gold news

 [Music] [Music] I'm Charlotte McLoud with investing news.com and here today with me is Brent cook economic geologist and partner at exploration insights thank you so much for being here yeah nice to see you again nice to see you as well so where I thought we'd begin we're here at the New Orleans investment conference I wanted to ask you about sentiment in the junior sector I laughed I watched one of your recent interviews and I kind of laughed cuz you basically said well it it sucks

so any any updates there does it still sucking uh it still sucks although you know I'm I'm usually not a real positive optimistic sort but I do feel certainly in the precious metals sector that we are bouncing along the bottom and I do expect gold to do well next year for a number of reasons I'm sure other people who have told you about but I I do think we're at a changing point in in the gold price and hopefully that filters down to the uh mining companies yeah I was going to ask

you you know usually there's an exception to the rule so if it sucks in general what types of juniors are the exception what kinds of companies are doing well right now well really discoveries I mean still if if a company announces a an Stellar drill H it get it get reide um we've seen that with with Pho which is pretty old we've seen it with um Snow Line just last week Hercules put out some very interesting results that stocks more than doubled uh so drill results still work but what's

surprising and what I think the real opportunity is right now is there's a lot of companies that have solid deposits that that work at this at these metal prices they make money and you can buy them for all they're just selling they're cheap so I'm looking at actually higher up the food chain than I normally look interesting interesting and also interesting that you're you're saying okay the discovery still work cuz one thing I've started to hear people say is that you know even when companies are

releasing their results they they might be good but then people take it as an opportunity to sell cuz they're sick of that and so any any comments on on that are you seeing that as well yeah definitely that's uh that's that's happening because I think people are so um burned out this Market that's been sucking for three plus years and more than that really that it's just like I don't care what the results are I'm out and I you know I get that feeling as well you're like I'm I'm done I'm out um

which I gu marks the bottom as well can you say a little bit more about how you're kind of looking further up that that food chain at the moment sure I mean I can give you examples if you would like to yeah so I mean there's not that many really high quality deposits and by high quality I mean high margin that are permittable in good jurisdictions and have the access infrastructure and such so those are the types of posits that I think the major mining companies are going to buy and I look at a company like Rupert resources

in Finland um he's got a fair market cap from the 600 million Canadian range they have plenty of cash but they've got a deposit this open pit deposits running in the order of Two and a Half grams I think it's about 3 million ounces that's something a major company is going to want to buy in my opinion and you can get it for probably a third of what the real npv is right now so those are the sorts of things I it okay thank you for the example and I always like to ask I think this is a fun

question but for you and Joe you're you're traveling around to visit companies any any site visits that you've been on recently that were were interesting or with you um well I was just in Nevada well a few months ago now looking at Headwater gold um and they're making some Grassroots discoveries on you know in epithermal Gold veins um that no one's drilled before so that was really encouraging to see some real smart younger people going out and finding FS uh Joe travels way more than

me now uh he was just down in the jungles of Peru with Hannah and and they've got what looks like a p for coer somewhere in there very early stage they're just pulling rocks out but they're pulling borite Boulders out of the stream so you know there's something up there um so that that sounded like an interesting trip I wish I'd been on I want to touch on I want to touch on gold for a minute because um it's interesting to me usually you hear when you have a high gold price which we do it's historically

high that should generate interest in the resource sector including the Juniors and yet we're not really seeing that right now so any thoughts on why that's the case it's just an AB this no one really likes the sector the people who know it are mostly old and so they're not really you know speculating in these highrisk stuff and most of the fund managers and such now have never been through a gold market and don't understand Mining and they're all you know Tech high-tech AI

all that sort of stuff that's what they're into so the sector is basically abandoned but I think it's kind of turn okay and do you think you know you've kind of mentioned a couple of times now this this age problem at various levels of the industry is that going to solve itself when things get better and and just interest comes back in are people going to be more interested in going to school for these things as well as investing I don't know about going to SCH school and learning about it but

certainly at this show and most a lot of shows I've been to recently there's a lot more younger people taking an interest um I was at at the Beaver Creek show and there's a presentation someone's giving I asked a question of the audience how many are here for the first time and probably over a third raised their hand which surprised me and that's you know you that's big- time invest there fund managers and such so interest is coming in they're trying to figure it out it's a very

complicated business and there's some really really good people and then there's some real scumbags and you've got to differentiate that as well okay thank thanks for going into that one I think that's definitely true okay I'm I'm going to bring up briefly uranium and we won't get into the market dynamics but we want to come at it from a geological perspective because that's that's where you focus so you know people are probably a little bit more familiar with typical Metals

gold silver copper maybe they understand that a bit more what considerations do you think people should pay attention to geologically when they're looking at these uranium companies as say yeah yeah well my first job at a university was looking for uranium in the Colorado Plateau so I've got a handle on it um my opinion there's not a lot of Need for exploration we've got more Ur uranium drilled out in resources that are just sitting there waiting for a higher price to come on so if I was to buy a uranium

company and I do own a couple I would look at companies that are actually producing uranium or or have a a short time frame to get it producing or something like Energy Fuels who are producing some and they've got deposits that are ready to go and they're probably looking at bringing those on now camico so I would stick with personally the producing companies as opposed to exploration just because there's plenty about about plenty out there in the ground waiting to come on board right that's that's kind of

something that's come up a little bit and is that you know these explorers for Uranium probably this cycle you won't you won't see them come online right yeah I mean they they might get some action but realistically I I can't see many of those getting bought out by a major and putting our you know putting in mind the production is going to take 10 20 years if they find something certainly that makes sense okay so getting toward the end I want to I want to give you what I think I've

been saying it's a fun question we'll see if it's fun but do UND don'ts for investors heading into the end of the year perhaps into 2024 well I think we're going to see a nasty tax loss season given um you how bad it's been and I think that's going to be a fantastic time to start picking up these companies that actually have resources viable resources in the ground um and have some enough cash to get them through into next year I think next year is going to look a lot

better for precious metals copper in particular I think if we hit Endor recession could get whacked and that's the time to back up the truck on those because looking further out the whole decarbonization electrification that's going on on on a global basis it's going to take in the order of seven times more metal than we're producing now and copper is the key metal so that's my thinking right now okay and and any final words of advice for people that you would share or any other thoughts

that you were having top of mind about about the resource sector I think it's a great place to be I think it's a lot of fun I think to be in this you really need someone to kind of advise you if you know what I mean like um a geologist or brother in the industry or you know my personal suggestion would be to go to expiration insights.com and have a look at that see what Joe's doing and and maybe see what the letters like okay that sounds like a great suggestion thank you so much for coming on to talk

about s on always great to have you thank you of course and once again I'm Charlotte McLoud with investing news.com this is bread cook with exporation thank you for watching if you like this video make sure you subscribed to our Channel we'd also love to hear your thoughts so leave us a comment below we'll see you next time [Music]