The Barkerville district has a lot of prospectivity. Their individual drill results are excellent but under the control of the Osisko company. He doesn't own it, because has a hard time getting the drill holes to tie together. That said, the district has a lot of promise and the exploration team is strong. The stock could go higher.
He cautions people against sole-risk exploration in the far north, but the target is attractive and the managers very good. Caveat: it's aa very thin market cap stock.
Doesn't know if the infighting will end. He likes them from a geological point of view--in northwestern BC. But the political scene about mining is rapidly deteriorating in BC, so he's underweight BC.
Recently bought it. They used to disappoint alot and have a hostile proxy fight with shareholders. It's a large, Canadian deposit. He believes they will solve their exploration problem. There's a lot of exploration upside.
How do you reconcile the difference between the spot price of gold and gold share prices? In the last bull market for gold from 2000-2010, the gold price rose $250 to $1,900/ounce, but earnings declined. Until management teams can effectively turn the gold price into cash flow, you'll see the gold share prices languish vs. gold prices. The companies that have the best leverage to gold are the inefficient producers (high costs). We need gold companies to show the same financial acumen as companies in other industries.
Great management team and good geological potential. Ontario taxpayers will subsidize the company by building a road to the Ring of Fire--finally after 20 years. A deal has been struck between NOT-X and the indigenous people up there. NOT has done a great job up there.
(A Top Pick Nov 09/17, Down 1%) Chairman Ross Beaty is supposed to retire now, but he's had an amazing track record with four companies. The stock is a little down, because they had grown so fast that they had to do two stock issuances, which diluted the stock.
(A Top Pick Nov 09/17, Down 45%) It's the best junior stock he's talked about in terms of potential. It has three world-class assets and run by the best mining entrepreneur of this generation. The problems are South Africa and Congo. Investors are afraid of political risks, especially ones they don't understand.
They hit an amazing seam of gold. But he doesn't see enough geological information to assume a lot of material there, though the grade appears to be spectacular.
He sold it, and did well with it. Very well-run. But he's afraid of the outlook of many materials though. If materials sell-off, he'll buy this. Quality people and deposits.
There's a merger proposal and a private company which has interfingered lease holdings in Alberta. Problem is there wasn't enough drilling density to let him know what that land is worth. The merger and raising $110 million means that in 12 months, you'll see a better sense of what this land package is worth. A lot of promise but not enough data to make him buy.