Category Archives: Latest Commentaries

This Lithium Asset in Nevada Could Supply Tesla’s Gigafactory

This Lithium Asset in Nevada Could Supply Tesla’s Gigafactory
One metal where demand is soaring is lithium which is used in rechargeable batteries for smartphones, Ipads and electric vehicles. A game changing event occurred this past week when Albemarle (ALB) paid over $6.2 billion to buy the world's largest publicly traded lithium producer Rockwood Holdings (ROC). This is one of the largest chemical deals and the lithium industries biggest M&A transaction in history. Demand has doubled in the past decade as lithium ion battery use has grown in mobile technology. Growth in the lithium sector has been far outpacing other sectors. Some experts believe demand could even grow faster over the next decade especially as electric vehicles gain market share. The key for investors is finding potential sources of the raw material in North America.
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Japanese Nuclear Restart Sparking Uranium Sector Rebound

Japanese Nuclear Restart Sparking Uranium Sector Rebound
Last week I was interviewed about uranium by The Energy Report and I told them to get ready for doubles and triples in uranium and that we may see a powerful bounce off the bottom in the near term. Remember this was at a time that the large miners and the banks were bearish forecasting lower price targets. See the article and charts by clicking here… Less than one week after that interview was published Japan announces that two reactors are approved to be safe and are able to be turned back on. This is a psychological game changer as the uranium priced has slid for more than three years over 60% as Japan idled their reactors after the 2011 Fukushima Disaster. Here is a list of some of my favorite junior miners which I own and are sponsors on my website.
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Five Ways To Profit In Coming Clean Energy Boom

Five Ways To Profit In Coming Clean Energy Boom
Please note I just returned from Medellin, Colombia and toured what I believe will be the first modern gold mining operation approved for mining by the Colombian government. They have an immense amount of local support and the project appears to have the best chance of being the first to get into production due to the high grade and underground mining. It could be beginning production in possibly the next 18 months. Currently the company has a market cap of around $20 million, but in 18 months time could produce $60 million a year of profit if gold remains at $1300 per ounce. The management team is top notch with the COO building more than ten mines all over the world. The stock is currently trading at a discount to its last financing and less than their major shareholders who have invested $55 million in this project. Its important to note there are no warrants and the IPO was more than 6 times than what it is now. I intend to publish a full report of my findings of the mine site visit to my premium subscribers.
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U.S. Must Secure Heavy Rare Earths From This Alaskan Mine

U.S. Must Secure Heavy Rare Earths From This Alaskan Mine
Wars are being fought all over the world over control on natural resources. Attention is focussed on Eastern Europe and the Middle East particularly Iraq. I am greatly concerned that not enough is being done by the U.S. to secure critical materials of heavy rare earths needed for cruise missiles and our latest military technologies. We still rely completely on China despite their export cuts and warnings to the West to mine and refine your own rare earths. Heavy rare earths are increasingly needed in permanent magnets crucial for some of our defense technologies. China has been warning the world for years that they will cut exports. The U.S. can't be reliant on another country for these basic elements. One day we could wake up left out in the cold and naked if we don't start getting our act together. The Alaskans understand the importance of strategic metals and are financially supporting this junior heavy rare earth developer...
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Why This Niobium Company Is Up Close to 500% in the Past Year

Why This Niobium Company Is Up Close to 500% in the Past Year
For over two years since this major CBMM multi-billion dollar niobium deal with the emerging Eastern nations I have tried to educate investors about the importance of niobium. I found Iamgold's Niobec asset but wanted to see if there were any similar opportunities in the junior market as that is where a studious investor can find the greatest leverage to the metal. In late 2011, I found an asset in Nebraska that looked even better than Iamgold's Niobec as it is higher grade. I recommended it to my subscribers and bought a position in early 2012. Since that time the company has soared more than 400% far outperforming the S&P500.
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Why Capital May Be Flowing From Equities to Junior Miners in 2014

Why Capital May Be Flowing From Equities to Junior Miners in 2014
The gold (GLD) and silver (SLV) price may be reversing over the next couple of weeks. The junior miner gold ETF (GDXJ) is reversing above the 50 day moving average and breaking above its recent three month downtrend. When the huge cash positions waiting on the sidelines or taking profits in the equity market rising on low volume return to the ignored resource sector the gains could be huge. Already the volume in GDXJ in 2014, has jumped outpacing 2012 and 2013. On the other hand the S&P500 has been rising on light volume which is often a warning sign that the extended rally is getting exhausted. This indicates to me that possibly the large institutions are accumulating the juniors after all the retail investors jumped ship. Prices could jump rapidly in the Toronto Venture Exchange where most of the legit junior miners are traded. These small cap juniors could gap higher as the major institutions are hardly exposed to the mining sector at all. It appears that some of my charts are showing a potential reversal in the precious metals. Get ready for an incredible bounce higher in precious metals. Here are five reasons why.
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The Lower The Uranium Price, The Higher The Rebound

The Lower The Uranium Price, The Higher The Rebound
These are the best times for contrarians some of who are doubling down at these levels. They realize that big money continues to wait on the sidelines to enter the spot market. Uranium Participation Corp (URPTF) raised $58 million to buy spot uranium. There has not seemed to be much buying since this raise which may mean they are looking for a time to enter. When the buying begins look for the uranium spot price to gap higher. This recent capitulation in the uranium spot price to below $30 may signal the shorts are exhausted. After arguably seven years of basing, uranium has all the characteristics for a sector about to bounce off a major bottom.
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Ucore Rare Metals Marches Closer To Production On Alaskan Bond Approval

Ucore Rare Metals Marches Closer To Production On Alaskan Bond Approval
Attention must be paid to the heavy rare earth sectors which is dominated by the Chinese. Tensions are increasing between the West (US, Europe and Japan) and the East (China and Russia) over trade, territories and natural resources. No where is this more apparent than in the rare earth metals. These metals are critical for our high tech military applications, permanent magnets and green energy. The U.S. imports close to 100% of this material from China. This may soon change as the Alaskan Legislature unanimously approved a $145 million bond which will allow Alaska to issue bonds for Ucore Rare Metals (UCU.V or UURAF) Bokan Heavy Rare Earth Deposit. All 38 Alaskan representatives in attendance voted in favor of the bill which would allow Alaska to fund the infrastructure and capital costs at the mine.
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Palladium Breaks $800 As Economic Sanctions Stifle Russian Miners

Palladium Breaks $800 As Economic Sanctions Stifle Russian Miners
For weeks, I warned you that palladium was on the verge of a breakout past $800. Now it is hitting new two year highs as the U.S. threatens Russia, the world's largest supplier of this precious and industrial metal used to control pollution from automobiles. In addition, strikes from miners in South Africa, the second biggest palladium producer is putting strain on the supply side. Demand for automobiles is growing most notably from China who needs palladium desperately to reduce toxic air emissions in their smog filled urban areas. Demand is exceeding supply now for several years.
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Why These 2 NYSE Gold Producers are Buying This Junior During a Bear Market

Why These 2 NYSE Gold Producers are Buying This Junior During a Bear Market
Gold is gaining strength as it may soon close above the 50 day after reversing above the 200 day moving average after falling below that level last week. That may have been a shakeout of weak hands below the 200 day as it appears in 2014 money has been moving from the overbought equity market into the undervalued commodities in the form of junior miners. Look for a close above the 50 day at $1310. Investors may be preparing for the eventual reinflation, which may have been sparked by Yellen's taper. The U.S. dollar and general equity market appears to be forming a rounding top while gold, silver and the junior miners are seeing increased accumulation a higher lows typical of new bull market moves. The key now is asset preservation in a rising interest rate, inflationary environment. I still believe gold, silver and the industrial metals specifically PGM's, nickel and uranium could soar. These are the areas that I believe are the safest to be when interest rates are negative and when Central Banks are continuing to fire up the printing press engines. The overbought social media and marijuana stocks with no earnings could be just beginning to bust. Look at all the IPO's in social media and pot stocks reminding us of the Dot.Com craze. While these stocks come back to earth the junior miners could actually soar as The Fed may have to reverse their taper moves and actually increase quantitative easing to deal with the aftermath of the tech/marijuana bubble bursting.
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