• Junior Miner Awaits Assay on Core Sample from Alaskan Prospect

    Junior Miner Awaits Assay on Core Sample from Alaskan Prospect

    Source: Maurice Jackson for Streetwise Reports 04/03/2020 In conversation with Maurice Jackson of Proven and Probable, the CEO of Millrock Resources describes the company's latest news.Maurice Jackson: Today we will find out the latest developments from Millrock Resources Inc. (MRO:TSX.V; MLRKF:OTCQB) regarding drilling and assay results on the 64 North Gold Project, located in the prolific Tintina gold province in Alaska. Joining us for a conversation is Gregory Beischer, the CEO of Millrock Resources. Sir, for someone new to Millrock Resources, please introduce the opportunity the company presents to the market. Gregory Beischer: Millrock is a generative, early-stage exploration company. We look for gold and copper and other metals primarily here in Alaska, which is my home base. And the idea is to find a giant ore deposit and sell it to a major mining company, hopefully making a fortune for our shareholders in the process. Maurice Jackson: Millrock has an expansive property bank, with projects in Alaska, British Columbia and Mexico, along with royalty-in-equity positions in other companies. Focusing on the former, take us to Alaska, where Millrock has generated quite a bit of excitement, I should say, in the market. Introduce the 64 North Gold Project. Gregory Beischer: It really is a great project. We've built a huge land position that surrounds the Pogo Gold Mine. We have two highly compelling drill targets adjacent [to]—in fact, within sight of—the Pogo Mine. On March 8, we initiated the first drilling program to test the targets we've developed. Unfortunately, we've had to curtail the drilling. The contractor decided that it was best to retrench his workers back to their home base of Idaho before any travel restrictions were instituted. He didn't want his people stranded in Alaska. So, unfortunately, it meant that we had to pause the program. Fortunately for our shareholders, we were able to complete one hole in full and part of a second one. And I would say that we're quite encouraged by what we saw in the first drill core out of the project. [For press release click here.] Maurice Jackson: Well, you stole the thunder from my next question, which was how are operations being affected by the coronavirus? But let me ask you this, from a team perspective, has anyone been affected? Gregory Beischer: No. Thankfully everyone is completely healthy. All of the technical and admin staff are working from home. And you know, it's just a bit unfortunate because the reality is the drill crew and geologists that we had on site were probably some of the safest people on earth. They were completely isolated from the rest of the human population, with almost no interaction with the outside world. So tough calls to make, but that's the call that the contractor made. And so we've got to live with that. This is really uncharted territory for all of us and we just have ...read more
  • Virus Impact Unknown for Many Companies

    Virus Impact Unknown for Many Companies

    Source: Adrian Day for Streetwise Reports 04/02/2020 Money manager Adrian Day reviews non-resource stocks from around the world, noting that although he is cautious on global markets right now, with a few exceptions, some of the stocks on his list will be rated good buys on any dips. Loews Corp. (L:NYSE, 33.70) reported a profit in the last quarter, driven by earnings at CNA Insurance and Boardwalk Pipelines, as well as investment income at the parent level. But investment income will likely disappear for the next quarter or so, while Diamond Offshore will continue to struggle and Loews Hotels will suffer from coronavirus travel restrictions. Loews has a rock-solid balance sheet however, with more than $2.6 billion in cash, plus another $1 billion in investments (though less today because of the decline in the stock market, no doubt). It has continued its share buyback program, buying 21 million shares last year, representing about 8% of the shares outstanding at the beginning of the period. As of year-end, the book value had risen to $65.71, while the shares were trading a little over $52 a share. Book value has declined in the recent market turmoil—its largest holding, CNA Financial, has dropped nearly 30% since year-end—but so too has the share price; there remains a significant discount to net asset value (NAV) and a strong cash position. Loews will survive, no doubt, and equally has cash available to help its portfolio companies as well as, potentially, make a new investment. It is currently trading at just 10x earnings—though it remains to be seen how much earnings will suffer from the virus-restrictions—and just off its lowest price since 2009. Because its large holding in Diamond Offshore is vulnerable to continued weakness in the oil market, while the hotel business will suffer from the fallout of COVID-19, Loews may see further weakness. We would be buyers only on weakness. A defensive company with innovative growth Nestle SA (NESN:VX; NSRGY:OTC, 97.45) continues to shuffle its portfolio of food and healthcare as it moves ahead with more healthful products. For the most part, it has been selling low-margin, low-growth, highly competitive segments. It has put its U.S. ice cream into a global joint venture; it sold its European meat products company; and it sold Nestle skin health for Sfr10 billion. On the healthful foods front, it has experimented with several alternatives to sugar in sweets and candies, but some have not been a hit with consumers in several markets. It has also moved to take advantage of its acquisition of rights to Starbucks in stores, with premium brands in the U.S. Not cheap but defensive Nestle completed a Sfr20 billion buyback program at the end of the year, and launched a new Sfr20 billion program. The stock outperformed over the past couple of years, and has held up well in the recent market volatility. The company has raised its dividend virtually ...read more
  • Technical Analyst: Mega-Profitable Strategy for Next Heavy US Stock Market Down Leg Believed Imminent

    Technical Analyst: Mega-Profitable Strategy for Next Heavy US Stock Market Down Leg Believed Imminent

    Source: Clive Maund for Streetwise Reports 04/01/2020 Technical analyst Clive Maund discusses what he sees ahead for the markets.We are going to look at an array of important factors pointing to another severe drop in the broad U.S. stock market imminently, both factors external to it and indications on the charts for the S&P 500 index (and other indices which we won't have time to look at). First it is well worth watching another classic video from Greg Mannarino posted on March 30: WOW...ZERO Economic Activity in which he puts into words what many of us are thinking, and it's worth watching this at least a couple of times. Rather amusingly, "The Dark Side" tried to buy Greg off to shut him up, but he wasn't having it. This is how they operate – they buy you off, marginalize you, or take you out, whether you are an individual, a company or a country. Now we'll quickly look at related factors pointing another heavy drop by the stock market, and probably to new lows, before focusing on a way we can capitalize on this expected drop. We start with the Baltic Dry index, which was one of the factors we used to predict the crash before it started. On its 1-year chart we can see that it cratered from September through February, and after a feeble bounce in recent weeks is dropping again… Next oil, which as you all know has cratered, with Light Crude, shown below, dropping by a stunning two-thirds just this year. In the last Oil Market update, posted on the 13th, we forecast that it would break down from a bear Flag and plunge into the low $20s, and that is exactly what has happened… Lastly, Treasury yields are dropping again, pointing to (initially) deflation, that will be followed by rampant inflation, as central banks' profligacy comes out the other end of the pipe. Observe how the 10-year yield plunged ahead of the stock market collapse in March. Then they recovered some, which helped to give rise to the big stock market bounce, but now they are ominously dropping away again… Turning to the stock market itself, we see on the latest 5-month chart for the S&P 500 index that while the Fed's big intervention stoked a massive short covering rally, it DID NOT break it out of our expanding downtrend channel, which now looks set to turn it down into a really severe down leg, made much more likely by the factors that we have considered above. A way to capitalize on this expected drop, for those who are up for it, is to use the vehicle that we used before, the SPDR S&P 500 Index ETF, which has options with good liquidity and narrow spreads. Since SPY is a close proxy for the S&P 500 index, its chart looks almost identical… Below is a table showing ...read more
  • Gold Explorer Focuses on Acquisitions in Productive Canadian Districts

    Gold Explorer Focuses on Acquisitions in Productive Canadian Districts

    Source: Peter Epstein for Streetwise Reports 03/31/2020 Peter Epstein of Epstein Research and Falcon Gold CEO Karim Rayani review prospects from the company's holdings in Ontario.Few investments are working these days. Oil, blue-chip stocks, cotton, lumber major mining companies. . .all have been decimated in the past six weeks. Teck Resources Ltd. (TCK:TSX; TCK:NYSE) is down 73% from its 52-week high. Copper is 27% lower than it was a year ago. Yet the gold price has done quite well, up 30% from last year's low and near a seven-year high. With the strength in gold, gold juniors could make a move higher even as other stocks languish. Juniors with strong management teams, good projects in favorable jurisdictions and attractive valuations offer compelling upside potential, albeit with commensurate high risk. Precious metals companies in Canada are also benefiting from a significant move in the Canadian dollar/US dollar (CAD/USD) exchange rate (project costs in CAD declining versus USD gold price). A small-cap company worth learning more about is Falcon Gold Corp. (FG:TSX.V). It has an amazing team for a company with a market cap of just CA$2 million. Management has a lot of skin in the game, there are multiple Canadian projects, and more assets are poised to possibly come into the company. The following interview is of CEO and director Karim Rayani. Please continue reading to find out why an investment in Falcon Gold is well worth considering [corporate presentation]. Peter Epstein: Please give readers a history of Falcon Gold Corp. Karim Rayani: Falcon is a Canadian mineral exploration company focused on generating, acquiring and exploring high-grade opportunities in the Americas. Our Ontario, Canada, projects include the Central Canada gold project, the Wabunk Bay gold/base metals project in Red Lake, the Bruce and Camping Lake gold projects, also in Red Lake, and a 49% interest in the Burton gold property with Iamgold. The company is focused on high-grade acquisitions [with] a lengthy history of mining, where we can generate results rapidly and cost effectively, using modern exploration methods, to update, enhance or introduce new NI-43-101-compliant mineral resource estimates. We have five Canadian projects at the moment. PE: Can you tell us about Falcon's management team, board & corporate advisors? KR: Falcon is led by a seasoned team of mining execs. I stepped in as CEO about nine months ago and am the largest shareholder. I've been a financier for the past 15 years, focused on domestic and international exploration projects. We have assembled a world-class team that has had tremendous success in the mining sector. Tookie Angus needs no introduction: He's the former head of global mining group Fasken Martineau. For the past 40 years, Mr. Angus has focused on structuring and financing significant international exploration, development and mining ventures. He has had a long string of successes. Tookie's a lawyer by trade and will be very valuable to us as we advance our Central ...read more
  • Graphite Miner Faces Hurdles but Foresees Strong Market for Product

    Graphite Miner Faces Hurdles but Foresees Strong Market for Product

    Source: Maurice Jackson for Streetwise Reports 03/31/2020 Maurice Jackson of Proven and Probable discusses the future of DNI Metals with the company's executive chairman.Maurice Jackson: Today we will share a graphite development company set for production. Joining us for a conversation is Dan Weir, the executive chairman of DNI Metals Inc. (DNI:CSE; DMNKF:OTC). Mr. Weir, welcome to the show, sir. Delighted to have you back to provide us with a number of updates regarding DNI Metals, which is focused on becoming one of the world's leading graphite producers. Before we begin, Mr. Weir, please introduce DNI Metals and the opportunity the company presents to the market. Dan Weir: Maurice, in late 2014, DNI Metals conducted research on the value proposition of graphite. We put together a team consisting of engineers, process engineers, mining engineers and geologists with expertise consisting in building four graphite processing plants in Canada [and] Australia, and had operated in graphite mines in Canada and Sri Lanka. In our analysis we concluded that we wanted to position ourselves to become one of the world's leading graphite producers. Graphite, which has a number of industrial purposes, will be seeing increased demand with electrification of cars, in particular, in lithium-ion batteries. To clarify, as demand increases for more and more lithium-ion batteries, the demand for graphite will increase. Why, 30% of a lithium-ion battery is graphite; by comparison it's only about 2% of a lithium-ion battery that is lithium. DNI Metals saw the demand curve increasing over the coming years and wanted to position our shareholders to take advantage opportunity before us. China dominates the graphite production in the world, therefore we needed to find a competitive advantage geographically outside of China that would allow us to have low production costs. Our research determined that we should focus our efforts in Brazil and Madagascar. And the reason why we targeted Brazil and Madagascar is because of their similarities in climate. Both are hot and receive a lot of rainfall, which produces a weathering effect on rocks called a laterite or a saprolite. And really, it's just a fancy word meaning that it's a sandy, clay material that you can just go in with an excavator, dig it up and process out the graphite. In 2015 we acquired a promising graphite project in Madagascar and have since added a second project adjacent to our first property. Maurice Jackson: And let me ask you, by the way, where are you today? Dan Weir: I'm back in Canada. I've been home for a few months and like billions of other people in the world, I'm isolating myself here at home. Maurice Jackson: And can you provide us with an update on the impact that the coronaviruses having in Madagascar? Dan Weir: I checked this morning. Officially in Madagascar, there's about 39 cases as of this morning. I can assure you I've been to hospitals in Madagascar before ...read more
  • A Historical Perspective on Silver

    A Historical Perspective on Silver

    Source: John Newell for Streetwise Reports 03/30/2020 Technical analyst John Newell looks back at the gold to silver ratio through history.When we don't understand the present, we can turn to the past. It is believed the natural ratio in the earth's crust is ~10 ounces of silver for one ounce of gold. Back in 3000 BC in Mesopotamia (modern day Turkey, Iraq, Iran), silver and gold were used to enable trade at a rate of 5 ounces of silver to 1 ounce of gold. For about 2,000 years, from 1670 B.C. to 432 AD, the rate was between a low of 9 to 1 in 59-44 BC to a high of 18 to 1 in 422 AD. For the next 1,000 years from 527 to1453, the price was roughly 15 to 1. For the next three centuries the ratio was a low of 10.75 to 1 to a high of 15.52 to 1. When the United States passed its first coinage law in 1792, the ratio was fixed at 15 to 1 but at that rate gold was considered undervalued and disappeared from circulation, so to correct the situation Congress moved the ratio to 16 to 1 in 1834. At that rate gold was slightly overvalued and silver undervalued and silver coins began to disappear and were dropped from the list of coins by the Act of February 12, 1873, or the "Crisis of 1873," and so thereafter the U.S. was on the Gold Standard, which became law in the Gold Act of March 14, 1900. (Hint: two 60 year cycles to today). In 1919 the ratio was 15.20 to 1; by 1932 the ratio was up to 72.27 to 1 or about five times. John Newell is a portfolio manager at Fieldhouse Capital Management and president and CEO of Golden Sky Minerals Corp. He has 38 years of experience in the investment industry acting as an officer, director, portfolio manager and investment advisor with some of the largest investment firms in Canada. Newell is a specialist in precious metal equities and related commodities and is a registered portfolio manager in Canada (advising representative). Sign up for our FREE newsletter at: www.streetwisereports.com/get-news Disclosure: 1) Statements and opinions expressed are the opinions of John Newell and not of Streetwise Reports or its officers. John Newell is wholly responsible for the validity of the statements. Streetwise Reports was not involved in the content preparation. John Newell was not paid by Streetwise Reports LLC for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. 2) This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of ...read more
  • Fremont Gears Up to Drill for Discovery in Nevada

    Fremont Gears Up to Drill for Discovery in Nevada

    Source: James Kwantes for Streetwise Reports 03/30/2020 James Kwantes of Resource Opportunities profiles a company that is financed to drill the Griffon project this year in the southern Cortez Trend.Nevada is known as "The Silver State," a nod to the 1859 discovery of the Comstock Lode. That rich silver endowment led to Nevada's statehood, and profits from silver mining helped the North come out on top in the American Civil War. But the discovery of the state's rich gold districts, including the Carlin and Cortez trends, a century later quickly made Nevada one of the world's premier gold mining jurisdictions. Those two districts alone have a combined gold endowment of more than 250 million ounces (production + reserves). And gold is the precious metal that remains Nevada's largest export by dollar value. However, U.S. Census Bureau statistics show that Nevada's gold output is slipping. Gold exports of about $4.9 billion in 2018 dropped to $2.7 billion last year, a 45% decrease. And Nevada is not the only gold-rich jurisdiction with a declining production profile. New discoveries are needed to replace the ounces being mined. And one of the best places to look for gold is on projects that have been orphaned by larger companies or by exploration companies that have shifted their focus elsewhere. The latter is the story with the past-producing Griffon project at the southern end of Nevada's Cortez trend. Fremont Gold Ltd. (FRE:TSX.V; USTDF:OTCBB) purchased Griffon and its 89 unpatented mining claims from Liberty Gold (LGD-T) in December 2019, then raised $1.48 million to drill it. The project was orphaned in Liberty (formerly Pilot Gold), which is drilling out its Black Pine oxide gold project in Idaho. Griffon is southeast of Fiore Gold's (F-V) Pan mine and Contact Gold's (C-V) past-producing Green Springs heap-leach gold mine. Fremont plans to drill 2,000 meters at Griffon, beginning in June. Twenty-six drill sites are currently permitted and the project is bonded. Fremont plans to drill a number of untested targets in the hopes of making a new discovery at Griffon. Griffon was first drilled in 1988. By 1997 two oxide gold deposits had been delineated, at Discovery Ridge and Hammer Ridge. Over the next three years, Alta operated as a small producer, mining oxide gold from those deposits at average grades of 1.03 g/t in a heap-leach operation. That's well above average grades of 0.6 to 0.7 g/t being heap-leach mined at typical Nevada oxide gold operations. Alta's focus was production, not exploration. The company did not thoroughly explore the property and almost all of the holes they drilled were less than 100 meters deep. Fremont has assembled a crack team of geologists to narrow down targets at Griffon: Clay Newton, Fremont's VP Exploration and a Ph.D. structural geologist who brings fresh eyes to the project; Andy Wallace, Ph.D., a Carlin expert and co-discoverer of five Nevada gold mines as a principal of Cordex; Jamie Robertson, Ph.D., ...read more
  • Mickey Fulp: 'Never Let a Good Crisis Go to Waste'

    Mickey Fulp: 'Never Let a Good Crisis Go to Waste'

    Source: Maurice Jackson for Streetwise Reports 03/30/2020 In discussion with Maurice Jackson of Proven and Probable, the Mercenary Geologist offers his take on the coronavirus pandemic, its impacts on economic policy and what he's buying (or not buying) right now.Maurice: Today we will find out if we are at risk of losing our liberty to the coronavirus, along with buying opportunities for your investment portfolio. Joining us for a conversation is Mickey Fulp, the world-renowned Mercenary Geologist. Absolute delight to speak with you sir. Mickey, you are the Mercenary Geologist, but you're equally regarded highly for your views on philosophy and politics, and every time we speak my neurons expand. You and I have shared concerns regarding the erosion of liberty as the federal government and municipalities have been perniciously increasing their influence over the years, and in particular in the response to the coronavirus. Sir, what concerns should we have regarding our liberties that many people are not considering due to the government's response to the coronavirus? Mickey: Well, I think it really comes from state and local governments now, and rightly so. The state and local governments are responsible ultimately, not the federal government, for instituting policies regarding what I prefer to call the Wuhan flu, but they are increasingly infringing on our basic freedoms as expounded in the Bill of Rights to assemble peacefully, to move about freely, the separation of church and state. You have governments outlawing people's right to congregate and practice their religion, confiscate property without due process. California now has emergency regulations that allow them to commandeer private property to set up emergency hospitals, and now there are number of euphemisms such as, social distancing, self-isolation, shelter in place. I thought that's what your snowflake generation did when they went to their parents' basement as a safe space. Quarantines, curfews, checkpoints, lockdowns, containment zones. . .what I fear is this will progress to some euphemism for martial law. Maurice: Truly, truly concerning. Let's discuss the economic policy response. Are you as surprised on how much emphasis the Fed and Congress has placed on the economy rather than on providing supplies toward the hospitals and the true heroes, who are the healthcare workers making so many selfless sacrifices? Mickey: I think this is a media- [and] government-created economic recession in response to a medical event. There's a saying—never let a good crisis go to waste—and the media and the government have instilled first fear, then panic, then irrationality, now approaching hysteria. That's not to belittle the impact of the Wuhan flu, but let's just step back and put this in perspective. So far, I think as of Friday afternoon, March 27, there are approximately 95,000 confirmed cases in the U.S. and around 1,300 deaths, so do the math. That's about 1.4%, but that's from the number of people that tested positive. That does not imply the number of people ...read more
  • Golden Arrow Resources Buying Back 10% of Outstanding Shares, Exploration Temporarily Halted by Pandemic

    Golden Arrow Resources Buying Back 10% of Outstanding Shares, Exploration Temporarily Halted by Pandemic

    Source: The Critical Investor for Streetwise Reports 03/27/2020 The Critical Investor takes a look at recent actions taken by this gold explorer.The coronavirus pandemic together with the Saudi Arabia-Russia oil production increase took its toll on the equity markets the last few weeks. The commodity markets in particular got hit too, as main end-user China got hit by a halt in manufacturing plants across the economy. Precious metals like gold rose initially, but after the virus spread globally it got sold off ruthlessly like any other asset class. Golden Arrow Resources Corp. (GRG:TSX.V; GARWF:OTCQB; G6A:FSE), as a gold explorer, didn't come out completely unharmed either, as the following chart shows: Share price Golden Arrow Resources 1 year time frame; Source Tmxmoney.com The drop in the share price for Golden Arrow is relatively comparable to that of SSR Mining, the company Golden Arrow holds roughly 1 million shares of (and which are the bulk of tangible assets at the moment): Share price SSR Mining 1 year time frame; Source Tmxmoney.com At a current market capitalization of just C$14.3 million, Golden Arrow trades below the value of its SSR Mining holding, which attributes to C$16.2 million. Besides this, Golden Arrow has a modest cash position and its exploration assets among which is the promising Indiana gold project in Chile, so it is safe to say that the company has reached decent support levels technically and fundamentally speaking. Management decided this was the case as well, and came to the conclusion that it was probably easier to buy back shares in order to create accretive value for shareholders instead of trying to create value through the drill bit on its projects. For that purpose, management announced a normal course issuer bid on March 12, 2020, to purchase up to 10,658,050shares being equal to 10% of the float. This bid commenced on March 17, 2020, and will end on the earlier of March 16, 2021, or when it's been completed or terminated. The shares will be bought in the open market by PI Financial on behalf of Golden Arrow Resources. Management and the Board clearly think this will be advantageous for shareholders, as they commented as follows: "The board of directors of the company are of the opinion that the recent market prices of its shares do not reflect the underlying value of its property portfolio and its strong financial position. Accordingly, the purchase of shares through the bid is in the best interests of the company and its shareholders, as it will increase the proportionate share interest of remaining shareholders. The bid will afford an increased degree of liquidity to the company's shareholders. The directors also believe that there will be long term benefits to the company with fewer shares issued and outstanding." This news release was followed a few days later on March 16, 2020, by a statement of the President, Chairman and CEO Joseph ...read more
  • No, You Do Not Hear the Fat Lady Warming Up

    No, You Do Not Hear the Fat Lady Warming Up

    Source: Bob Moriarty for Streetwise Reports 03/27/2020 Bob Moriarty of 321gold comments on where he believes the economy is heading.Those who never predicted a financial collapse in the first place are now edging closer to the swamp to dip their toes into the water. Now they are suggesting, perhaps we could have a recession." Forget that. You cannot have every supply chain in the world chopped in two and have a recession. A depression was baked into the cake before the Corona popped out of the six-pack. The US government dumping a $6 trillion dollar bailout for their buddies that has more pork in it than the butt of a two-ton pig is the proverbial pissing up a rope. We are in a depression. The entire financial system, education system, medical system, political system, hell, the entire artifice needs a total reset. What do we get? More of the same. Well, if the government created the workspace for the depression by unlimited debt and financial chicanery, you are not going to fix it with more of the same. Americans are unlike any other people on earth. At heart they want to trust their government. Granted, the Democrats understand that the Republicans are at the heart of all evil. And Republicans know full well that the Democrats caused all of the problems in the country but both agree that if only we elect their pet fools, all would be well with the world. No other country on earth actually trusts their government. Their people growl and on occasion turn out in the streets to man the barricades but they know deep in their hearts that their "leaders" are fools who can do nothing well. Americans are always shocked to find their elected representatives are idiots. The rest of the world simply assumes stupidity and cupidity on their behalf and find themselves rarely disappointed. Ignore the virus for a moment. True, it will kill tens of millions of people but everyone alive is going to die someday anyway. All the virus will do is accelerate the process. Some of those who survive will figure out how to cope. The depression is another story. Already pundits are suggesting that investors should buy the dip. The FDIC actually put out a video saying, your money in the bank is safe. Do not withdraw your money. Are you kidding me, they really said that? I'm told the FDIC chairman who actually put out the video was confused by the message. She stated in the first take of the video that "we are proud of the fact that since 1933 no American depositor covered by the FDIC ever lost a cent up until now. That's a 99% success rate for us." Naturally they had to brief her and rewrite her lines. The message was clear. Just moments before a bank closes the president of the bank says, "Your money is perfectly safe in ...read more