Lion One Metals Ltd (LOMLF)

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Most Undervalued and Under the Radar Developer: Lion One



Vancouver Resource Investment Conference 2017 in Review
Friday January 27, 2017 14:27

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Most Undervalued and Under the Radar Developer: Lion One Metals (LIO.V) This company controls one of the top 10 highest grade gold mines in the world. The Tuvatu Gold Project in Fiji boasts a narrow vein mineral resource with an average grade in excess of 8 g/t Au. The Tuvatu property lies within Viti Levu Lineament, a north-west trending belt that hosts a number of alkaline volcanic centers. These include the world-class Vatukoula Gold Mine, which lies approximately 50 km’s to the north east. Low sulphidation, epithermal gold veins at Tuvatu occur along the margins of the eroded Navilawa volcanic center in a multi-phase geologic environment that also hosts porphyry copper-gold and VMS style mineralization. The nearby Vatukoula mine has over 4m/oz in reserves and has been in operation for over 75 years.

The company is run by Walter Berukoff, whom I have been fortunate enough to benefit from in 2 of his past 3 successful company takeovers. Mr. Berukoff was the founder and C.E.O of Miramar Mining Corporation, Northern Orion Resources, and La Mancha Resources, and has operated or commissioned gold mines in seven countries. I was in both Northern Orion and Miramar Mining when they were acquired by majors at a substantial premium.

The retail float in the company is only 42% of 101m shares outstanding with management owning 21%. They recently completed a $38m private placement above market and have over 41m warrants out @ $1.35 which expire in March of 2018. The company is working on a debt finance deal in order to construct the Tuvatu Gold Mine. Investor Relations Manager Joe Gray informed me at VRIC the finance should be completed in Q1 of this year. Full Disclosure: I own shares in LIO.V purchased in December of last year in the open market.

The next conference I attend will be the PDAC in Toronto, March 5-8, 2017. I will post a review in my column after I return.

By David Erfle Contributor to Kitco News
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image: http://www.kitco.com/ind/Daviderfle/images/DavidErfle.jpg

David Erfle is a 52 year old self-taught mining sector investor. He stumbled upon the mining sector in 2003 as he was looking to invest into a growing sector of the market. After researching the gains made from the 2001 bottom in the tiny gold and silver sector he became fascinated with this niche market. So much so that in 2005 he decided to sell his home and invest the entire proceeds from the sale into junior mining companies. When his account had tripled by September, 2007, he decided to quit his job as the Telecommunications Equipment Buyer at UCLA and make investing in this sector his full time job. He personally survived two bear markets, witnessed incredible sector changes and had to alter his investment philosophy numerous times in order to adapt to changing market conditions."


Read more at http://www.stockhouse.com/companies/bullboard?symbol=v.lio&postid=25766333#Khx8PLxRqksaGvTF.99


http://www.kitco.com/commentaries/2017-01-27/Vancouver-Resource-Investment-Conference-2017-in-Review.html