Erik Wetterling – Value Proposition In Rackla Metals, Inflection Resources, and Westward Gold
Erik Wetterling, Founder and Editor of The Hedgeless Horseman website, joins us to review the value proposition that has his attention in the 3 pre-discovery gold and copper exploration companies, that have large Tier 1 drill targets and the potential for rapid upside moves if they make a compelling discovery and hit with the drill bit on current programs.
>> The companies we discussed in the interview are:
- Rackla Metals Inc. (TSX-V: RAK) (OTC: RMETF) – On July 14th, 2025 Rackla Metals announced that drilling and had commenced at the BiTe zone on the Grad property NWT. The Grad property was staked in July of 2024, and immediate prospecting defined strong gold mineralization at the base of the south facing cliff. Further sampling in August identified significant sheeted veining hosted in the intrusive and that combined with the gold, bismuth and tellurium geochemistry made it clear that the Company had discovered a compelling Reduced Intrusion-related Gold Systems (RIRGS) occurrence that had never previously been identified or staked.
- Inflection Resources Ltd. (CSE: AUCU) (OTCQB: AUCUF) – On July 21, 2025, Inflection Resources announced that it completed the acquisition of an 100% interest in a portfolio of copper-gold projects in the Northern Territory and New South Wales, Australia from subsidiaries of Newmont Corporation. This provides the company optionality on how to advance those properties. The main near-term value drivers will be when more assays get released from any of their four projects that JV option partner AngloGold Ashanti elected to advance to Phase II earn-in. The four Designated Projects are Duck Creek, Trangie, Crooked Creek and Nyngan.
- Westward Gold Inc. (CSE: WG) (OTCQB: WGLIF) – On July 8, 2025, Westward Gold announced that drilling is underway at its flagship Toiyabe Hills Property in Lander County, Nevada. Over the next several months, Westward will be testing its Campfire Target Complex for the first time, with approximately 5,000 metres (~16,500 feet) of reverse-circulation (“RC”) drilling across this top-priority zone within the ~61 square-kilometer consolidated Property.
* In full disclosure, some companies mentioned by Erik in this interview, are positions held in his personal portfolio, and also may be site sponsors of The Hedgeless Horseman website at the time of this recording.
Click here to follow Erik’s analysis over at The Hedgeless Horseman website
Glad I grabbed more KTN under $1.10 on Friday.
https://schrts.co/BMuTcqBW
Silver Storm finding legs. SVRSF
Here is what Deepseek says about Rackla, although seems dated.
Rackla Metals (RAK.V) is a **high-risk, high-potential junior exploration company** focused on gold and silver in Canada’s Yukon Territory. Here’s a balanced analysis of its situation and future direction:
### **Key Strengths & Opportunities**
1. **Prime Yukon Location:**
– Exploring in the prolific **Tombstone Gold Belt** (host to Victoria Gold’s Eagle Mine) and the **Selwyn Basin** (known for high-grade silver).
– Flagship **Astro Project** (gold) and **Tombstone Silver Project** show promising early-stage results.
2. **Recent High-Grade Results (July 2024):**
– Reported **40.5 g/t gold over 4.5m** at Astro’s Nadaleen Trend, generating investor excitement.
– Surface samples up to **1,065 g/t silver** at Tombstone Silver Project highlight exploration upside.
3. **Experienced Team:**
– Management has past successes (e.g., founder Simon Ridgway discovered Western Copper’s Casino deposit).
4. **Strategic Focus:**
– Prioritizing high-impact drill targets with potential for major discoveries.
### **Significant Risks & Challenges**
1. **Early-Stage Exploration:**
– **No defined resource/reserve yet.** All value is speculative, based on exploration potential.
– >90% of junior miners fail to advance projects to production.
2. **Funding & Dilution Risk:**
– Market cap (~C$10M) limits capital. Future drilling requires equity financing, likely diluting shareholders.
– Burn rate necessitates frequent capital raises in volatile markets.
3. **Commodity Price Volatility:**
– Stock performance heavily tied to gold/silver prices. Economic downturns could cripple financing ability.
4. **Competition & Infrastructure:**
– Competing for investor attention with hundreds of juniors.
– Yukon projects face logistical challenges (remote, high operating costs).
### **Future Direction & Scenarios**
– **Bull Case (Success):**
Consistent high-grade drill results → larger discovery → partnership with a major miner (e.g., Newmont, Agnico Eagle) for development. Potential 5-10x stock surge if resource defined.
– **Base Case (Status Quo):**
Ongoing exploration with intermittent news-driven spikes. Stock remains volatile but survives if gold prices stay strong.
– **Bear Case (Failure):**
Exploration results disappoint → funding dries up → project shelved, stock declines to near zero.
### **Investor Considerations**
– ✅ **For Speculators:** High-risk capital only. Position size should reflect extreme volatility (e.g., <1-2% of portfolio).
– 🔍 **Due Diligence Musts:** Monitor drill results, cash runway, insider buying/selling, and gold market trends.
– ⚠️ **Red Flags:** Excessive dilution, prolonged absence of results, management selling shares.
– **Alternatives:** Consider diversified gold miners (e.g., Barrick) or ETFs (GDX) for lower-risk exposure.
### **Bottom Line**
RAK.V is a **binary bet on exploration success**. Recent attention stems from promising assays, but the company remains years away from potential production. Its future hinges entirely on:
1. **Upcoming drill results** proving economic mineralization.
2. **Securing non-dilutive funding** (e.g., joint venture).
3. **Favorable commodity markets.**
**Only suitable for investors who can afford total loss.** If you believe in the team's ability to make a discovery and gold/silver prices will rise, it’s a speculative opportunity. Otherwise, avoid. Always verify claims in company news with independent geology reports.