More thoughts on Irving Resources and the upcoming drill results

January 31, 2020

Erik Wetterling kicks off today by sharing his thoughts on Irving Resources. We discuss the news so far this year and upcoming news in terms of drill results. Please feel free to share your thoughts on Irving by commenting or emailing me with any questions you have for the Company or Erik.

Click here to ready the full article Erik posted on Irving Resources.

    Jan 31, 2020 31:26 AM

    Off topic:
    David Morgan Interviews James McDonald, President & CEO of Kootenay Silver

      Jan 31, 2020 31:45 AM

      And a big yawn from the market. Volume has complete dried up on Kootenay unfortunately….and I never got filled on my .39 bid for impact. Sucky week for the wolfster. Weekend can’t come soon enough.

        Jan 31, 2020 31:26 AM

        Kootenay will move soon since silver is about to move.

          Jan 31, 2020 31:52 PM

          Well at least some volume showed up after my comment. Was like 28,000 trades at my lunch time check in. Silvers doing its part slowly

          Jan 31, 2020 31:53 PM

          Thanks for posting the Kootenay Silver interview. I have a nice position and agree that they have a great deal of optionality to rising silver prices between their various projects.

      Jan 31, 2020 31:06 PM

      Nice interview. Thanks for sharing. I will likely pick up a few more shares next week.

    Jan 31, 2020 31:42 AM

    (IO) (INCAF) Inca One Produces a Record 24,850 Oz of Gold in 2019

    by @newsfile on 31 Jan 2020

    – Total gold production for the year reached a record 24,850 ounces, up from 22,050 ounces produced in 2018, representing a 13% increase.
    – Deliveries of 52,602 tonnes, up from 45,527 tonnes in 2018, an increase of 16%.
    – Production increased to 52,183 tonnes of material processed in this year, up from 43,786 tonnes in 2018, an increase of 19%, averaging 143 tonnes per day throughput in 2019.
    Gross sales in the calendar year in 2019 was a record US$34.9 million, up from US$26.4 million in 2018, an increase of 32% YOY.

    Jan 31, 2020 31:02 AM

    FANBLOODYTASTIC…….The Shifty One Got Shafted………………HaHa….LOL

      Jan 31, 2020 31:54 AM

      That one is FUNNY……..kind of sums up the entire shifty show

    Jan 31, 2020 31:49 AM

    Thanks for the discussion of Irving and your extensive research that you post on your own site.

      Jan 31, 2020 31:16 AM

      Hey David,

      You’re welcome. I just love these “quirky” stories that require a lot of DD to fully grasp. The more I read and thought about Irving, the more my thinking went from “this looks expensive” to “this actually looks cheap based on the potential”. I love cases like that, because I know I wasn’t alone in terms of under appreciating Omu, but now I’m quite sold :). Good luck to us, cheers!

        Jan 31, 2020 31:30 PM

        BM mentioned that You, BM and QH are heading to Brazil in the near future to check out another possible investment. Please keep us all up to date what you guys find…Thanks again for all you do.

          Jan 31, 2020 31:50 PM

          That’s the plan. Well, first I will be heading to Fiji to visit Lion One (next week). Then on the 17th (I think) I will be heading to Brazil to look at TriStar Gold. I already own a lot of LIO which is my 3d favorite stock. I own quite a bit of TriStar as well, which looks very cheap based on what they have and the system is wide open. Best regards

        Jan 31, 2020 31:42 PM

        Thanks, HH. I also like Quirky Quinton stories and own Novo, Irving, and Miramont. When you go down to Brazil, I hope you will also visit Peru and check out Miramont. Might as well kill 2 birds with one stone in South America. Bon voyage!

          Jan 31, 2020 31:47 PM

          You forgot to mention one of the biggest potential wins for Quirky Quinton – Lion One!

          (LIO) (LOMLF) Lion One Metals – Corporate Presentation January 2020:

            Jan 31, 2020 31:49 PM

            Quinton Hennigh, Technical Advisor for Lion One Metals Limited (TSX-V: LIO) delivers a presentation at the Metals Investor Forum on Jan 17-18, 2020 in Vancouver, BC.

            #VIDEO Presentation from Quinton:


            Jan 31, 2020 31:50 PM

            Stephen Mann Managing Director of Lion One Metals Limited (TSX-V: LIO) and Eric Coffin of HRA Advisories discuss the 100% owned and fully permitted Tuvatu Alkaline Gold Project at the Metals Investor Forum on Jan 17-18, 2020 in Vancouver, BC

            #VIDEO Interview with Lion One and Eric Coffin:


          Jan 31, 2020 31:51 PM

          Hey Bonzo,

          I won’t be going to Peru but Quinton will be with us to Brazil so I expect to learn if the project hunting for MONT is still very much in place. Best regards

        Jan 31, 2020 31:51 PM

        Erik – Good interview and ideas for investors to mull over as per usual.

        Cheers amigo!

          Jan 31, 2020 31:52 PM

          Thanks Excelsior! 🙂

          It might have gotten a wee bit ranty as always though hehe

    Jan 31, 2020 31:19 PM

    Erik: I was wondering if you can look into Meguma in Nova Scotia who just bought Goldenville and is biggest land miner in NS. They are attempting to build a Carlin type large operation? Thanks or anyone can comment I’ll check back.

    Feb 01, 2020 01:39 AM

    Hey Fritz,

    I’m not that familiar with the area or the company so I don’t dare to even comment. Might take a look later. Best regards

      Feb 01, 2020 01:46 PM

      Thanks, Erik. I hope you will let us know what you learn from Quinton about Miramont.
      No one here has mentioned it since last spring. Bon voyage.

    Feb 03, 2020 03:58 AM

    In an interview with HH on 17 Jan., 2020 he stated: “If a share price goes up, everything else equal, the opportunity’s worse….it goes up 20%, the risk-reward suddenly became worse…that is enough to take some money off the table…the bargain is becoming less of a bargain, so I think it’s really prudent to start shedding a bit as the opportunity decreases.” However, the companies he promotes seem to him to be exceptions.
    As I detailed in comments on that interview, HH advocated buying Miramont and Aloro when selling, especially MONT, seemed more prudent. Both plunged soon after his buy recommendations. Similar story with GFG Resources. With strong price gains in Novo, and especially Lion One and Irving, should he not be advocating selling at least some of the one’s position?
    Re TriStar Gold, HH writes in his comments “looks very cheap”. That’s debatable on the technicals. If it’s cheap, it would be interesting to get some real insight and analysis from HH as to why 2 directors sold a total of 2,700,000 shares at the “cheap” price of .23 within 2 days of each other. I had been intending to hold my position anticipating a pop after Moriarty and Horsey visit the project and do their promotions, but with HH saying it’s cheap and directors unloading large parcels, I sold out @.25.
    For those who like Irving, and I agree there’s much to like except for it’s high price, I suggest a look at Southern Gold Ltd. (SAU:ASX) which has multiple gold-silver projects in South Korea (1 nearing production) and many similarities to Irving (a research report on their Website makes interesting comparisons among SAU, Irving, and Japan Gold). At only .16 it truly is dirt cheap by every measure. If I remember correctly, it was a recommendation in an interview with Brent Cooke that brought it to my attention.

    Feb 03, 2020 03:16 AM


    You seem to draw the wrong conclusions and assume things to fit your narrative…

    First and most importantly, I never tell anyone what to do. I am saying what I do and why I do it. I’m not a baby sitter, so you will have to look elsewhere if you want someone to MANAGE your money. In the case of Miramont and GFG for example, I started talking about them way lower than the peak before the dusters. The concept of decreased R/R when only the price is rising, all else equal, means that it is prudent to take money off the table. Not only will your total EXPOSURE be higher, but the R/R would be lower. I don’t regret holding MONT, Aloro or GFG. I’m not outcome dependent, which is a very important concept. What I do regret is having too much exposure perhaps. Especially with Aloro. It’s irrational to compare a high risk drill play to an advanced explorer such as IRV and LIO where FACTS have CHANGED…. Thus it’s NOT all else equal. If fundamentals improve more than the price of the stock, then the opportunity is actually INCREASING even though price is heading higher. In the case of IRV and LIO, I think they are not expensive relative to the R/R BECAUSE fundamentals have been improving with every NR.

    When it comes to TSG, I think it’s fairly obvious why I think it’s cheap. Why would I know why they sold? There are a thousand reasons for selling a stock and only one for buying it. With that bulk sale at sub SP, it looks like they sold to someone who wanted a lot of shares in a potentially pre-arrenged deal.

    Ps. Why is it OK for you to “demand” more insights/explanations about cheapness, even though I have written articles and done podcasts explaining my thoughts already, while writing a few sentences and declaring SAu “dirt cheap”. You see the irony? Anyway, I hope you got the points I made in this post

    Feb 03, 2020 03:33 AM

    I take your points, but IMO when technicals clearly indicate an overbought price, it’s prudent to sell at least a portion, regardless of one’s perceptions of fundamentals. You may not “tell anyone what to do”, but you certainly imply. You seem to have jumped to a completely erroneous conclusion because I definitely don’t want someone to manage my money or give me advice, but objective, informed, information is useful.
    I don’t see where I demanded anything of you and I don’t perceive the irony you refer to. I expressed my opinion about SAU which anyone can confirm by doing some research on the company and looking at its chart, if they’re so inclined. I mentioned this company because it’s working in similar geological settings and in several ways is a younger, much smaller-cap version of Irving, which your talk focuses on.
    To many investors/speculators/traders/analysts it’s a big red flag when insiders dump a lot of shares. Do you not think it’s a cause for concern? Are directors really likely to sell $621,000 worth of shares if they believe they’re cheap and if everything for the company looks rosy? As you seem to be connected to these managements, I thought you might have information to share about these sales.

    Feb 03, 2020 03:31 AM


    I pretty much never use TA for a buy or sell decision. Stocks can run on high RSI a long time (like LIO and IRV as of late). I have a value range that I think a company could hit in a few years and decide if the R/R is worth it at any given time. My plan/hope is to make fewer buys/sells and just ride and potentially take advantage of the volatility. For example it looks like Irving might have something incredible and if this goes the way I hope, I think the Omu project alone could be worth a few billions in a few years. That’s why I am hesitant to trade the daily or even weekly swings. If the SP would get waaay ahead of itself then the R/R and CAGR would probably decrease quite a bit and then there is a case to take money off the table and invest in others that haven’t revalued yet.

    The irony I was referring too was that it sounded like you meant I just said “it’s cheap” with little basis and then you mention a company that is “dirty cheap”. I might be wrong but it looked a bit hypocritical.

    On TSG: My guess is that Quinton is kind of cash short, which Moriarty stated many months ago already. I can see that TSG is least likely to revalue a lot in the short term versus for example Novo or Irving. Then we have the fact that I think he isn’t even allowed to sell shares in either of those companies ATM. If I had to chose I would raise cash in TSG over Novo and Irving at this point in time too. When it comes to the second insider, he hasn’t sold a share since June 2017 so that can mean anything. My guess is that both of them wanted to raise cash for whatever reason and found a buyer that was happy to buy their 2.7M shares at $0.225. No way that the buyer could buy that in the open market and no way that they could sell it in the open market. I expect to learn more when I visit the company but IMHO this looks like two people wanting to raise some cash and found a buyer that wanted 2.7M shares. Best regards

    Feb 03, 2020 03:18 PM

    I wasn’t questioning your basis for concluding something is cheap, just being somewhat skeptical of the conclusion itself. It seems where we differ on this is that I place more reliance on TA (and substantial insider trades) than you do. I’m aware that with a stock that’s on a bull run, things like RSI and MFI can stay high for a long time with price well above moving averages and upper standard deviations. The stock may have re-rated to a permanently higher level and that could well be so with LIO and IRV, but I’d say that probability still remains above 50% for price reversion after such sharp increases. Sell decisions do become tricky in such circumstances. LIO’s ascent was pretty swift so I did sell my whole position, which wasn’t that large. IRV’s ascent has been slower and I have a relatively large position, so I sold a portion but retain most — something of an each-way bet. I don’t follow a rigid protocol, but with companies I’m confident in, taking some profits and remaining invested is what I’m generally most comfortable with. LIO was very slow to get moving then moved very quickly without any obvious change in fundamentals, so I figured selling out was sensible. My hope is for a price reversion to buy back in but if I’m wrong, so be it. I won’t be chasing it or any stock following such sharp price gains. Another factor is that I’m decidedly more bullish on silver than gold, so am biased toward deposits which have considerable silver. I have small positions in so many gold-dominant companies that I’m not as hesitant to shed some of them on price gains, realizing cash to put into silver-dominant companies. If LIO had substantial silver, I probably would have held onto some of it. Similarly with TSG and NVO.
    I hope you’re right about IRV’s potential, and if so, I’m still in the game. If not, I’ve covered my investment. I’m out of NVO having taken substantial profits and think there are better ways to play Pilbara gold, but would probably buy back in at substantially lower prices. Unlike you, I like IRV considerably more than NVO — the silver bonus, tighter share structure, greater certainty of cheap near-term production, fewer alternatives, fewer question marks in general. NVO used to be my largest and highest-cap holding; now it’s IRV.
    Your comments re the insider selling at TSG suggest that it wasn’t due to anything inherent to the company. I wasn’t aware that Hennigh was cash short and your perspective adds another dimension to insider selling: even wealthy people need to raise cash at times and will seize an opportunity when it becomes available. Even so, such substantial insider selling concerns me. Will be interesting to see what happens as I’d be keen to buy back in at lower prices if fundamentals remain strong.