Interactive Brokers Advertisement
Home > Boards > Free Zone > User's Groups >

Value Microcaps Junior Miners

RSS Feed
      Hide Sticky   Hide Intro
Moderator: Bobwins Assistants: cl001
Search This Board: 
Last Post: 12/16/2017 8:44:00 AM - Followers: 416 - Board type: Free - Posts Today: 0

This board is for discussing junior miners in both base and precious metals. The commodities boom appears to be a longer term issue so these stocks should become more important as investors try to find small companies that are discovering new deposits.

The typical scenario is that the big companies have such high overhead that they can only look for huge deposits. However as commodities rise in price and all producers max out production, the larger players struggle to replace reserves. The junior miners typically fill that role by finding deposits and then selling out to the cash rich bigger players.

My normal investing strategy is to look for profitable stocks with low p/e's. That strategy is difficult with mining stocks because most are not in production or are losing money.

My alternative strategy is to look for miners with near term potential to begin production. Those are the stocks that I will attempt to focus on along with any stocks that are actually profitable.





Zinc prices have underperformed relative to other base metal prices during the commodity boom of 2010-11.  There is supposed to be a surplus in supply in the near term but significant shortages could develop over the next few years.  Several large zinc mines are slated to run out of reserves during this time period and demand is expected to continue to increase. 


  China remains the most important barometer of base metal fortunes.  If their economy continues to grow, copper usage and prices will continue to be supported at the current high levels.

Capstone Mining Corp
F.D. 82.1M, The company is buying back 10% its shares from mid 07-mid 08. Holding ~20m shares of SST.v plus warrants.
Cash cost about 40c copper net byproduct credit, going lower as smelter charges drop in 08 and lead price jumps.
Recently increased its mill output by 120% under budget. Guiding 26 M lb of copper, 11.3M lb of zinc and 4.1M lb of Lead in 08.
New resource update by sep 07.

S.O. 38.1M + 3.9M (InterMoly) + 12M (PP, fully allocated)=54M
F.D. 42.6M + 3.9M (InterMoly) + 24M (PP, fully allocated)=70.8M
2007 guidance: 125 M lb copper and 60 K oz gold
Q1 2007 production: 36.6 M lb copper and 31 K oz gold. Cost: ~$1.5/lb

Taseko Mines Ltd. (TGB)
S.O. 113.6 M
F.D. 126.4 M
2007 guidance: 60-70M lb copper and 1 M lb of moly. Cost: ~$1.5/lb
Production set to increase to 120 M lb copper and 1.4 M lb of moly in late 2008 and cost will go down to close to US$1.1/lb area.




S.O. 90.4M
F.D. 105.5M


Profitable mine in Peru has financed much of the development of their new mine in Mexico.  Producing over 2million oz of silver now, targeting 5million+ oz in 2013 when new San Jose mine should be at full production capacity.




Silver Wheaton is the biggest silver streamer.  They finance many junior miners by buying future production of silver at fixed prices.  The typical price they pay is 3.90/oz.  The miner gets needed financing to bring mines into production and SLW gets all or a percentage of their future silver production.  Silver Wheaton has financing power that many juniors lack.  Now that they have been in business for several years, their initial investment projects are coming into production and raising SLW's production levels.  Lower risk way to play silver because of diversification and lack of mining risk.  SLW is relatively low overhead. They have a small office staff of finance experts who continue to add deals to the portfolio and production without significantly adding to overhead now and in the future.  



Worldwide, there are hundreds of nuclear powerplants on the drawing board.  The current mining supply is well below current usage.  The deficit is being supplied by Russia from deactivated nuclear warheads.  That program is going to end in 2013 and Russia has indicated they will retain whatever is remaining of their inventory for their own nuclear powerplant use.  As that deadline approaches, there is more and more likelihood that uranium will increase in price.  

Strathmore Minerals STM.v
 Near term producer, with two projects being advanced towards production.  Strathmore has a JV with Sumitomo to develop Roca Honda in New Mexico and is pursuing licensing for the Gas Hills Project in Wyoming.  Strathmore has a large acreage position in the US of prospects that it intends to JV or sell to concentrate on it's core products.  These properties were acquired many years ago at very low prices.  

Uranerz Energy URZ





MontyHigh's blog, quite informative:

A Good web site for juniors:


Interactive Brokers Advertisement
#33933   “...Kerr Mines Announces Closing of Oversubscribed $6,000,000 Private Placement. goldenpolarbear 12/16/17 08:44:00 AM
#33932   USAS - Up over 8% today so that CPTMatt 12/13/17 03:50:28 PM
#33931   **Must Watch** rally out of December gold lows historic dr_airtime 12/13/17 02:56:20 AM
#33930   USA.TO/USAS I think so. Here is Resource World (based dr_airtime 12/13/17 02:41:58 AM
#33929   How this ends up well for DNI shareholders Traderfan 12/12/17 01:57:43 PM
#33928   USAS, is now the right time to add? CPTMatt 12/12/17 12:47:11 PM
#33927   DNI - I am sure thankful for that! CPTMatt 12/09/17 11:20:04 AM
#33926   DNI METALS New Interview by Proven and Probable checkmate28 12/08/17 08:44:18 PM
#33925   Striking it Right in Guyana - Mining Journal dj4321 12/08/17 09:37:47 AM
#33924   Huesos DNI A Little short term drama is checkmate28 12/07/17 10:34:38 PM
#33923   DNI appears to be unfazed by any of huesos 12/07/17 07:30:42 PM
#33922   OF COPPERSTONE D ZONE WITH 60.5 FEET @ goldenpolarbear 12/07/17 11:49:47 AM
#33921   More great drilling results for DNI from Maddy. rrten 12/07/17 11:30:23 AM
#33920   I didn't even talk to him about the Traderfan 12/07/17 10:18:14 AM
#33919   I want to add, the only mistake the rrten 12/06/17 09:13:04 PM
#33918   Checkmate, I heard that about Randal when I rrten 12/06/17 09:02:28 PM
#33917   Trader You misunderstood my quote. I posted checkmate28 12/06/17 08:49:55 PM
#33916   Traderfan, Today you said that you talked a rrten 12/06/17 08:49:16 PM
#33915   Checkmate, you are certainly one of the best Traderfan 12/06/17 07:31:51 PM
#33914   Checkmate, you are certainly one of the best Traderfan 12/06/17 07:30:16 PM
#33913   DNI Sorry didnt notice anyone posting here checkmate28 12/06/17 06:56:22 PM
#33912   After what I heard today on some occasions Traderfan 12/06/17 02:16:30 PM
#33911   DNI - It is practically all supposition and CPTMatt 12/06/17 01:48:48 PM
#33910   Everybody here has to understand that DNI has rrten 12/06/17 01:13:10 PM
#33909   I know both sides of the story, I Traderfan 12/06/17 10:53:19 AM
#33908   re : DNI get both sides daredguy 12/06/17 10:40:43 AM
#33907   Same here, I trimmed down big time first Traderfan 12/06/17 10:20:24 AM
#33906   DNI well that is very bizzare. I CPTMatt 12/06/17 10:15:44 AM
#33905   Amazed how DNI is holding up rather well Traderfan 12/06/17 10:14:31 AM
#33904   Announcement from dec6th if you scroll down. Traderfan 12/06/17 10:04:15 AM
#33903   Ok, yeah I just read that. Cougar CPTMatt 12/06/17 09:55:38 AM
#33902   Did you see the Cougar statement from tonight? Traderfan 12/06/17 09:54:50 AM
#33901   DNI/DMNKF Curious if you've heard anything on the CPTMatt 12/06/17 09:45:59 AM
#33900   “...Kerr Mines Drills 60.5 Feet of 27 g/t goldenpolarbear 12/05/17 11:22:43 AM
#33899   GWA Plus the info on the shipping checkmate28 12/04/17 08:05:50 PM
#33898   GWA indeed saw increased buying in the last Traderfan 12/04/17 08:00:34 PM
#33897   Avi Gilbert Compares Now to the fall of 2015 checkmate28 12/04/17 01:02:36 PM
#33896   NM.v/NOEEE C$.99 Bobwins 12/04/17 10:54:47 AM
#33895   Fundamental Research Initiates Coverage dj4321 12/04/17 10:17:30 AM
#33894   Kootenay Silver slide show presentation with President & basserdan 12/04/17 09:50:30 AM
#33893   Weekend OT - Eritrea and the US have CPTMatt 12/02/17 08:01:54 PM
#33892   $PPPMF Primero Mining Operations and Corporate Update MazelTov 12/02/17 05:22:36 PM
#33891   Colorado-based $GEVO Gevo, Inc. will supply its renewable MazelTov 12/02/17 05:22:19 PM
#33890   I increased my position in NSU by ~2.5x beigledog 11/30/17 05:01:56 PM
#33889   GWA.v Gowest Gold Getting more traction off yesterdays checkmate28 11/30/17 12:01:23 PM
#33888   Kandi $KNDI Vs. Tesla $TSLA Wall Street Match-Up MazelTov 11/30/17 10:00:56 AM
#33887   Gowest Gold Intersects 66.7 g/t (2.14 oz/t) Gold checkmate28 11/29/17 12:34:10 PM
#33886   $GEVO 1y Target Est $8.50 by Yahoo Finance. MazelTov 11/29/17 11:40:27 AM
#33885   NM.v/NOEEE +.03 to C$.99 Bobwins 11/28/17 10:12:20 AM
#33884   $GYA.V $GYNAF - Guyana Goldstrike - Fundamental Research dj4321 11/28/17 04:35:56 AM