Mining Stock Education: Precious Metals and Junior Mining Stocks

Jul 14, 2024

Mining Stock Education: Precious Metals and Junior Mining Stocks

Introduction

  • Host: Bill Powers
  • Guest: Dave Crayler, Fund Manager & Editor of The Mining Stock Journal
  • Website: investmentresearchdynamics.com

Precious Metals Outlook

  • Gold Forecast: Potential to exceed $2500 by end of the year
  • Silver Forecast: Potential to reach mid-30s

Investment Strategy

  • Preferred Holdings: Junior development stocks (high potential returns)
  • Seasonal Factors: Gold and silver affected by Indian and Chinese buying seasons

Key Factors Influencing Precious Metals Market

  • Indian Buying Seasons: Significant during February to mid-May, and post-monsoon (Fall to Holidays)
  • Chinese Market Influence: Heavy physical gold buying, increased gold imports
  • Eastern Hemisphere's Dominance: Emerging control over gold price setting, reducing Western banks' influence
  • Countries Repatriating Gold: Moving reserves from Western central banks back home (e.g., India, Poland)

Market Trends

  • Eastern Hemisphere: Increased influence in gold prices due to higher physical gold buying
  • Western Hemisphere: Reduced ability to manage gold prices through derivatives
  • Investment Banks: Examples like Goldman Sachs predicting high gold prices, influencing market strategies

Investment Picks and Strategy

Call Options

  • Fortuna Silver Mines: Call options for short-term gains
  • Skeena Resources: Secured financing and undervalued
  • Silvercorp Metals: Low-cost producer in China, significant growth prospects

Junior Mining Companies

  • Calibre Mining: Operations in Nicaragua and new mines in Canada
  • B2Gold: Strong dividend, undervalued relative to peers
  • Cabral Gold: Significant upside potential in Brazil, pre-feasibility study ongoing
  • Paramount Gold: Developing projects in Oregon and Nevada, awaiting final permits
  • Angus Gold: High potential in Canada, near Westdome’s Eagle River Mine

Additional Companies Mentioned

  • G Mining Ventures: Adjacent to Cabral Gold's project
  • US Gold Corp: Near-term production in Wyoming, low market cap and high growth potential
  • Lion One Metals: Potential take-over target by Barrick

Conclusion

  • Market Overview: Emphasis on undervalued and growth potential in junior mining stocks
  • Newsletter: The Mining Stock Journal - Investment insights and recommendations

Closing Remarks

  • Host: Bill Powers
  • Guest: Dave Crayler
  • Website: investmentresearchdynamics.com
  • Subscription Rate: Current rate $20/month, may increase soon