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Stockchase Opinions

Rick RuleG2 GoldfieldsGTWO.VTOP PICKSep 02, 2022

Very thinly traded stock. Exploring major deposit in Southern Africa. Stock under priced given potential upside of gold deposit. High risk with nature of gold exploration, political risk and physical location of deposit.
$0.63

Stock price when the opinion was issued

$0.98

As of Apr 08, 2024. Market Open.

Mining
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Spinoff of non-core holdings into G3 Goldfields.

Thinks it'll be taken over in a couple of years -- most likely by GMIN, who's building a mine right across the property line. He owns the spinoff, but know that it's highly risky -- you need to have patience and be willing to assume the risk.

PAST TOP PICK
(A Top Pick Jul 19/24, Up 79%)

Hopes for a merger with another company, but enmity between the management teams means no merger is imminent. He still believes that it's ultimately a consolidation play.

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Opportunity for amalgamation. Neighboring companies likely to merge with company. Recent financing suggests amalgamation with partner. Lowest cost quartile in terms of costs. Both a discovery stock and amalgamation play. 

PAST TOP PICK
(A Top Pick Sep 02/22, Up 5%)

Are active in Guyana, but Venezuela threatens to invade Guyana and take over their resource-rich territory. But GTWO has tier-one gold deposits which would make it a takeover target.

PAST TOP PICK
(A Top Pick Sep 02/22, Up 19%)

Operating in what he hopes will become a Tier 1 district, which means 10M+ ounces. A bit of a stretch, but geography is amenable. Guyana itself has newly found fiscal stability with discovery of 10B barrels of recoverable oil. 

Suspects will eventually merge with GTWO, as they're so close together. Or get taken out simultaneously by a larger company. Both management teams get along, and will each work to create value before any of this happens.