Yeah baby!
Wasnât Sprott on the way out with this one? What changed his mind?
Looks like this news has finally created a clear breakout on the chart. Not sure when to take some profits.
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I donât think he was on his way out. His last previous investment in RNX was January 2019. I think Sprott had an issue with RNXâs decision to table attacking the high grade gold at the Fatherâs Day Vein in favor of further exploration to build out and define the resource.
Regardless, I think that KRRâs recent restructuring of the Beta Hunt royalty agreement with Maverix brought Sprott back to the table because it will unlock a lot of value at BH.
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KRR now has $50 million in cash on hand as of the end of the last quarter. They also paid off their hedge.
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$50 million in cash (31% increase from last quarter)
Sprott increases investment;
Guidance of 95,000 oz on target
No debt or hedges
Renegotiated royalties to alleviate 10% of ASIC
Plenty of targets to explore.
$400 million market cap.
I think Iâm holding on a bit more.
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Somebody posted the following which explains a lot of the big turn around in fortunes of KRR over the last year and where it is headed:
âyou asked me yesterday why I thought the KRR Higginsville deal may go down as the most transformative deal in the history of the junior mining sector. When KRR hit those supercali-bonanza-listic ultra uber grades at their B-H mine, they were on the verge of bankruptcy relying on (and at the mercy of) toll milling agreements and were a prime take over target. They used the leverage of those 30,000 AuOz from the size of your living room to purchase the Higginsville Mill from Westgold to end their reliance on toll milling, but also acquired all of Westgoldâs surrounding tenements in one of the most fecund gold districts in the world, which had basically be sitting idle because of a decades long onerous royalty to Morgan Stanley. KRR bought that royalty out, thereby unlocking much of the district for mining and exploration. Like the Pilbara, there is gold everywhere, but unlike the Pilbara, it is proven to be economically mined at scale. KRR is able to meet their 100k AuOz guidance with ease without touching B-H, which also had a seriously onerous royalty on it, which they have since been able to reduce significantly, thereby opening B-H for following those supercali-bonanza-listic ultra uber grade jewelry boxes (guided by a geological model that has been well substantiated both by drilling and by mining). I look for KRR to be a mid-tier 250k AuOz/year producer by the end of 2021, and possibly upwards towards 1MM AuOz/year or more by 2025, especially if some of their open pit prospects like Aquarius (previously named Corona) rival Gold Fieldâs Invincible open pit mine along the same trend. Moreover, their underground geological model for B-H may extend throughout their Higginsville tenements. Look for them to buy another mill by the end of next year at the latest, and possibly even buy out Goldfieldâs interests in the district at some point (if they donât sell out to Goldfields first, hopefully not). That is to say, I think KRR now has the potential to pretty well take over the entire district, which could transform them into a major by decadeâs end.â
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Thatâs an excellent summation of KRR.
Artemis Resources raises $5.6 million (AU) for drilling in August.
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Some discussion on Artemis: RESOURCES LIMITED (ASX:ARV $0.08 (MC~$80m CASH~$12m cash and liquid investments)) â Strong institutional support for $5.6m placement ahead of July/August Patersonâs Central 6-8 hole drill program. The next big discovery??? Artemis Resources has been live on a capital raise this week which we suspect is due to the institutional interest in the upcoming drilling campaign in the Patersonâs range. The Company is raising A$4.2m at $0.07 per share and due to the strong demand we expect the company to accept overs of another $1.4m for a total A$5.6m raise, with GTT a co-lead Manager. Naturally as ARVâs market cap grows it should start to institutionalise the register and with the likes of Metal Tiger, Ruffer, Ausbil and Regal taking part in this placement, the drilling program is on the right radars. Paterson Central (ARV 100%) surrounds Greatland Golds Havieron discovery where Newcrest Mining are onto stage 3 of the $95M farm in agreement and continue to update the market on their drilling progress. Recent satellite images suggest Newcrest are drilling very close to the northern ARV border and assays are eagerly awaited. ASX MARKET IDEAS: Friday 17th July 4 Artemis shareholders should expect drilling results from their Munni Munni platinum, palladium resource and also results from the Greater Carlow Gold, copper resource with assays expected from both shortly. Additionally, ARV owns 1.64m Novo Resources shares which has a market value of close to A$7m, these shares become tradeable on the 24th of this month and will assist the company if obtaining fully funding status as they embark on a very busy period. We expect the institutions who took park in the raise to look to add to their positions on market and with drilling success, major farm in partners would not be too far away. We understand Artemis has appointed well recognised drilling partner DDH1 who has 9 rigs next door at Havieron and knows the ground well, saving on mobilisation costs. The Pattersonâs central drilling program remains on track to start late July â Early August on what will be arguably the most exciting program on the ASX this year⌠Watch this space
For those invested in MUX, on the weekly interval chart there is an adam & eve bottom formation ready for breakout at 1.12 with a target price of 1.69. I own shares of MUX with a 1.45 basis. Those of you reading this not already invested, please donât just jump into the stock thinking this formation is absolutely going to play out. This stock is a slow burner and the formations donât necessarily play out, and believe me I know it! I wouldnât have been sitting in it at this price or higher for a year otherwise. 
Note that there is also a void of resistance from a big gap down between 1.37 and 1.50 it needs to push through to hit the target of the formation. The company is going to need some pretty good news to work through thatâŚand the price of gold likely is going to need to see new highs, which does appear to be coming.
Those of you invested in silver miners and silver metal, watch the 20.84 price (on the futures contract) area for resistance on the nice run silver has had.
Take care all.
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ELEF Silver Elephant to Prepare Independent Pulacayo-Paca Resource Estimates - Expects Pulacayo Drill Results Shortly 
Vancouver, British Columbia, July 20, 2020 â Silver Elephant Mining Corp. (âSilver Elephantâ or the âCompanyâ) (TSX:ELEF, OTCQX:SILEF, Frankfurt:1P2) announces it has engaged Mercator Geological Services Limited (â Mercator â) to prepare an updated Technical Report (the âReportâ) as defined under National Instrument 43-101 (NI43-101) for the Pulacayo-Paca Project. The project is located in Bolivia, 107 km northeast of Sumitomo Corporationâs San Cristobal silver mine, 210 km southwest of New Pacific Metals Corp.âs Silver Sand project, and 139 km north of Pan American Silver Corp.âs San Vicente silver mine.
Thanks TR, I was able to scoop up more shares @ .73 back in March.
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Nice grab Hulk!
Silver hit 20.96 this morning. A pullback is probably coming soon. Iâd like to see it eventually get a close above 20.85 and keep rising. Probably will need a consolidation first, but maybe the momentum will keep it humming right through the $20âs.
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Indeed! This is turning out to be my best play in years especially since I timed it perfectly for a change. It will be up again today.
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TR,
ES (Sprott Silver Trust) announced he was purchasing $1.5B in physical silver! May result in silver going to $22 in short order! Silver miners definitely in play.
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Some more big news with Karora Resources:
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Mike what is your take on the share consolidation: they have never seemed to work in my favour in the past.
Karora is also pleased to announce, as previously authorized by its shareholders and following a determination by its Board of Directors, the Corporation intends to file articles of amendment implementing a consolidation of its outstanding common shares on the basis of one (1) post-consolidation common share for every four point five (4.5) pre-consolidation common shares (the âConsolidationâ). The Consolidation is subject to TSX approval. Karora will issue a further press release providing the date, expected in the next 7-14 days, on which the common shares will commence trading on a post-consolidation basis on the TSX. The exercise price and the number of common shares issuable under any of the Corporationâs outstanding share-based securities such as warrants, stock options and restricted share units, as applicable, will be proportionately adjusted upon completion of the Consolidation. The CUSIP and ISIN numbers of the post-consolidation common shares and warrants will also change upon the completion of the Consolidation.
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Taff,
Normally a reverse split can be perceived as a negative - particularly with a company that is struggling or needs to maintain listing on a higher exchange. This is not the case with KRR.
Consider the following:
- The share consolidation was originally and proactively voted on and approved by shareholders;
- The original proposal stated âthe consolidation shall not be greater than on a 11-to-one basisâ. The company decided that they only needed a 4.5:1 split which implies that management feels the stock has room to grow rather than maxing out the consolidation for the share price to be as high as possible.
- Eric Sprott just bought 26 million shares last week. Heâs certainly not gonna plunk down that much money if he felt the share consolidation was a negative.
- Here are a handful of news release titles from the last 6 months and ask yourself if this sounds like a company that is reverse splitting out of desperation:
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