Erik Wetterling – Value Proposition In The Exploration Alpha Plays – Red Canyon, New Break, and Onyx Gold
Erik Wetterling, Founder and Editor of The Hedgeless Horseman website, joins us to review why the value proposition in the exploration alpha plays are based around news catalysts and milestones, more so that higher metals prices. For this very reason, he’s less interested in the sector sentiment turns we’ve seen in the valuations of producers and advanced developers in the higher underlying metals price environment, and more animated by the fundamental prospectivity of the explorers that haven’t moved up as much yet, but have the biggest potential for gains if they deliver on their thesis and make a discovery and define a significant future economic deposit.
Erik discusses some of the nuances around valuing the potential upside in gold and copper exploration companies, that have compelling drill targets, large strategic shareholders that have already vetting the projects and management teams, are in the right jurisdictions, and that have the potential for rapid upside moves if they make compelling discoveries while expanding resources.
>> The companies we discussed in the interview are:
- Red Canyon Resources Ltd. (CSE: REDC) (OTCQB: REDRF)
- New Break Resources Ltd. (CSE: NBRK)
- Onyx Gold Corp. (TSXV: ONYX) (OTCQX: ONXGF)
* 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.
Investment Disclaimer:
This content is for informational and educational purposes only and does not constitute investment advice, an offer, or a solicitation to buy or sell any security. Investing in equities and commodities involves risk, including the possible loss of principal. Do your own research and consult a licensed financial advisor before making any investment decisions. Guests and hosts may own shares in companies mentioned.
Click here to follow Erik’s analysis over at The Hedgeless Horseman website
DT: you’ve got my interest and I have entered as of 10 days ago. Not sure what price will do, but it is still early on development. This stuff may work.
Good For You! You know they will be listing on the Nasdaq early in the New Year 2026. I think we will see “The Big Swing”, like Livermore was fond of saying! As always DYODD! DT
With no intention of a consolidation to achieve share price listing requirement ???
Wolfster, If you listen to the link I posted on HydroGraph in particular the one right above on this thread with Jay Taylor and Kjirstin Breure she mentions that there will be a small consolidation if the stock isn’t at $4 US ($4 is a minimum requirement to get on The Nasdaq) by the time The Nasdaq listing occurs, early in 2026. With this stock for me a consolidation is irrelevant because the new Nasdaq listing will propel the price. I would prefer it if they were to list on The TSX first because it is much easier and less expensive to get a listing, but they feel a US listing is the only way to go because they see themselves as an American company. DT
Appreciate the response. I have listened to some of the links you’ve posted about HG and find it very interesting and can honestly say I’ve flipped it once already and am back in again. I just don’t have time to listen to every single interview just like I have to pick and choose which ker interviews I listen to. If things continue the way they have the last 2 yrs maybe I can invest my time fully in trading. That’s the dream. Cheers.
Kevin on the effects of HydroGraph getting a military contract. DT
https://x.com/bambroughkevin/status/1970249966170898779?s=46&t=NSDAzZVo4CWhs1_-27tvxA
The Fed Cuts Interest Rates…And Money Gets Tighter
…More extreme measures coming
John Rubino – Substack – Sep 22, 2025
What if the Fed Keeps Cutting and Long-Term Interest Rates Keep Rising?
That’s what happened last September, when the Fed cut its overnight rate and long-term yields jumped. If it goes that way again, we can infer three things:
Bond investors — i.e., the people who lend money for 10, 20, or 30 years — expect lower short-term rates to lead to higher inflation, so they’re demanding a higher return to offset the depreciating currency. And since long-term rates determine future economic activity, rising bond yields actually mean tighter money and slower growth. In other words, the Fed is getting the opposite of what it wants.
If the bond market continues to defy the monetary authorities, those authorities will have to escalate to policies that directly target long-term rates. The general term for this is “yield curve control,” because it’s designed to push down long rates relative to short rates, flattening the yield curve and (in theory) making lenders more willing to lend for extended periods.
Suppressing long-term interest rates shifts market skepticism from bonds to the currency, as rising inflation erodes the dollar’s value.
Is a Cheaper Dollar the Objective?
For those unfamiliar with the “Mar-a-Lago Accord,” here’s a primer…
The phrase has gained traction following the release of a November 2024 paper written by Stephen Miran, Trump’s nominee for the White House Council of Economic Advisers. In it, Miran proposes several strategies to reform global trade and counteract the economic imbalances caused by what he calls an excessively strong dollar.
Similarly, prior to assuming his position as Secretary of the Treasury, Scott Bessent suggested in June 2024 that a “grand economic reordering” could take place in the coming years.
https://rubino.substack.com/p/the-fed-cuts-interest-ratesand-money
I’d submit that a “grand economic reordering” is already well underway…
For example, how about Gold futures closing today at $3,782? Currently at $3,777? (cosmic!)
https://cdn-ceo-ca.s3.amazonaws.com/1kd441a-Gold%203-year%20weekly%20chart.JPG
Gold futures now up at $3,792 (after having just tagged $3,794).
Is gold going to blast up through $3,800 on Tuesday?
Remember when people thought $1,375 would never get eclipsed again?
Remember when $1,450 got tagged during the pandemic crash and people got worried the $1,045 Major Low from December 2015 was going get retested again to start a new bear market?
Remember when people said gold would never breach the 2011 high of $1923 ever again, and that we wouldn’t want to live in the world where that would happen?
Remember when $2,000-$2,100 gold was the ceiling for so long?
Remember when $3,000 gold seemed like a far off target?
Remember the $3,200 – $3,400 price channel for a while?
Now gold futures are knocking on $3,800 (just a few dollars away).
The gold price is now only a couple hundred bucks away from $4,000
Wild times! 😉
No sooner had I finished that post, and then BOOM! Gold futures just hit $3,800!
Not JtheLong………….he always thought gold “was going a lot higher”…. 🙂
GOT GOLD……….. Wow……… $3800
Indeed OOTB… JtheLong…. The BOOT… The Claw…
You’ve maintained we’d see these higher prices for some time. 🙂
It was just an interesting trip down memory lane to think about how far gold has risen from the $1,045 Major Low back in December of 2015 that kicked off the next bull market.
Gold has almost quadrupled over the last decade, now up over $3,800!
Really gold didn’t change at all, that’s just how far the purchasing power of the US dollar has weakened.
The monthly chart of the 20 year treasury bond is still showing that we’re going to have the second leg down in the bond market within the next one year—of course that could change.
Doc, I plan to sell my gold @10K and buy 20 year treasuries yielding 15%. Gary Savage says 10K gold is a piece of cake. Can Michigan beat Illinois by 53 points as Indiana did?
It was nice to see some outsized moves today in a number of the Silver producers, with some like Silvercorp, Endeavour Silver, First Majestic, Silver X, Kuya, and Impact up double digits on Monday.
Symbol – Company Name – Daily Change (%)
SVM Silvercorp Metals Inc. +17.27%
EXK Endeavour Silver Corp. +15.68%
AG First Majestic Silver Corp. +14.31%
AGX.V Silver X Mining Corp. +11.76%
KUYA.CN Kuya Silver Corporation +11.58%
IPT.V IMPACT Silver Corp. +10.71%
SCZ.V Santacruz Silver Mining Ltd. +9.36%
GSVR.V Guanajuato Silver Company Ltd. +8.00%
GGD.TO GoGold Resources Inc. +7.48%
APM.TO Andean Precious Metals +7.23%
AYA.TO Aya Gold & Silver Inc. +6.54%
USAS Americas Gold and Silver Corporation +4.33%
FSM Fortuna Mining Corp. +4.29%
CDE Coeur Mining, Inc. +2.58%
PAAS Pan American Silver Corp. +2.50%
HL Hecla Mining Company +2.46%
ASM Avino Silver & Gold Mines Ltd. +1.72%
SSRM SSR Mining Inc. +1.58%
HOC.L Hochschild Mining plc +0.85%
FRES.L Fresnillo plc +0.25%
SM.V Sierra Madre Gold and Silver Ltd. 0.00%
There were also some really nice moves in many of the Silver explorers and developers, on the back of the move above $44 silver prices.
Symbol – Silver Explorers and Developers – Daily Change (%)
MASS.V Masivo Silver Corp. +33.33%
SAND.CN Silver Sands Resources Corp. +33.33%
SWLF.V Silver Wolf Exploration Ltd. +20.00%
BML.AX Boab Metals Limited +17.33%
ZAC.V Zacatecas Silver Corp. +15.79%
ABRA.TO AbraSilver Resource Corp. +14.36%
SXL.V Slam Exploration Ltd. +14.29%
DEF.V Defiance Silver Corp. +14.00%
GRSL.V GR Silver Mining Ltd. +13.79%
DEC.V Decade Resources Ltd. +12.50%
DSV.TO Discovery Silver Corp. +12.37%
EQTY.V Equity Metals Corporation +11.63%
MSV.TO Minco Silver Corporation +11.48%
SLVR.V Silver Tiger Metals Inc. +11.27%
CFE.CN Cartier Silver Corporation +11.11%
ARD.AX Argenta Minerals Limited +11.11%
SSV.V Southern Silver Exploration Corp. +10.96%
MKR.AX Manuka Resources Limited +10.00%
BAG.V Blende Silver Corp. +10.00%
VIPR.V Silver Viper Minerals Corp. +9.88%
MMG.V Metallic Minerals Corp. +9.59%
APGO.V Apollo Silver Corp. +9.09%
SDR.V Stroud Resources Ltd. +9.09%
PLA.V Plata Latina Minerals Corporation +9.09%
NUAG.TO New Pacific Metals Corp. +7.58%
CCM.TO Canagold Resources Ltd. +7.53%
SVL.AX Silver Mines Limited +6.67%
TUF.V Honey Badger Silver Inc. +6.52%
AGA.V Silver47 Exploration Corp. +6.41%
AZT.V Aztec Minerals Corp. +6.25%
SAG.V Sterling Metals Corp. +6.15%
AAG.V Aftermath Silver Ltd. +6.00%
CD.V Cantex Mine Development Corp. +5.88%
RYO.V Rio Silver Inc. +5.88%
SLV.CN Silver Dollar Resources Inc. +5.56%
DV.V Dolly Varden Silver Corporation +5.44%
KTN.V Kootenay Silver Inc. +5.41%
OCG.V Outcrop Silver & Gold Corporation +5.33%
VZLA Vizsla Silver Corp. +4.53%
VML.V Viscount Mining Corp. +3.75%
SVRS.V Silver Storm Mining Ltd. +3.41%
CKG.V Chesapeake Gold Corp. +2.87%
BNKR.V Bunker Hill Mining Corp. +2.78%
SVB.TO Silver Bull Resources, Inc. +2.78%
ELO.TO Eloro Resources Ltd. +2.50%
SVE.V Silver One Resources Inc. +2.44%
AZS.V Arizona Gold & Silver Inc. +2.27%
Silver futures now at $44.44. (cosmic)
When SILVER breaks the LONG CUP AND HANDLE….of $49……. it will be off to the races….
Ex, if you could pick just one jr. silver producer which company would you select. I don’t see SCZ on that list because I view them as a medium producer. I am thinking of one stock but I won’t say which one until you have responded. Thanks, DT!
I would pick Aya. But HG might be even better than Aya. Why not own both like Bonzo?
Hi DT. Yes, Santacruz Silver has been my highest conviction silver stock this year and it’s on the silver producer’s list up above. It was up 9.36% yesterday towards the top of that list.
Now keep in mind, I’ve built my position over time, and am up over 800% in Santacruz Silver, where it crushed the returns of all my other silver stocks… so it was the right stock to be high conviction on. I still think it can go up 3x or 4x from here to get more fairly valued with other peer mid-tiers, but the easiest gains have already been made, and I’ve started trimming it back a little bit after the run it’s had to keep it under a 5% weighting in my portfolio.
As I’ve stated before, I expect the higher cost silver junior producers like Guanajuato, Silver X, and Impact to now start to play catchup on the mid-tiers like Santacruz and Avino and Endeavour at this point in the cycle.
If you are talking about a pre-revenue company, then there are so many choices for different reasons with different criteria, so its very hard to just pick 1 stock. I’m excited about Dolly Varden’s, Blackrock Silver’s,and Silver Tiger’s drill programs for this season, but it and Vizsla, AbraSilver, Aftermath are all pretty far advanced at this point. AbraSilver has been a force of nature and is one of my highest weighted pre-revenue silver stocks, but again, it’s already up multiple-fold at this point, so it’s not going run like a tinier drill-play that makes a discovery might run.
Thanks Ex, for the quick lookup on how to make money in the pm market near term and beyond imo.
Hi Ex, I appreciate your feedback, Argenta (AGAG) Silver hit another amazing intercept this morning and the stock is down on the news. I haven’t looked into this play as much as I need to but I think they are on to something possibly big.
I realize I put you in an awkward position by asking you for just one pick, but you named my favorite silver junior producer, Guanajuato.
Keep on trucking as they would say back in the day. DT
BTW, to put the silver price in perspective relative to other markets, it is up $10+ in the last 4 months…
https://www.tradingview.com/x/1LrtrS8P/
Entering its’ 4th week of being overbought on the weekly chart.
This is a simpler chart for clarity…
Another positive near term catalyst for gold stocks showed up this morning…. On investing.com on the popular list along with the usual suspects like Tesla Nvidia and Bitcoin I saw Barrick for the first time in a super long time.
FWIW: my best recent performer has been Astra Exploration.
Longer term: Northisle, Omai, District, Magna all overall doubles with some triples in early buys.
HydroGraph Clean Power Update, Jay Taylor interviews Kjirstin Breure. DT
https://www.youtube.com/watch?v=IDPXJLDcTqk