Stock Picks II

[paddlehead]

Gold will continue to struggle as well as the market in general as long as the USD stays strong along with inflation. Warren Buffet owned Barrick for about five minutes two years ago. He understood the problem. He has bought oil last six months up to and including this week. The next six months will be very difficult as supplies of oil dwindle. Enjoy $120 oil ($2,50 gas)!

 

[Christopher Moltisanto]

For those following the LA.V story, news out this morning with more drill results -- the asset value is getting more valuable as more of these results get released:

Los Andes Copper Announces the Largest 1% Copper Equivalent Intercept to Date at Vizcachitas Copper Project, Chile

The company is also in process of dealing with the environmental issue so I would think that gets addressed in the next couple of months.

"The Company is preparing to file detailed reports with the environmental court on the issues raised in the recent court injunction to suspend drilling. The Company is confident that the drilling project can continue, in accordance with its permits, with no significant effects to the environment and the Company welcomes continued dialogue with all stakeholders in a climate of mutual respect."

 

[Christopher Moltisanto]

One of the risks in Chile is political given the leftists took over government a short time ago. As mining is key to the country's economy it was not expected to impact miners in that country, however, there was a data point on this over the weekend as a motion to nationalize the industry was soundly defeated. Quite a few public companies operating in Chile, so bullish news for sector and good to have this dealt with.

Chile’s constitutional assembly rejects plans to nationalise parts of mining sector

A constitutional assembly in Chile has rejected plans to nationalize parts of the crucial mining industry in a blow to progressive hopes of overhauling the neoliberal Pinochet-era political settlement.

The proposal, known as article 27, would have given the state exclusive mining rights over lithium, rare metals and hydrocarbons and a majority stake in copper mines. But it faced fierce opposition from the mining sector and was voted down last week in a defeat for progressive hopes of redistributing wealth in the world’s top copper producing nation...The country’s environmental commission submitted multiple variations of the article to a vote on Saturday, but they all failed to achieve the 103-vote supermajority needed to pass into the draft constitution.

 

[paddlehead]

VTNR is a US company that bought a $4 Billion dollar oil refinery from Shell during the pandemic for $78 million. Gas is at all time highs right now, due to storages in the because of refinery shortages, and the refiners are operating at 90 percent capacity coming into peak driving season. This stock is also subject to short squeezes but will likely break out shortly. Its at $14 today, most expect it to go $25-40 over the summer. Oil is headed directly for $125 in the next four weeks. Disclosure; I own this one.

 

[Christopher Moltisanto]

Price target out on Los Andes Copper. It's a paid report (good on the company for spending some $$ to increase awareness), however, it nonetheless makes a good case for potential heading into the back half of the year.

 

[Christopher Moltisanto]

The folks at Cantor Fitzgerald just upped the Price Target on LA.V to $29/share.

 

[paddlehead]

Fellow members of this website, here is a proposal for your consideration. On Monday, buy 1000 shares of Wescan ticker symbol WCE. About 31 cents at close on Friday per share or $310 for those one thousand shares. In six months, when they are worth $700, you can send me a thank you or just use it to fill up your gas tank on your SUV. This is not investment advice, but I think it will work out.

So, I hope that somebody read and acted on this recommendation. Today, WCE closed at 48 cents. Still room to go!

 

[paddlehead]

If you want some other ideas, look at TPC, Tenth Avenue Petroleum.

 

[Christopher Moltisanto]

More drill news for LA.V. Looking good.

R. Michael Jones, CEO of Los Andes Copper, said, “The drilling program results, with the new approximately 1km intercepts of copper, clearly points to Vizcachitas becoming the next significant deposit in line for development in a district which hosts three of the largest porphyry copper mines in the world. We are only just now starting to see its full potential.”

Los Andes Copper Initial Drill Program at Vizcachitas Copper Project in Chile Indicates Large-Scale Potential Beyond the 13 Billion Pound Copper Equivalent Deposit

 

[Christopher Moltisanto]

For those following the LA.V story, they finally heard back on their environment issue which had suspended drilling since March. Green light from court which continues to show how professionally management has been navigating to move the project forward.

Stock is up today, and I see no reason why it can’t bump up another 15% to levels back in March in the very short term.

By September I think $20 target is reasonable - and by year end or early next year $30-$50 as they finalize m&a per their strategic approach.

Los Andes Copper Announces Decision by the Environmental Court Reinstating Drilling Permit

 

[wav]

So, I hope that somebody read and acted on this recommendation. Today, WCE closed at 48 cents. Still room to go!

I did take your advice and keeping fingers crossed


Sent from my iPhone using Tapatalk

 

[Christopher Moltisanto]

For those following the LA.v story another research report just out. Price target of $37.50 is more than realistic especially now that the company is set to drill again.

 

[Christopher Moltisanto]

Los Andes Copper CEO talks about recent price of copper, the role of electrification and need for base metals, and drilling update for the company.

 

[Christopher Moltisanto]

Numerous metals have been hawked as “the next oil,” but veteran energy analyst Daniel Yergin says only copper represents the lynchpin of the transition away from fossil fuels.​

The new oil? How demand for copper could reshape the world

 

[AznGangsta]

Intel buy the dip

 

[paddlehead]

Intel= dead money.
Problem with Los Andes is their debt is growing. Not surprising given they have no cash flow and inflation is railing their costs. They will have to raise capital with new stock. That means your equity gets reduced. Copper is not going anywhere for the foreseeable future. Energy is the only commodity worth your attention.

 

[Mephisto]

buy SIGA the monkeypox antiviral stock

 

[Christopher Moltisanto]

Intel= dead money.
Problem with Los Andes is their debt is growing. Not surprising given they have no cash flow and inflation is railing their costs. They will have to raise capital with new stock. That means your equity gets reduced. Copper is not going anywhere for the foreseeable future. Energy is the only commodity worth your attention.

Junior explorers typically have no revenue; though LA.V has a multi million dollar payout coming from a royalty sale announced a short while ago.

Absolutely another small raise is likely to happen, and management was on record that if drilling were to resume (injunction was lifted last month) they’d need more cash - up to now they have done well raising funds through CDs via QRC.V - the terms of which are not toxic. Warren Gilman is a big supporter and his CV speaks for itself as a long time fund manager. Dilution is not the concern you believe it to be - clearly you’re not evaluating the O/S correctly.

LA.V will be sold to a major - it’s undervalued so the upside is 2-5x current levels. It’s also one of the best performing mining stocks of the year as contrasted against majors or explorers including several companies suggested by others in this thread.

Metals, base and precious will have a big H2/22 (gold, silver, copper etc) - in contrast energy/oil peaked months ago as I stated in a prior post a while ago. It will be volatile for oil this year, and will be sub $50 next year.

 

[Christopher Moltisanto]

Most all sectors will participate in the run up including commodities (notably silver, gold and base metals like copper), except for oil which topped recent near $130 due to geo-politics with Ukraine. Oil will retrace back to $60-$70s by summer (demand destruction, increased supply, Ukraine settling) so energy stocks will be among the lone underperforming sectors - oil stocks are a sell at current levels IMO.

I called the top in oil a few months ago when it was near $130 -- 2022 will continue to be volatile for oil, so trade at your discretion -- but the cycle is over and oil is heading below $50 in 2023, possibly as low as $30. Canadians tend to fall in love with oil stocks -- play carefully.

 

[Christopher Moltisanto]

Podcast: Michael Jones, CEO of Los Andes Copper, talks about the looming copper supply deficit, the lack of supply response and how its Vizcachitas project in Chile is one of the few projects that could bring new supply to market.

‎Mining Stock Daily: Company introduction: Los Andes Copper on Apple Podcasts