A technical look at a copper ETF, Lundin Mining and Nevsun Resources
On our last interview with Rick I noticed a number of comments on a copper ETF and Companies inside this EFT. When I took a closer look at the ETF it surprised me to see an almost 90% increase year-to-date when the underlying metal is only up 13%. We need to understand that the mining stocks inside this ETF also have exposure to other metals but is also shows the leverage to underlying metals price that stocks (even large mining stocks) possess. Here are the symbols…
- Global X Copper Miners ETF – COPX,
- Lundin Mining Corp – LUNMF & TSX:LUN,
- Nevsun Resources Ltd. – NSU & TSX:NSU
Click download link to listen on this device: Download Show
Click here to visit Rick’s site and check out his technical services.
Also please remember to email me your questions on other stocks you would like Rick to look at – fleck[at]kereport.com.
Cory & Rick – good idea on covering Dr. Copper and the copper miners on this editorial. Sometimes it is good to drop in and check on the good doctor.
$AMI $ARCTF #GOLD #COPPER #ROYALTY #ProspectGenerator #CORPORATEPRESENTATION
AuRico Metals Inc. – Precious Metals Summit – Beaver Creek 2016
Chris Richter, President & CEO
$SMD $SMDZF #GOLD #SILVER #COPPER #ZINC #ProspectGenerator #CorporatePresentation
Strategic Metals Ltd. – Precious Metals Summit – Beaver Creek 2016
Doug Eaton, President & CEO
Eurasian Minerals – Corporate Video Presentation (Gold / Copper / Zinc / Royalties)
Denver Gold Forum
September 19, 2016
http://www.denvergoldforum.org/xpl16/company-webcast/EMXX:US/
Altius Minerals has exposure to multiple commodities (Copper, Zinc, Gold, Silver, Potash, thermal Coal, Nickel
Altius Minerals – Corporate Slide show
Robert Friedlands $IVN discovery video….
Ivanhoe Mines and Zijin Mining Announce More High-Grade Copper Results from Ongoing Drilling at the Kakula Discovery on the Kamoa Copper Project in the Democratic Republic of Congo
September 22, 2016
Nevsun Resources Ltd. – Denver Gold Forum 2016
September 19, 2016
Scott Trebilcock
VP Business Development & IR
http://www.denvergoldforum.org/dgf16/company-webcast/NSU:CN/
Intrepid Mines just restructured and has an interesting Copper project:
KITUMBA PROJECT
Copper mineralisation at Kitumba comprises a simple hypogene sulphide assemblage (pyrite and chalcopyrite) that has been extensively altered, largely redistributed and enriched to form a supergene oxide assemblage (chalcocite, malachite, cuprite, chalcosiderite, chrysocolla, ± native copper).
Lowell Copper, Gold Mountain Mining and Anthem United Announce Closing of First Tranche of Concurrent Financing in Connection With Proposed Business Combination
2016-09-27
http://www.northernminer.com/press-releases/story/?id=1003865243
Lorraine Copper Completes Acquisition of Ok Copper-Molybdenum Property, BC
SEPTEMBER 27, 2016
http://www.northernminer.com/press-releases/story/?id=1003865250
Nice
Yeah – that’s a good little video.
Constantine Metals – Corporate Presentation (Copper, Zinc, Gold)
http://www.constantinemetals.com/_resources/presentations/CEM_Presentation.pdf
Constantine Metal Resources
Darwin Green, Vice President Exploration – Beaver Creek PM Summit 2016
(TSX-V: CEM)
Constantine went up today, unlike most miners!
🙂
I bought more on the recent pullback to .085-.09 even though I paid more than my average price.
It has huge and relatively low risk upside so I intend to hold it for a long time.
http://stockcharts.com/h-sc/ui?s=CEM.V&p=W&yr=3&mn=11&dy=0&id=p58477320748&a=377448544
Constantine has all the right ingredients – Good management, good asset, good strategy.
Don’t overlook the exploration potential of the Ontario properties.
http://constantinemetals.com/projects/croesus/
They are gold properties.
Absolutely. Thanks Matthew. I looked at that link on Friday when you posted it was impressed.
Minera Alamos – Corporate Presentation ( Gold / Copper / Molybdenum )
http://static.gowebcasting.com/documents/files/events/event_00002363_7SJA80j6.pdf
Minera Alamos Inc. – Video Presentation from Beaver Creek Precious Metals Summit 2016
Chris Frostad, CEO
(TSX-V: MAI)
Nicola Mining Inc. Intersects 1.11% Copper Over 85.92 Metres at the Thule Copper Property in Southern BC
by nicola_admin | Sep 7, 2016
Nicola Mining – Corporate Slide Show (Active Gold/Silver Toll Milling, Copper, Silver , Gravel)
There is a company I’m keenly watching – Frontline Gold, that has a few different Gold and base metals projects. In particular the Kambertepe Tailings Project has pretty high Copper grade worth noting.
“Kambertepe Tailings Project – Includes the exclusive rights to process approximately up to 6,000 tonnes of mineralized tailings, with the following average reported grades per tonne of tailings: 2.1% Copper, 21 g/t Silver, 1.9% Zinc, 0.5% Titanium and over 50% Iron, based on assays completed by Bureau Veritas, Vancouver, Canada, as noted from a Firat University report on the project dated March 15th, 2016.”
Their share price absolutely tanked by over 40% today, so that has me even more interested. It is likely and over reaction to their press release today:
_________________________________________________________________________
Frontline Grants Stock Options
Toronto, Ontario – (September 27, 2016)
Cyprium Mining is the latest company to go into Silver production, and I am very interested to see their next few quarters of results to see how things ramp up for them.
However, since this editorial has a Copper focus, it seemed relevant to point out their secondary project:
Cyprium Mining announced the assay results from the first phase of drilling on the Las Cristinas property
Intersects high grade massive sulphide veins
Includes 1.30 m interval at 9.5% Cu and 35 g/t Ag and 0.50 m interval at 12.1% Cu and 1 g/t Ag
Results support the company’s initial decision to start underground exploration program and production later this year
Includes intervals of 12.2 m at 1.4 % Cu and 4 g/t Ag and 10.8 m at 1.4% Cu
and 5 g/t Ag
Includes intervals of 4.55 m 3.0% Cu and 17 g/t Ag, 5 m at 3.2% Cu and 14 g/t Ag and 2.65 m at 3.0% Cu and 12 g/t Ag
Evidence of enrichment at depth to be tested as part of the second phase of drilling
Pages 22 and 23 of the Cyprium Mining corporate presentation highlight the previous production Las Cristinas copper/silver mine that they acquired as a secondary development project.
http://www.cypriummining.com/documents/en/cyprium_presentation_september_26_2016.pdf
Sierra Metals – Corporate Slide Presentation (Gold, Copper, Silver, Zinc, Lead)
http://static.gowebcasting.com/documents/files/events/event_00002294_g6H49rcQ.pdf
Sierra Metals Inc. – Video Presentation from Beaver Creek Precious Metals Summit 2016
Mark Brennan, President & CEO
(TSX: SMT)
Chinova Resources has a Copper Heap leach project, and high grade Moly project
Western Copper and Gold – Corporate Slide Show
http://static.gowebcasting.com/documents/files/events/event_00002256_rYiNt2F4.pdf
Western Copper and Gold Corp – Video Presentation from Beaver Creek PM Summit 2016
Paul West-Sells, President & CEO
(NYSE MKT: WRN)
Calibre Mining – Corporate Slideshow (Copper / Gold / Silver )
http://static.gowebcasting.com/documents/files/events/event_00002309_Lb0dI6tw.pdf
Calibre Mining Corp. – Video Presentation from Beaver Creek Precious Metals Summit 2016
Greg Smith, President & CEO
(TSX-V: CXB)
There are about another 20-30 mining companies with Copper exposure on the watch-list, but we’ll save those for another time when Dr. Copper comes back up.
If anyone else has any copper companies that they feel may represent a unique opportunity, it would be great to review their projects.
Not so chicken-hearted is my Galane Gold (GG & GGGOF):
http://stockcharts.com/h-sc/ui?s=GG.V&p=W&yr=4&mn=5&dy=0&id=p98496686848&a=478858128
🙂 Galgane!
I think they combined their Galaxy and Mupane projects to come up with the name.
http://galanegold.com/images/Galane_op_map.png
As we found out this weekend, it is dangerous business to combine two words into a new one….
Tell that to the founder of Barrick Gold, Peter Munk. According to Professor Antal Fekete:
At an early brain-storming session, as described in the authorized biography of Munk, the question was raised how to name the fledgling company. Munk, who was obsessed with big and quick success had no patience with such trivial details, exclaimed: ‘Call it Baszik, Szarik, Barrick, as you will; I couldn’t care less’. The name Barrick stuck. Knowledge of the Hungarian language helps the etymologist. The first two words’ English equivalents are ‘f…ck’ and ‘sh…t’. In Hungarian four-letter words have six letters to sport and, as verbs, they are also distinguished by their ‘-ik’ ending, forming a special conjugation class of their own.
Ha – I was joking, of course, but yeah, it seemed to have worked out OK for Barrick 😮
It’s been 9 years since I found that out and it’s been F—S— Gold ever since. 🙂
I just today bought some more Northern Tiger, or as it is now called Golden Predator. That is an exploration play, but considering its vast land holdings and location, I would be very surprised if it did not find gold, silver and copper in large quantities. This is a buy and forget for a few years type stock. It will either go bust, or be at a considerable multiple of its current price in a few years, I believe.
Other copper stocks that have recently been active at conferences are Western Copper, WRN, and Taseko, TGB.
Presentations at conferences at a minimum implies the companies are not in hibernation.
I think that a possible catalyst for copper might be the electrification of India and some countries in Africa. With the advent of electronic technology, smart phones, etc. they need to be charged. This requires electricity.
For that reason, I think solar technology will see great advances and for central generation, I see mini- or micro- nuclear power generation. All areas where good profits will be made; choosing the right companies, however, is the key problem.
CFS
That is a good one! Today might be a good day to buy.
Brian
“I think that a possible catalyst for copper might be the electrification of India and some countries in Africa. With the advent of electronic technology, smart phones, etc. they need to be charged. This requires electricity.” — CFS
BINGO!
I just today bought some more Northern Tiger, or as it is now called Golden Predator. That is an exploration play, but considering its vast land holdings and location, I would be very surprised if it did not find gold, silver and copper in large quantities. This is a buy and forget for a few years type stock. It will either go bust, or be at a considerable multiple of its current price in a few years, I believe.
Other copper stocks that have recently been active at conferences are Western Copper, WRN, and Taseko, TGB.
Presentations at conferences at a minimum implies the companies are not in hibernation.
I think that a possible catalyst for copper might be the electrification of India and some countries in Africa. With the advent of electronic technology, smart phones, etc. they need to be charged. This requires electricity.
For that reason, I think solar technology will see great advances and for central generation, I see mini- or micro- nuclear power generation. All areas where good profits will be made; choosing the right companies, however, is the key problem.
Cory, In Lent, I might post to fast; but the rest of the year, I might post too fast.
Gold has closed above its 200 week MA for 13 weeks straight but silver hasn’t managed to secure even 2 in a row. When silver finally does confirm gold, and it will, the whole sector will light-up and so will most commodities.
SLV – the 20 week MA/EMA has bullishly provided support for many months. The 1 hr chart suggests that at least a bounce is near but if SLV does ultimately break out to the downside, I doubt that it has much more than a dollar to fall:
http://stockcharts.com/h-sc/ui?s=SLV&p=W&yr=3&mn=7&dy=13&id=p21273824784&a=453953441
Northern Shield is PGM + Ni, Cu
I do not own shares in Northern Shield.
I do and I hope their drilling campaign is a great success, but it is highly speculative at this point as it is virgin untapped and unexplored elephant hunting for PGMs and Nickel & Copper.
Northern Shield is one of the most widely followed and hotly anticipated drill programs that investors discuss on CEO.
Anyone interested can scroll up and there are literally hundreds of comments on the benefits & risks. I couldn’t help but throw a little funny money at this drill program. They have 4 targets, NRN already has the VTEM results for Huckleberry and Sequoi. Huckleberry is being drilled by their JV partner (South 32) and the results should be out next week or two. [fingers crossed]
From what I have read, even if Huckleberry is a dud, the Sequoi property is what investors are most interested in. However, South 32 has only announced that they are going to expand their drill program on Huckleberry next year, so I can’t imagine them doing that if they didn’t see potential to make a nice discovery.
In case you did not notice, Pd is up double digits today, whereas Au, Pt are down double digits.
Wellgreen Platinum – Denver Gold Forum – VIDEO presentation
September 20, 2016
Diane Garrett
President & CEO
“Diane R. Garrett has more than 20 years of senior management and financial expertise in the field of natural resources. Most recently she held the position of President and CEO of Romarco Minerals Inc., taking the multi-million ounce Haile Gold Mine project from discovery to construction. Prior to that, she held numerous senior positions in public mining companies including; VP, Corporate Development of Dayton Mining Corporation, VP Corporate Development of Beartooth Platinum Corporation. Earlier in her career Dr. Garrett was the Senior Mining Analyst and Portfolio Manager in the precious metals sector with US Global Investors. Dr. Garrett is also a director of OceanaGold Inc., a global gold producer and TriStar Gold, an exploration company focused in Brazil. ”
Stillwater Mining Company – Denver Gold Forum 2016 – VIDEO presentation
September 19, 2016
http://www.denvergoldforum.org/dgf16/company-webcast/SWC:US/
Platinum Group Metals Ltd. – Denver Gold Forum 2016 – VIDEO presentation
September 21, 2016
http://www.denvergoldforum.org/dgf16/company-webcast/PTM:CN/
Ivanhoe Mines – Corporate Slideshow (First part on PGM, 2nd Copper, 3rd Zinc)
https://www.ivanhoemines.com/assets/docs/ppt/pres-2016-sep.pdf
Matthew when are you going to throw in the towel on the worlds worst investment -silver?
A year of two ago (it’s been so long I forget) you said the following and I quote:
“Silver will be fine”
What century were you referring to?
Gold d
Silver f
My top three silver companies went up more than 1,000% this year after I spent last year buying the heck out of them. As for the bullion, I’ve been saying for well over a year that the place to be was the miners. I repeatedly said that I like the metals more than conventional stocks but was downright bearish them when compared to the miners.
Silver has pulled back almost 10% from its recent high but is still up almost 40% year to date.
If you expect big gains without big volatility, then you don’t a clue about what makes big gains possible.
As I’ve said before, when James the lesser gives gold and silver an A, I will sell everything and go short on margin.
Typo: You don’t HAVE a clue.
My biggest holdings are in Silver miners, and I will stay invested that way until Silver reaches new highs, which is well over 100% away yet.
And if silver gains 100%, I fully expect silver miners to gain over 400%.
I don’t know if it will happen in my lifetime, but I think I have enough money not in the market to cover the rest of my life’s expenses, so I don’t really care. It would be nice to be proven right in my investment decisions, though.
CFS – I wish you all the success in the world with that plan and in life’s journey.
It seems very reasonable for the Silver miners to be up 4x’s the metal price, and I share a similar outlook on where the miners will go if Silver does go up and make a new high in spot prices over the next few years.
Your disturbing the Shad/Mat show James.
As long as a person didnt buy from aug 2010 -aug 2014 you didnt lose any money, and if you bought sept 2014 until today (using the $19 price) you might have made a little. (excluding premiums) depending when you bought.
The only real profits was buying shares early 2016 as every gold/silver bug is aware.
Course traders might see things differently.
Yes Traders would definitely see things differently, because there where many opportunities to both short Gold miners using inverse ETFs and go long miners using ETFs. As for the individual Gold/Silver miners, there have been countless counter-trend rallies in the miners for short durations, but they would have to have been traded in and out of. Buying and holding in a bear market would obviously have been a bad plan.
Many miners did bottom in 2013 and we posted on those here on the KER. Maybe you missed some of past Matthew/Shad shows though….. 🙂
Chris Temple, Doc, and Cory also pointed out, [along with a few different special guests on the KER] a number of times that there were some of the higher quality mining companies that bottomed in 2013 or early 2014 as well, that investors could have bought into back then for steady increases in share price (with pullbacks along the way to have added).
There were also alot an investor could have bought for steady decreases as well.
Lets not forget those.
My point wasnt about shares tho, but phyzz, a person can trade anything on the markets and make/lose money, doesnt have to be metal.
When you actually look at the performance of metal…gives a clue as to diminishing demand.
but heck, its to the moon any day.
Good point, but metals are for accumulating, and mining companies are for trading. They are two very different, yet somewhat related worlds. Gold and Silver are only up 20-40% this year, where many miners are up 2-10 fold.
P.S. – Other than crazy Mark, I can’t remember anyone on here saying metals were going to the moon for about 4-5 years, yet people continue to use that “too the moon” jab.
When retail investors are swarming into the space by droves and shouting to the moon, I’ll be lightening up my positions to those trend chasers. 🙂
I follow one approach. When I sell a block of shares in a stock (taking some profit from an investment – not trading), I typically take some of the money/profits and buy OUNZ. Accumulate some real gold with PM miner profits.
That seems like a very wise strategy Brian. May you be incredibly prosperous in your investing.
Yes indeed, very smart, Brian.
IVN.TO on its way to the moon,or maybe 2,55
Wow, Pete, I hope you own a ton of it. I should have bought when you brought it up in April! Here’s what I said about IVN at the time:
http://stockcharts.com/h-sc/ui?s=IVN.TO&p=W&yr=3&mn=11&dy=22&id=p18460471280&a=455288069
Be sure to take profits, the WEEKLY RSI reading is almost 90 right now. No matter why it’s going up, it is a good idea to at least trim a chart that looks like that one.
Note that it is now 90% above the 30 week MA. The crash of 2013 took it 65% below that MA.
Yes i am a happy shareholder 🙂 ,you are right,the chart looks like some trimming is a good idea.
Thanks,Matthew
Darn, Pete – now that you gave Ivanhoe a moonshot call, I had to trim some back. 😮
Only kidding as I know you’ve had some great gains in the stock this year.
—> On April 19, 2016 at 11:21 pm,
Pete says:
“Of course,Jan 2016 was the low for Ivanhoe.”
_____________________________________________________________________
Pete nailed it!
I should mention – Matthew nailed it with the chart as well.
Good work as always to the KER crew.
We all should have bought Ivanhoe after Blue’s good endorsement:
—-> On December 8, 2015 at 12:30 pm,
Excelsior says:
“Ivanhoe Mines and Zijin Mining Group Complete Deal for Zijin’s US$412 Million Investment in the Kamoa Copper Project
HONG KONG, CHINA–(Marketwired – Dec. 8, 2015) – Robert Friedland, Executive Chairman of Ivanhoe Mines Ltd. (TSX:IVN), and Lars-Eric Johansson, Chief Executive Officer, announced the completion today of the investment by China-based Zijin Mining Group Co., Ltd. in Ivanhoe’s Kamoa Copper Project in the Democratic Republic of Congo.
*—-> On December 9, 2015 at 9:00 am,
Blue says:
“Hi Excelsior!
I like Ivanhoe mines and im gonna buy this stock but not until next year. I think pm and base metals has to fall further. This is Rick Rules favourite miner 😉 . He’s buying right now but he has a timeframe of 3-5 years from now.
Here is some thoughts from SeekingAlpha:
(Blue posted the fantastic editorial and analysis from a contributor on Seeking Alpha that laid out the case perfectly).
—-> On March 27, 2016 at 6:15 pm,
Excelsior says:
“I just did a Rick Rule binge watch from YouTube on Friday night and was reminded in one of his presentations just how world class the assets of Ivanhoe Mines are for the PGMs, Copper, and Zinc. I believe that when commodities pull back this will be one of my top Base Metal picks for a longer term time horizon.
“Corporate Presentation Ivanhoe Mines:”
—-> On March 28, 2016 at 3:57 pm,
Excelsior says:
—> On March 28, 2016 at 3:57 pm,
Excelsior says:
“Agreed. Often times the market has over-reacted in their risk assessment, and then trend followers just wash out the share price in a company to a ridiculous level. That is how I felt about Silvercorp when on the OTC version (SVMLF) it was trading in the $.40’s. It’s how I felt when Americas Silver Corp on the OTC (USAPF) got down to $.042.”
“I posted a few times about different mining companies in W. Africa and uninformed investor had overly discounted companies like True Gold (prior to takeout by Endeavour Mining), Endeavour Mining, Perseus Mining, Asanko, Roxgold, Avnel Gold, etc…. I also believe companies like Ivanhoe Mines and Platinum Group Metals were the babies being thrown out with the bathwater in S. Africa, and finally some sanity is returning to their share prices.”
“Also, I really love companies coming out of credit restructuring that retain their assets and have a huge chance for a market surprise to the upside like Aurcana, Nicola Mining, Paladin, or Jaguar Mining mentioned below.”
“That’s part of being early to the party as a contrarian when there is real value there.”
—> On April 3, 2016 at 11:47 am,
Excelsior says:
“Some of these polymetallic plays like Constantine, Mandalay, Nevsun, Ivanhoe, Sierra Metals, Turquoise Hill, Altius Minerals, Strategic Metals, etc….. are very interesting because while they don’t have a single focus, they have their risks diversified in different commodities, and it gives them different times where certain assets shine allowing them to develop the other assets that will shine down the road.”
—-> On April 24, 2016 at 3:35 pm,
Excelsior says:
“Also Ivanhoe Mines has a 3 main projects but one is a substantial PGM property. I have Ivanhoe Mines in with my Base Metals stocks, but 1/3 of their assets are PGM related, so I felt it was worth mentioning.
Also Ivanhoe Mines is one of Rick Rule’s long time favorites because of the quality of their assets.
Here’s a quick blurb and a link to their corporate presentation for those not familiar with Ivanhoe Mines:
Ivanhoe Mines Ltd. (Ivanhoe) is a Canada-based mineral exploration and development company, whose principal properties are located in Africa. The Company is engaged in the exploration within the Central African Copperbelt and the Bushveld Complex. The Company’s projects include Kamoa Project, Platreef Project and Kipushi Project. The Company’s Kamoa Project is a copper deposit located in the Central African Copperbelt, in Katanga Province, DRC. The Company’s Platreef Project is a PGE, gold, nickel and copper deposit located on the northern limb of the Bushveld Complex, in South Africa. The Company’s Kipushi Project is underground zinc and copper mine in the Central African Copperbelt, in Katanga Province, DRC. The Company also holds interests in mineral properties in the DRC and Gabon, including a land package of approximately 1,600 square kilometers in the Central African Copperbelt.
________________________________________________________________________
Ivanhoe Mines – Corporate Presentation:
—-> On April 28, 2016 at 4:34 pm,
Excelsior says:
“Thanks OOTB. Yes the deposit for Wellgreen has been “Well” understood for decades, but it was originally only worked up with a feasibility study for the Nickel & Copper a long time ago. The new direction was incorporating the Platinum, Palladium, and Gold into the mix, and it is quite stunning.
“Ivanhoe is more of a development company, but they have world class PGM, Copper/Zinc, and Gold deposits. They got lost in the shuffle for years, but are finally making some progress on getting their mines and plants built, and I expect them to grow substantially over the next few years.”
— > On May 11, 2016 at 2:10 am,
Excelsior says:
“For those that may have missed this post in the weekend onslaught 2 weeks back, I thought I’d repost this discussion between Rick Rule and Robert Friedland, as they discuss the mining business, but in particular Ivanhoe Mines (IVN.TO) or (IVPAF for the OTC)”
________________________________________________________________________
Podcast with mining legends Robert Friedland and Rick Rule
April 29, 2016
https://www.ceo.ca/@editor/rick-rule-interview-with-robert-friedland-part-i-of-ii
—-> On May 11, 2016 at 2:16 am,
Excelsior says:
From a recent editorial reviewing Ivanhoe:
“Ivanhoe Mines (OTCPK:IVPAF) and its JV partner Zijin Mining (OTCPK:ZIJMF) seem confident with their latest base metals discovery in the DRC and have decided to throw more money faster at the Kakula discovery area at their Kamoa project. The sometimes-larger-than-life-CEO Mr. Robert Friedland himself has taken it upon himself to announce a goal of completing 25,000 meters of additional drilling on the property this year.”
—> On May 11, 2016 at 2:52 am,
Pete says:
“Great information on Ivanhoe,Excelsior.
“Mining is never easy,but i think Ivanhoe shareholders (me included) will be pretty happy in a few years.(just my personal opinion)”
—-> On May 11, 2016 at 5:18 am,
Excelsior says:
“Thanks Pete.”
“Yes, it’s a developing story but there are number of milestones they’re working on crossing this year and next year that should provide some fuel for higher share prices.”
—-> On May 12, 2016 at 12:06 am,
Excelsior says:
“I just listened to the entire interview with Rick Rule and Robert Friedland for a 2nd time, but all I can say is that I’m EXTREMELY IMPRESSED with the insane grades, size of the deposits, and the economics of the Ivanhoe’s Copper project, their PGM project that has over 6 economic metals inside it and they will be the lowest cost PGM producer on the planet, and their Zinc/Copper project blows my mind with how dense & simultaneously contained their deposit is, which translates to an easier jump into production.”
“Lastly, Ivanhoe has NO DEBT, and is trading for it’s cash value, and it is like picking up all 3 of their world-class assets for FREE. This makes no sense, but I’ll be continuing to add to my position for the next 1-2 years, and then this will be a long term holding for me (which is rare for me).”
“In my opinion, they will be a force to be reckoned with in a few years and it doesn’t seem the marketplace has come anywhere close to valuing their company, assets, or share prices correctly. I just thought it was worth mentioning one more time….”
—-> On May 12, 2016 at 12:40 am,
Excelsior says:
“BTW – Dr Marc Faber is a Director, and also was on the previous incarnation of Ivanhoe Mines that eventually turned into the modern day company Turquoise Hill Resources. That is when I got interested in this management teams, and and Turquoise Hill is one of the better run Copper companies out there, but I believe this current venture for modern day Ivanhoe Mines, will dwarf that project. This team can deliver:”
—-> On May 12, 2016 at 6:42 am,
Pete says:
“Yes,impressive indeed,the grades and size,but the valuation is ridiculous.
Rick Rule said about Ivanhoe on BNN Aug-12-2015
“The best collection of assets assembled in a junior in my lifetime”
I bet that Rick Rule has seen a few assets,
I think this will be one of those stocks,that when you look back in a few years,you wish you bought more.(in my opinion)
Its a long term hold for me also.
Yes,and it was RR who got me interested in Ivanhoe,i remember him say that it was a long term play,but the more i researched it the more i liked it.
At the time it was so cheap so i couldn´t resist buying some.
Thanks,Excelsior
It was an investment,just like Dalradian
Absolutely. Rick Rule has definitely helped Robert promote the company, but rightly so. They have 3 world class deposits and successful team at the helm.
Yes, I don’t own the Irish star Dalradian, but there are a number of very sharp investors and analysts I respect that are very excited about how things are developing for them.
Good stuff!
I believe Brent Cook, John Kaiser, and Gwen Preston are fans of Dalradian too.
Yes, Brent Cook likes the Curraghinalt deposit,he thinks that its one of those that will “work”,i really like DNA long term.
🙂
The bearded one is hard to impress, so if he likes it geologically, I typically make a note. Similar to his past comments about Mirasol and Lydian as economic deposits for the longer term.
Thanks,Excelsior
I remember,“The best collection of assets assembled in a junior in my lifetime”,
Yep, you gotta at least have a few tickets in the hopper for that raffle……
IVPAF is a bank and forget about it, investment for me.
My son can decide when to sell the shares 20-30 years from now.
I looked up Dalradian. There are five professional analysts studying that stock.
(Cook and Preston are newsletter writers not analysts)
Strangely, the analysts only rate DNA as 28th out of 96 stocks in its category.
I have to hd time yet to investigate why.
Then, again, analysts rate Ivanhoe as 52nd out of 66 in its category.
So they have a shorter term outlook!
CFS,
Thanks for the input.
b I don’t know if your reply was suppose to be a defense of silver or not.
But based on what you said, unless you caught a small window of opportunity early 2016 the best silver did was maybe make a little.
Not the hallmarks of a stellar investment.
An occasional trade if you catch it, but as far as an investment goes – it’s the worst investment in the world.
But this site is for traders so who cares?
If you think the postings of Matthew’s charts is for trading only, you are mistaken. Charting can be used VERY effectively for accurately defining entry points – to accumulate shares to hold as an investment for years. That is what I do. That is why I follow Matthew’s post and and, as a result, I have increased my wealth (notice I did not say “Made money on a great trade”)
If you think EX’s postings of very helpful background on companies is for trading, agin you are mistaken. EX has provided me with numerous ideas on investing (long-term) based on fundamentals. That is why I follow EX’s post and,as a result, I have increased my wealth.
I tried to trade in 2015 –
“I am not any good at many things, and trading is one of them”
Congrats brian.
There are many ways to make money in the markets, I personally dont use charts,Shad or Mathew and have made money. Lots and lots of %s.
For me, the most valuable thing (money wise) on this site was Bird calling drops.
very useful.
Direction/momentum is obvious, other than at any givin point its about 50/50 metals go up or down lol
Thanks Brian. There is a great deal of both Fundamental and Technical data posted to the KER every day, and investors could use this information for short duration trading or longer term value investing.
Economic macro discussions are interesting too, but most rants people have about current events, don’t make traders or investors any money, unless they are day-traders or only approaching things with a 3-10 year approach to buying Currencies, Oil, Gold/Silver, Copper. Uranium, Solar, or Bonds. It’s difficult to plan for 3-10 weeks much less 3-10 years.
Having said that – I do love to catch as many macro overviews from the leading economic pundits that appear as guests on the KER, or that contributors post on the blog to see what the guru’s think will play out. 🙂
Thanks Brian, you are absolutely right. The universe is fractal so charts work equally well no matter the time frame.
If I am ever unclear about what I am saying, people should ask for clarification. As a rule, I’m not talking about what might happen over the next few days if I post a weekly chart and say that it looks great.
Having posted on this site, first as CFS2000, then CFS Or DFS, or cfs, this site did not start out as a trader’s site, but an investment/economics site.
It has taken efforts to keep out pump and dumpers and opinionated idiots, but it’s value lies in information density.
🙂 I remember the CFS2000 days. Classic!
Just pointing out a person did not necessarily lose money if they bought after sept 2014
Buying prior to about oct 2010 you would nominally be ok too.
Course anyone astute enough not to listen to gurus and bloggers made money selling the spike.
Im agreeing with you James, other than traders, which can be done with pretty much anything, silver has been horrible compared to many many other options.
If a person really was scared of a shtf scenario, and they actually believed metal would save them, they just need to buy a bit o phyzz,….. the trick is to forget it after that.
In any case, its to the moon any day, just ask the Mat/Shad duo.
From late 2010 to late 2015 there has been lots of opportunity shorting the metals, we shouldnt forget that.
That topic doesnt sit well with “bugs” tho.
b I bought silver at $4, $8, $12, $18 on way up
$40, $26 on way down.
I am well ahead in silver, and still considerate a terrible investment.
Matthew thinks I will give silver an “a” if it goes to $50 or something.
He is totally wrong, silver could never earn an “a” as an investment.
You run on emotion, James. If you were humble, you’d probably be honest and give yourself the “F” not the asset that you don’t know how to play.
I also loaded up on AG at $5 and then again at $10
So I am basically up 100% in this purchase
It is still terrible!
Matthew your words prove my point
Silver is an asset you are supposed to play.
If I wanted to play I know other assets much more profitable
My words hardly prove your point, James. Don’t kid yourself, all investments have to be “played” whether they’re short term or long term or volatile or not.
Silver offers way more profit potential than gold if you know what you are doing yet you always give silver the lower grade. That tells us a lot about what you think of volatility, and your inability to take a routine pullback in stride also suggests that you don’t have much confidence in your reason(s) for buying in the first place.
Yupper James, some of us have actually been buying phyzz since around $4 an once, gold from 2-300.
But thats a long time ago now.
I agree with you silver is horrible compared to other investments and some people dont understand that.
For me, when silver was …lets say 5 an once, a 3 bed house with 3 baths a den rec room workshop large laundry room etc with 3 extra lots was 35k, across from a park and just a few minutes from the oceon. lol
Just thought of that.
That 5 once sells today for $20 if ya didnt have so much you needed to pay fto store it you multiplied your money 4x.
That real estate is what? 250-300k each lot and 500k or more for the house? lol
Ya, silvers excellent.
Many more can be found to outdo silver actually.
If a person is into tradeing silver, thats fine, but lets be honust, its just what their into.
Remember the Hunt bros had the same thinking how many years ago that bugs have now? 1980? what is that? over 30 years waiting for the “we gonna run out scenario”.
The moment we run out asteroids will be mined. lol
Honustly, I love cherry-picking dates, mis-understanding investment theses, and comparing apples and oranges. lol
30 years gh, compareing silver to real estate.
Try the same equation with gold, 300-1300 4-5x?
I guess ya can call that cherry picking.
Of course it’s cherry picking.
I could do the same, but say 15 years, or from the year 2000. And it would lead to a completely different, and equally invalid conclusion.
Every asset has it’s ups and downs. I’m not aware of anyone on this blog saying differently. That there may be a valid reason to be bullish silver, or precious metals in general, or to want to hold a certain % in them through ups and downs, has nothing to do with ‘to da moon’ or ignoring other investment classes. But those who love to poke fun at the ‘bugs’ trot these straw men out over and over.
over 30 years is 1 heck of a cherry.
recall gold is supposed to retain purchasing power.
not hard to figure gold sure did not compared to real estate.
that may have begun around 1971,
maybe gold catches up some day.
What are you smoking, B? On average, gold has absolutely kept up with real estate. Go to this link: https://www.census.gov/const/uspriceann.pdf and select any year since 1963 and divide the median and/or average home price by the price of gold at the time and you’ll see that gold has more than held its purchasing power. For example, in 1963 the median/average home price was about 500 to 550 ounces of gold (gold was $35 then). That site doesn’t provide info beyond 2010, so, looking at that year, we can see at a glance that there’s no need to do the math precisely – the average/median home price, in gold, fell to roughly HALF what it was in 1963 (while the dollar price went up about 25 times!).
35k in gold times lets say 5 (300 to 1300) = 175k
35k real estate 1 house 3 lots 200k per lot 4-500k for house
um, thats about a million.
not sure how thats not a tad better than keeping the gold.
but whata I know?
thats a bc lower mainland comparison
Just thought, in about 1979 I could buy 6 acres just out side calgary at the time, 25k.
Quick google search says 350k per acre today.
6 x 350? a touch over a million, the gold 25k x 5 125k.
Im sure there are places in the world where real estate did not return as much as gold, but around canadian cities? In my experience.
Land baby. alllll day.
You are funny, B. You can make any case you want if you’re going to focus on select bubbles that amount to a drop in the bucket. The ridiculousness is obviously lost on you.
What are you smoking Mathew?
Really B? You think gold’s performance should be judged based on small pockets of real estate that are experiencing massive bubbles? Like I said above, you can get any result you want with such a crooked approach.
Did you work for the government by any chance?
Yes Mathew I do, and we are coming to help you.
b your 100% right.
Some people just don’t want to accept that.
They will go down kicking and screaming
Silver is a great trade. Look at ZSL and the new one, DULL. Both were good trades the last few days. Silver moves better than most. The trading opportunities are awesome! Silver is so undervalued it’s stupid. Some day ( in the not so distant future ) it going to blast-off! The silver mining stocks since December have been great! ( I missed some )
I’ve never thought of gold or silver being an insurance policy for a SHTF scenario. It’s always food, water, medical supply’s and bullets. And good like-minded neibors.
Hey Ex.When it comes to base metals don’t forget the zinc…trevali had another good day.I might get into broken record territory but I love my zinc going forward.dr copper will lag in my opinion …which for now I’m allowed to give without repercussions. ..unlike others apparently.😊😊😊
Thanks Wolfster. I agree with you that Zinc is starting to move before Dr Copper. We posted a lot about zinc on the Weekend show 2 weeks back, and I started worked on getting my Zinc list cleaned up before Copper (still working on it) for just these reasons.
I keep testing different ideas with the incredibly sharp folks over in the CEO Zinc room, and they’ve helped me avoid a few pitfalls with different companies, and are constantly posting interesting ideas.
They seem to like Vendetta Mining, Rox Resources, Tinka Resources, and Solitario Exploration best. Some also still like Teck, Hudbay, Nevsun, Nystar, and Lundin as well.
A few of us finally got some of the Zinc pros to review Arizona Mining and Heron Resources and they did admit they showed great potential. Zazu Metals may be good down the road when Teck comes back around and lifts them off life support.
Other Zinc companies I really like are Pasinex Resources, Orosur, Constantine, Callinex, and Canadian Zinc. Yes, I’ve looked at Trevali a few times as well, and will take another look because they have a nice mix of Zinc, Silver, and base metal credits.
Cheers!
Yes I read that a couple of weeks ago.what exactly is ceo zinc room???….and no one liked trevali???I must be missing something that makes trevali not good enough to mention
Here is the Trevali Room on CEO (you can click on any of the blue $ tickers and go directly to that room). There are some good thoughts from investors if you scroll up through the older comments.
As for the Zinc room it is the one with the # in RED. Any comments that have the #ZINC on them get added to that room.
(ironically the most recent comment is about Trevali 🙂 )
Lastly, there is a Zinc Panel where there may be some overlap, but there are different people and different comments in both. In the Blue $ rooms, or Red # rooms, everyone can also post more comments straight into that room only. With the Green ~ Panels, you have to be invited into the room to post a comment, but I believe everyone can see the comments in that room. This is the one I like to check on several times a week because there are some mining geos and engineers in there that know this commodity very well.
(please let me know if you can see this)
Thanks Ex.I was able to read every link.Lots of info indeed.Better to read when I’m not tired I think.Was finding it almost overwhelming.Data overload.Cheers
Btw….Rick rule is on bnn market call tomorrow night
Cool. Thanks for clearing up whether the ~ panel rooms were visible to others. There are some other good ones I’ll include when relevant down the road.
Yes, it can be data overload, but it took me a while to figure out the $ # ~ format. Now I just drill down into the sectors using the # and the companies I want using the $ and dig deep wells in those areas. There are about 6-10 panels using the green ~ that have consistently good information.
I’m a huge fan of crowd-sourcing information from the collective wisdom of the tribe.
Wolfster – thanks for the heads up on Rick Rule on BNN tomorrow night. (another great example of crowd-sourcing info 😉 )
Further up the Trevali Room I saw last week’s update on drill results. Impressive:
revali Expands High-Grade Zinc-Lead-Silver Mineralization At Santander Zinc Mine And Discovers New Central-Oyon Zone
Highlights Include: 16.6 Metres of 13.8% Zn, 4.6% Pb and 3.2 oz/t Ag & 15.9 Metres of 10.2% Zn and 2.0 oz/t Ag at Magistral Central, 24.2 Metres of 5.6% Zn and 2.9 oz/t Ag at Fatima and 11.4 Metres of 4.4% Zn, 1.7% Pb and 2.7 oz/t Ag at New Central Oyon Zone
Wednesday, September 21, 2016
Gold and silver are like everything, buy low and sell high.
+1
Have any of you ever seen those Karate places where the kids learn Karate?
They all have tons of trophys in the window…
Being that there are infrastructure projects that are about to start around the globe. And copper, steel, lumber, cement, and iron ore are staples.
Any thoughts of iron ore manufacturers or mining ? Anyone?
The biggies are BHP Billiton, Vale, and Antafagusta. All showing a bit of strength after a pullback.
Hey Ex, since Trevali and Sierra Metals are mentioned above, here’s a flashback to early January:
On January 10, 2016 at 9:54 am,
Excelsior says:
Thanks for the thoughts on both Silvercorp and Impact Silver. Yes, Dragonite’s comments had me looking at Silvercorp again, and I like that their mines are blowing and going in China, and think they have some room to run.
…Here’s 3 more that would be fun to discuss, if you get the time. I’d enjoy hearing any feedback on:
1) Sierra Metals – We’ve discussed it briefly in the past. It is a poly-metallic miner with 3 producing mines for silver, copper, lead, zinc, and gold. They get very little fanfare, and must not have a great marketing department, but they seem to have a great business growing.
2) Trevali Mining – Zinc, Lead, Silver and just put their Caribou Mine in production the end of last year, and have the Santander Mine already producing. They took a big hit the last few years, but I’m bullish on Zinc, and think this may help them out.
3) Starcore International – They are more of a Gold company, with their San Martin Gold Mine, but also have substantial silver credits at that mine. They also have the Altiplano Gold-Silver Toll Processing agreement, and huge exploration project in NV.
On January 10, 2016 at 12:40 pm,
Matthew says:
Ok, this probably won’t be a surprise but based on my minimal DD, I like tiny Starcore the best of the three. It trades at 4.25x FCF (free cash flow); .42x sales; .21x book value and has 5.35x more cash than debt. At this time, I also like that its focus is on gold and silver.
I also feel more comfortable with its exposure to Mexico, the U.S. and Canada.
I don’t like Trevali’s debt (14x more debt than cash) and negative FCF, but the weekly chart suggests that it might’ve already bottomed even if a retest of the low is necessary. It is very liquid for a $138M stock and trades at just .43x book and 1.26x sales (Sierra Metals trades at .97x book and 1.28x sales while IPT trades at .18x book and .64x sales -source: Yahoo Finance).
Sierra Metals is in good financial shape with $15.6M in FCF; $32M in cash and $77M in debt —which is probably why it trades at .97x book value (speaking of good financial shape, CRJ is at 1.17x while RIC is a steep 1.93x).
I actually like zinc a little further out so accumulating TV and SMT would make sense. Any worries about Peru?
——————————————
Starcore did end up outperforming the other two. As of Starcore’s YTD high, on 7/06/16, the other two were far behind:
http://stockcharts.com/h-sc/ui?s=SAM.TO&p=D&st=2016-01-08&en=2016-07-06&id=p57881256474
But, as expected, the base metal plays are starting to catch up:
http://stockcharts.com/h-sc/ui?s=SAM.TO&p=D&st=2016-01-08&en=2016-09-27&id=p07597724610
Thanks for the rewind Matthew 🙂
Yes, I remember this discussion and decided not to buy Trevali because of it. I was looking for Silver/Zinc/Gold in late December and January and trying to dig up anything interesting that had been left behind for dead. You nailed it on Starcore International’s outperformance.
I like the second year to date comparative charts. Trevali and Sierra are starting to turn up indeed. Sierra Metals is one I’ve owned off and on, but have been been underwhelmed at their underperformance this year. I follow them very closely, and believe they have made positive improvement to upgrading their processing methods, equipment, and mining strategies, so I look forward to improving metrics from them over the next few quarters. It is definitely one that needs to play catch up and join the rest of the party.
Matthew – Thanks for your insights as per usual.
BTW – The Corporate Slide Presentation the Denver Gold Forum VIDEO presentation for Sierra Metals is posted at the top of this blog along with the other Copper companies. I remain a fan and think they are not just not as visible to most investors, and can’t think of any newsletter writers that cover them either. They remind me a lot of Mandalay Resources. Well-run and under-appreciated.
Thanks
Yeup, even zinc cooperated. Notice that at the end of that Jan. 10 post, I said: “I actually like zinc a little further out so accumulating TV and SMT would make sense.” 😮
Many commodities remain good PMs profit dumpsters. 😉
Agreed. I’ve got a few good companies under my belt with Zinc exposure but like about another 6-10 mentioned up above in the Zinc chat with Wolfster.
Great point on many commodities remaining good PM profit dumpsters. (just like the prospect generator companies are good profit dumpsters).
Hillary won Yippie!
Everything is fine now!
I used to think investors were smart
There really not
Gold doesn’t lime Hillary
Never mind NIRP or QE or debt or Deutsche Bank…
Hillary supposedly won a debate and stocks love it.
Status quo – more cheap money for bankers and wall st
Yellen keeps her job