Eric holds 10%. Red lake Region property. https://www.mining.com/pure-gold-lands-90-million-for-madsen-project/. Also # 1 pick by this guy who made some good calls last year... https://www.youtube.com/watch?v=RnyXKRfQlz0&t=685s
Today should have been a good day for miners as gold is up about $19.71 and somehow silver and the HUI lost over 1% off their highs since last night.
However Pure Gold was up nearly 3% and has been a good performer for me.
Their Madsen Red Lake Mine: Gold Price Sensitivity; now 'off the chart'; seen below- from page 15 of 29 - Dec 2019 presentation:
This project is already fully funded through first Gold pour in December; so near term nCov issues may not materially impact the project timeline; maybe a few months? Most of their press releases quote the 'base-case $1275/ounce gold' IRR... but look at the table above... this mine is going to get acquired...
A grain of sand in the gearbox of tyranny
Pure Gold is in that period of time approaching before production and first pour when price normally goes up dramatically and I am speculating on just that but also expect Pure Gold to do well in the production phase. Might sell some at or soon after production but will probably keep half going forward for awhile.
This is Jeff Clark's top pick 2020-2021. He is a buddy to Mike Maloney who is putting out some very good video lately, Pure Gold has a very bloated stock, but I do not think it's a major problem. Victoria Gold had an even more bloated stock 750million shares and it went from 12c->66c.
A rollback is probably coming when production starts. You can find Jeff Clark and his comments on various miners here
and also silver miners
when GSR turned to 130 I swapped my portfolio more towards silver. I think I am currently at 50/50 allocation. I own first majestic, mag silver, silver one, coeur mining, impact silver, endeavour silver, metallic minerals and kootenay silver. With that said we are approaching the top in gold and I think we will get another deflation bust. It's wise to have some dry powder ready to be injected if we get another test of the low.
This is not just a near term play. It's also an exploration play. Management firmly believes they can expand the mine's resource. This management team is one of the best along with the one running Liberty Gold.
Just took a position on a 5% pullback at the open. Looks very promising :)
Also adding on dips and averaging up on this one. As Eric says; "press your bet on your winners".
IRR is presently well off the charts, (most recent: slide 19 of June 10, 2020 presentation). With the extra $15 M cash they are already tapping holes into the production stopes and hitting high grade extensions; so it is playing out as well as you can imagine.
Big moves in the last week or so, any news? Is this the start of a good run?
Can't find any news; but nice breakout on volume again. Maybe some more drill results pending? I pray its not a buyout...
I just bought some shares of Pure Gold this morning. David Morgan also likes this stock. Morgan, Maloney, and Eric S is company I like to be in.
Pure Gold has been a standout lately in my miners positions. I am a bit surprised it took this long to get over $2 expecting production before the end of the year. Good to see it on the move.
Any guesses how high it might go in the next 6 months?
We are sitting on 52 week highs! Looking good, anyone got price targets or analyst reports?
of around a $Billion per 100k ounce production; so you can argue that Pure Gold is approaching fair value; but they will likely garner a premium based on high grade deposit, jurisdiction, recent drill results; etc.
Since first Gold pour, the stock price has been getting hammered. Retail traders are 'grade starved' selling after the initial updates of low-grade ore getting processed as they commission the mill.
Management has updated the presentation to clarify the time line of higher grade feed and the opening of the east ramp:
I wasn't happy with the additional share sale; but they are continuing to drill aggressively and hit Gold all over the map. They anticipate reaching higher grade stopes by mid-year; so the production reports should improve markedly quarter-over-quarter.
IMO, the current price is very attractive; I am adding here.
Turd has been monitoring 'the turn' in the technical picture for Gold. If Turd's thesis plays out, Pure Gold will be posting large % qtr/qtr production updates as they enter into the high grade ore with a fully dialed in mill mid 2021.
If this occurs 'in-phase' with a Gold price rally; you really don't need options and leverage... it is the lowest risk-highest reward ticket in the resource sector.
I just added another 20% to my holdings, with a year end target of 100%+ return. I added last month in Karora Resources as it got down to the low $2s... same thesis holds; with their 2021 forcast including higher grades as they begin processing Spargos Reward ore.
Yes, I bought in when Jeff Clark (Mike Maloney's buddy) recommended it. Sold at 2,5ish and never looked back until this week, holy smokes selling at 1.20CAD. The same nervous Nellies as usual, the veins are too narrow they will never be profitable bla bla bla. I've heard it many times now. Same story with Victoria Gold and K92 mines. What happened?
Victoria went from 1,5CAD to 20CAD
K92 from 42c to 9CAD (sold at 1,3-1,5 bcos I was scared about narrow veins being hard to mine) yeah right ...
Pure Gold 1.20CAD -> 12CAD in 2-3years? Just guessing of course, but why not?
Oups I scrolled up a bit and I saw my post lol, yes Ok you know I am not a liar, always trying to tell the truth as an alchemist and esoteric mystic seeker.
Regarding silver I do not own First Majestic, Couer Mining and Kootenay Silver anymore, but added Gatos Silver, Reyna Silver, Dolly Varden Silver, Aurcana Silver, Silver One and Zacatecas Silver.
10% Cash right now.