SmallCapPower | April 8, 2016: SmallCapPower’s roster of experts were firing on all cylinders at the recent PDAC 2016 convention in Toronto. Four of the stocks mentioned were up more 20% during the past month, with two of those surging more than 40%.
Mickey Fulp: The Mercenary Geologist liked Nevada Sunrise Gold Corporation (TSXV: NEV), which he says owns all the water rights in Nevada’s Clayton Valley not currently controlled by Albemarle Corp.’s (NYSE: ALB) and its Silver Peak lithium mine. He contends that all of the lithium juniors with properties in the Clayton Valley have a problem because they don’t own any water rights, and when mining brine you have to have water.
Gwen Preston: The Resource Maven said she was a big fan of Newmarket Gold Inc. (TSX: NMI), which she considers to be a low-cost producer, having acquired three mines but also making discoveries at those mines. Gwen also likes B2Gold Corp. (TSX: BTO), which she says has a healthy production profile going forward with well-controlled costs.
On the exploration side, she likes Auryn Resources Inc. (TSXV: AUG) with its “really interesting” gold exploration project in Nunavut, but it is also looking for other assets to acquire. That’s a play on its management team and an exploration angle she thinks has “good odds of success.”
She was also quite bullish on uranium, specifically NexGen Energy Ltd. (TSXV: NXE). “The discovery they made at Arrow is phenomenal. It is among the best uranium discoveries that has ever been made, and they done it in a space of 18 months – it’s a real stock to watch,” she added.
Chris Berry: The Disruptive Discoveries Journal Co-Editor says he’s been following Lithium Americas Corp. (TSX: LAC), which merged recently with Western Lithium, for a long time, calling the transaction a “wise, strategic move.” The new entity is now diversified geographically as well as in the types of deposits owned and, in his opinion, sustainable.
Nano One Materials Corp. (TSXV: NNO) also caught the eye of Chris Berry. It’s a battery technology company, which is trying to re-design how a lithium-ion battery is created, and hopefully solve the age-old battery problems – energy density and storage capacity.
Jay Taylor: The personal top pick of this newsletter writer and founder of Jay Taylor Media is Novo Resources Corp. (TSXV: NVO), which is searching for the next Witwatersrand-type gold deposit and may have found it in Australia.
Thom Calandra: The newsletter writer and publisher of The Calandra Report says he likes prospect generator Riverside Resources Inc. (TSXV: RRI), which holds four or five royalties. He also mentioned Golden Valley Mines Ltd. (TSXV: GZZ), which he claims has dozens of royalties, as well as Eurasian Minerals Inc. (TSXV: EMX), which has an extensive royalty portfolio yet has been largely ignored during the recent gold-stock rally.
Note: Newmarket Gold shares jumped 27%, B2Gold stock popped 24%, Auryn Resources shares rose 8%, NexGen Energy soared 46%, Lithium Americas stock powered 53% higher, and Eurasian Minerals shares gained 11% from March 9, 2016 until the close on April 7, 2016.