Why this isn’t Your Father’s Credit Cycle

Your Editor at the September Metals Investor Forum

Why this isn’t Your Father’s Credit Cycle. In my talk at the Metals Investor Forum which lasted about 21 minutes, I talked about the current credit cycle and where I think we are in that cycle. I explained why if you think the 2008-09 credit crisis approached a catastrophic end of our existing monetary system, you have not seen anything yet. Not only has pathology leading to the 2008-09 credit cycle not been corrected, but the debt-to-GDP ratio has risen exponentially after the last crisis. If that were not enough, there is a growing resentment against the U.S. dollar hegemony to the point where even the closest friends of the U.S. are starting to plot against the dollar and global controls the U.S. empire is seeking to force upon them. https://tinyurl.com/ycscjy8b

 

Newrange Gold is an exceptionally undervalued gold exploration play in the northern end of Nevada’s Walker Trend. It has consolidated a very large land package of multiple small scale mines and has reported some exceptional drill intercepts like 4.6 meters grading 43.8 grams gold/tonne as well as lower-grade disseminated intersections like 534 meter grading 2.36 g/t gold. Bob Archer, formerly of Great Panther, joins Robert Carrington as the company explores this highly prospective target. With a market cap of less than US$5 million, it offers huge speculative potential with exploration success which  I believe is likely in a moderately strong gold market.  Watch Robert Carrington’s MIF speech here: https://www.youtube.com/watch?v=Je7ArPDgJi8

 

Coral Gold Resources has emerged from a Nevada-based gold exploration company into a royalty company. Barrick Gold is now drilling the Robertson property in search of the extension from the world class Pipeline and Cortez properties located along trend to the south. An open-pit heap leach resource of over 2 million ounces has been outlined, but the big upside here in this Carlin-style target is the high grade at depth where one drill hole already intersected 5 ft. grading 1 ounce per ton. Coral Gold is currently selling below cash value. The share structure is extremely tight with only 50.2 million shares outstanding. The stock could explode to much higher levels with reports soon to emerge from Barrick Gold. Watch David Wolfin’s MIF speech here: https://www.youtube.com/watch?v=FUB_qxAEsgo

 

Skeena Resources is taking advantage of higher gold prices and vastly improved infrastructure in British Columbia’s Golden Triangle to move two of the provinces’ highest grade gold mines ever toward production. Skeena recently signed an option agreement to allow Hochschild, a world class underground mining company, to earn a 70% interest in the Snip Mine by doubling the amount of Skeena expenditures on the project. At the same time, Skeena has been reporting some spectacular high grade gold and silver values at its Eskay Creek project. With a market cap of only around $47 million, adequate funding, plus the CJ Copper property which may soon be monetized, and with a Snip resource due out in early 2019, this stock appears very undervalued. Kelly Earle, VP communications discussed the company’s prospects and plans here:
https://www.youtube.com/watch?v=fo7qTY3vyDE

 

Amarillo Gold is the company with the most advanced gold property that I invited to the September MIF. The company has a Pre-Feasibility study completed on its open-pit Mara Rosa project in Brazil that shows a 5% discounted NPV of nearly 10 times its current market cap. It figures to produce 144,000 ounces of gold during the first four years of production and 123,000 ounces per year thereafter with expectations of expanding the mine life from an initial 8 years to 10 years. Cash operating costs are estimated at $545/oz. and an all-in sustaining cost is estimated at US$655/oz. The company has a second project in Brazil named the Lavrus do Sul with a 543,000 ounce resource and enormous exploration potential. The company is debt free and is adequately funded to continue on its current 10,000 meter drill program. Listen to Mike Mutcher’s discussion of Amarillo Gold’s prospects here: https://www.youtube.com/watch?v=8k6MwrfVRAw