“The TSX Venture Exchange has been in freefall. So far, we haven’t seen signs of it bottoming yet. But I believe that we are near a low. It should be turning in the next little while.”
Rodney Stevens, Investment Advisor, Wolverton Securities Ltd. in Vancouver
Focus: Looking for early stage gold exploration projects with home run potential.
Can you give us your perspective on what is happening in the market right now?
“The TSX Venture Exchange has been in freefall. So far, we haven’t seen signs of it bottoming yet. But I believe that we are near a low. It should be turning in the next little while.”
How do you think this will play out over the next few months?
“The next few months should still be weak. We are going through the summer doldrums and for the market to turn we are likely going to require more stimulus from Europe and the U.S. I think that will inevitably happen. But it’s hard to say when.”
Can you give us some names that you think have upside potential?
Roxgold Inc. (TSX: V.ROG, Stock Forum). The company is currently in the early stages of drilling its high grade (20 g/t) Yaramoko property in Burkina Faso, West Africa. Trading at $1.05 this week, Roxgold has a market cap of $126 million, based on 120.0 million shares outstanding. The 52-week range is $2.27 and $0.38 cents.
Tembo Gold Corp. (TSX: V.TEM, Stock Forum). The company is currently in the early stages of drilling its high grade (10 g/t) Tembo Gold property in the Archean greenstone belts of Tanzania, one of the most prolific gold camps in Africa. Trading at 84 cents this week, Tembo has a market cap of $33.9 million, based on 40.3 million shares outstanding. The 52-week range is $2.29 and 75 cents.
Gold Standard Ventures Corp. (TSX: V.GV, Stock Forum) is a precious metals exploration company focused on district-scale gold discoveries in north-central Nevada. Its flagship project – the 100%-owned Railroad gold project – covers 9,064 acres within the Carlin trend. Recent drilling results include 164 metres averaging 3.38 g/t. Trading at $2.62 this week, Gold Standard has a market cap of $182.1 million, based on 69.5 million shares outstanding. The 52-week range is $2.80 and 66 cents.
Inca One Resources Corp. (TSX: V.IO, Stock Forum) is positioning to drill the Las Huaquillas property in Peru, which has a historic resource, including historic hole LH97-08 which intercepted 78 metres averaging 2.7 g/t. Trading at 35 cents this week, Inca One has a market cap of $7.9 million, based on 22.7 million shares outstanding. The 52-week range is 75 cents and 18 cents.
Rodney Stevens has been in the Investment Industry for over 10 years with a focus on the Mining Sector. The information contained in this article was obtained from sources believed to be reliable; however, no representation is made that it is accurate or complete. The views expressed are those of Mr. Stevens and not necessarily those of Wolverton Securities Ltd. This article is provided as a general source of information and should not be considered personal investment advice or solicitation to buy or sell securities. This article is not intended for distribution to any person in the United States or its territories or possessions. At this time, Mr. Stevens does own securities of the companies discussed in this article. Wolverton Securities Ltd. has provided investment banking services to Inca One Resources Corp, but not to the other companies discussed in this article, or any other services for remuneration, other than normal course investment advisory or trade execution services, to any of the companies discussed in this article during the preceding 12 months. Wolverton Securities Ltd. is a Member of the Canadian Investor Protection Fund.
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