business lunch

the resource investment community is still alive, despite the so depressed commodity prices ...

following 6 companies presented their stories in cooperation with jochen's swiss resource company in munich:

source: the company presentation in 2013

• inca one gold (TSX-V: IO) ~ processing of gold ore in peru ~ i've bought few more shares as it is one of very few commodity companies in my portfolio which didn't collapse in 2013 or in 2014
• timmins gold corp (TSX: TMM, NYSE-MKT: TGD) ~ gold production in mexico ~ all in costs approximately $1,000 per ounce ~ current gold price $1,200/oz ~ i've bought a small initial position approximately at USD 1.35
• rye patch gold (TSX.V: RPM) ~ gold + silver in nevada / usa ~ royalties from the rochester silver mine (operated by coeur d'alene, all legal issues between coeur and rye could be solved) + exploration ~ my former investment is probably 30%-50% down
• avanti energy inc (TSX.V: AVN) ~ small producer of oil in brazil and in usa from wells which were often 'left behind' 
• falco resources (TSX.V: FPC) ~ gold exploration in historic rouyn-noranda camp in abitibi / quebec / canada ~ i've bought a small initial position approximately at approx. CAD 0.54
• cortez gold (TSX.V: CUT) ~ gold-silver concentrates processing in mexico ~ my limit order for an initial position was fulfilled few days later at CAD 0.45
• HDI rathdowney rersources  (TSX.V: RTH) ~ a Hunter Dickinson Inc. company focused on a zinc project (planned commercial production in 2017 - 2018)  in poland. additional assets are a discovery stage zinc project in ireland and a 16% interest in HDI heatherdale (TSX.V: HTR) which has a devolopment stage copper-gold-zinc-silver project in alaska / usa

source: http://www.rathdowneyresources.com

 why do i buy so much stuff despite falling commodity markets? well, thanks to my peace activism (#OccupyWallStreet movement) i've learned that in order to save the world somebody should do it. but who is somebody? yes, you are right: all of us are somebody ~ me, you, our neighbours and their grandma ... so do not wait for somebody but start by yourself ... and thus in investing i buy few shares, some physical metals and i hope if many of us will do the same we can change the precious metals markets in our favorite direction .... => go gold bugs go and let's crash the fraudulent paper money system ... which among other things allows bankrupt states like USA, GB, FR, GER, ITA, ukraine, ... and its small dirty NATO armies to start (and to finance) wars all over the planet :-( ...

more coming soon or never :-)

stupid, more stupid, most stupid, stock market investors :-)

addendum december 27, 2012: stupidity is not a singlei investment issue, you know? when in fear (or greedy) investors/traders drive many markets in the same direction at the same time ... just look what happend today after some unimportant economy confidence analysis hit the market today ... pure panic :-(

~~~
my silver miners from idaho, Coeur d'Alene Mines Corporation (CDE), missed some stupid analysts expectations, reported a loss of $15.8m for the last quarter ... so far so good ..

what did the markets today?

5 days trading range + volume

hello, the company lost $15m, the stock is down 20%, the market cap is down $400+ million => hello again, mr. market? btw, that's the corresponding news release

stupid, more stupid, most stupid, stock market investors ??? please wake up, my dear homo sapiens financialis and yes, please start thinking for yourself ...

well, let's bet that this downturn is a little bit too much for a small 3Q loss for a still profitable company (on a yearly basis) and let's buy few shares tomorrow :-)

addendum, day #1: well, i've got some CDE shares on market opening at $24.69. the stock increased +8.17% today, the closing quote is $26.07. not bad for 1 day, if you asked me. what do you think, my dear mr. market? who was right and who was wrong yesterday? hmmmm :-)

same issue, different story ~ why i don't like investors/traders :-)

investor lunch with golden predator (TSX:GPD)

source: company's website

the golden predator guys + girls presented their company in munich today and yes, i liked it :-)
unlike the last few presentations, i'm going to post my insights on the company this time:

• yukon's upcoming gold producer as the brewery creek mine is going to start production in 2014. what if not? well, then they still could brew beer and sell it to other miners in the area, couldn't they? lol
• portfolio of gold royalties in nevada which generates approximately $ 1m a year and could / should generate more as the underlying mines start and/or ramp up their production. the whole royalty business could become a future spin-off as a independent compan, who knows?
• quite well financed up to the start of own gold production, no need to raise capital at present so depressed stock price level
• some other assets out there as well, like an old mill in nevada, share packages in 2 or 3 other companies, few early stage gold projects besides brewery creek etc. and so fort
• what else? hmmm, there was that positive guts feeling issue, you see? i liked many things the CEO william sheriff said: generating cash is the most important issue (many explorer companies still try to increase their reserves / resources even if since 2008 mr. market doesn't value it at all), he prefers to under promise & over deliver, he wants to run the company as a business (profitable!), moved the headquarters from hyper expensive vancouver / canada to silver valley in idaho / usa ... unfortunately, i'm both too lazy + too stupid to check out how many shares he has bought in the last few years and at which price, but i think on average he has paid more than me today (damn, is anyone who's less lazy + less stupid than me going to send me a link to the corresponding insiders' trading reports?)
• cheap like an unwanted pet, the current price is close to the lowest levels in the last 5 years. will they go bankrupt when the current mining markets continues their ugly downturn? hell, i do not think so, they are already fairly close to (profitable) production and there are still the royalties. the gold price is not going to fall below &1,000 per ounce, is it?
• what to do? as for me, the same procedure as so often: i've bought few shares today, subscribed for company's newsletter and thus i'm going to follow their development

bill sheriff mentioned also few companies which are somehow connected to golden predator or its directors via some equity investments the one way or the other:

• my struggling silver producer alexco resources and golden predators neighbor in the yukon territories in canada
• silver predator (TSX:SPD)
• wolfpack gold (private company as for now)
• redtail metals (TSX.V:RTZ) ~ very early stage precious + base metals explorer in the yukon with very low trading volume right now. it is a company i will look closer at and probably buy few shares if i will find some money and not forget to do so ... well, let's link the predator group's website for fast access here

good luck, my lovely golden predator fighters, good luck :-)

addendum november 8th: i've just bought few shares of redtail metals. too expensive as often because i don't want to wait for a cheap(er) price, but compared to the price level we have had months ago still very cheap (CAD 0.13 per share. 28% more expensive than 1 day ago). there is not much volume out there and especially not many sellers, so it is a long term play and i have to hope the management makes the company a succcess and this will creates some market for the share trading as well :-)

so what about my investments in november? well, i'm trying to tell the temporary mining market bottom and to be fully invested for the upcoming rally, thus i've used my margin up to the tilt, you know? good luck my lovely commodity plays, good luck :-)

• golden predator GPD
• redtail metals RTX
• amerigo resources ARG
• scorpio mining SPM
• aurizon mines ARZ
• alexco resource AXR
• coronet metals CRF
• coeur d'alene mines CDE
• NWM
• nu legacy gold NUG
• CuOro CUO

go gold bugs go and let's crash this fraudulent fiat money system now :o)

addendum november 27th: i've just bought few more shares of redtail metals + golden predator. redtail at CAD 0.095 and predator at CAD 0.30 per share at market opening. hell, the overwhelming fear in the mining stocks market makes every new purchase cheap. anyway, after more than 1 and half years of correction (the peak was the gold @ $1,900 and silver at $50 per ounce event in may 2011 i think) the mining stocks should / could / would finally go up, wouldn't you say?