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LiCo Energy Metals, Lithium & Cobalt Junior on the Move

LiCo Energy Metals, Lithium & Cobalt Junior on the Move

By Peter Epstein, CFA    epstein.peter4@gmail.com    http://EpsteinResearch.com

Two months ago I interviewed Dwayne Melrose, Director & Chair of the Technical Committee for LiCo Energy Metals [TSX-V: LIC / OTCQBWCTXF].  Since then there has been a number of noteworthy press releases, and the Cobalt price continues to rise.  In addition, Bearing Lithium’s 17.7% pro forma interest in a Chilean Maricunga project (a ~4,400 hectare project valued by the market at about C$280 M) is getting a major mineral resource upgrade this month, and a rumor that a Chinese PE firm might acquire up to 20% of NYSE: SQM sent Wealth Minerals’ shares up ~10% on July 5th.  

Here’s a brief recap of 3 developments at LiCo from just the past 3 weeks…. 

​As of June 22nd, Greg Reimer joined LiCo’s Advisory Board.  Greg is EVP of BC Hydro’s Transmission & Distribution Network.  BC Hydro is Canada’s 3rd largest Electric Utility with over 4 M customers and $5.7 billion in revenue.  {See press release}

In a press release dated June 28th, LiCo announced that, in conjunction with the Purickuta project, it’s opening an exploration & development office in Santiago, Chile.

On July 5th, positive geophysical results were reported,

“Beneath the surface crust is detected a conductive unit with values of resistivity less than 1 ohm-m, (interpreted as brines) divided into 2 sub units; a high-conductivity saturated unit (0.4 to 0.9 ohm-m) 6.3 to 22 meters thick, and a very high-conductivity saturated unit (0.2 to 0.4 ohm-m) detected at two depths, the first under the saline crust with thickness of 3 and 7 m, then again under the unit of high-conductivity with a thickness of 100 m, not detecting the floor of this stratum,”  (meaning beyond the detective depth capacity of the TEM survey).

Each of these events is significant in building out key components of the Company, especially the reading of the geophysical results, which suggest full speed ahead on initial drilling. Regarding Mr. Reimer, I believe that a senior executive with his green energy credentials choosing LiCo to express optimism on surging Li & Cobalt (“Co“) demand is a meaningful vote of confidence in the Company.

Boots on the ground is one thing, some juniors barely have that, but opening an office, “in- country” is another thing entirely.  For example, in looking at roughly 20 Canadian & Australian-listed Li juniors that have optioned, leased or own Li properties in Argentina, few have in-country offices.  Director Melrose’s comment from my earlier interview appear to be accurate,

“I’ve been impressed at how rapidly we have been able to move the ball forward on our projects.  That’s something that attracted me to LiCo Energy, a corporate culture of getting things done and being properly funded to work quickly and efficiently.”

Behind the scenes, discussions continue….

Management, consultants & advisors continue to review lithium & cobalt assets in Canada, Chile & Argentina.

Did someone say “Cobalt?”  “Canada?”  Notice last week’s blockbuster news that First Cobalt Corp. intends to combine Australia’s Cobalt One and Vancouver’s Cobaltech Mining into a pro forma entity with a $160 M market cap.  I think this is great news for LiCo’s Teledyne project.  In my mind, this pretty much assures cobalt production will be returning to the immediate area, an area measured in just thousands of square kms.  Talk about close-ology, and on a prolific past producing mine site, with valuable underground mine workings.  The only thing better would be if LiCo could lockdown additional property….. they’re working on that.

LiCo was one of the first companies to assemble both Li & Co assets into a single company, and one of the few willing to take a Li leap into Chile.  Next up, how about a first mover to combine Li & Co assets in Chile?  Yes, there are discussions being held on that front.

For more about progress in Chile, I caught up with Malcolm Bell, a consultant with over 45 years’ experience either as principal, director, or senior officer of private & public resource companies.  {see bios of officers, directors & technical advisors}

Malcolm, I understand that LiCo Energy Metals is keeping you busy, what have you been up to?

On LiCo’s behalf I’ve been to Chile 5 times and Argentina twice.  Of the two places, Chile seems to have better lithium opportunities at the moment.  The salar de Atacama, the Salar itself, not the surrounding desert, is the largest & highest-grade source of lithium brines on the planet, and that’s where LiCo’s flagship project is located.  Nearly 40% of the world’s production comes from this single region.

How about Argentina, are you seeing interesting assets there?

Yes, both countries have high-quality assets and reasons to be excited, but the infrastructure in Chile is much better.  At the Atacama, I can stay at a 4-5-star hotel that’s a 30-minue walk from the edge of the salar.  There’s a national highway running across LiCo’s concession, plus a natural gas pipeline and power transmission lines nearby.  Argentina’s salars, for the most part, are more remote and sit at higher elevations.

Some investors have questioned the size / scale of the Purickuta project (160 hectares).  Is it too small to be a viable lithium brine operation?

It could be too small, but LiCo is actively seeking to expand that footprint.  And look, it all depends on brine chemistry, flow rates and extraction / processing methodology, among other things.  Readers comparing each Li brine junior they come across to say a Lithium Americas Corp (TSX: LAC) are probably making a mistake.  LiCo need not produce 25,000 Mt of LCE to be a winner.  There are many possible roads to viability.

LiCo plans to drill a hole in late July or early August to begin the investigation of brine chemistry and flow rate characteristics.  If a solid Li grade and flow rate can be determined (no direct evidence of this yet) then even one production well could potentially lead to a viable business for a company with a market cap of just few thousand tonnes of LCE/year.  However, a production outcome would likely be predicated on the use of an advanced extraction / processing solution such as Tenova Bateman’s, which hasn’t been proven at commercial scale.

Why do some investors seem to believe that Li juniors will have a very difficult time in Chile?  A more difficult time than in Argentina?

I’m not sure why that is, but I take your point.  There are, what, about 20 Li juniors in Argentina, but only 4 or 5 in Chile?  I think there’s less available property in the (possibly fewer) Li sweet spots.  There’s a perception of widespread disagreements (legal, tax, royalties, fraud, corruption) and uncertainties among SQM, Albemarle / (Rockwood), Corfo, etc.  But the Rule of Law is strong in Chile.  Long-lasting problems attached to these large players are tied to corporate / governmental politics of which juniors should be relatively immune.

Conclusion

LiCo Energy Metals [TSX-V: LIC / OTCQBWCTXF] is making impressive moves in Cobalt & Lithium in Canada & Chile.  The price of Cobalt continues to rise.  Punctuated by First Cobalt’s proposed merger with Cobalt One and Cobaltech, all eyes are on the prime property surrounding the town of Cobalt, Ontario.  LiCo’s Teledyne project is in the middle of that fairway and management is pursuing a significant expansion there.  In Chile, not only is a substantially larger Li footprint a good possibility, management is carefully considering a few really interesting cobalt prospects.  Unlike in Argentina, there are only a few Li juniors to choose from in Chile.  LiCo has a lot of bases covered and a lot of discussions underway that could lead to important news in July & August, in Cobalt and Lithium, in Canada and Chile.

Disclosures:  The content of this article is for illustrative and informational purposes only.  Readers fully understand and agree that nothing contained herein, written by Peter Epstein of Epstein Research[ER] including but not limited to, commentary, opinions, views, assumptions, reported facts, estimates, calculations, etc. is to be considered implicit or explicit, investment advice. Further, nothing contained herein is a recommendation or solicitation to buy or sell any security.  Mr. Epstein and [ER] are not responsible for investment actions taken by the reader.  Mr. Epstein and [ER] have never been, and are not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and they do not perform market making activities. Mr. Epstein and [ER] are not directly employed by any company, group, organization, party or person.  Shares of LiCo Energy Metals are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they consult with their own licensed or registered financial advisors before making investment decisions.

At the time this article was posted, Peter Epstein owned shares in LiCo Energy Metals and the Company was an advertiser on [ER]. By virtue of ownership of the Company’s shares and it being an advertiser on [ER], Peter Epstein should be considered biased in his views on the Company.Readers understand and agree that they must conduct their own research, above and beyond reading this article. While the author believes he’s diligent in screening out companies that are unattractive investment opportunities, he cannot guarantee that his efforts will (or have been) successful. Mr. Epstein & [ER] are not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article. Mr. Epstein & [ER] are not expected or required to subsequently follow or cover events & news, or write about any particular company or topic. Mr. Epstein and [ER] are not experts in any company, industry sector or investment topic.

 

Gold and Silver: Your Stomach Is Probably Wrenching Right Now

Gold and Silver: Your Stomach Is Probably Wrenching Right Now

By The Gold Report

Source: Lior Gantz for Streetwise Reports   07/11/2017

Wall Street’s largest firm, Goldman Sachs, is throwing in the towel on commodities, which reminds Lior Gantz, Wealth Research Group’s founder, of 1998, when Merrill Lynch closed its commodities desk very close to the end of a cyclical bottom.

Bear v. Bull

Gold is up for the year, but silver just made a 52-week-low.

Gold price

This is a highly unique situation—it rarely happens.

Silver ended 2016 priced at $15.91, and it is now priced at $15.61. Gold, on the other hand, ended 2016 priced at $1,151.94 and is now priced at $1,212.46.

This puts the gold/silver ratio at 77.65, which is unusually high, but it might reach 84 before reverting back to the 65:1 range.

Historically, when silver outperforms gold, the mining shares rally, and when the latter is true, the miners are weak. We are close to an extreme right now.

What’s even more unique is that for only the third time since 2000, when the commodities supercycle began, we have a brief timespan I call “The Millionaire Window,” and you’ll see what this is all about is our weekend article.

It’s part of why I’ve been considering taking profits on my favorite cryptocurrencies.

Realize this: Goldman Sachs, the world’s No. 1 commodities trader, is doing a nuts and bolts review of the trading desk!

Remember that CEO of Goldman, Lloyd Blankfein, started his career in the commodities business, but he is drawing closer to the industry’s prevailing consensus. Morgan Stanley, JPMorgan Chase & Co., Barclays Plc, and Deutsche Bank AG have cut back or exited commodities trading in recent years.

In 1998, Jim Rogers, arguably the best commodities trader in history, noticed that Merrill Lynch was giving up on commodities and called the bottom. As a group, commodities rose 20% per year for five consecutive years after.

Commodities

The pain doesn’t end yet—the sector is down 5% this year, as well.

It’s not the time to call the bottom on commodities, but we are itching closer by the day, and here’s why:

1. The market is severely underpricing risk right now:

Most investors, since they don’t take the time to educate themselves like we are, suffer from “rearview mirror” syndrome. This means that for the majority, what happened in the past three months is likely to occur again in the following three months. This syndrome is what makes people pile in as prices rise.

Economic Policy Uncertainty and VIX

Now look at this must-see chart. In blue is the EPU, which is the Economic Policy Uncertainty Index. It’s basically measuring the amount of key terms regarding challenges with the economy that everyday investors are exposed to.

In black is the VIX, which measures the fear investors feel towards downturns—it’s the volatility index.

The correlation is clear, apart from a number of key periods. Examine 1998–2000 closely, when euphoria persisted and the major newspapers, like the L.A. Times, Boston Globe, USA Today, and others didn’t report much on coming calamity and the markets roared.

Then check out 2011, when the “fiscal cliff” and the Greek default were all anybody was talking about, and gold peaked at $1,925 per ounce. That was a “fear bubble.”

But since that time, we have undergone a “fear anti-bubble.” Look at the complete disparity between the EPU and the VIX. The mainstream media has confused investors and they are now indifferent to risks.

Russia’s cyber wars, a possible nuclear war with North Korea, problems in the EU and Brexit—nothing changes the point of view of investors. Risk is being tolerated, and that’s why precious metals, especially silver, which is mostly industrial and only bought for investment demand when fear is excessive, are falling.

2. Central banks’ lack of “success”:

Since the Federal Reserve is supposed to be the all-knowing entity that gets things right at all times, when they raised rates for the first time in close to a decade back in December of 2015, the market became convinced that inflation is returning and the Fed is keeping a leash on it so it won’t spiral out of control.

Bear v. Bull

What this chart portrays, in the bottom line, is that speculators are again exiting the gold sector.

When Trump took office, investors were screaming “Trumpflation” and everyone was bullish on inflation and thinking the market would collapse.

Since no one believed Trump would win up until the votes were tallied up, the cost of puts (bearish bets) was low, and it spiked right after the results were announced. Today, Trump is in office, but the scare is gone. Being bearish doesn’t cost much, and inflation is weak.

Central banks are folding up tents because they’ve “failed” at meeting their inflation targets, and the Fed minutes show they are more divided than ever.

Ray Dalio, founder of Bridgewater Associates, the largest hedge fund in the world by far, says that the Fed is very likely to begin committing mistakes, and that’s why he sees gold as a strategic investment right now.

The research I zoned in on these past two weeks has led me to finding “The Millionaire Window,” which has only happened three times thus far, and each time was proceeded by a spectacular move higher.

I’m putting the finishing touches on the research and we’ll publish it this weekend. I can tell you that I sent it to three major gold-focused private wealth funds for the elite, based in the Caribbean Islands, and they were stunned—I’ll leave it at that.

Lior Gantz, the founder of Wealth Research Group, has built and runs numerous successful businesses and has traveled to over 30 countries in the past decade in pursuit of thrills and opportunities, gaining valuable knowledge and experience. He is an advocate of meticulous risk management, balanced asset allocation and proper position sizing. As a deep-value investor, Gantz loves researching businesses that are off the radar and completely unknown to most financial publications.

Want to read more Gold Report articles like this? Sign up for our free e-newsletter, and you’ll learn when new articles have been published. To see a list of recent articles and interviews with industry analysts and commentators, visit our Streetwise Interviews page.

Disclosures:
1) Statements and opinions expressed are the opinions of Lior Gantz and not of Streetwise Reports or its officers. Lior Gantz is wholly responsible for the validity of the statements. Streetwise Reports was not involved in the content preparation. Lior Gantz 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 use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.

Charts provided by Wealth Research Group

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This is a highly unique situation—it rarely happens.

Silver ended 2016 priced at $15.91, and it is now priced at $15.61. Gold, on the other hand, ended 2016 priced at $1,151.94 and is now priced at $1,212.46.

This puts the gold/silver ratio at 77.65, which is unusually high, but it might reach 84 before reverting back to the 65:1 range.

Historically, when silver outperforms gold, the mining shares rally, and when the latter is true, the miners are weak. We are close to an extreme right now.

What’s even more unique is that for only the third time since 2000, when the commodities supercycle began, we have a brief timespan I call The Millionaire Window, and you’ll see what this is all about is our weekend article.

It’s part of why I’ve been considering taking profits on my favorite cryptocurrencies.

Realize this: Goldman Sachs, the world’s No. 1 commodities trader, is doing a nuts and bolts review of the trading desk!

Remember that CEO of Goldman, Lloyd Blankfein, started his career in the commodities business, but he is drawing closer to the industry’s prevailing consensus. Morgan Stanley, JPMorgan Chase & Co., Barclays Plc, and Deutsche Bank AG have cut back or exited commodities trading in recent years.

In 1998, Jim Rogers, arguably the best commodities trader in history, noticed that Merrill Lynch was giving up on commodities and called the bottom. As a group, commodities rose 20% per year for five consecutive years after.

The pain doesn’t end yet—the sector is down 5% this year, as well.

It’s not the time to call the bottom on commodities, but we are itching closer by the day, and here’s why:

1. The market is severely underpricing risk right now:

Most investors, since they don’t take the time to educate themselves like we are, suffer from rearview mirror syndrome. This means that for the majority, what happened in the past three months is likely to occur again in the following three months. This syndrome is what makes people pile in as prices rise.

Now look at this must-see chart. In blue is the EPU, which is the Economic Policy Uncertainty Index. It’s basically measuring the amount of key terms regarding challenges with the economy that everyday investors are exposed to.

In black is the VIX, which measures the fear investors feel towards downturns—it’s the volatility index.

The correlation is clear, apart from a number of key periods. Examine 1998–2000 closely, when euphoria persisted and the major newspapers, like the L.A. Times, Boston Globe, USA Today, and others didn’t report much on coming calamity and the markets roared.

Then check out 2011, when the fiscal cliff and the Greek default were all anybody was talking about, and gold peaked at $1,925 per ounce. That was a fear bubble.

But since that time, we have undergone a fear anti-bubble. Look at the complete disparity between the EPU and the VIX. The mainstream media has confused investors and they are now indifferent to risks.

Russia’s cyber wars, a possible nuclear war with North Korea, problems in the EU and Brexit—nothing changes the point of view of investors. Risk is being tolerated, and that’s why precious metals, especially silver, which is mostly industrial and only bought for investment demand when fear is excessive, are falling.

2. Central banks’ lack of success:

Since the Federal Reserve is supposed to be the all-knowing entity that gets things right at all times, when they raised rates for the first time in close to a decade back in December of 2015, the market became convinced that inflation is returning and the Fed is keeping a leash on it so it won’t spiral out of control.

What this chart portrays, in the bottom line, is that speculators are again exiting the gold sector.

When Trump took office, investors were screaming Trumpflation and everyone was bullish on inflation and thinking the market would collapse.

Since no one believed Trump would win up until the votes were tallied up, the cost of puts (bearish bets) was low, and it spiked right after the results were announced. Today, Trump is in office, but the scare is gone. Being bearish doesn’t cost much, and inflation is weak.

Central banks are folding up tents because they’ve failed at meeting their inflation targets, and the Fed minutes show they are more divided than ever.

Ray Dalio, founder of Bridgewater Associates, the largest hedge fund in the world by far, says that the Fed is very likely to begin committing mistakes, and that’s why he sees gold as a strategic investment right now.

The research I zoned in on these past two weeks has led me to finding The Millionaire Window, which has only happened three times thus far, and each time was proceeded by a spectacular move higher.

I’m putting the finishing touches on the research and we’ll publish it this weekend. I can tell you that I sent it to three major gold-focused private wealth funds for the elite, based in the Caribbean Islands, and they were stunned—I’ll leave it at that.

Lior Gantz, the founder of Wealth Research Group, has built and runs numerous successful businesses and has traveled to over 30 countries in the past decade in pursuit of thrills and opportunities, gaining valuable knowledge and experience. He is an advocate of meticulous risk management, balanced asset allocation and proper position sizing. As a deep-value investor, Gantz loves researching businesses that are off the radar and completely unknown to most financial publications.

Want to read more Gold Report articles like this? Sign up for our free e-newsletter, and you’ll learn when new articles have been published. To see a list of recent articles and interviews with industry analysts and commentators, visit our Streetwise Interviews page.

Disclosures:
1) Statements and opinions expressed are the opinions of Lior Gantz and not of Streetwise Reports or its officers. Lior Gantz is wholly responsible for the validity of the statements. Streetwise Reports was not involved in the content preparation. Lior Gantz 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 use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.

Charts provided by Wealth Research Group”}

Updated Resource Estimate for Nevada Gold Project Increases Overall Ounces by 162%

Updated Resource Estimate for Nevada Gold Project Increases Overall Ounces by 162%

By The Gold Report

Source: Streetwise Reports   07/11/2017

An NI-43-101-compliant resource estimate for the Dark Star gold deposit, part of this company’s 100%-owned Railroad-Pinion Project, beat one analyst’s expectations and was called a “good start” by another.

darkstarcover

Source: Gold Standard Ventures

In a June 29 press release, Gold Standard Ventures Corp. (GSV:TSX.V; GSV:NYSE) reported “an Indicated Mineral Resource of 15.38 million tonnes grading 0.54 grams per tonne (g/t) gold (Au), totaling 265,100 ounces of gold, and an Inferred Resource of 17.05 million tonnes grading 1.31 g/t Au, totaling 715,800 ounces of gold, using a cut-off grade of 0.20 g Au/t.”

Brian Szeto, an analyst with PI Financial, provided this assessment of the company’s news in a June 29 research report. “Total resources at Dark Star [have] increased from 375Koz (at 0.51 g/t gold) to 981Koz (at 0.94 g/t gold) which represents an 85% increase in grades and 162% increase in overall ounces. . .we highlight that this resource update includes an initial resource from the high grade North Dark Star zone which hosts a resource of 716Koz (at 1.31 g/t gold) which came in better than our expectations of 500Koz (at ~1.5 g/t gold).”

Macquarie Securities Group’s Michael Gray summed it up this way in a June 29 Morning Notes brief: “Good start/initial resource for the New Dark Star oxide complex. . .the resource does not include any sulphides, was estimated at a $1250 gold price with a 0.20g/t cut off. We have modelled 1.35moz at 1g/t and expect infill/expansion drilling to grow the resource. GSV plans +12km drilling in 2017 and has just received drill permits.”

Szeto also noted that “mineralization still remains open in a number of directions.” The Railroad-Pinion project lies on Nevada’s productive Carlin Trend.

“Overall, we view this resource update positively given the substantial increase in resources where the initial resource from North Dark Star also came in substantially better than expected,” Szeto stated. “In addition, since North Dark Star will likely be the high grade starter pit, this will also have positive implications to the overall economics of the project. . .Looking forward, with the gold inventory of the project now achieving 500 critical mass, we believe Gold Standard will now begin the process of completing a PEA in Q317.”

“Our discovery of North Dark Star in 2015 has made an important tonnage contribution to this resource estimate at a very desirable grade,” Jonathan Awde, CEO and director of Gold Standard, stated in the company’s press release. “We are very confident that this estimate will grow with this year’s aggressive drill program.”

Want to read more Gold Report articles like this? Sign up for our free e-newsletter, and you’ll learn when new articles have been published. To see a list of recent articles and interviews with industry analysts and commentators, visit our Streetwise Interviews page.

Disclosure:
1) Tracy Salcedo compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She owns, or members of her immediate household or family own, securities of the following companies mentioned in this article: None. She is, or members of her immediate household or family are, paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Gold Standard Ventures Corp. Streetwise Reports does not accept stock in exchange for its services. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers.
4) The 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 use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article.

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Brian Szeto, an analyst with PI Financial, provided this assessment of the company’s news in a June 29 research report. Total resources at Dark Star [have] increased from 375Koz (at 0.51 g/t gold) to 981Koz (at 0.94 g/t gold) which represents an 85% increase in grades and 162% increase in overall ounces. . .we highlight that this resource update includes an initial resource from the high grade North Dark Star zone which hosts a resource of 716Koz (at 1.31 g/t gold) which came in better than our expectations of 500Koz (at ~1.5 g/t gold).

Macquarie Securities Group’s Michael Gray summed it up this way in a June 29 Morning Notes brief: Good start/initial resource for the New Dark Star oxide complex. . .the resource does not include any sulphides, was estimated at a $1250 gold price with a 0.20g/t cut off. We have modelled 1.35moz at 1g/t and expect infill/expansion drilling to grow the resource. GSV plans +12km drilling in 2017 and has just received drill permits.

Szeto also noted that mineralization still remains open in a number of directions. The Railroad-Pinion project lies on Nevada’s productive Carlin Trend.

Overall, we view this resource update positively given the substantial increase in resources where the initial resource from North Dark Star also came in substantially better than expected, Szeto stated. In addition, since North Dark Star will likely be the high grade starter pit, this will also have positive implications to the overall economics of the project. . .Looking forward, with the gold inventory of the project now achieving 500 critical mass, we believe Gold Standard will now begin the process of completing a PEA in Q317.

Our discovery of North Dark Star in 2015 has made an important tonnage contribution to this resource estimate at a very desirable grade, Jonathan Awde, CEO and director of Gold Standard, stated in the company’s press release. We are very confident that this estimate will grow with this year’s aggressive drill program.

Read what other experts are saying about:

Gold Standard Ventures Corp.

Want to read more Gold Report articles like this? Sign up for our free e-newsletter, and you’ll learn when new articles have been published. To see a list of recent articles and interviews with industry analysts and commentators, visit our Streetwise Interviews page.

Disclosure:
1) Tracy Salcedo compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She owns, or members of her immediate household or family own, securities of the following companies mentioned in this article: None. She is, or members of her immediate household or family are, paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Gold Standard Ventures Corp. Streetwise Reports does not accept stock in exchange for its services. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers.
4) The 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 use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article.”}

Additional Disclosures for this Content

Disclosures from PI Financial, Gold Standard Ventures Corp., Corporate Update, June 29, 2017

Analyst Certification: I, Brian Szeto, hereby certify that all of the views expressed in this report accurately reflect my personal views about the subject securities or issuers. I also certify that no part of my compensation was, is, or will be, directly or indirectly related to the specific recommendations or views expressed in this report. I am the research analyst primarily responsible for preparing this report.

Research Disclosures:

1) PI Financial Corp. and its affiliates’ holdings in the subject company’s securities, in aggregate exceeds 1% of each company’s issued and outstanding securities. No

2) The analyst(s) responsible for the report or recommendation on the subject company, a member of the research analyst’s household, and associate of the research analyst, or any individual directly involved in the preparation of this report, have a financial interest in, or exercises investment discretion or control over, securities issued by the following companies. No

3) PI Financial Corp. and/or its affiliates have received compensation for investment banking services for the subject company over the preceding 12-month period. Yes

4) PI Financial Corp. and/or its affiliates expect to receive or intend to seek compensation for investment banking services from the subject company. Yes

5) PI Financial Corp. and/or its affiliates have managed or co-managed a public offering of securities for the subject company in the past 12 months. No

6) The following director(s), officer(s) or employee(s) of PI Financial Corp. is a director of the subject company in which PI provides research coverage. No

7) A member of the research analyst’s household serves as an officer, director or advisory board member of the subject company. No

8) PI Financial Corp. and/or its affiliates make a market in the securities of the subject company. No

9)Company has partially funded previous analyst visits to its projects. Yes

10) Additional disclosure: No

 

Disclosures from Macquarie Morning Note, June 29, 2017

Disclosures available here.

Macquarie Capital (USA) Inc. or one of its affiliates, expects to receive or intends to seek compensation for investment banking services from Gold Standard Ventures Corp in the next three months.

MACQUARIE CAPITAL MARKETS CANADA LTD./MARCHÉS FINANCIERS MACQUARIE CANADA LTÉE. or one of its affiliates has provided Gold Standard Ventures Corp with investment advisory services in the past 24 months, for which it received compensation.

MACQUARIE CAPITAL MARKETS CANADA LTD./MARCHÉS FINANCIERS MACQUARIE CANADA LTÉE. or one of its affiliates managed or co-managed a public offering of securities of Gold Standard Ventures Corp in the past 12 months, for which it received compensation.

MACQUARIE CAPITAL MARKETS CANADA LTD./MARCHÉS FINANCIERS MACQUARIE CANADA LTÉE. or one of its affiliates has provided Gold Standard Ventures Corp with investment advisory services in the past 24 months, for which it received compensation.

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Target Price Risk: Any inability to compete successfully in their markets may harm the business. This could be a result of many factors which may include geographic mix and introduction of improved products or service offerings by competitors. The results of operations may be materially affected by global economic conditions generally, including conditions in financial markets. The company is exposed to market risks, such as changes in interest rates, foreign exchange rates and input prices. From time to time, the company will enter into transactions, including transactions in derivative instruments, to manage certain of these exposures.

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Blockchain the End of Gold Price Suppression

Blockchain the End of Gold Price Suppression

By The Gold Report

With so many rumors and complaints over the years about flash crashes, overleveraging, taking advantage of clients and overcharging, blockchain could signal the end of big banks having their way on the Comex and paper metals markets, says Tom Beck, founder of Portfolio Wealth Global.

I bought my first gold and silver coins in 2003. I was 21, and well on my way to becoming a proponent of free markets and commodity-based money.

CPI Formula Shows Gold Is Near All-Time Lows

John Williams, of Shadowstats.com, and the brilliant analyst Jeff Clark, of GoldSilver.com, have published this important chart that, if you understand it correctly, would mean to never sell one ounce of your gold.

Today, the metal only covers 6% of the global currency supply, and that is a century low. Not since the Federal Reserve was created has that much of our global payment system been based on credit, without any tangible commodity backing it.

I’m personally not of the opinion that the gold standard is coming back soon, but Portfolio Wealth Global does see gold covering more than 15% of the currency supply, which translates to $3,000 per ounce using today’s prices.

Since I bought my coins, I’ve been hearing about manipulation by big banks, to which I always reply that all markets are rigged in some way or another, but what JP Morgan and Barclays have done with the silver market is shameful, and there’s now a way to truly stop it.

Inflation Adjusted Silver Price

Silver might be the world’s cheapest commodity of all time. Its price is less than 1% of what it was just 37 years ago using the same inflation metrics.

This wouldn’t be possible if complete transparency existed. The fact is the COMEX in London and New York is leveraged to about 247:1. For every 247 paper ounces, there’s only 1 physical ounce. This allows leveraged swings and smash-downs to occur, almost without repercussions.

The blockchain technology that drives the Bitcoin network has one great advantage: it is immutable, which means that past data can never be changed.

It is a point of reference that can be trusted, and it has meaningful impacts for gold. Using blockchain, state-of-the-art communications enable gold to be redistributed across the globe with the snap of a finger, without ever leaving vaults.

China’s gold market is now the largest in the world, and it is increasingly moving online. The Precious Metals Department of leading Chinese bank ICBC explains is leveraging the Internet to drive gold investments among savers, from the young millennials to professional and seasoned investors.

Chinese Gold Imports

The dream of a decentralized precious metals market is ever closer.

Though millennials have no clue what the historical roles of gold and silver are, their purchasing power is insignificant compared with the rapidly growing middle classes of China and India.

Gold is becoming part of financial technology—it’s turning more modern and becoming easier to store and own.

Over the summer, I’ll show great ways to own it.

When the market becomes more sophisticated and price discovery occurs, the price of silver could easily be $64 per ounce.

Remember, most Asians don’t see a huge difference between silver and gold with regards to their role as a store of value, therefore they’ll buy what’s cheaper, and silver is literally dirt cheap.

Tom Beck is the founder of Portfolio Wealth Global. Known as one of the first millennial millionaires in the United States, Beck is a relentless idea machine. After retiring two years ago at age 33, he’s officially come out of retirement to head up Portfolio Wealth Global. He brings a vision of setting a new record for millionaires with his seven-year plan to accelerate any subscribers’ net worth who will commit to the income lifestyle. Beck delivers new ideas on the marketplace that were once only available to the rich. Traveling the world, he’s invested in over a dozen countries, including real estate.

Want to read more Gold Report articles like this? Sign up for our free e-newsletter, and you’ll learn when new articles have been published. To see a list of recent articles and interviews with industry analysts and commentators, visit our Streetwise Interviews page.

Disclosures:
1) Statements and opinions expressed are the opinions of Tom Beck and not of Streetwise Reports or its officers. Tom Beck is wholly responsible for the validity of the statements. Streetwise Reports was not involved in the content preparation. Tom Beck 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 use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.

Charts provided by Portfolio Wealth Global

 

 

Oil bulls jump on OPEC report

Oil bulls jump on OPEC report

Article by ForexTime

Oil markets saw some life injected back into them today as OPEC members hit 97% compliance in cuts set out by the organisation. The result of this was a bullish rebound as the market still perceives OPEC to have some control over oil markets. Further adding to this was the API private oil inventory data which showed a drawdown of -8.13M barrels, which is a nice indicator as supply issues have been a problem in the past. The real public inventory data is due out tomorrow from the Department of Energy in the US and expectations will be high to see some sort of drawdown based on the API figures.

On the charts the rebound has pushed up through resistance at 45.69 and it will be interesting to see if the candle closes above or falls back. If we do a see a drawdown tomorrow which is bigger than expected then I would expect the market to target resistance at 47.16 as a result. This area though is a lot more robust and the market will be keen to see if there is potential to move higher from here, or if we need further data in the future to continue. If we see supply being built back up then support at 43.77 and 41.85 as likely targets for traders. However, candles recently have shown very long tails which leads me to believe that the bulls are looking assert their control and stop bearish movements any further.

The New Zealand dollar has been a star as of late when it comes to economic performance and the likeability of the currency for traders. After recent positive data from a monetary perspective and a fiscal one the NZDUSD has been somewhat bullish as of late. And the week coming should see further interest as Chinese data as well as business PMI and CPI are due out on Wednesday. All of which has the ability to push the NZD higher in the event they are very positive.

For the NZDUSD traders the market has been one of interest, with strong waves on the daily chart showing less and less appetite for large bullish movements any higher than the previous wave. So far the NZDUSD has hit resistance at 0.7345 and has looked to trend lower as this looks like the upper limit of the bullish wave. It has also paused as of today on support at 0.7200, but the market is looking it could turn so the potential to move lower is looking all the more likely and a test of support at 0.7120 looks to be on the cards.

 

Disclaimer: The content in this article comprises personal opinions and should not be construed as containing personal and/or other investment advice and/or an offer of and/or solicitation for any transactions in financial instruments and/or a guarantee and/or prediction of future performance. ForexTime (FXTM), its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness, of any information or data made available and assume no liability as to any loss arising from any investment based on the same.


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