Skeena Resources – Video Update – Exploration Update and More Information On The Albino Tailing Facility
Welcome to another KE Report Video Editorial. We are featuring an update from Skeena Resource (TSX:SKE – NYSE:SKE).
Paul Geddes, Vice President of Exploration and Resource Development joins me to recap the December 13, 2021 news release highlighting high grade drill results from the Albino Tailing Facility, on the Eskay Creek Property in the Golden Triangle, BC. We recap all the results, from 2 drill programs, and discuss the steps to bring this area into a resource.
Paul also recaps the drilling that’s still at the assay lab from the larger Property wide program. As well as the priority targets that were drilled.
As always you can email me at Fleck@kereport.com with any questions for Paul and the team at Skeena.
Click here to visit the Skeena website for a summary of the Company’s recent news.
Yep, a real bummer of a news release. I sold a big chunk of my Argonaut today into this under-capitalized situation, even though I really like the longer-term fundamentals and growth projections for the company. I had a nice gain still, even despite this fall by 1/4 in market cap today, and am rotating those funds temporarily into other growth-oriented producers until the dust settles on AR.
Most analyst believe gold could test 1675. I believe gold will finally bottom and turn up later 2022 because the until we see fed really actually raise rates gold will just make false swings higher only to give it right back. When fed actually raise rates then we know thier serious and also how fast they raise to fight inflation not just 1/4 PCT to appease everyone. So it needs time to play out and I personally am holding my long-term core mining stocks but have luckily taken cash off table and will add to my portfolio when bottom hits next year. If I’m wrong and gold takes off I already have enough accumulated to money a killing from my core holdings. I’m controlling greed and if gold breaks 1700 I will add to profit from great prices.
Paul, you’ll be able to do that.
Hi doc
Guessing you’re still watching the drip drip down the slope of hope. Any pearls of wisdom into January?
I’m still barbelled with long term gold calls and short tech puts. Hoping for one side to pay for the other with some bonus. Something direction and volatility has to happen, the time decay will set in otherwise. Hasn’t been much point buying lower and lower price levels on gold producers for quite a while in spite of the ballyhoo about hail mary success stories. Little mention of course of the fast money speculations now turned investments LOL
All the notable bull posters are silent. All back with any pop up rally in next couple of weeks.
Jonsyl, we may get a short term pop but there are some charts on higher cap charts that are predicting more pain ahead for them. If that’s the case, you can bet no other PM stock will particularly out perform. The fact the larger caps are breaking down and the monthly BBs are narrowing for gold/silver sets us up in all probability for another move down in the PMs—-the sooner the better to get the major part of the pain over with. The first 6 months of 2022 shouldn’t be anything home to write about. I would love to see January/February take us to the woodshed and get it over with—that could happen. Regardless, there has been so much chart damage that there is no hurry to catch a falling knife. There should be plenty of time to purchase at a nice formed bottom over time ( unless we in the near future get a sudden spike down like we saw in March of 2020.) If we get that for a double bottom, hold your nose and buy, buy, buy.
Thanks doc.
Great Interview. Long time holder of Skeena. I just cant wrap my head around some of these valuations with the juniors right now. Regardless if Gold/silver were to go down 20% most of these names are still ridiculously low given their prospects and companies like Skeena can be major profit centers even at $1350 gold. One on my radar is Troilus Gold, but everytime I watch it, it is tanking lower, all the while as they add ounces, and de risk their mine the market cap drifts lower. These market caps on junior near term producers like Skeena are just crazy to me. I also dont understand why the big boys are not gobbling up these completely mispriced juniors. Weird times
Mark, thanks for your comments on Troilus which I’ve not followed in the past—I looked into this company and have asked myself what’s not to like about it. I’ll be purchasing it when it bottoms.
Richard, they are definitely one to keep on the near term radar, I will be an investor in them sooner than later, just waiting on some other stuff to play out for us first. They pretty much check most of the boxes that Skeena did also. Former mine, where economics in one way or another, whether through depressed gold price, or lack of cash flow were the primary reason for the closure. Existing infrastructure, mining friendly. Ongoing exploration. Increasing resource base.
But these junior mining valuations are gifts to all who are willing to accept because they are just utterly ridiculous. With a company like Skeena where they’ve shown with confidence that they’re going to grow their resource base even further from the current economic analysis as Paul and Walter have said multiple times. Their FS will confirm and even increase the economics of the PFS that shows even at $1400 gold they will be pulling in conservatively nearly $200mm US in after tax free cash flow for 10 years minimum. What investment banker on earth, in a blind evaluation of just the economics wouldn’t be giddy over gobbling up a company like this showing a current $600mm US market cap. To me, someone buying that company for $1B would be a hell of a deal. Anyway, not to pump Skeena, they’re well known enough at this point, but just making the point how insane these valuations really are. Not that most here don’t know that already. Lots of great junior mining opportunities right now even though this current pain is beyond frustrating. Anyway best to all, and Korelin thanks for your all your work and interviews, they’re beyond valuable. Don’t normally comment but love the content.
SCZ up 6.5% today, IPT finding more AG and FSM more gold. Future looks bright for these miners.
AR -23% today
Argonaut founder leaves company and costs for Magino are 55% higher than expected. Obviously not good news
https://s22.q4cdn.com/115151820/files/doc_news/2021/12/AR-PR_MaginoCapitalEstimate-LeadershipChange-12142021-FINAL.pdf