on vacation for its Golden Week National Holiday and this weakness appears to be traders front-running the traditional chaos that the rest of the world plays when China leaves the playing field.”

      “China will be back in business on October 9th, and that means the Shanghai Gold Exchange, which opened in 2015 to counter Western manipulation of precious metals, will likely help re-balance prices to where they were before this recent takedown.”

      “We could be wrong, but something tells us gold and silver prices won’t stay this low for much longer and that they could well see a complete turnaround when China reopens on October 9th.”

      https://www.zerohedge.com/commodities/gold-prices-plunge-right-cue-china-golden-week-begins

  8. On October 1, 2019 at 8:08 am,
    Excelsior says:

    Noble Mineral Exploration Inc. Announces Creation of Canada Nickel Company

    o Mark Selby Appointed Chairman and CEO of Canada Nickel Company
    o 100% Consolidation & Spin-out of Crawford Nickel-Cobalt Sulphide Project
    o Fully-subscribed $5 Million Private Placement in Canada Nickel Company

    http://www.noblemineralexploration.com/i/pdf/news/NR20191001.pdf

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