Kerry Lutz's Mining Stock Wealth Podcast: Recent Episodes
Kerry Lutz
Learn how to build wealth with well-timed and well-positioned investments in bullion, mining stocks, crypto-currencies and more. Kerry Lutz is a recovering attorney and an experienced investor who will help guide along the path of increased wealth during these trying times.
Mining Stock Wealth Presents:
I was joined by Fury Gold Mines’ Chair Ivan Bebek and CEO Mike Timmins for the latest sponsor update. The news has been coming out at a fast and “Fury-ous” pace (pardon the pun) and as expected yet more high-grade gold has been found. In the latest results, three drill holes focused on the untested Hinge target had significant intercepts - including 1.0 metre (m) of 12.81 g/t gold…showing that Hinge has high-grade veins as well as broader zones of mineralization.
Results like these demonstrate that Fury is the perfect case for why one should invest in the junior mining sector. Many times the appears indifferent to highly positive results, but when the news really starts flowing, it catches on and great shareholder returns inevitably follow. As Ivan said, “Patience … will always pay off.” The company now has 4 drills turning and while the assay labs have been tardy furnishing results, things should pick up shortly.
Mining Stock Wealth Presents
We spoke with Ivan Bebek Co-Founder/Co-Chair/Director and Peter Dembicki President/CEO of Tier One Silver, particularly about it’s impending listing on the TSX-V. (TSLV). It could come as soon as this Thursday. US Investors will be able to purchase shares through brokers that allow purchase of Canadian stocks, such as TD Ameritrade, Charles Schwab, Interactive Investors and others. The US listing will come within a matter of weeks.
Originally Bebek was planning for a February listing. The Venture exchange has been backlogged with numerous mining companies who are working through the listing process. Delays are frustrating, but here it will eventually work to Tier One investors’ advantage. Once the drill starts turning and results follow, few will have any memory of this delay.
More importantly, while pursuing the listing, management has been extremely active. A major acquisition was consumated and more studies of the Curibaya Project were conducted in an effort to develop new targets. Additional samples were done and robust numbers returned. Bebek says that the company is now in a very strong position to develop multiple projects. CEO Dembicki observed that permits are in place and drilling will start in just a few short weeks. Peruvian assay times are relatively fast, so expect results and news-flow to come fast and furious. And companies are once again getting paid a big premium for major discoveries. That could mean huge outsized returns for shareholders, such as yours truly.
www.TierOneSilver.com Reserved ticker TSX.V - TSLV
Mining Stock Wealth Presents:
Trilogy Metals (sponsor) has been ceaselessly working to develop Alaska’s Ambler mining district, which has a huge high grade copper deposit of over 4%, along with large amounts of gold, silver, lead and zinc. They’re benefitting greatly from record high copper prices. The company is extremely well capitalized, with over $80mm in liquidity and a major joint venture partner - South 32. We got an update from President/CEO Tony Giardini. He’s planned 15000 meters of drilling for this year, financed by a huge $27mm budget.
Tony explained the highly positive affects that high copper and gold prices have had on the latest FS (feasibility study). He indicated that the project's NPV (net present value) had nearly doubled to $2 billion and that it’s IRR (internal rate of return) was now over 40%.
We also got a status update on the connector road that will link the company’s projects to the famed Dawson Highway. It’s all systems go. The appropriate state agencies have budgeted funds, along with Trilogy, to commence work and all interested parties are working hard behind the scenes to make this project a reality. TMQ’s share price has responded accordingly, recently making new 52 week highs, nearly double it’s 52 week low.
While this is a longer term project, its success is greatly enhanced by the world’s insatiable demand for copper. In the transition to an electrified future, Trilogy will play a vital role.
www.trilogymetals.com Tickers - TSX/NYSE-MKT: TMQ
Mining Stock Wealth Presents:
One of our favorite things is brining you good news from a sponsor. And lately Doré Copper has had a lot of really good news. What you’re about to hear is hot off the press. Doré’s 2020 and recent 2021 drill programs have hit the mark. The plan was well thought-out and meticulously executed. CEO Ernie Mast believes he’s very near his goal of a 5 million ton resource, a whopping 65% increase over over Doré’s 2019 43-101 estimate. These results reinforce that Corner Bay is the cornerstone asset of Doré's holdings. Ernie is delivering exactly what he promised; the hub-and-spoke concept appears to be a winner both for Dore and its shareholders (including us).
https://www.dorecopper.com/en/ (TSXV: DCMC – OTCQB:DRCMF)
Presented by Mining Stock Wealth
Alasdair Macleod writes, “Basel 3 is on course to regulate the LBMA out of existence. And with it will go all the associated arbitrage business and position-taking on Comex, because most bullion bank trading desks will cease to exist. The only supply to buy-side speculators of gold and silver contracts will be producer hedging.” In other words the gig is up and the Emperor has no Gold. You heard it here first.
Mining Stock Wealth Presents:
CEO Russell Starr is always in search of value, which explains why he’s been buying shares in his own company Trillium Gold (sponsor). He stated, “It doesn’t get much cheaper than Trillium.” In the longer term, he believes that value always wins out.
At present the company has two drills turning and is in the process of adding a third. It’s awaiting the assay results from 5000 meters of core. Russell is frustrated by the assay lab backlog that has plagued the industry with lengthy delays. However, he expects the release of Trillium’s drill results to be imminent and that the stage is set for the Newman Todd Project to deliver some excellent numbers..
It is often said that management may have many reason to sell its shares, but it only has one reason for buying them. As shareholders we believe this will hold true for Trillium.
Trillium Gold Mines (TSX.V:TGM — OTCQX:TGLDF)
Mining Stock Wealth Presents:
Orefinders and Mistango Resources just announced a strategic partnership with major producer Kirkland Lake Gold that should propel the shares of both companies forward. Stephen Stewart, CEO of our sponsor Orefinders Resources and Chairman of Mistango River Resources joined us to explain the significance of the event. We were quite interested considering we’re an Orefinders shareholder. Stephen was excited to discuss the new JV agreement, option and equity investment that he believes is a transformational event for the companies. They’ve now got $15 million in cash along with a major technical boost from Kirkland’s renowned team which ideally situates them to make significant discovers. While Stephen admits some of the potential upside was relinquished in the deal, he believes the benefits far out way the costs. We all know that mining is a very risky business and he views this transaction as a de-risking event. Much of the Orefinders/Mistango projects adjoin Kirkland’s Flag Ship Macassa Mine, one of the highest-grade mines in the word, so the synergies are quite apparent. The earn-in aspect of the deal could see Kirkland owning up to 75% of both companies and insures that things will move forward to the benefit of all. Definitely exciting times for all three companies.
Mining Stock Wealth Presents:
After my last discussion with Trillion (sponsor) CEO Art Halleran, I concluded that TCFF is the most undervalued stock in which I’ve invested in for the past 40 years. While the stock price has recently gone up nicely, I’m of the opinion that things are only just getting started. Art has masterfully negotiated a $17.5 financing facility that provides for an overiding royalty and a lending component, of which a small part is convertible into company shares. Thus he has avoided the major pitfall of so many junior resource stocks, destructive dilution. And Art had good reason, for the past four years he has taken his compensation in the form of shares. He’s a major holder of the stock, that’s how much he believes in Trillion. Now that the finance package will soon be closed on, Art is focusing on getting the drills in place to spud several new wells in the coveted SASB Gas Field. This will lead to major production and substantial cash flow. Let me repeat what I said before, “Trillion Energy is the best value play I have ever seen!” www.TrillionEnergy.com Tickers OTC: TCFF - CSE: TCF
Fury Gold Mines (sponsor) just released excellent drill results and Michael Henrichsen was excited, describing that the results could be the gamechanger they’ve been working towards. And for good reason, hole 013 yielded 59.3 Au g/t over one meter and 8.87 g/t Au over 3 meters. The high-grade results to the east of the deposit after further drilling could significantly expand the resource. The newly identified Snake Lake structure where drilling has recently been completed is extremely important to this year’s exploration program and President/CEO Mike Timmins is eagerly awaiting the assay results. As if all that wasn’t enough, there are two identified targets in the Western extension that also have the potential to vastly expand the deposit. These are exactly the type of results that have kept the team motivated and on track. They are executing the plan that was outlined here in previous discussions and it’s now on the cusp of reaping big rewards. Finally, insiders have been accumulating shares, which is always a good sign. We are happy to hold shares in the company. Company Website
www.FuryGoldMines.com
Ticker Symbol is FURY NYSE American and TSX
Gold Terra CEO David Suda (sponsor) joined us for an update on the latest developments. When we last spoke, the company had acquired a number of Newmont claims, which hadn’t been explored since the 1960’s. This in an area that had produced over 14 million ounces. Of that 5 million came out of the Campbell Shear alone. It took 9 months to close the deal, but it was well worth their time. Drilling on the new claims began in January of 2021. To date, they’ve received assays on 6 of 13 holes drilled. The two most significant intersected 5.77 g/t Au over 12.35 meters, including 14.09 g/t Au over 4.65 meters, and 5.69 g/t Au over 1.50 meters and .871 g/t over 3 meters. David is extremely excited by these developments and is anxiously awaiting the remaining results. It appears that the mineralization is consistent with that found in the adjoining prolific Con Mine, which could well presage a major discovery. A fully-funded 10,000 meter drill program is set to start in July.
MiningStockWealth presents:
In an environment of unlimited Money Printing and unlimited Government, how can you protect your wealth? Historically, one choice has been sound junior mining ventures led by superior teams. Torq Resources (sponsor) is exactly that kind of company. Shawn Wallace and Ivan Bebek have a strong track record of building successful companies, with resulting high returns to shareholders.
Shawn explained the Torq Strategy: “The team has been very deliberate and ‘picky’ in choosing projects and moving them forward.” They were making great progress in Chile, when Covid struck. The accompanying travel restrictions presented a major obstacle, but Torq soon crafted a brilliant new plan.
In South America, personal relationships are everything. Doing business on Zoom is not an option. Michael Henrichsen (Chief Geologist) had vast South American experience and a relationship network second to none. He created a team of “Finders” that brought a steady stream of quality projects in for review. The team was so effective, they became a permanent part of the Company after the Margarita acquisition. Now they’re closing in on more projects of similar scope & scale. Shawn is very optimistic about Margarita’s. He believes they’re in the right place at the right time. Chile has many areas that are unexplored and others that were cherry-picked in decades past. Large new copper deposits are extremely scarce. New exploration and production technologies could give these properties new life and big profits.
Shawn’s partnership with Ivan Bebek has been a major success story. Their backgrounds and experience fully complement one another. Both are ardent proponents of tight share structures and the requirement that the bulk of capital raised must go into the ground. And they both share a passion for the business and the industry
As in all their ventures, insider ownership is high. Shawn and Ivan have skin in the game, their interests as always are aligned with their shareholders.
Looking ahead, there are a number of factors that should affect the share price. First is near-term commencement of the Margarita pre-drill exploration program to hone in on the best drill targets. Measure twice, cut once for best results and use of capital. Next, as Shawn points out, new acquisitions are on the horizon. Finally, higher copper and gold prices will likely be reflected in the share price.
https://www.torqresources.com
OTCQX: TRBMF TSX-V: TORQ
MiningStockWealth presents:
Doré Copper's CEO Ernest Mast believes that when it comes to mining, past is often prologue. (sponsor) He's acquired and continues to acquire a portfolio of successful past producing projects that hold great promise for the future. The choice simple, its much easier and less risky to acquire and restart past producing mines . Often, they were shut down due to economic or technical reasons, rather than depletion of reserves. Restarting production is a far simpler matter, requiring minimal approvals and reduced investment. In addition, Mast is continues to consolidate nearby under or unexplored properties to further expand the resource. Ernie expects to release an updated 43-101 and PEA later this year.
Doré's a 2700 tpd Copper Rand Processing Plant along with its growing list of mines is part of a "hub and spoke" strategy to maximize the mill's economies of scale. High quality area infrastructure helps facilitate this process. Add to that a quality local mine-oriented work force and you've got the makings of an efficient gold/copper producer with world-class potential.
It's no wonder that Doré has found widespread support and investment from a variety of interested parties, from the Cree Nation, to the municipality of Chbougamau and numerous other companies in the area.
With $4 copper and $1700+ gold, Doré is ideally situated to ride out the next commodities super-cycle turning in big profits for shareholders who have patience and vision, of which we'd like to include ourselves.
www.DoreCopper.com (TSXV: DCMC – OTCQB:DRCMF)
Kevin Drover, CEO - Aurcana Silver (sponsor) is extremely excited about imminent silver production at it's Ouray, Colorado mine this summer. He personally moved there to oversee the final production steps. 130 people are working the mine as we speak. The initial annual silver production target is 3.1 million ounces. That level would anticipate processing 270 tons per day at their underground mill (slightly more than 50% capacity). Plans are already underway to increase that total and to drive up production even higher. But Kevin is taking the cautious approach to assure that Aurcana achieves its production goal. Average all in costs are around $9 per ounce, which means big profits are ahead.
The company is cashed up with $46 million and is starting plans to reactivate its Shafter mine in Texas. As shareholders we are expecting big things from Aurcana soon.
http://www.aurcana.com
OTC: AUNFF TSX-V: AUN
MiningStockWealth Presents:
I have been investing for the past 4 decades often with great success. During that time I’ve studied thousands of companies’ financial statements, in search of value that others had missed. I know we’re in the age of the Tech Giant and value investing is out of vogue, that’s often the case in frothy markets, but in the long run the market always returns to value. This is why I’ve taken a position in Trillion Energy CSE:TCF OTC:TCFF
(sponsor). Listen to my interview and hear CEO Art Halleran explain that there is about US $300 million in natural gas production assets (drill rigs, platforms, pipelines, processing plant, etc.) that is completely absent from Trillion’s balance sheet.
Art is a petroleum geologist with 38 years of experience who’s built a number of successful energy companies. He’s never been more excited than he is about Trillion. And in this cynical investor’s opinion, he’s a straight-shooter who tells it like it is. If a mid-tier natural gas producer wished to acquire the SASB asset, Art said they would pay at least $100 million, or slightly less than $1 per share (as of Friday share price was 11.44 cents and the market cap was about $14 million). But the company isn’t for sale, for the simple reason that in Art’s opinion its value is far greater. That’s because the SASB natural gas field that it’s currently developing is worth several times that number. Art has the experience and the ability to bring that field into production, as well as numerous other promising targets in the area. Best of all, there’s very little capex required, since the platforms and necessary infrastructure are already in place.
Most of Trillion’s assets are in the Black Sea, in Turkish waters. However, they’ve been dealing with the Turkish Government for over a decade and relations have been extremely cordial. They are partners with the Turkish State Oil Company (TPAO). Trillion’s expertise in drilling underwater wells is well demonstrated and they provide skills that aren’t easily obtainable. Right now, the majority of Turkey’s natural gas comes from Russia. All of the SASB production will be purchased by TPAO to reduce the country’s reliance on imports.
Trillion already has cash flow coming from existing oil wells in the area. It knows how to effectively operate in this part of the world. Perhaps most important, Trillion’s gas sells from $6-8 per million btu’s, unlike North America where the same gas is selling for $2.77 per million btu’s. Equally as important, global natural gas consumption is steadily rising, which means future returns over the years could increase greatly.
For all of the reasons above, I’ve taken a position in Trillion and I’m very excited about its future.
Company website: www.TrillionEnergy.com
OTC: TCFF CESE: TCF.CN
MiningStockWealth presents:
Our 2020 trip to Silver One’s (sponsor) Hawthorne, Nevada Candelaria Project demonstrated that the company was on to something big. Candelaria is one of richest silver mines in Nevada history and is now ready to enter its next phase. Recent drill results intersected 1,032 g/t Ag over 3.05 Meters with a 12.2-meter zone averaging 407 g/t along with 0.55 g/t of AU. Nearly two-thirds of its 15,000-meter program have been drilled. Twenty-five out of 30 holes were successfully finished. The assays of 13 holes have expanded the down-dip mineralization an additional 250 meters to the north at Mount Diablo and an additional 100 meters to the north-northeast of the Northern Belle pit. This is great news because it has proven Crowe’s belief that mineralization is far more extensive than previously believed and that there’s lots more yet to be discovered.
The news keeps getting better, last year Silver One updated its 43-101 technical report on its abandoned heap leach pads. Pad 1 has 30 million ounces of silver and pad 2 has 15 million. This combined with other parts of Candelaria means that production options have been greatly expanded
For a combination of cash and stock, Silver One is transferring its Mexican properties to Silverton Metals, thus increasing its cash hoard to help further fund its ambitious drill programs.
Cherokee and Phoenix, it’s two other projects are moving quickly ahead as well. Drill targets have been identified at Cherokee and geologic mapping has been completed on over 90% of the claim block.
Crowe is especially excited about Phoenix where a 417-pound fragment containing up to 70% silver recently found. Another smaller vein fragment returned almost 50% silver or 14,688 ounces per ton. They’re studying and surveying the area looking for more rich targets. On a nearby adjoining property, a porphyry copper deposit is being developed. Phoenix’s silver-bearing polymetallic veins may also be associated with a porphyry copper system at depth. So, stay tuned for more good news. We’re very happy shareholders.
www.SilverOne.com
OTCQX: SVRF TSX-V: SVE
MiningStockWealth Presents:
Recently, the nickel and base metals markets have been on fire. Worldwide stainless-steel demand (of which nickel is an integral component) increases at a steady 5% annually, but the big story is booming EV (electric vehicle) demand. Recently Elon Musk made clear his intent to utilize nickel as a substitute for cobalt in EV batteries, provided that there is a reliable supply of carbon-neutral, energy efficient metal. That’s where FPX (sponsor) comes in. The Baptiste deposit’s nickel metallurgy means there's no smelting necessary, leading to lower costs and greater environmental friendliness. Nickel is trading around $8.84 per pound, just over its historic $8 average. Copper recently broke $4 per pound and base metals have rapidly appreciated. With nickel demand ready to take off, looming supply deficits and a lack of new world-class projects, there’s a compelling case for vastly higher prices. The bill for decades of sector underinvestment has now come due.
CEO Martin Turenne explains why the British Columbia Baptiste deposit is undervalued relative to peers and FPX’s PEA supports that point. Its Van target is close by and it has a bigger surface footprint and larger, higher metal grades than Baptiste. FPX is trading at just 5% of the project’s estimated $1.7 billion value The market has yet to factor Van into FPX’s valuation.
Owning over 20% of the company, management’s interests are closely aligned with those of shareholders. As a CPA, Martin has kept a very tight rein on FPX’s finances; dilution has been kept to a minimum.
With approaching future supply issues, the apparent beginning of a new commodity super-cycle and at least one or more world-class projects, FPX is uniquely situated to cash in on Elon Musk’s demand for carbon-neutral nickel.
Company Website: https://fpxnickel.com
Tickers: TSX-V: FPX - OTC: FPOCF
MiningStockWealth Presents:
Trillium Gold (sponsor) just announced that continued drilling intersected 16.1 g/t gold (Au) over 3.9m, 124.66 g/t gold (Au) over 0.24m, 49.56 g/t gold (Au) over 0.3m, all with visible gold. This on top of its previously announced bonanza gold grades of up to an astonishing 139 g/t at its 100% owned flagship Newman Todd project in Canada’s premier Red Lake mining district.
The project was only sparsely been drilled or tested at depths below 400 meters. Remarkable potential is present as mineralization remains open along strike and depth, and potentially in postulated parallel features. Gold mineralization has been intersected in over 40% of holes drilled to date. A network of very gold-rich veins have been traced for at least 2.2km along strike.
The recently acquired Gold Centre project is in the highest-grade gold camp in North America. producing over 29.5 million ounces since the early 1900’s, with grades of more than 1/2 ounce per ton. And Trillium has a number of other promising projects in its growing portfolio.
Excitement is running high, which is why any time Russell isn’t restricted, he’s busy buying shares. He currently owns or has warrants and options on 3 million shares. Management and insiders own 38%, 22% is owned by institutions, and 38% by the public. Russell seeks to be held accountable for his successes and failures. His philosophy is that a shareholder in any company is entitled to that respect. A very refreshing view.
And he has the track record to deliver as he has done it before. After leaving the financial sector, he held executive positions at Cayden Resources and Auryn Resources. As SVP with Cayden, he was instrumental in its sale CAD$205 million to Agnico Eagle. Could there be a similar outcome for Trillium.
And should lightning strike twice, Trillium is extremely well positioned to deliver to its owners. It has plenty of cash available to finance its ambitious drill program and when the results start flowing, considering the tight share structure, just 52.3mm shares (fully diluted), we could see very outsized shareholder gains, which is why we’re shareholders as well.
https://trilliumgold.com
OTCQX: TGLDF TSXV: TGM
MiningStockWealth Presents:
Trilogy Metals (sponsor) is developing a world-class poly-metallic mine in Alaska’s remote Ambler District. Billions of pounds in copper, lead, zinc gold and silver are present. High grades and low costs, combined with a management that has the will to get the job done means a big shareholder payoff. Approval to build a 120 mile project access road was granted by BLM (Bureau of Land Management) back in July. Additional progress is being made. AIDEA (Alaska Industrial Development and Export Authority) signed a Right-of-Way agreement with BLM and the National Park Service, thus clearing another hurdle.
While this was going on, the Company has been busy developing the district and increasing its reserves in the face of Covid-19. Road engineering and preparation work has continued a pace, so when construction approval is granted, they’ll hit the ground running. With the magnitude of Trilogy’s Copper deposits, the project is very alligned with current political and economic disposition towards an electrified future; one that is highly dependent upon scarce copper.
With a project of this scale, temporary obstacles are expected. Two lawsuits were commenced by environmental groups claiming various BLM procedural errors. We’ve been following this matter closely and are confident that everything was done to the letter of law. Such litigation happens regularly in a project of this size and should be disposed of in due course. With the firm backing of the state and federal governments, the tribal corporation and various officials on both sides of the aisle, this is a project with major support. As Alaska’s oil revenues diminish, it is looking towards responsible mining to pick up the slack. Legal matters aside, the project is moving ahead swiftly, which is why Tony is extremely optimistic and along with others has been aggressively adding to his position in the Company and that should tell you everything you need to know.
Website - www.trilogymetals.com
Tickers - TSX/NYSE-MKT: TMQ
MiningStockWealth Presents:
Big things are happening at Fury Gold Mines (sponsor) and the excitement of CEO Michael Timmins and SVP of Exploration Michael Henrichsen is contagious. At the Eau Claire project, Timmins said, “We are very pleased to have hit gold mineralization in our first significant step-out…” The hole was drilled down plunge at 660 meters and yielded 3m of 2.59 g/t, a significant extension. So significant were the results, the team has moved a second drill rig to the site to advance the discovery. Henrichsen is looking to double the project's scale. The next target is even further out and if they achieve similar or better results, we’ll know they’re on to something really major. It’s all part of the 50,000 meter drill program that’s yielding results.
Fury has three major projects underway, Eau Claire, Homestake Ridge and Committee Bay. Homestake currently has a 25,000 meter drill program underway and Henrichsen believes there's been a game changer there as well. Timmins emphasizes that this degree of optionality is going to pay off big for shareholders. It’s part of a deliberate strategy, which when combined with the world-class team should yield big finds in the not too distant future. When one of projects succeeds, the profit to shareholders will be substantial, if all three are winners, we can only imagine the pay-off.
Fury’s share price has responded accordingly. Now that the merger/spin-off from Auryn Resources is past and has been fully digested by the market, Timmins believes that the $3.50 share price target is well within reach. And with an exploration team, headed up by Henrichsen, former Newmont structural geologist with many successes under his belt, there’s little doubt that there's more to come. That’s why we own the shares.
Click here for Fury Gold Mines Website
Tickers - NYSE & TSX: FURY