Today, Rick Rule commented about whether EMX-X, TREK-X, IVN-T, RIO-N, TV-T, BTO-T, GUY-T, BTR-X, AFM-X, TECK.B-T, MUX-T, MTS-X, KAT-T, DGC-T, K-T, CZN-T, CGP-X, ROXG-T, XAU-T, III-T, ITR-X, KL-T, GGI-X, NSU-T, IVN-T, CNX-X, OR-T, GQC-X, ALS-T, MOZ-T, SME-X, PG-T, NDM-T, NXE-T, AGB-X, AXY-T, ABX-T are stocks to buy or sell.
Continues to be very Long and a very strong holder. World-class Canadian allocators of capital and world-class land spread. Perfect practitioners of the joint venture business model, and great merchant bankers in the mining business. An absolute “must own” in a junior portfolio. The knocks against the company will be that they have a lot of coal revenues, as well as their leverage to potash.
If you have a 2-year timeframe, this should treat you well. An extremely competent, but an extremely aggressive management team. There was a recent distribution of stock which he thinks was overhanging the market. Also thinks management, in terms of their financial public relations, is split among 3 or 4 issuers rather than just focusing on this company, which has hurt the stock.
(A Top Pick Nov 11/16. Up 102%.) Speculators need to understand that there is a lot of political risk. This is in a bad country, south Africa, and a horrible country, the Congo. However, they have 4 world-class deposits, wrapped around Robert Friedland, who is the most serially successful mining financier of his generation.
(A Top Pick Nov 11/16. Down 25%.) This had real, real problems delivering with regards to a copper circuit in Eritrea, and bought the Reservoir deposit. They paid for it with stock, and will get the benefit 4 or 5 years from now without higher cash flow. A combination of a bad miss in a copper recovery circuit and that they operate in Eritrea and that they increased their share count now, when they are going to benefit in 4 or 5 years, combined to wax the stock. He suspects that the stock will do very well over the next 6-12 months.
Recent additions or discoveries in the deeper part of the ore body in Foster Hill in Australia, have been nothing short of spectacular. Some of the best drill holes he has seen in his career. Management seems to understand those deposits well enough that the drilling is becoming predictive. He very much likes this.
He was a founding shareholder. It treated him well. Sold his holdings because it exceeded every possible expectation he had for it in a short period of time. Good management. They are adding assets under management very quickly, and are expanding into the physical gold space. He hopes to be in competition with them in a joint venture with Tradewinds with a blockchain cleared and settled with a gold physical token.
We are going to know a lot about this company in the next 4 or 5 months. When Robert Friedland hits a property with the drill bit, he hits it really, really, really hard. His inclination would be to wait until you see data coming in.