Musings on Investing

Posted By: Jayant Bhandari May 14, 2022

Canada Stuck in Covid Tyranny

Adventus Mining

The UK has completely given up on all covid restrictions. They require no tests or proof of vaccination. Europe is mostly open. You walk around the airports without the need for a mask. The US is similar. But if you take a flight to Canada—as I just did to Vancouver—everything changes. Before the boarding gate, you must be masked up, and everyone must get suddenly paranoid. You are likely to be “randomly” selected for a test on arrival.

Linked is a talk I recently had with my friend, Jose Nino, about the cultural and institutional changes happening in the West.

In Shanghai, the lockdown has been atrocious and seems non-sensical. Several of my Chinese friends are thinking of emigrating. But, really, in terms of the world’s most horrible lockdown, sadistic torturing of people, and killing the most people for no good reason, India wins hands down, as I explain in a discussion with David Forsyth:

On Investments

In the linked discussion, Cory Fleck, Shad Marquitz and I talked about why this might be among the best times to invest. Here are some of the companies that I am interested in:

  • Adventus Mining (ADZN; C$0.50): They have access to funds to put their Ecuadorian project into production. Early in the year, they raised money at C$0.97 per unit.
  • Aztec Minerals (AZT; C$0.245): They have released some fabulous results recently from their project in Mexico.
  • Atico Mining (ATY; C$0.31): They have tax issues to deal with in Colombia, but in my view, all the risks are discounted in the share price.
  • GCM Mining Warrants (GCM.WT.B; C$1.98): I see very limited downside risk in owning this cash-producing company.
  • Austral Gold (AGLD; C$0.055): In my view, starting from the next quarter their profitability should improve.
  • Aston Bay (BAY; C$0.03): They have had problems with raising money, but the recent financing was at C$0.06.
  • Gold Mountain (GMTN; C$0.77): They recently raised money at C$1.25 per unit. I thought the financing price was very good. And now, GMTN has fallen even more.
  • Harfang Resources (HAR; C$0.27): After the merger with LaSalle Exploration, their Serpent project is now consolidated. And they are cashed up.
  • Maritime Resources (MAE; C$0.07): They are expected to release their feasibility later next month. They have about C$2 million in cash and stocks, enough to last them until the release of the report. I am still keen to see a merger between them, Rambler and Anaconda.
  • Newcore Gold (NCAU; C$0.36): NCAU is very inexpensive, although my fear is that they might need to raise cash.
  • Montage Gold (MAU; C$0.60): My hope is that Perseus Mining, which will soon own Orca Gold, and hence a large position in MAU, will want to acquire it.
  • O3 Mining (OIII; C$1.96): The PFS on the Marban project is expected in the next quarter. They are cashed up.
  • Prime Mining (PRYM; C$2.12)
  • Reyna Silver (RSLV; C$0.31): They have three very prospective projects. They are cashed up.
  • Riverside Resources (RRI; C$0.125): They are cash-rich and are working on several projects.
  • Salazar Resources (SRL; C$0.18): With a good partner, Adventus, they are moving the project towards production.
  • Valtera Resources (VQA; C$0.02): They have no cash left, but I doubt if they can raise money below C$0.05.
  • Winshear Gold (WINS; C$0.07)

Jayant Bhandari

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