$2000 to $500,000 with penny miners.
- Thread starter Wy So Lo
- Start date
bellinvest
New Member
Wy So Lo said:
TROY Resources (ASX:TRY)
The management has skin in the game, have been in South America for a long time and have weathered bull markets/bear markets.
Check out their chart... they went from $0.50 to $5.00 in the bull market between 2008-2011, were a dividend payer etc. Then like most gold stocks, they rode the bear cycle down hard! bottoming in at around $0.19 in early 2016, again, like most gold stocks.
Their key-note operation in Guyana was purchased through a takeover of Mutiny Gold several years ago. Mutiny had done most of the drilling to get the JORC deposit. TRY did some infill drilling, but only enough to 'sure-up' the numbers for a feasibility study.
So come mining time, and when they started stripping the overburden, they found a surprise in that the originally incorrect in that both a E/W AND N/S mineral system was present. This sounds terrible from a 'well-run-company' image, but it has been a sweet surprise! The 5-6 year mine life i believe, and come Q4, might just move out to 10 years. Perfect to weather this bull market when it actually gains traction.
TRY will look to make 120,000 * AUD$1,000 = $120,000,000 at current prices... before tax etc. and with a market cap around $170M... its a pretty good business to hold for a few years IMO.
I hope this helps.
BB
AYC is definitely another one worth checking out in my opinion.
^+1
This thread is definately a good idea and well intentioned, but it may very quickly become unreadable and if it does it will just die.
I have started doing some of my own analysis on gold miners in Australia and I think what is missing here is some kind of methodology for identifying and assessing investment prospects.
I'm a bit of a spreadsheet guy and so when I sit down to do something like this I start to ask myself, what are the important attributes that I need to consider (and measure or rate) when comparing between elements? I'd start with a bit of a brain dump like this :-
ASX Code
Company Name
Capitalisation
Debt (as a percentage of capital)
Board of Directors (are they newbies, experienced, can they be trusted?)
Country of Operation (and therefore currency)
Then I'd start categorising the company primary assets with their own attributes. Something like :-
Mine (Current in production) :-
Location
Grade
Cost per unit of extraction
Metals Present (eg, 70% gold, 30% copper)
Reserves / Mine Life
Reserves (Discovered but no mine yet) :-
Location
Grade
Metals Present
Prospects (Exploration licenses?) :-
Location
Nearby Discoveries
Likelihood of discovery
As the analysis evolves it would probably become a relational database that could then be used to generate models. What I'd be getting down to would be a tool that could answer questions about the impact of different commodity prices, currency moves, geopolitical risks etc and be able to start comparing apples to apples.
Things like share price "beta" could be calculated from the above data and when the market doesn't react appropriately to changes in determinant commodities or currencies then that would present a buying (or selling) opportunity.
It sounds pretty full on and it's a bit of work, but if you're fair dinkum about doing sector analysis right then this is the way to approach it IMHO.
I have started doing some of my own analysis on gold miners in Australia and I think what is missing here is some kind of methodology for identifying and assessing investment prospects.
I'm a bit of a spreadsheet guy and so when I sit down to do something like this I start to ask myself, what are the important attributes that I need to consider (and measure or rate) when comparing between elements? I'd start with a bit of a brain dump like this :-
ASX Code
Company Name
Capitalisation
Debt (as a percentage of capital)
Board of Directors (are they newbies, experienced, can they be trusted?)
Country of Operation (and therefore currency)
Then I'd start categorising the company primary assets with their own attributes. Something like :-
Mine (Current in production) :-
Location
Grade
Cost per unit of extraction
Metals Present (eg, 70% gold, 30% copper)
Reserves / Mine Life
Reserves (Discovered but no mine yet) :-
Location
Grade
Metals Present
Prospects (Exploration licenses?) :-
Location
Nearby Discoveries
Likelihood of discovery
As the analysis evolves it would probably become a relational database that could then be used to generate models. What I'd be getting down to would be a tool that could answer questions about the impact of different commodity prices, currency moves, geopolitical risks etc and be able to start comparing apples to apples.
Things like share price "beta" could be calculated from the above data and when the market doesn't react appropriately to changes in determinant commodities or currencies then that would present a buying (or selling) opportunity.
It sounds pretty full on and it's a bit of work, but if you're fair dinkum about doing sector analysis right then this is the way to approach it IMHO.
Here's a few I've noticed being ramped in a newsletter and on another forum. Buy a few of these to help the rampers trade to a free carry at your expense:
SUM, EXU, CMM
Check out the positive monthly volume explosion in EXU particularly. Absolutely not interested myself. Sorry if any of these are already listed.
SUM, EXU, CMM
Check out the positive monthly volume explosion in EXU particularly. Absolutely not interested myself. Sorry if any of these are already listed.
Update and response, I am waiting on an enquiry to Boom brokerage Asia division and it looks promising. They do not have Toronto on their exchange list and thats a shame because many of the larger in ground explorers and miners are based there. They have no minimum initial deposit so to Stoic Phoenix might interest you.
Bugged out. I am hoping that we can keep things moving along and keep it interesting and maybe motivating for those that have that gut feeling that this is a potential life changer. As for spread sheets i am hopeless. My basic concept here is not to start an investing platform, however if i was putting my super fund in to it i would be approaching it from a risk off position that you are wisely presenting.
Finicky Sumatra has a good entry price however, BSP blue sky potential is not jumping out at me and looking at their site it appears they have fairly small deposits although my research is far from exhaustive. EXU goes straight on to the shortlist because of its BSP. Capricorn is a company that i would buy immediately for my super fund based on the amazing strength of the chart. cheers.
Just to frame our objectives here is a thread where the impossible goal is exceeded. I do not consider myself stupid, reckless or full of it, what I want is a balls to the wall experiment with MONEY YOU CAN AFFORD TO LOSE. I have been a conservative type most of my life, and now that this has dropped in to my head i intend to proceed.
During the tech stock boom IPO's were floated and traded many multiples within hours. We tend to forget just how stupid a populous can become in a mania phase. There were companies that had nothing of substance, more than a glossy prospectus, attracting millions of fools dollars. Want to be on the early side when or if that happens in the PM miners. Risk = $2000 , reward= $500,000 , odds =???? We are looking for absolutely unbebloodylievable gains.
Bugged out. I am hoping that we can keep things moving along and keep it interesting and maybe motivating for those that have that gut feeling that this is a potential life changer. As for spread sheets i am hopeless. My basic concept here is not to start an investing platform, however if i was putting my super fund in to it i would be approaching it from a risk off position that you are wisely presenting.
Finicky Sumatra has a good entry price however, BSP blue sky potential is not jumping out at me and looking at their site it appears they have fairly small deposits although my research is far from exhaustive. EXU goes straight on to the shortlist because of its BSP. Capricorn is a company that i would buy immediately for my super fund based on the amazing strength of the chart. cheers.
Just to frame our objectives here is a thread where the impossible goal is exceeded. I do not consider myself stupid, reckless or full of it, what I want is a balls to the wall experiment with MONEY YOU CAN AFFORD TO LOSE. I have been a conservative type most of my life, and now that this has dropped in to my head i intend to proceed.
During the tech stock boom IPO's were floated and traded many multiples within hours. We tend to forget just how stupid a populous can become in a mania phase. There were companies that had nothing of substance, more than a glossy prospectus, attracting millions of fools dollars. Want to be on the early side when or if that happens in the PM miners. Risk = $2000 , reward= $500,000 , odds =???? We are looking for absolutely unbebloodylievable gains.
Skyrocket Thanks for landing here. We may have to borrow your monica for our mascot.
I have not yet thinned the list and every day i add another 10 lol. Quite a few are Canadian and depending on broker i will probably have to drop all of them. It has entered my head that i may use a second broker that is say Canada based or even a European co that covers Toronto. America is so insane since the un-patriot act was enforced that i would be terrified of any brokerage
based there. Remember Corzine.
I have not yet thinned the list and every day i add another 10 lol. Quite a few are Canadian and depending on broker i will probably have to drop all of them. It has entered my head that i may use a second broker that is say Canada based or even a European co that covers Toronto. America is so insane since the un-patriot act was enforced that i would be terrified of any brokeragebased there. Remember Corzine.
Shortlist update
Batero Gold
Ausgold
Troy res
A1consolidated
Liberty gold
Skeena res
Gold reach res
I Am expecting that when i go back to trim the list there will be a fair amount i will flick easily however my approach is not rocket science, keep it simple. There are a few things that mean a lot just by glancing at a chart. I used to use a dozen indicators now its volume and a 200sma.
Batero Gold
Ausgold
Troy res
A1consolidated
Liberty gold
Skeena res
Gold reach res
I Am expecting that when i go back to trim the list there will be a fair amount i will flick easily however my approach is not rocket science, keep it simple. There are a few things that mean a lot just by glancing at a chart. I used to use a dozen indicators now its volume and a 200sma.
Ha .. Any on Those lists are as wild a guess as i can make at this stage. I will trim them and put up my final say 15 then you guys can offer suggestions on what i have missed and what you would turf. I would encourage you to make comments if you feel you have input that may be of value to the general theme.
https://youtu.be/hFx61JiALTU I havn't watched it yet but Kenneth is all over the mining sphere.