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Miners Must Control Costs to Improve Share Prices: Byron King

The Gold Report: Byron, gold is above $1,300/ounce ($1,300/oz)—although not by much—and silver topped $20/oz. What was holding their prices down, and what are the fundamentals that will move the prices going forward? Byron King: The short answer is that, for all its faults, the dollar has strengthened, which holds down gold and silver prices. The longer answer is that gold and silver are manipulated metals. That is, the world's central banks have an aversion to things they can't control, and one of the things that they can't control is elemental metals like gold and silver. Let's ask … [Read more...]

Catalyst Check: Updating the Progress of Energy Stocks on the Natural Resources Watchlist

TER: Keith, at our Vancouver roundtable you said you look for pure plays with leverage, and a great team that has built and sold a company before. With that said, you named four companies—two service companies and two producers—for the Watchlist portfolio. These companies had pending catalysts and upside potential. One of your names, rdx Technologies Corp. (RDX:TSX.V), had two pending catalysts. The first was the sale of its Los Angeles facility for $5 million ($5M). Did that occur? And have you heard any updates on the franchising of the company's five fluid waste stream conversion … [Read more...]

Tom Hayes’ Trio of Rare Earth Project Contenders

The Mining Report: It is now known that China's State Reserve Bureau intends to begin stockpiling medium-to-heavy rare earth elements (REEs), and that China will also strengthen REE export quotas. Will these actions lead to a race to get non-Chinese REE projects into production? Tom Hayes: It will. One shouldn't view the general tightening of heavy rare earth elements (HREE) export quotas in isolation, however. It's more relevant to look at actual demand for particular REEs. About 30–40% of Chinese supply is subject to an export quota, but Western demand does not currently meet the amount … [Read more...]

Jeb Handwerger: Are You Ready for Doubles and Triples in Uranium Mining Stocks?

The Energy Report: Jeb, in past interviews you have talked about the boost that the end of the Russian nuclear material purchase agreement would have on uranium prices. But lately, the price has dropped. What is causing the most recent decline? Jeb Handwerger: The end of the Russian highly-enriched uranium (HEU) agreement did, indeed, kick off a strong Q1/14 for uranium prices. Many juniors had phenomenal returns. Some doubled, some tripled during those months. But since March, we've hit new lows in the uranium price, and many of the gains made in the Q1/14 rally have been given back. Some … [Read more...]

Is It 2003 All Over Again? U.S. Global Investors’ Frank Holmes Predicts a Resurgence of the Love Trade for Gold

The Gold Report: You recently wrote an article called "It's Morning in India" that marked the election of Narendra Modi's pro-business government. How much of an impact can one man have on the demand for commodities? Frank Holmes: At U.S. Global Investors, we believe that government policies are a precursor to change. That is why we focus on fiscal policies all over the world to understand the impact they will have on everything from interest rates to money supply. What makes Modi special is that he understands that job growth and creativity come from fiscal stimulus. Creating tax-free zones, … [Read more...]

Balmoral Resources: Two Projects, One Vision, Proven Share Price Performance

BTV/The Gold Report: Please explain the focus of Balmoral Resources Ltd. (BAR:TSX; BAMLF:OTCQX). Darin Wagner: Our principal focus is on our Detour Gold Trend project. That's located in the northern end of the Abitibi Greenstone Belt, in central Québec. We're right across the border from the massive Detour Gold deposit in Ontario, which is now happily producing multiple bars of gold every day. We control 80% of that belt and own the property outright. We're not beholden to anyone, which is a good thing in a tough market. BTV/TGR: Please share some of the results you've had. DW: We are … [Read more...]

It’s Not About Discovering a Mine, It’s About Discovering a Technology

The Mining Report: Do you think investing is a skill that is learned or inherited? Chris Berry: I suppose there's some sort of a gene for analytical ability, but there's no substitute for real-world experience. While my father taught at the Darden School at the University of Virginia, I received a good grounding in theory-based finance and investing. Being out in the investing world for the last 15 years, I've seen what works and what doesn't compared to what you read in a textbook. If the last few years have taught us anything, it's that markets aren't as efficient as academic theory would … [Read more...]

It’s Not About Discovering a Mine, It’s About Discovering a Technology

The Mining Report: Do you think investing is a skill that is learned or inherited? Chris Berry: I suppose there's some sort of a gene for analytical ability, but there's no substitute for real-world experience. While my father taught at the Darden School at the University of Virginia, I received a good grounding in theory-based finance and investing. Being out in the investing world for the last 15 years, I've seen what works and what doesn't compared to what you read in a textbook. If the last few years have taught us anything, it's that markets aren't as efficient as academic theory would … [Read more...]

Gold’s Move Higher Is Short-Term Reaction to Iraq Unrest

NEW YORK (TheStreet) -- Markets were extremely overbought last weekend and began to roll over last week right on schedule. We are well off those overbought readings now and are setting up for another round of strength as stocks work to complete bases. From what I see there is nothing that tells me we are in for anything more than a small consolidation period, not any sort of major correction. We are still in a fantastic market for swing trades of a few days or more. While many stocks still need a bit of time to complete major bases that will take them much higher, and quickly, we … [Read more...]

Less Correlation Among Commodities Demands More Careful Selection: Philip Richards

The Gold Report: Philip, your March update on the Special Situations Fund showed a 4.21% increase during Q1/14, compared to 1.29% for the Bloomberg World Mining Index. You noted that cold weather and concerns about China, Ukraine and South Africa are driving commodity markets short term. Are you worried about the impact of a slowdown in China on commodities and your funds? Philip Richards: A slowdown in China is a concern, but it's one of many, and it isn't an overwhelming concern. Ukraine has had an effect on the gas market. Strikes in South Africa drive the platinum price. Specific events … [Read more...]