John Rubino, [Follow John on his Substack https://rubino.substack.com/],  joins us to discuss the large M&A deal announced today where Gold Fields Limited (NYSE: GFI) is acquiring Osisko Mining Inc. (TSX:OSK) (OTC: OBNNF) for a 55% premium. We ask John if this may point to a larger rerating in gold developers and advanced explorers, using this key transaction and metals value in the ground as a benchmark for where other advanced resources in the sector should be valued.

John points out that with many gold producers cashed up and seeing very nice margins on their Q2 earnings reports, that we may start seeing a bigger wave of merger and acquisition transactions. We also note that Q3 is looking to have an even higher average gold price, which should be a further boon to gold producers and possibly start attracting more interest from generalist investors. There were other stocks getting a bid in sympathy today Skeena Resources Limited (TSX:SKE)(NYSE:SKE) and Snowline Gold (TSX-V:SGD)(OTCQB:SNWGF) that didn’t have news out, but that are known to have large resources out that are getting higher values from investors.  If the momentum can keep building then he outlines that it may start bringing in more capital at better terms for advanced exploration deposits that have further derisked their projects through economic studies.

We wrap up asking John if this is the best setup he has seen in the gold equities in relation to gold in his investing career, how that could be affected by geopolitics or a recession, and what he makes of the lag effect in silver and the silver stocks as the more speculative side of the precious metals complex.

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