Money Flows – Low Share Buy Backs, Weak PM equity Demand, Better Physical Demand
A little house keeping for the start of this week. We are on the road this week visiting the Rye Patch properties so posting will be light until Thursday.
In the meantime I outline some money flow data that I received over the weekend. For the US equity markets we are seeing a steady decline in share buybacks. For precious metals the stocks continue to be unloved however physical demand is strong on the ETF side.
Click download link to listen on this device: Download Show
People are getting bang for the buck in the supermarkets rather than the restaurants
Situation in Gulf heating up. We shoot down Syrian fighter. Russia tears up agreement to cooperate on air safety in the region. Says they will fire on anyone threating their allies…..Pentagon says US pilots will defend themselves. Saudis disrupt terrorist attack on some off-shore fields by Iran. Headlines make it sound like the whole region is a powder keg awaiting a match. Meantime, the boys are driving stock prices higher in US. Same world? You tell me.
South African mining stocks CRASH to 5 yr. low….zh…………wonder why, I guess nobody likes govt take over………….lol
PRIME MERIDIANS – HERE’S THE WORST MINING NATION ON THE PLANET
admin | June 17, 2017
“Here’s The Worst Mining Nation On The Planet
Further to the last item above, things are looking ever-tougher for the South African mining sector.
As I’ve discussed in the past, the fall of South Africa over the last decade has been phenomenal. With the nation going from world’s top gold producer, to now barely breaking the top 10.
Anecdotally, it’s well known that miners here are hurting. With myriad stories reporting on the financial hardships faced by producers, employees and government.
Those declining mining finances are driving the government to seek a bigger share of profits — through moves like this week’s steep revisions to fiscal terms across the country.
But some intriguing data released this week shows that’s a fool’s game. The real problem is: South Africa’s sector simply isn’t making any money. And the government’s strategy of trying to take more of a shrinking pie could well accelerate a major collapse of industry here….”
EX…..We have discussed this a few times………….Location ,…. going forward would be important .
The last line in the story………..Platinum……..since the ratio to gold is 1:35 could see a better buy than gold.
Unfortunately most of the large and well endowed Platinum and Palladium deposits are located in South Africa. There are a few other rogue VMS Nickel/Platinum/Copper/Zinc deposits in North America, Australia, and Europe, but not like the ones in S. Africa.
As we have discussed I’m much happier investing in the Gold miners in West Africa as S. Africa is a political and social hot potato, but for PGMs I make the exception.
Phyz Platinum ……..I like even better……….. 🙂
Aren’t there significant deposits in Russia?
Russia has the Norilsk Nickel mine (which at one point a few years back was responsible for 20%+ of Palladium) but very little platinum, but they were really selling down their national stockpiles for the better part of decade, and most analysts feel they have completely or mostly depleted that stockpile as of 2014-2016. As a result, it will be offering up far less Palladium to the markets and only underpins even higher PGM prices as both it and South Africa hit pinch points in many of their reserves.
Also, trying to play a rebound in Palladium through a Russian Nickel company is not the best way to get exposure.
As mentioned, there are a few North American, Australian, and European sources that may have potential moving into this next cycle. (noting however that the best one, Stillwater Mining, was absorbed by South African mining conglomerate Sibanye).
It really is hard to escape S. Africa or bordering countries in southern Africa for meaningful PGMs exposure.
My brother in law is a mining engineer living in a gated community in Johannesburg South Africa, he can’t sell his house, just because you are a mining engineer doesn’t mean squat if you can’t figure out before you are trapped that you will be trapped. He is normally very aggressive but now he has lost so much that tiddlywinks would subdue him.
Sorry to hear that DT. South Africa is a mess right now.
In contrast Botswana is a beacon of hope for Africa. Each country really needs to be dealt with on a case by case basis.
some interesting info………..
Santacruz Silver Discovers Mineralized Vein Cross Cutting Membrillo Structure
June 19, 2017
“Santacruz Silver Mining Ltd. (TSX.V:SCZ) reports that further to the Company’s press release of May 29, 2017 wherein it announced that it had acquired an exclusive five year right to explore, develop and mine the Membrillo silver-zinc-lead-gold vein structure located approximately four km from the Company’s Rosario Project mill facility located near Charcas, San Luis Potosi, Mexico, Santacruz provides the following update….”
http://www.santacruzsilver.com/s/news_releases.asp?ReportID=793138
Silver and gold…R.I.P.
Real Investment Potential…….R.I.P.
🙂
Good one..the Owl is sharp tonight…
Gator…..glad to see you are still hanging in there……….
To a contrarian, it’s Reload In Peace. I continued my buying of miners today and have record positions in a few.
I still like the metals, regardless where they go……….
Nuclear power on the ‘front burner,’ says Energy Secretary Rick Perry
Tom DiChristopher
“Nuclear power as “a very important part” of the White House’s energy strategy, Department of Energy Secretary Rick Perry said Monday.”
http://www.cnbc.com/2017/06/19/nuclear-energy-is-on-the-front-burner-says-sec-rick-perry.html
Insiders make the money……anytime the DOE comments……
Rick Perry is from TX and understands (to a degree) the importance of energy independence and Uranium mining. The US is the largest Nuclear customer on the planet, with 100 reactors, but we import 95% of the Uranium fuel and 60% of that is from Russia.
If that was the case with Oil people would be losing their minds…..
Maybe Russia could leak us some…………
We are going to wind up with an energy crisis again , if the “politician war monger” are not careful.
The DOE was a scam to begin with…….a lot of people made a lot of money creating the DOE
Yes the DOE is a bit shady, and their dumping of Uranium into the spot market the last few years also added to all the secondary supply that swamped the markets. They are not the sharpest tools in the shed and they’ve only hurt US U308 miners by doing that and prevented job creation in this sector in states like Texas and Wyoming.
Well, even though I’ve been vocally bullish on the recovery in Uranium for years adn was really looking forward to this time 2017-2020. I must admit this news out of South Korea is very disheartening, as they have always been very pro-nuclear energy, and for me it is the final straw. I give up.
________________________________________________________________________
New South Korean president vows to end use of nuclear power
Justin McCurry – Monday 19 June 2017
_____________________________________________________________________
While much of this 180 degree U-Turn is attributed to their new leftist government, with pie-in-the-sky expectations of what Solar and Wind can do for base-load power, it must clearly reflect mindset of the people in South Korea. They drank the disinformation fear mongering Kool Aid, and have a narrative that they are going to make power more “environmentally friendly” and “safe” (this kind clueless irks me to no end, but I’m done fighting it).
Nuclear power is the safest form of base-load power and all the research and data backs that up (regardless of their narrative). Nuclear is far safer and has less deaths associated with power use than Coal, Oil, Nat Gas, Hydro, Geothermal, Solar, or Wind. Nobody cares about real information though, they just want to spin tales of terror about the next possible disaster. The new emerging globalist mindset won’t let those facts get in the way of their narrative and supposed “green” agenda.
The reality is that the ONLY environmentally friendly, low carbon emission footprint, base-load power is Nuclear. Period. Solar and Wind are not going to be able to make up for the loss of their Nuclear if they phase things out as quickly as Moon just pontificated, and can’t operate on a solid 24-7 basis. As a result they either need serious back-up batteries (helping out Lithium/Cobalt/Copper) or they back up their “Green” energy with Oil/Gas plants (not green at all). Hydro has much more severe environmental impacts and creates far more water issues and disparity both upstream/downstream, so it’s “green” status is somewhat dubious. If they shift to Nat Gas plants, then they are creating more carbon emissions (not less). Ridiculous.
The brain-dead environmentalists and lobbyist rarely deal in facts though, and just get people riled up behind a completely unsustainable story-line that “feels good” only because of their level of disinformation.
Just look at the shit show that Germany created when they announced abandoning nuclear power, spiking power costs, spiking their air-borne pollutants, and eventually buying 60% of their power from French Nuclear sources…. (yeah, boy they sure abandoned nuclear…. what a joke….)
South Korea – take a good long look at the the last 5 years in Germany if you want to see what your future looks like without Nuclear (and you don’t have a France to buy nuclear power from when you big plans go asunder…. but they do have China building out dozens more nuclear reactors that will be glad to sell them power at a premium when their Solar/Wind dreams don’t add up to what they expected).
Regardless, this news coming across the wires only kicks the nuclear energy sector while it is down, and is a bit disheartening.
I’m almost to the point where I’m ready to give up on Nuclear energy after years of trying to reason with illogical and irrational people and groups. Investing in Nat Gas which is not carbon emission free, often involves fracking, and is far more acceptable to Oil bulls is drama free. Investing in the future of Solar and Wind has been a fools errand for the last 2 decades, but now there is so much momentum and sentiment behind it, that maybe it’s better to position into that narrative, and give up on a superior form of energy (and the most hated and misunderstood energy input on the planet)- Nuclear power.
I’m still a fan of treating the nuclear fuel with Beryllium-clad or Vanadium-Zirconium-clad pellets as way of increasing efficiency, lowering costs, improving competitiveness, lowering temperatures, and lowering melt down worries. Maybe it is a day late and a dollar short though…..
Anyway, there is contrarian investing, and then there is driving into a brick wall. I’m less interested in being right, and more interested in making money with my investments, so I’m about to throw in the towel on Nuclear and say Hello to more Solar and Wind. Old dogs can learn new tricks as they say…..
great info………..do not fight the trend…….especially, if the politicians like it., and of course some like it, so they can get paid for the promotion.
OOTB – I’ve finally come to that conclusion in the energy space. Even though I have been a strong proponent of benefits of Nuclear energy for years and traded the Uranium stocks since 2010, I’m finally willing to admit it is a dying industry (even considering all the new reactor growth world wide).
The statements from Germany were like a pimple on a flea because they didn’t have much of a nuclear presence, and everyone saw what a trainwreck they were with electricity rates, pollution, and going back to importing nuclear energy (after shooting their mouths off). I assumed cooler heads would prevail, that Japan would restart most of it’s fleet of reactors, and that the US would get a freakin’ clue and school the environmentalists on how Nuclear is the primary solution to zero-carbon-emission base load power. Instead, the US is still mired in wacko thinking about trying to bring back Coal jobs (never going to happen), pursuing Oil/Gas at the same blistering pace with little slow downs, and the Greenies are just in love in with Solar and Wind as their saviors.
These same lobbyist groups, politicians, and over-zealous environmentalists seem to neglect the carbon footprint that Solar/Wind have when they manufacture all of those products, and neglect the importance of mining for Silver in Solar panels and Specialty Metals in the magnets of the Windmills. I’m still a fan of Solar/Wind, but they kill more people and animals every year than nuclear by a hefty margin. I’ve already ranted about some of the drawback of Hydro in the past. The point is all energy inputs have drawbacks, but Nuclear delivers 24/7 energy in a massive scale and doesn’t take breaks when it is night time or not windy out.
In addition, the real culprit is how the government subsidies are stacked against Nuclear and in favor of other renewable energy sources. Until that changes, it’s a rigged game, but the sentiment and movement is into Solar/Wind.
I’m done fighting the lemmings, and will just swim with the current moving forward.
Ditto on fighting the lemmings……..
Thanks for your thoughts on the matter, Excelsior. Maybe you’re right, but I’m sure I’ll be eyeballing the charts for years to come. Would sure love to catch even a small boom in U!
Thanks GH. There will still be a small boom in Uranium stocks, but nothing like what would have happened if Japan would have restarted 2/3 of its reactors over the last few years, if France & the US wasn’t throttling back, if China wasn’t stalled and constructing way behind schedule, and if we didn’t have South Korea calling it quits.
My concern is the sentiment shifting to even more bearish in the Emerging Markets from Nuclear to Renewable sources. The Emerging markets were the dream of future demand, and many of them are just plowing their interest and subsidies into Solar/Wind/Tidal/Hydro/Run-Of-River etc… or they are converting Coal use into Nat Gas use. Nat gas is so abundant that it is hard for other inputs to compete.
While I don’t agree with some of the environmentalist propaganda that gets thrown around at the Paris summit or other global conferences, I do see where Air Pollution is a real threat to urbanized living. It seemed so rational to migrate Coal use and some hydrocarbon Oil/Gas use over to Nuclear in the new paradigm, but instead, there seems to be a global NIMBY (Not In My Back Yard) resisting Nuclear, and as illogical as it is they are bypassing it for other renewables.
This does build a stronger case for Energy Storage and Back Up batteries, and so Lithium/Cobalt/Copper will only continue to benefit.
I haven’t sold all my Uranium stocks, but I’m not going to be as aggressive as planned, and honestly, it’s hard to ignore the emphasis the global stage is placing on Solar and Wind, so if you can’t beat em’ ….join em’…. 🙂
NexGen Energy: Which Timeframe is in Control?
by @Goldfinger on June 19, 2017
“Despite the fact that the long term trend is clearly higher, the short term trend is down and it is this trend which is controlling price action in NXE until proven otherwise. At some point (potentially within the next next couple of weeks) the long term trend could reassert itself and NXE could put in place an important low. However, until then it’s a guessing game to figure out when the sellers will run out of ammunition and buyers will show up in substantial numbers again.”
https://ceo.ca/@goldfinger/nexgen-energy-which-timeframe-is-in-control
GH, I think uranium stocks will be worth another shot by the end of the year.
I do as well Matthew, and still have positions in 8 companies but I’ve reduced them a great deal this year in the first quarter. I did increase them again in the 2nd quarter but just scaled those new adds back again.
It appears the spot price is making a double bottom here, to where it did in November of 2016, and as you are aware, these double-bottom patterns are usually a strong area of support. I don’t doubt that Uranium prices will climb out of the hole they are in, but due doubt that the demand will be enough to get it much above $50-$60 over the next 2 years.
This would allow ISR operations held by some producers (like Energy Fuels, Ur-Energy, Peninsula Energy, and Uranium One) and developers (like UEC and Anfield Resources) to prosper, but the hard rock Uranium miners are still going to be in a world of hurt.
My general enthusiasm has finally been snuffed out after 6 years of a far more brutal bear market that anything close to what Gold or Silver investors went through in the 5 year bear market.
There will be gains to be had in the Uranium miners from where things are today, but the bigger prize of $70-$140 Uranium seems off the table for years now, and that is why I was in the game all this time.
China struggled to even get 1 reactor built in the last year, and many of their other reactors “under construction” have been stalled for some time. Even if they follow through with the all the reactors they claim they will build, it will be a wash with the reactors in the US that will shut down, the older French reactors that will shut down in the next few years, many of the Japanese reactors that are never coming back on-line, the shifting green tide to renewables in Europe, the road-blocks in certain middle-eastern and Asian countries, and now one of the most solid Nuclear countries — South Korea is throwing in the towel.
As someone who has regularly followed the Nuclear Energy sector week in and week out for near a decade, this news from South Korea was a real sucker punch.
It would be like realizing that Gold was going to be range-bound between $1100 – $1300 for years to come. Yes, in that environment there are many companies that could still do well, but not like the dream of $1300-$1600 gold.
thanks for the additional insight , as always the information is appreciated……ootb
Glad to share OOTB. Cheers!
Since I was a bit uncharacteristically bearish on Nuclear power today let me balance it with at least one good news release. Here is a little ray of sunshine for US Nuclear.
______________________________________________________________________________
House passes tax bill to boost Nuclear Power
by John Siciliano | Jun 20, 2017
“The House passed legislation on Tuesday to expand the use of tax incentives for new nuclear power plants well into the next decade.
The bipartisan nuclear tax bill passed by voice vote, and had 32 co-sponsors at the time it was approved.
“Without this legislation, the nuclear power industry may cease to exist as we know it in this country, which is exactly why passing this bill now is more important than ever,” said Rep. Tom Rice, R-S.C., a lead sponsor of the bill. “We need to give these plants the certainty of these tax credits, just as Congress intended.”
http://www.washingtonexaminer.com/house-passes-tax-bill-to-boost-nuclear-power/article/2626565
But how can this be?
http://www.arabnews.com/node/1117261/saudi-arabia
Mr. Moriarty says Iran is peaceful.
CFS..Mr. Moriarty wears permanent blinders…
The key message is about where the root problem lies, CFS, and that is YOUR blindspot. And Gator’s.
I’m not touching the subject except to say that you are correct.
Yes, I’d prefer to let this subject rest as well. But I can’t let the constant wrong-headed ax-grinding stand without challenge, given how problematic are the ‘solutions’ it implies.
CFS:
It’s enough that you are blind, you need not lie about what I say. Where and when did I say Iran is peaceful?
What I said about Iran that 17 US intelligence agencies agree with me is that Iran has no nuclear weapons program. But you and Gator know that, you just ignore it. And we all know Israel has had Iran in the gun sights for at least 35 years, forgetting that Iran was an ally of Israel during the Iran/Contra affair.
I will say something that everyone here should keep in mind. Israel has 8 million citizens if you ignore the open air prison camps of Gaza and the West Bank. Iran has 80 million citizens and a large and well equipped military. A nation of 8 million is not going to defeat a nation of 80 million in a conventional war. Wouldn’t it be weird if Israel uses some of their 100-400 nuclear weapons on a non-nuclear country all the while claiming to be the victim.
Perhaps Gator, CFS and Israel give up the whine.
FYI tools:
https://www.portfoliovisualizer.com/
Bernie Sanders on BBC Hardtalk
The Next American Revolution:
Gold Will Start Heading Higher On “Dwindling” Supply
Gold was down after the Fed’s hike, but I expect it to start heading higher again. Too many powerful forces are driving it behind the scenes. Dwindling physical supply is a major one.
http://www.gold-eagle.com/article/gold-will-start-heading-higher-%E2%80%9Cdwindling%E2%80%9D-supply
come on, who believe any report from a gold bug report……… 🙂
Gold going no where ,with the crooks still in charge………jmo
Judge Jeanine Defeating the Trump Coup, 1675
Hard to believe so many people do not get it……….
Hillary Clinton Told FBI’s Mueller To Deliver Uranium To Russians In 2009 “Secret Plane-Side Tarmac Meeting”
Saw that and mentioned on next segment………what a hoot……
tar mac babies……….
FOIA Request On Susan Rice’s Unmaskings Rejected Because “Records Were Moved To Obama Library”
Back in April, Judicial Watch filed a FOIA request for documents related to the unmasking of “the identities of any U.S. citizens associated with the Trump presidential campaign or transition team” by Obama’s National Security Advisor Susan Rice. Unfortunately, and quite conveniently for members of the Obama administration, Judicial Watch has been informed by the National Security Council that records related to their request can not be shared because they ” have been transferred to the Barack Obama Presidential Library” and will “remain closed to the public for five years.”
Here is the full letter received from the National Secruity Council:
My comments on the above subject are later posted………
I think at this point…….TRUMP should just FIRE MUELLER….end this madness, and go after anyone in the deep state…..and Tweeter the same…….
When 93% of the justice dept contributed to the DNC, no wonder we are messed up.
Percentage came from the Hannity show Fox New last night
Hannity 6/19/17 – (FULL) Fox News Today June 19,2017
https://youtu.be/rXb1WhpEcCo?t=33
epstein metals
Really interesting on the decline in corporate buybacks.
Enjoy your travels this week.
Gold dipped to 1242.60 about 30 minutes ago before catching a bid. 1242.56 is currently the 200 day MA.
http://www.chartseeker.com/images/AU-1HR-LG.png
The loonie is still stuck below very important resistance:
http://stockcharts.com/h-sc/ui?s=%24CDW&p=D&yr=1&mn=5&dy=0&id=p99423613429&a=519104889
The “new” GDXJ has 73 holdings:
Hmmm that sounds like my portfolio (hahaha). Only I actually have a “Junior” mining portfolio (and of course there is more than just Gold or Silver in it).
GDXJ is really a great “one stop shop” for a Major/MidTier portfolio now.
“Trendline Magic Legend: COLORS, Naturally Rising Support”
http://www.trendlinemagic.com/2017/06/trendline-magic-legend.html
Some definitions and comments, with ExxonMobil as exemplar.
Gold looks pretty good here:
http://stockcharts.com/h-sc/ui?s=%24GOLD&p=W&yr=5&mn=0&dy=0&id=p60518551853
There’s 89 week MA support at 1228:
http://stockcharts.com/h-sc/ui?s=%24GOLD&p=W&yr=3&mn=3&dy=0&id=p63354291516&a=528093806
For those playing commodities,this is a comforting chart within this article
https://katusaresearch.com/chart-45-years-making-commodities-vs-sp500/
Wolfster – I wrote you back on the Big Al Panel blog (with Frank, Rick, Brent) from yesterday.
Thanks….just went back and read it. I guess I’m just consumed with the idea that rzz will be in $30’s when all the drilling on malartic. 😁
I just added more about $GZZ and $RZZ in a response back to Matthew on Monday’s blog, but I’ll bring some of that info forward here:
As for RZZ and GZZ they have the royalty on the Canadian Malartic mine (the largest recent gold mine in Canada that Yamana and Agnico eagle bought off Osisko Gold Royalties). That is going to continue to be such a cash cow that they actually both deserve a higher valuation than they currently carry. The marketplace just doesn’t realize what Golden Valley/Abitibi are really sitting on with just that component. They also both have a fair bit of shares of a number of other companies including Yamana and Agnico Eagle that the marketplace is not fairly valuing.
Here is some data a friend just sent me recently for example:
It seems to me that $GZZ should be trading north of 50 cents. A basic review of their holdings bring us to 60 plus cents. This without considering NPV for existing royalties or its land assets.
% or #shares MrktCap or SP Total
49.54% $52,540,575.45 49.6% interest in Abitibi Royalties Inc.
44.49% 1840000 $818,616.00 Nunavik Nickel
22.36% 2520000 $0.56 Uranium Valley Mines Ltd.
100.00% 0 0 Calone Mining
519480 0.485 $251,947.80 BonTerra
3549695 3.12 $11,075,048.40 Yamaha
335497 62 $20,800,814.00 Agnico Eagle Mines
4148374 0.32 $1,327,479.68 Soi
Total $86,814,481.89
Estimated NAV Value 0.65
I’d add in that they have the option agreement now with both $AZX and $MTA.AX that will be bringing in more cashflow and shares in both companies, now that $GZZ has optioned properties to both of them.
If anything $GZZ needs to double from where it is now to even get to fair value, and that doesn’t account for what will happen if there are better discoveries on their JV projects or in a rising Gold/Silver price environment.
Here’s a blurb from a discussion I was having earlier this week with another invester on ceo.ca regarding $GZZ / $RZZ that seems worth posting here:
_________________________________________________________________________
Yes, you’d think with Rob McEwen’s holdings in $RZZ $GZZ $KZZ and $VZZ that more investors would have their interest piqued just from that alone.
Glenn is the president of the PDAC and again, you’d think that would give them a bit more visibility or notoriety, but they do very little promotion.
You raise a valid point about their basic and lackluster website (that needs an enema) and the fact that they’ve had no corporate presentation for the last 7-8 weeks isn’t doing them any favors either.
In a way, it’s a blessing because I’ve been dumping profits in a number of #ProspectGenerators and #Royalty companies like $GZZ $EMX $MRO and $MLN while the masses are still ignoring mining companies and precious/base metals for the most part. In a couple of years I expect these companies to trend gradually higher, like the streamers, and be more resilient to downside shocks, due to their diversification.
It would be nice to see more of solid focus from $GZZ but they’ve optioned off properties to $KZZ $AZX and $MTA.AX just here in the last few months, and that is what I like to see with a Prospect Generator, rather than them just sitting on unloved properties. Now if the exploration companies make a nice discovery, it will be a nice catalyst beyond just metals prices.
Lastly, as more work gets done by $AUY and $AEM then that will be the prime mover.
This is sadly a dated Corporate Presentation from January, but it gets across some of the main points through the end of last year.
http://www.goldenvalleymines.com/investors/presentations/GZZ-January2017_v1_EN.PDF
$GZZ owns ~49% of Abitibi Royalties (TSXV:RZZ)
– $RZZ owns royalties on parts of the Canadian #Malartic Mine, including a 3% #NSR on Odyssey North
– $AEM and $YRI had an exploration budget of C$13.5 million for 2016
-Resource on Odyssey expected by early 2017
– $GZZ owns 4,148,374 shares of $SOI Sirios Resources Inc.
w/ a 2.5–4% #NSR on the Cheechoo Prospect
*Active Joint Ventures
-Lac Barry with $BTR BonTerra
(now they’ll need to add the $AZX and $KZZ JVs as well)
*Share ownerships
-49.4% of $RZZ (5,605,246 shares)
-60% of $KZZ (7,763,634 shares)
-4% of $SOI (4,148,374 shares
-22.4% of $VZZ (4,170,910 shares)
$LEX owned 21% of $VZZ , so that ownership should have transferred over to $MUX now that Rob is taking over $LEX. It’s all so entangled and hard to keep up with.
_____________________________________
** As a side note, Rob McEwen is a genius.
As of their old January presentation, he owns 3.3% of $GZZ, 12.3% $RZZ, and through his $LEX (and now $MUX, who took over $LEX) he controls 21.4% of $VZZ. $GZZ also owns 22.4% of $VZZ and Glen is on their board as well.
$GZZ is really the “mother ship” that launched $RZZ, $KZZ, and $VZZ and Glen has done a good job recently optioning out even more properties.
Golden Valley Mines Options Island 27 Co-Ni-Ag Prospect to Battery Mineral Resources
“In consideration of the grant of the option, Battery will pay to Golden Valley an aggregate of $500,000, of which $100,000 has been paid, $150,000 will be paid on June 1, 2018 and $250,000 will be paid on June 1, 2019. In addition, Battery is required to incur expenditures on the property in the amount of $5,000,000 over a period of four years ending on June 1, 2021, of which $500,000 is to be spent by June 1, 2018. Battery is also required to keep the property in good standing by paying all taxes, assessments and other charges and by doing all other acts and things that may be necessary in that regard.”
https://ceo.ca/@marketwired/golden-valley-mines-options-island-27-co-ni-ag-prospect
GOLDEN VALLEY MINES AND NUNAVIK NICKEL MINES ANNOUNCE OPTION AGREEMENT
April 18, 2017
“Golden Valley Mines Ltd. (TSX-V:GZZ) and Nunavik Nickel Mines Ltd. (TSX-V:KZZ) are pleased to announce that they have entered into a Mining Option Agreement made as of April 18, 2017, pursuant to which Golden Valley has granted to Nunavik Nickel an option to acquire a 100% interest in 61 of its grassroots properties).
Pursuant to the terms of the Option Agreement, Nunavik Nickel must incur $4,000,000 of expenditures with respect to exploration and other mining operations on the Properties before December 31, 2021 (with $500,000 to be incurred on or before December 31, 2018; $750,000 to be incurred on or before December 31, 2019; $1,000,000 to be incurred on or before December 31, 2020 and $1,750,000 to be incurred on or before December 31, 2021).
As consideration for the option, Nunavik Nickel will issue 16,666,668 common shares to Golden Valley at a deemed price of $0.12 per share for an aggregate deemed value of $2,000,000 (issuable as to 25% on or before each of December 31, 2018, 2019, 2020 and 2021). In addition, Nunavik Nickel has granted Golden Valley a royalty equal to 1.25% of the net smelter returns from the Properties on the terms set out in the Option Agreement. 1% of the royalty may be bought back by Nunavik Nickel by paying Golden Valley $5,000,000 at Nunavik Nickel’s option, in cash or shares at a deemed price per share equal to the market price of Nunavik Nickel’s shares at the time of such election.’
GOLDEN VALLEY MINES OPTIONS CENTREMAQUE PROPERTY TO ALEXANDRIA MINERALS
April 25, 2017
“Golden Valley Mines Ltd. (TSX-V:GZZ) is pleased to announce that it has signed an Option Agreement with Alexandria Minerals Corporation (AZX), enabling Alexandria to earn 80% in the Centremaque Property.
Alexandria may earn 80% in the property by issuing treasury shares of Alexandria to Golden Valley over a four year period from date of signing with a total value of $250,000, and by conducting exploration activities totalling $4 million over the same four year period, of which $250,000 is to be spent in the first year of the option agreement. The price of the shares, and therefore the number of shares to be issued, is determined by reference to the market price at the time each tranche is due.
Upon the 80% earn-in, Golden Valley and Alexandria will form a Joint Venture to further explore, and if warranted, develop the property. Once the 80% interest is vested for Alexandria, Golden Valley will have a 20% free-carried interest, which means that Golden Valley shall not be responsible for any project costs, including without limitation, construction costs, exploration costs, mine costs and operating costs on the property, until the commencement of commercial production. In addition, Golden Valley retains a 1.5% Net Smelter Return, of which 0.5%, or a third, may be purchased by Alexandria for $1,000,000.”
Great summary. I only question the inclusion of yamana and agnico shares. Believe those are held by abitibi only so those are part of rzz holdings calculations already. If I’m wrong then I really am stunned by where it trades.
I am also stunned at where it is trading 😉
(that’s why I just add a little to it every once in a while)
Really I’ve been having the most fun with Marlin Gold who is a hybrid company.
They have a streaming deal on one JV and 2 Royalties on their other two JVs, but also have a very sexy gold mine throwing off cash, and an even more intriguing Development stage project. I was telling people about it last year and all year, but it is my favorite Prospect Generator & Royalty co / Producer-Developer.
Also their share float is crazy at only 15% as 85% is held by Wexford Capital. Check out their chart:
http://stockcharts.com/h-sc/ui?s=MLN.V&p=D&yr=2&mn=0&dy=0&id=p63065528597
Poor Chris probably getting owned on his oil stocks.
Making some profits here on DWTIF waiting for the disconnect.
Here is an interesting chart and visual from Macquarie on the commodities direction projected over a 2 year period.
http://cdn.ceo.ca.s3-us-west-2.amazonaws.com/1cki9nf-Macquarie_commodity_cycle.png
Fascinating chart
Agreed. I couldn’t stop looking at it once another investor pointed it out. Certain commodities are making interesting runs at present.
$indu:$gold ratio about to break out. Moonshot on the US stock market incoming probably accompanied by a collapse in gold.
Commodities, yen, gold, silver headed for the drain of the toilet (they are already in and circling the toilet bowl now). Yellen is laughing her a$$ off at the hard money crowd and idiots like Peter Schiff (and me).
Do you have any sense on the odds of a false breakout vs a true one?
That’s a difficult one but I’d have to say the odds are good that this one will be a false breakout. It just might extend to the upside first, however.
$indu has been overbought on the daily stochastics for something like 6 weeks. Now that is bull market behavior.
Watch the overbought stochastics correct while price goes sideways or even higher. It’s happened so many times in the past it isn’t funny. It’s an ultra-bull market. The Fed has created the ultimate moral hazard in history and the market is calling them on it. The market knows the Fed has its back. Yellen even said they would restart QE if things went negative. What more do you need to hear??? You cannot lose. They will kill the dollar before they let the stock market drop more than 20%, and I doubt we will even see that sort of correction until the Dow hits 25,000.
AMZN and GOOG–embrace them as you fascist overlords and just go all in and at least profit from this corruption.
I think there might be a pattern developing here:
Gold continues to find support at the “confluence” of the 200 day MA, the uptrend line, and a Schiff fork:
http://stockcharts.com/h-sc/ui?s=%24GOLD&p=D&yr=0&mn=9&dy=0&id=p68109693847&a=530213544
Not to mention the 200 week MA, the 100 week EMA, and even the KAMA (Kaufman’s moving average):
http://stockcharts.com/h-sc/ui?s=GLD&p=W&yr=5&mn=0&dy=0&id=p30497662938
Gold Is ‘Managed’ by Wall Street and The Fed – Frank Giustra
Canadian mining maverick and entrepreneur, Frank Giustra does not mince words. While the mining mogul and philanthropist is involved in a vast array of projects ranging from an olive oil venture in Italy to Thunderbird, the film production company behind the upcoming Blade Runner sequel, it is truly when his first love – gold – is brought up that he gets passionate. This January marked a return to the resource sector for Giustra, who took a half-decade hiatus during ..
Is there any truth to the news, that Frank was part of the Clinton/ Russian uranium deal.
Seems to be a lot of news saying he (Frank) was involved……..
CNN Caught Faking News Again: Qatar Says News Agency Hacking Linked To Middle East, Not Russia
Anything to spread the narrative… http://www.zerohedge.com/news/2017-06-20/cnn-caught-faking-news-again-qatar-says-news-agency-hacking-linked-middle-east-not-r
Clinton Faces Loss Of Security Clearance After State Begins Probing Her Mishandling Of Classified Intel
The State Department confirmed months of speculation on Tuesday when it leaked to Fox News that it had opened a formal inquiry into Hillary Clinton’s alleged mishandling of classified information on her private email server.
The Russians Do It Again: Democrats Get Crushed In Georgia Election Despite 7x Spending Advantage
Despite a 7-to-1 spending advantage, Democrats just got crushed in the Georgia special election.
http://www.zerohedge.com/news/2017-06-20/live-updates-georgias-special-election
the idiot democrats should have tried to find someone who lived in the area….to run for the office…..
Imperial city collapse…………..zh………
Inflation is higher than the government is reporting.
The statistics are not holding together.
e.g. if income is up and spending is down; that implies savings should be up.
But they aren’t!