Agreed. Adrian had some good macro points about the producers, their acquisitions at different points in the cyclical metals ebbs and flows, about the valuations of the royalty and streaming companies still representing comparative good value when contrasted against the FAANG stocks.

Good job as per usual to Cory and all the KER contributors.

Ever Upward!

Cory is doing a great job and thank you Andrew.

We’ve been discussing the seasonality patterns in the metals for some time and noted that these trends were back on a more normal trajectory in 2017 and so far also in 2018.

We discussed at the end of last year and earlier this year that the 2 best rallies would likely be the Q1 run in Jan/Feb (which delivered as per usual), and the mid-August into the month of September rally, so we’ve been consistently been expecting a nice rally in September for a while, but with the weekly charts so bearish, my concern is it may be more muted this year, and could be followed with another leg down afterwards. Much of it will depend on the global currency wars, interest rates, and geopolitical trade circus.

Here is a good watch-list of companies with at least some exposure to Copper:

https://ceo.ca/index?7713f388e7e3

Uranium Market Shows Signs of Life
Long in the doldrums, prices for the nuclear fuel are rising amid supply cuts and forecasts for stronger demand

By Paul Garvey – Aug. 11, 2018

“A wave of mine closures and the rollout of nuclear-power plants world-wide are fueling bullish bets on the long-depressed uranium market.”

“Several investment funds have launched this year to wager on a turnaround in the radioactive material used in nuclear reactors… ”

https://www.wsj.com/articles/uranium-market-shows-signs-of-life-1533992401

Great point Bonzo Barzini. All one has to do is look at some of the takeovers the last few years to notice which companies had made major discoveries: Look at the discovery by Kaminak taken over by Goldcorp, the monster discovery by Reservoir taken over by Nevsun, the high grade Silver discovery by Silvercrest taken over by First Majestic, the high grade gold discovery by Kiska/Aurico taken over by Alamos, or the Tier One Zinc/Silver/Lead deposit discovered by Arizona Mining taken over recently by South32.

As you mentioned, there have been other discoveries like Nova, Garibaldi, GT Gold, Evrim, etc… that still need more time to determine if in fact they may have a tiger by the tail with a whopper deposit.

Lastly, the markets shrug off or ignore producers that hit paydirt and make substantial discoveries on their existing land package, but that is the kind of exploration work that is easily transferred into better economics and much easier to monetize. The market is waking up to a few of these stories though, because look at K92 mining when they hit on the Kora deposit, or some of the traction from good exploration around existing mines that Teranga, Maya Gold & Silver, Excellon, or Superior Gold have executed on.

Other producers are doing good Exploration work around existing mines and some may end up hitting an unknown discovery doing wildcat drilling near their existing mill/processing center, so the tunnel-vision on only explorers is often too myopic.

GF left out an important “key ingredient”: Weakening stocks.

http://schrts.co/a4Gfw2