Wheaton Precious Metals Corp (WPM)

[bilyjak]

YOU GUYS KNOW BEST! I'M SELLING! Wait...is this going up again today?

[Tibby]

Sure they can get rgey cab get the rest of the $625M that has not been covered by delivered silver but SLW's reserves will be greatly reduced and they will face legal actions in the title fraud they are complicit with Barrick in propagating over the last several years!

[randymarsh]

The Pascua Lama issue had me concerned, but it appears that SLW will get paid whether that mine proceeds or not.

As a result of Barrick’s decision to temporarily suspend construction activities at Pascua-Lama, the Company has amended its silver purchase agreement with Barrick. The amendment entails Silver Wheaton being entitled to 100% of the silver production from Barrick’s Lagunas Norte, Pierina and Veladero mines until the end of 2016 - an extension of one year. In addition, Silver Wheaton has agreed to extend the completion test deadline an additional year to the end of December 31, 2017. If the requirements of the completion guarantee have not been satisfied by the revised outside completion date, the agreement may be terminated by Silver Wheaton. In such an event, Silver Wheaton will be entitled to the return of the upfront cash consideration of $625 million less a credit for silver delivered up to that date.

[Tibby]

Beyond all that is written herein the issue of deposit title is not discussed! Currently being delt with by The Supreme Court of Chile ..././ F i n a l y!
Add that to the equation and you have a cataclysmic dissaster for Barrick as well Silver Wheaton and Royal Gold.

Barrick will have legal issues coming out of their yinyang for years to come with very serious penalties to confront.

http://www.theglobeandmail.com/report-on-business/rob-magazine/high-and-dry/article18134225/?page=all

[randymarsh]

They have a great business model, it's safe to hold long term, while offering plenty of trading opportunities.

Can't go wrong here IMO.

[bilyjak]

BOOOOOOYYYAAAAAAA!!!!!!!!

[RJ Trotts]

Moving on up, nice for sure. Those $20's a few days ago are looking real good here.

[bilyjak]

MAKE WAY FOR THE SILVER TRAIN...Sliver Wheaton train that is.

[RJ Trotts]

I would love to see spot silver over $25! That will show that $30 will not be that far away. It was tanked in April 2013 with pure manipulation and has never recovered! I am all for a recovery.

[bilyjak]

I hope silver just keeps sneaking up this summer. I'm holding some rather expensive eagles and so this stock will ease my pain.
Let's keep our eye out for $26.

[RJ Trotts]

Holding nice over $25 today, that is great.

[RJ Trotts]

I agree with you, the long term on this stock along with the short term are very bullish. I know I am enjoying it.

[Tibby]

This issue is still very much in the background. The Supreme Court of Chile will in all likelyhood make a ruling in the next 6 months or less.
In all my DD it does not look good for ABX nor SLW!

Call the management of SLW and ask them and when you get your answer record it as you will have a base for the law suit ensuing!

[HONU]

U called it......Looking for a LOT more as well.

[bilyjak]

LOOKS LIKE WE ARE GUNNA HAVE ONE HELLAVA DAY!

[Pro-Life]

Big uptrend is underway... SLW

[Shermadog]

Ok do you have a link that is less than 2 years old that shows what is going on in the legal front?

[Tibby]

http://www.prnewswire.com/news-releases/mountainstar-gold-inc---notice-to-silver-wheaton-corp-slw-166730146.html

[randymarsh]

Do you have a link?

[Tibby]

No Silver EVER for SLW at Pascua Lama!

The courts in Chile are at the point of making a ruling on the Mina Pascua fraud of Barrick and as such the Chilean decision will negate the deal SLW has with ABX forever!

[bilyjak]

Picked up a small glob yesterday. Hopefully gold & silver will keep edging up over the next few months.

[flemsnopes]

Ladies and gentlemen, the Captain has turned on the Fasten Seat Belt sign. If you haven’t already done so, please stow your carry-on luggage underneath the seat in front of you or in an overhead bin. Please take your seat and fasten your seat belt. And also make sure your seat back and folding trays are in their full upright position.

http://www.investing.com/commodities/gold

[rayank]

Thanks, and I agree around $20 good for long term hold.

[RJ Trotts]

Nice read, thanks! I am looking at adding on any dip that we have here, I think anything under $20 is a nice long term buy. This is one of my buy and hold stocks. Enjoy your weekend.

[rayank]

SLW: Silver/Gold play article today:
3 Reasons to Buy Silver Wheaton
By Robert Baillieul - May 27, 2014

"It’s no secret that I’m not a big fan of gold or silver. I think that we should much rather store our wealth in wonderful businesses that produce profits and dividends than fondle pieces of metal. Don’t even get me started on the capital sinkhole that is the mining industry.

However, once in a while a company comes along that completely changes how you think about a business. Silver Wheaton (TSX: SLW)(NYSE: SLW) is one of those companies. Here are three reasons to consider adding this stock to your portfolio.

1. A great business model
Silver Wheaton is like a bank for the mining industry. In exchange for an upfront payment, the company is allowed to purchase a mine’s entire gold or silver production at a highly advantageous price.

How good are these deals? Last year, Silver Wheaton paid an average price of $4.65 per silver equivalent ounce. That makes the company one of the lowest-cost “producers” in the industry. And given that silver prices are trading north of $19 per ounce today, the firm is making money hand over fist.

Beyond sheer profitability, the biggest advantage of this business model over traditional mining companies is cost confidence. When building a new mine, budget overruns can cost investors dearly. However, once an upfront streaming payment is made, there are no surprises.

Silver Wheaton is also a much better place to store your wealth than gold and silver bars or precious metal exchange-traded funds over the long haul. Excess cash flow is plowed right back into new streaming deals, allowing the company to grow over time. That’s far better than storing silver coins in a vault.

Best of all, the firm is efficient. When you consider Silver Wheaton’s general and administrative expenses relative to the fees you pay on a typical ETF, the company delivers the same exposure to silver prices for far less. And when you also consider that the company pays a dividend, you are actually getting paid to own the stock.

2. A shareholder-friendly management team

Every management team claims to be shareholder-friendly. It’s a bit like how a baseball commentator can justify a player’s spot on the roster by saying “he’s a great guy in the dressing room”. It’s this fuzzy attribute that doesn’t really mean anything.

However, there are little clues that suggest management is on the same page with shareholders at Silver Wheaton. Take this comment from an conversation I had with Chief Executive Randy Smallwood last year: “One of the facts that I think is really important is that an investor had about one and a half ounces [of silver] behind a share of Silver Wheaton [in 2004]. That same share, all of the way through and not adding any more shares, now has over six and a half ounces.”

Did you catch that? It was subtle, but notice how Smallwood is bragging about Silver Wheaton’s reserve growth per share. That’s unusual in the mining business, where most executives brag about EBITDA growth, the number of employees hired, or how many ounces they’re pulling out of the ground.

Giant business empires may stoke management egos, but merry executives never funded anybody’s retirement. Any expansion is worthless from the perspective of shareholders if the company has to dilute investors into oblivion (cough…cough…Barrick Gold). The fact that Smallwood is gloating about ounces per share and not total reserves is an indication that he’s looking out for investors.

3. A sustainable competitive advantage

Silver Wheaton is the biggest streaming metals company in the world, and that gives it credibility with the silver mining industry as a source of financing for mining companies. If you are a struggling junior company, doing a deal with Silver Wheaton is like a giant “all-clear” signal to other investors.

It’s analogous to how Berkshire Hathaway struck such advantageous deals with troubled banks during the financial crisis. Warren Buffett could extract unusually high returns out of companies like Goldman Sachs because his name acted like a seal of approval. It gave other investors and stakeholders confidence in the company.

This is exactly the sort of competitive advantage that Silver Wheaton has in the marketplace. This allows the company to structure exceptionally good deals during its negotiations with mining companies.

Of course, Silver Wheaton isn’t risk-free. The company is exposed to fluctuating commodity prices. If streaming partners begin to shut down mines, it could send Silver Wheaton shares reeling. However, for investors looking to play precious metal prices, this name is a better alternative to mining stocks or hoarding metal in a vault".


http://www.fool.ca/2014/05/27/3-reasons-to-buy-silver-wheaton/?source=c75yhocs0040001

[TMLonggun]

I love the royalty business model and I love silver... hard to go wrong with SLW at these prices in my opinion.

[miggi]

Good call. 21.69 this morning. Should be close to bottom.

[eqdruid]

It may hit $22 or below.

[miggi]

Starting to look that way. If so,I will scoop some up.

[JohnCM]

You might be able to buy $24.00 soon ....

[miggi]

And quite the range of trading. One solid quarter with improved silver prices and we go to 30.

[JohnCM]

Notice uptrend line intact.

[JohnCM]

Hmmmm, not sure.

Here it is ..

Notable earnings after Thursday’s close • 5:35 PM
• AIR, NKE, SLW, TIBX, WTSL, XON

[miggi]

Are we getting earnings report mid day or after hours?

[JohnCM]

Where Silver Wheaton Saves Junior Gold Miners and Massively Profits by It
by Rich Duprey, The Motley Fool Mar 10th 2014 3:00PM

"Ever since the financial markets collapsed in 2008, the landscape for financing has been upended and the difficulty of navigating through the tumult is seen no better than in the mining industry, where falling commodity prices and China's slowing economy have exacerbated the situation.

Yet mining majors like Barrick Gold and Newmont Mining have a set of tools to work with that are unavailable to lesser operations particularly those of rival junior miners. Barrick was able to target some $2 billion in additional costs and capital expenditure cuts last September and previously cut its dividend by 75% to save money. Newmont lowered its capex budget all throughout 2013 and last month said it expected to reduce this year's budget by another 25%.

Junior miners, on the other hand, have a weaker capital position than their larger brethren if for no other reason than they often have no output that they can sell. Because their capital programs tend to be subject to the availability of financing, they've found themselves especially constrained leading them to dilute their shareholders with new offerings or to M&A activity, such as the just-completed acquisition of Brigus Gold by Primero Mining in a bid to create a mid-tier miner able to more effectively compete.

Yet there's another path for them, one which Silver Wheaton blazed last year that could be the salvation of the junior miners while allowing the silver streamer itself to profit handsomely.

Last November, Silver Wheaton unveiled a new business model when it entered into a gold stream agreement with Sandspring Resources that advanced to the junior miner $13.5 million in exchange for the right to purchase 10% of the life of mine gold production from Sandspring's Toroparu project in Guyana. The total value of the deal is around $149 million plus an ongoing production payment, giving the streamer access to high-quality, earlier-stage projects for relatively little upfront capital. Sandspring gets the financial resources to complete its feasibility study without diluting its shareholders or selling itself to the highest bidder.

The win-win situation solidifies Silver Wheaton's preeminent position in a market where the long-term outlook for precious metals is quite bright. While there is some greater risk involved than the typical streaming deals it does, such as those completed with major miners like Barrick. But as the situation at Pascua-Lama in Chile underscores, the bigger projects are not without risk themselves.

At Pascua-Lama, Silver Wheaton had to agree to change the terms of its agreement with the gold miner because the work there was stalled over environmental concerns. While it could have chosen to take back the up-front monies it gave to Barrick in exchange for 25% of the mine's output, it instead extended the terms and agreed to continue taking all of the output from three separate smaller mines. However, the Pascua-Lama deal could still turn into a money loser for Silver Wheaton if it doesn't become operational by 2016.

Here with Sandspring it could lose money, too, but obviously it has far less money at stake than at Pascua-Lama, where several hundred millions of dollars are at risk. And the deal provides the streamer with a road map to help other high-quality, early-stage projects get going.

According to an interview with Mining Weekly Online, Silver Wheaton's CEO says the company has three deals in the works with at least one possibly being completed this year worth in excess of $1 billion. With its own resources available totaling about $1 billion, it has sufficient capital to finance a number of deals with junior miners.

This could be a business model for others to follow, thus saving the industry from the failures of the financial markets by forcing them into less than optimal dilutive offerings or M&A deals where at least one party is operating from a position of weakness. Silver Wheaton and its investors, though, are left sitting in front of a pot of gold that they can share among themselves."

[JohnCM]

I agree with your target ...

[eqdruid]

Looking for a nice entry point, $24 is target entry. After 20th this one should be trading over $30+.

[JohnCM]

[TheBigBuss]

Silver flat so far.

http://pennystockjournal.blogspot.ca/p/silver.html

[JohnCM]

I like and bought CD* as well.

[Rentier]

Yes, it should be silver and gold markets starting to heat up again.

[JohnCM]

SLW going to $30.00 lickity split!

[JohnCM]

SILVER MINERS

Silvercrest Mines Ordinary Sh (SVLC)

Avino Silver & Gold Mines Ltd (ASM)

Great Panther Silver Limited (GPL)

[TheBigBuss]

Nada Silvercorp. SLV.to

gotcha. Ahuck.

That silver chart is a rocket ship. Here's the 2013 Silver Summary.

https://www.silverinstitute.org/site/wp-content/uploads/2013/06/WSS2013Summary.pdf

[JohnCM]

Triple bottom. Congrats to $18.50 buyers.

Obviously a bit toppy. Trim 25 to 33 percent at RSI(14) 80

[TheBigBuss]

SLV suxs.

SLW doesn't.

SLV recently released terrible numbers presumably because their contract miners are ripping them off.

Silver under pressure tonight but really. A week ago we were $ 19.

http://pennystockjournal.blogspot.ca/p/silver.html

[JohnCM]

Perfect!

BUY SLV

IMO

[randymarsh]

I have been buying a little every month since last summer as a long term investment. Will be looking to buy some more this week if I can pick em up at around $22.

I'm expecting a good year for metals.

[TheBigBuss]

Super Duper good week for Ag.

http://pennystockjournal.blogspot.ca/p/silver.html

Live Silver

Silver Wheaton

[rayank]

We all make mistakes, but I do not think this will be one for us both. IMO