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Best ideas from Vancouver Conference **Must Read**

Here it is. May be changing jobs so getting pulled in many different directions these days but make sure you read and consider my ideas from the Vancouver show.

Been going for ~7 years now. This is my annual post. Looking to help everyone make money. To cut down on responses please look into your question and try to provide a follow-up that is sophisticated and well thought-out.

This took a couple weeks to put together FYI and is a continuation of years of continued attendance.

Attendance this year was up slightly from last year. 2015 was the lowest attendance. Market the bottom of the market.

Highlight was Uranium, Uranium, Uranium. The Uranium discussion panel was packed past capacity, same with Uranium company feature, and then UEC (NYSE) presentation. Theme was $18 spot price bottom in December will be generational low and fundamentals support much higher price with no mine in world making money under $45 with $75 being the incentive price needed for new production which is where market is heading in long term with new reactor pipeline. Reason for bottom (or rather what but the bottom in….) is that Kazakhstan, the world’s largest producer who sells most of production at spot engineered a 10% production cut. Elephant in the room for Uranium prices in 2017 is there are 24 current applications in Japan out for Nuclear Facility re-starts since Fukishima. What if they start coming online? Current spot price is $22. Spot price is indicative mostly of course as most production sold via long term contracts

Top ideas for 2017:

General Layout: Company. Thesis. Description.

I own Fission and Orezone bought since the conference and will add Erdene very soon here. I have more good ideas for 2017 but I have posted on the companies a lot before (SMT.TO, AVK.TO).

Two Uranium Picks:

Uranium Energy Corporation UEC (NYSE) Thesis: multi year hold for multi bagger on Uranium recovery. Set-up to be US’s largest producer and have built company for Uranium bull. US imports 95% of Uranium. Made 6 acquisitions in last 5 years. Have tripled resource since Fukishima disaster. Were at USD 800M MC before Fukishima and now at 200M MC. 1/4 the capitalization but 3X the resource. 100% unhedged (nothing contracted) $28M cash. Have 4 or 5 In-Situ mines permitted around South Texas Hobbs facility. Have turned small production off that they had as they want to stay unhedged (not contracted) to retain full exposure to Uranium price upside. Need to do a lot more technical/resource DD here.

Fission (FCU.TO) – Thesis: The next Athabasca mine and buyout, not NexGen. Nick Hodge (new newsletter writer) was banging the table that Fission will be the next Athabasca Uranium mine, not Nexgen because the resource is shallower, higher grade, and has a 20% investment by the Chinese who already agreed to offtake 20% of production. The Chinese have done their DD and picked Fission. The resources is from 50m to 300m depth. Nick thinks the resource update later in 2017 could yield 175m lbs which is around NexGen’s (NXE.V) first resource this year (~200m lbs) except Fission’s will be more economic (closer to surface). Nexgen now has a $1.0B MC and Fission $392M. Sell your Nexgen, buy Fission.

Gold explorer pick

Erdene Resource D. ERD.TO. Knocking it out of the park with world class gold rill hits in probably the last most prospective unexplored gold district like this left in the world. High grade, Mongolian Gold District –. 100M MC. Huge upside if they can discover a world class deposit. Have already delineated what will be a decent resource at Bayan Khundi with free milling gold (management said all oxide at 10 minute presentation). See presentation link. Have doubled since run started on Dec 15th (news released Dec 19th so there was a leak) on 110M @ 9.3 g/t at new Altan Nar prospect starting at 32M depth and is only one of 18 targets in a 5.6km by 1.5km mineralized corridor at Altan Nar. Read the press release.

http://www.erdene.com/assets/pdf/2017/corporate-presentation.pdf

110M @ 9.3 g/t:

http://www.erdene.com/news_releases16/pdf/ERD_PR_TND_101_V15_Final.pdf

Advanced gold deposit that will-be-a mine pick.

Orezone ORE.V. Thesis: Huge market selloff in September on somewhat faulty premised resource updated has created buying opportunity Orezone will be bought out for $1.50 in 2017 (this is CEO’s thoughts) as they have a 3.69M M&I resource with 2.2M Oz basically free digging Saphrolite ore that is super, super cheap to mine and crush before laying on leach pad. Will be a mine. According to the CEO, for whatever reason the resource consultant RPA missed estimating some envelopes (gaps between known ore where resources may be inferred) in September but they had to announce to the market. These were updated in January. Shine is still off Orezone but the story of H1-16 was that Orezone was buyout candidate since resource is extensive and simple to mine. Cormark has a $1.50 target. Paradigm $1.35. I found both analyst reports and these two Canadian resource-focused research houses have the best coverage. Here is January resource update:

http://www.orezone.com/news/press-releases/2017/1/orezone-updates-
bombor%C3%A9-mineral-resource-statement

Silver Pick

Golden Arrow GRG.V. Thesis: will be bought out by Silver Standard in 2017, not a huge gain from that but you will get the remaining properties spun out for free and Golden Arrow has a huge land position in Argentina. This is my post from late November:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=126853872

Gold-ounces-in-the-ground pick.

Gold Mining Inc. Thesis: replicating the Silver Standard model of the 90’s in the recent gold downturn and bought ounces that will become more valuable when POG rises. There are also a few mines in the future in the portfolio. Have M&I resource of 18M oz. This is an Amir Adnani company (UEC – NYSE) and the former Brazil Resources. They transitioned into the Silver Standard model and have done 3 acquisitions near the bottom of the cycle. This was formerly Brazil Resources. The symbol will be GOLD.TO / GLDLF (OTCBB) and you can’t get a quote on google or yahoo finance or stockcharts currently as name is so new so this company is completely off the radar. I haven’t looked in more detail. You heard it here first!

http://www.goldmining.com/staging/goldmining.com/_resources/corporate-presentation.pdf