Stockhouse TickerTrax analyst Danny Deadlock has made a habit of picking doubles over the last few months, with picks on LX Ventures
, Primary Petroleum
, Empire Industries, Volta Resources
, and PMI Gold
having paid strong returns for his newsletter subscribers.
But recent pick GeoMegA Resources (TSX:V.GMA
, Stock Forum
) is shooting the moon.
The microcap rare earth explorer that Deadlock pointed out at $0.25 in late January is now trading at $0.61, with consistent gains throughout the last 30 days.
The late January phase II results of its drill program at the Montviel property in Quebec contained the following highlights:
· HREE-S Zone extended over 200 m (East-West) by 100 m vertical and still open at depth
· Preliminary interpretation of a 2nd enrichment zone in the North-west wall rock of the Core Zone
· Dysprosium enrichment of over 400% compared to the Core Zone
· Heavy rare earth enrichment in fluoro-carbonate minerals
There has been no news published since, but as Deadlock pointed out when he began coverage on the company
, “they have several very important develops unfolding in Q1 and Q2 so the potential growth remains significant” despite the upward movement seen recently.
Deadlock pointed out, “the next major event we are looking for is whether or not they are able to separate Heavy REE’s with their new technology. If this is proven, the upside potential may be very significant – and the stock could be difficult to buy on that news.”
The company has been working with one of the world's leading engineering and research schools, Polytechnique Montreal, on what has beeng called Pearse Technology.
The feasibility of the technology has been demonstrated via prototype.
Deadlock: “On the surface this has the potential to be a MAJOR technological development in the world of Rare Earths (REE's). IF I am right, then there is huge upside left. If I am wrong - a person could risk losing half their money over the next 12 to 18 months.”
Deadlock’s speculation is that this technology “has explosive Biotech style potential” that, if commercialized, “has the potential to dramatically lower capital and operating costs for the rare earth industry plus significantly reduce the environmental footprint.”
Obviously someone agrees, as the stock is being gobbled up at every resistance point, leading to the 144% 30-day jump.
Deadlock has been killing it over the last year, even as resources have taken a beating industry-wide. Consider these gains:
MEI.V - Bought $1.20 - Sold $2.70 for a 125% Gain
BKX.T - Bought $0.79 - Sold $0.1.42 for an 80% Increase
VCA.V - Bought $0.17 - Sold $0.55 for a 224% Profit
Get the inside scoop on Deadlock’s next Vulture Capital picks for $16.25 a month, by clicking here.