G Mining Ventures (GMIN.TO)

First-class management -- young, but experienced. Buys projects, builds the deposit, and then operates it. Proven mine builders. Wonderful pathway to growth. In the best cost quartile in the world. 

Expects price to rerate higher. If not, his fallback premise is that its mines would be of interest to larger entities. No dividend.

GMIN has been showing great momentum over the past couple of years, alongside the broader increase in the price of gold. It is a $4.0B gold producer with strong sales and earnings growth estimates, and a positive cash flow profile. It has a $1.1B equity position, with a net cash position, and it trades at a decent valuation of 11X forward earnings. For a long-term hold (5-10 years), we would prefer a larger and more stable name like WPM or AEM, but we think if the price of gold continues to stabilize or increase in the coming years that GMIN can expand its fundamentals and perform well. We would be OK with a long-term position here, while acknowledging is smaller size and certain risks.
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Recently took over Reunion Mining. His hope is that these 2 mines can combine somehow. As a safeguard, acquired another development-stage asset in Brazil. Expertise in developing projects on time and on budget.

Disclosure:  He's a big shareholder, as well as a friend of management.

Will continue to own shares. Excellent company that has performed well. Has done business with family for 3 generations. New assets and mines will continue to generate value. New gold discoveries are expected in Africa and South Africa. Lundin family may end up taking over the business, but is speculation. 

We would agree GMIN is interesting. It is fully funded to production, which it expects in the next 6 months. Ore is starting to be processed. Assets look good as does the management team. Brazil is a solid safe jurisdiction, and Guyana (where Oko West is) is OK. With the gains this year market cap is now over $1B, and this can attract new interest. For a soon-to-be midcap producer, it looks good. 
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Top-tier mining contractors, especially in tropical and high rainfall environments. Experts at delivering on time and on budget. Fully financed to production. Expects them to do further acquisitions. No dividend.

Founding family has long track record of on time and on budget. Specialists at building mines in tropical, high rainfall environments. 

Company created so that owners could employ expertise for themselves, not just for other companies. Bought a mine from ELD in Brazil to kick things off, now at construction phase. Risk is that implementation phase will not be on time or on budget. No dividend.