Introduction
On April the 4th I wrote a report on gold and my thesis about its scarcity. I also touched on the important macroeconomic and historical situation the metal is facing and all these factors were very bullish for gold. Since I wrote my report on April, I have not been very active on Substack nor Twitter (X). In fact, I have only written 2 reports: an update for Ero Copper (my top pick for the copper thesis) and an update on Manolete Partners, a value investing opportunity, and my largest holding in my portfolio.
On that report on April the 4th I promised you a report on mining firms, which is what has taken most of my time for the past 2 months. I have research over 800 mining firms in all segments of the mining business: mining services, brokers, metal producers, developers, and exploration firms. From these 800 firms I have selected and bought shares in 4 companies. However, I have included dozens of them in this report for all of you to be better informed about various projects and firms.
Important side note: all the companies you will see in the report fit all the criteria I have set. Furthermore, when selecting which data to present to you, I chose to be extremely conservative: I chose the highest range of the operating costs, from the range presented by each company and the lowest production guidance in the range each company shows. All the numbers in the report are in US Dollars. When reading the 400 page long economic studies of each company in this report, I always chose the highest interest rate possible, since I know the banks will not lend money to junior miners at less than 10% interest rate. When investing I like to see upside, but even more than that I like to see very little downside. So, I always prefer to take the role of the devil’s advocate and assume that the company will produce less than guidance, and have costs higher than guidance. I hope you agree with me.
Summary
In this report I have analyzed every small and medium sized gold miner and developer worldwide I have found. I have also analyzed the two main precious metals brokers that trade in the stock market. I am sure I have missed some firms, if you think I have missed a stock that fits the criteria mentioned in the first section of the report, please let me know in the comments and I will add them.