IKN #628Premium

The IKN Weekly
Week 628, June 6th 2021
Contents
This Week: In today’s edition, The right time and place for copper juniors, Risk on risk off wax
on wax off.
Fundamental Analysis: An analysis of McEwen Mining (MUX) (part two of two).
Stocks to Follow: Amarillo Gold (AGC.v), New Gold (NGD), Aldebaran Resources (ALDE.v),
Minera IRL (MIRL.cse), QC Copper & Gold (QCCU.v), Orezone (ORE.v), Cartier Resources
(ECR.v).
Copper Basket: Overview, The Peru copper stocks (REG.v, PERU.v, CCCM.v, ECU.v), A focus
on Element27 (ECU.v).
Producer Basket: Overview, Endeavour Mining (EDV.to), StreamerWatch.
Tiny Dogs: Overview, Constantine Metal Resources (CEM.v).
Regional Politics: A brief LatAm Covid-19 update, Peru’s new President, Argentina: Chubut
about to put Navidad in the deep freeze, Ecuador: A false start for President Lasso on mining,
Ecuador: CONAIE testing its political power.
Market Watching: Eric Sprott and Newfoundland, Dundee (DPM) buys INV Metals (INV.to),
Closing the Roxgold (ROXG.to) side bet, Alexco Resource Corp (AXU): A correction, a financing
and a small price target adjustment.
I remind subscribers that no part of this newsletter can be copied, reproduced or
given to any third party without the express permission of the author.
This Week
“
In Today’s Edition
 Today’s main fundies section carries the second part of our look at McEwen Mining
(MUX), delayed from last week to accommodate the trade call in Amarillo Gold (AGC.v).
MUX has moved up quietly but surely in the last few weeks and for once, there may be
more than just promo and promise behind this move.
 With copper apparently consolidating around the U$4.50 price point, this edition makes
an effort to reiterate our secular bull outlook for the metal. Also, our recent moves to
buy smaller explorecos such as ALDE and QCCU are put in perspective, the plan is to be
on board before other portfolios decide to rotate cash into the smaller caps.
 After hanging on to the edition un til 4am in order to get the Peru election result in, it
seems as though we won’t have any resolution soon. Regional politics.
The right time and place for copper juniors
“This is a secular bull market for copper.”
Me, 2021, many occasions
With recent purchases of ALDE and QCCU under the belt and the Copper Basket in its bullish
mode, your author is clearly bullish on the metal into 2021. However, today’s intro gets a few
extra lines to underscore how this desk sees the smaller cap end of the copper sector as the
1

place to be in the weeks and months to come. We’ve seen the run in copper prices, with the
overbought spike in early May. That coincided with the top in the copper producers’ ETF COPX,
which carries the weightier names in the sector such as FCX and SCCO.
However, a comparative to our own tracking basket for junior sized copper stocks at The
Copper Basket shows how their valuations held firm for longer, only recently succumbing to the
new normal of U$4..50/lb copper. Here’s that tracking chart, also featured as usual in The
Copper Basket below:
The Copper Basket 2021, weekly evolution
70%
60%
50%
40%
30%
20%
10%
0%
2
ts1
naJ
ht01naJ ht71 ht42 ts13 ht7bef ht41 ts12 ht82 ht7ram ht41 ts12 ht82 ht4rpa ht11 ht81 ht52 dn2yam ht9 ht61 dr32 ht03 ht6nuj
source: IKN calcs
There was the slightest of side-steps in mid-May as spot copper and the producers came down,
then juniors powered on again, driven by assumed M&A in the hot sector stocks (e.g. we track
OCO.v, SLS.to, WRN.to etc in the basket). In so many words, copper’s rally drove buying in
producers, which rotated into the junior copper space. With copper now looking to consolidate,
most (if not all) of the macro move looks priced into the bigger stocks. We contend, therefore,
that the bargains are the small space as a matter of plain logic, a secular bull run for copper
sees profits rotate from the big-caps, to the junior/producer space (CMMC.to, SLS.to, CS.to)
and then into the explorecos and smallcaps.
The Stocks to Follow list shows your author’s position for this next anticipated phase of the
secular bull; We sold good winner Copper Mountain (CMMC.to) to provide portfolio funds, then
the recent purchases of Aldebaran (ALDE.v) and QC Copper (QCCU.v), plus of course the
continued holds in Trilogy (TMQ, which has run well recently), Excelsior (MIN.to, which hasn’t)
and to a certain extent Strategic (SMD.v). However, the main message gets’ highlighted by
finally moving to the first person because I’m not claiming the patent on the perfect way to play
this copper bull, those are merely my real-world imperfect answers. The more important point
in today’s intro: Be long copper juniors, this is the right time, place and market backdrop to see
the smallcap end of the copper market re-rate higher as a group. You may even pick a copper
junior that doubles in three months, while this desk observes its MIN.to remain stuck UNCH.
Risk on risk off wax on wax off
“Show me wax on wax off… No! Look at my
eyes, not the hand…thumb inside…
Wax on hhht!...Wax off hhht!”
Mr. Miyagi, The Karate Kid

I’m a sucker for a quote. There was nothing in last week’s market to suggest anything other
than the Fed in control, which is fie by me as their suite of policies will continue to push dollar
prices for metals higher. Thursday saw a new round of tapertalk, but all it took was for the BLS
jobs number to come in slightly short, and…
This visual from CNBC (of all places) highlights Thursday as an obvious outlier
…rhetoric abandoned to its fate. Meanwhile, gold floats higher on the expansive monetary
policy and economic rebound, it seems MMT is here to stay. The Chop came on cue Thursday
morning but as mentioned in brief Producer Basket comments below, more interesting and
positive was the way precious metals mining stocks found immediate bargain hunters.
However, we also know it’s not Wall St trading that’s pushing gold’s price over and under and
over U$1,900/oz:
7.60 GLD: Inventory/Price Ratio, 2018 to date
7.40
7.20
7.00
6.80
6.60
6.40
6.20
6.00
5.80
5.60
5.40
GLD remained basically flat, our inventory/price ratio still signalling washout sentiment for the
metal among the Big Money People. That will change, it always does, but for the immediate
future and the week ahead we’re likely to get another burst of OMG INFLATION! talk on
Thursday, when the US BLS releases its Consumer Price Index data for the month of May.
Current forecasts are for a May CPI of +0.4% (headline and core rate), which would underscore
the inflation data from the UK and Eurozone in the last two weeks.
Fundamental Analysis of Mining Stocks
An analysis of McEwen Mining (MUX) (part two of two)
Overview: MUX has been preying on my mind for over a month, as the process to today’s Part
Two note dates back to late April and a new interest in what may be a turnaround story.
Originally a short note, it quickly became apparent that to fully grasp MUX in 2021 we need to
consider the company not as a single corporate entity, but the sum of several different
operations and projects. Two weeks ago, we caught up with the MUX financial situation, as well
as considering some and recent operational results. What we found was a company that had
3
2/1/8102 2/3/8102 2/5/8102 2/7/8102 2/9/8102 2/11/8102 2/1/9102 2/3/9102 2/5/9102 2/7/9102 2/9/9102 2/11/9102 2/1/0202 2/3/0202 2/5/0202 2/7/0202 2/9/0202 2/11/0202 2/1/1202 2/3/1202 2/5/1202
GLD gold holdings, 2021 YTD (metric tonnes)
1200
1180
1160
1140
1120
1100
1080
1060
1040 Source: SPDR data, IKN calcs
1020
1000
02/21/13 12/1/5 12/1/01 12/1/51 12/1/02 12/1/52 12/1/03 12/2/4 12/2/9 12/2/41 12/2/91 12/2/42 12/3/1 12/3/6 12/3/11 12/3/61 12/3/12 12/3/62 12/3/13 12/4/5 12/4/01 12/4/51 12/4/02 12/4/52 12/4/03 12/5/5 12/5/01 12/5/51 12/5/02 12/5/52 12/5/03 12/6/4
mt
source: SPDR GLD data

been through troubles of its own making, but recent corporate moves along with a well-timed
increase in the prices of gold and silver have lifted the financial doubts. This week, we consider
the moving part of MUX separately and try to indentify its value point, plus potential for upside.
We again split MUX into its parts, but this time in ascending order of value and/or importance
to the company. In each case, narrative and a valuation, at the end we bring it together.
A valuation of Mexico assets (El Gallo, Fenix): We begin with the easiest. Comprising
mostly of the now-depleted El Gallo mine, which continues with residual leach production but is
now on C&M, plus the Fenix properties, aka El Gallo with its 19m oz or so of margin silver
ounces (around 5oz/tonne Ag is a difficult ask to mine UG over the long-term). MUX seems to
have hopes of building Fenix, extracting a small amount of gold, then making it into a silver
heap and spinning it out as a silver package with San Jose into a McEwen Silver. We’ve also had
CFO-type talk of “Daylighting Value from Copper & Silver Assets”, but I just don’t see it. There
may be residual value, but MUX has more pressing matters to attend to. In the model, Fenix
and its $42m capex for six years of 27k gold production gets U$20m of NAV today, with another
U$10m remnant value to El Gallo and any Fenix silver left. You may argue and make that $50m
which is fine, but it’s a 5c/share difference to the target price and not why we are here.
A valuation of USA assets (Gold Bar operations and Tonkin): Next up to value is Gold
Bar and surroundings. We begin with a reminder of what Gold Bar was supposed to be
according to a MUX 2015 corporate presentation:
That does not look good compared to reality, as in fact:
 Gold Bar capex came in at U$84m
 Production did not start until February 2019
 Rather than 50,000, gold production averages less than 30,000 in the first two years,
the mine beset by problems and poor reconciliation of the feasibility study to reality.
We saw the same sub-8,000 oz rhythm again in 1q21.
Those among other unfavourable comparatives. As a result of the disaster that is Gold Bar, MUX
has written down on its asset to virtual zero on
the back of poor results (chart) and a recent U$m MUX at Gold Bar: Segment operating results
8
16% reserves drop, leaving around six years of 6
operations at current rhythm. Though the asset 4
2
is priced at quasi-zero by MUX this weekend, 0
Gold Bar does have equity value and a future. -2
-4
The new mine plan looks to produce around -6 Gross profit
40k oz Au for six years ad there should be life -8 Cash gross profit
-10
extensions on that, either through development -12
drilling or through eventual synergies with the -14
1q19 2q19 3q19 4q19 1q20 2q20 3q20 4q20 1q21
nearby Tonkin deposit. At Gold Bar, the MUX
$5m 2021 drill program has already shown new source: Company filings
out-step assays to add to resource at Gold Bar
South, a small satellite due online next year that may grow and here’s a corporate slide to show
the progress. The nearby Tonkin is in resource definition stage with 1.45m oz of M+I oxide gold
4

and looks natural follow-on for the infrastructure and team at Gold Bar.
Assuming Gold Bar gets costs under control this year, it should turn an operating profit at
U$1,800/oz+ gold, even at sub-50,000/oz year production rates. That would put the mine on
an even keep and at that point, along with Tonkin, provide exactly the type of asset a company
like Fiore Gold (F.v) is looking for to get its production to 150,000/year. Fiore has other options
of course (e.g. Northern Vertex (NEE.v), a company that has the “40k to 50k in USA” profile)
and I’m not calling any M&A, but the heavy financial lifting has now been done at Gold Bar and
we can consider it as a viable stand-alone.
Indeed, I expect Fiore (or other) would see the clear benefits of buying a mine that’s back on
an even financial keel, with six years of life bake in and 1.45m (1.76m oz including inferred) of
replacement gold ounces nearby and in the package. Under those circumstances, I’d estimate
MUX to be able to re-coup all its capital and sell Gold Bar for U$90m.
A valuation of Minera Santa Cruz (49% ownership): MUX’s longest-standing producing
asset is its 49% participation in Minera Santa Cruz, owners of the San José silver/gold mine in
Santa Cruz province, Argentina. MSC is 51% owned and operated by Hochschild (HOC.L), who
annoyed McEwen so much he once called them “The JV partners from Hell” but the partnership
survived. The MUX asset is carried at U$102.77m and that’s basically what it’s worth, because
that’s how depletion and amortization work at a mining investment:
MUX: Carry in 49% of Minera Santa Cruz (MSC)
5
2.622 99.522
81.172 59.372 17.172
82.671 80.771
59.212 30.612 34.012 16.302
20.771 53.771 51.471 15.271 11.761 44.961 18.071 36.761 23.261 99.951 23.751 95.451 60.051 541 63.041 52.331 18.721 84.321 53.911 99.611 81.011 15.701 81.601 67.801 33.801
77.201
300
250
200
150
100
50
0
21q1 21q2 21q3 21q4 31q1 31q2 31q3 31q4 41q1 41q2 41q3 41q4 51q1 51q2 51q3 51q4 61q1 61q2 61q3 61q4 71q1 71q2 71q3 71q4 81q1 81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1
$m
source: company filings
It’s true MSC provided good gross cash flow this last quarter and with silver price at $25/oz to
$28/oz, reinvestment is covered. We shouldn’t expect MUX to remit cash from Argentina every
quarter and the timely $5m delivered in 1q21 must have come in very handy at MUX, however,
that drawing is the reason MUX’s carry drops, as well.
For our valuation purposes, we can consider MSC as a cash number as, as per the 1q21 MD&A,
the company is currently considering its divestiture. Book would be the starting point for
negotiations with most-likely purchaser Hochschild, though it’s not easy to imagine competitive

tension arising or plenty of competition for the 49%. Therefore, we assume a U$110m NAV for
MUX’s 49% of MSC in a cash sale with its partner.
A valuation of Los Azules
Located in the higher reaches of the Andean cordillera in San Juan Argentina, Los Azules has
been part of McEwen Mining longer than the name itself. Inherited as part of Minera Andes (ex-
MAI.v, the ticker now used by Minera Alamos) here’s the current resource count at the project:
So, Los Azules is a big porphyry copper deposit, one of the massive ones that are discovered
and put into operation as long as conditions are right. In this case, aside being in Argentina the
specific zone is very arid and water procurement may always be an issue. Grade at 0.48% Cu
used to be low compared to peers, these days the market doesn’t raise so many eyebrows (as
long as other inputs are good). In IKN 826 two weeks ago, we mentioned the 2017 PEA and
here’s a slide from MUX’s latest corporate presentation, that does the quick summing up:
The capex is the obvious hurdle and, for a gold company run by a gold miner, it’s a hurdle the
company will never manage to clear on its own. Indeed, way back in 2011 Rob McEwen once
tried to spin Los Azules out of what was then
the Minera Andes corporate structure, only to MUX: Los Azules asset value
go cold on the idea a couple of months later 500
450
when copper prices went against him.
400
350
MUX has recently made clear noises about 300
250
wanting to monetize Los Azules. That may
200
happen via a spin-out, or bringing in a large 150
partner to JV and finance the project forward. 100
50
MUX may even decide on a straight sale, but
0
copper at $4.50/lb is the right time for MUX to
do something. At present, Los Azules is given
scant value by the market and that will surely
change on the announcement of any deal. The
issues may be with the price, because even after impairing its valuation from an obviously
overstated U$430m, since 2105 it’s been carried at a straight $191.49m and any deal coming
in would have to reflect at least that value, else cause a nasty hole in the MUX balance sheet
(Los Azules is $190m of its total $280m in mining properties). This chart, repeated from last
week, shows the artificial nature of the valuation, but I suppose at $4.50/lb copper McEwen can
justify it in 2021.
6
21q1 21q2 21q3 21q4 31q1 31q2 31q3 31q4 41q1 41q2 41q3 41q4 51q1 51q2 51q3 51q4 61q1 61q2 61q3 61q4 71q1 71q2 71q3 71q4 81q1 81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1
$m
source: company filings

As a benchmark, Aldebaran and its current C$86.4m market cap is searching for the same
metal in the same type of deposit in the same province of Argentina, with the right to earn in to
80% of Altar. Your author has recently gone long the stock at these prices too, expecting ALDE
to benefit from the secular bull run. All those arguments apply here and while Los Azules has
technical issues such as water, and tough drilling conditions (those foothills tend to be covered
with metres of loose scree), any deal to bring in a partner to this copper project would add
immediate equity to MUX as well as removing over $2m per year in background upkeep and
maintenance costs. Today we estimate Los Azules has a U$50m weighting on MUX, with the
potential to move to $100m on any deal announcement.
A valuation of Fox Complex (Black Fox etc)
Which leaves the driver of MUX valuation today until last, what the company now calls “Fox
Complex. Spread along a section of the Trans-Canada East of Timmins, it includes:
 The company’s troubled Black Fox mine
 The Froome and Grey Fox deposits, set to extend Black Fox
 The Lexam properties, owned by Rob McEwen in a separate entity for several years
until being brought into MUX.
 The Stock historic mine/mill
This visual shows how they come together, as well as adding respective resource counts:
To call Black Fox troubled is an understatement, as this chart of gross profit at the mine
(revenues versus costs to gate) shows. However, MUX is pressing forward and this year alone
has raised over $12m to bring Froome online. The satellite Froome isn’t the biggest deposit at
181k oz gold M+I, but grade is good and reportedly, the easier access and mining will bring
down costs during its 2.5 years of
U$m
production. Black Fox: mine gross profit, per qtr
6
4
2
From there, MUX plans to expand via
growth of resource and then development 0
of Grey Fox, though an alternative plan is -2
to being the smaller Stock online before the
-4
larger and more capex intense Grey Fox is
-6
up. That deposit is 888k of 5g gold and
-8
presumably economic in Timmins, which
1q19 2q19 3q19 4q19 1q20 2q20 3q20 4q20 1q21
leads us to this slide of the MUX long-term
strategy source: company filings
7

Talk of a 150,000 oz per year, long-life mine complex is a long distance from this quarter’s
production of 5,200oz, but we also know the prize would be a big one of MUX can turn itself
into a medium-sized operator in Timmins. The issue this weekend is the implicit value of Fox
Complex to MUX, as if we now consider the other parts of the company and its 459.2m share
count, this table shows we need to assign a $300m NAV to Fox in order to justify the current
share price.
Aggregating segment estimates at MUX
Los Azules MSC Gold Bar Mexico Fox net cash total
U$ NAV 100 110 90 30 300 15 645
per share 0.22 0.24 0.20 0.07 0.65 0.03 1.40
source: MUX data, IKN calcs and ests
To conclude, the 12 month price chart for UX shows how the company is off its U$1.00 (and
below) lows, rallying recently above U$1.50 before closing this weekend at $1.44. And once
again, I am not a buyer in MUX because the value window in the stock closes so repaidly.
McEwen Mining (MUX) today has morphed into a company that’s trying to emulate the success
of Wesdome in Canada, rather than trying to expand operations on several fronts over two
continents. With MSC old in the tooth and
apparently up for sale, Gold Bar $100m+ money
pit and the Mexico end of operations depleted
away to a minor project, MUX has upside
available from deal on either Gold Bar or Los
Azules (and MUX needs need to move during this
high copper price deck) but these days it has bet
the farm on Canada
If we could assume success with the turnaround
at Fox Complex then it may be easier to buy, but
even with news best intentions and a corporate
makeover under its belt, MUX needs to overcome
its poor track record for capex overruns,
execution, operations and that revolving door C-
suite we featured at the top of this study. A position in McEwen Mining (MUX) would be all
about taking value compared to market and looking for leverage. its current price rally has
taken too much of that value away and while its fair to justify the current MUX share price, the
best of the upside has already gone.
8

Stocks to Follow
The week saw both GDX and GDXJ drop by 1.9%, gold driving the losses with its Thursday
chop and though bullion saw buyers after, it too closed down by 0.68%. Which means the IKN
Stock to Follow portfolio out-performed on the week, with eight winners (MAI.v, RIO.v, TMQ,
AGC.v, QCCU.v, ORE.v, MIRL.cse, MENE.v) and two unchanged stocks (SMD.v, ECR.v) from this
time last weekend. Even the losers weren’t too bad, the six (MIN.to, ALDE.v, RYR.v, WLF.v,
GBR.v, AUL.v) tending to lose a penny or a percentage point, the exception being Aurelius
(AUL.v down 13.8%), which continues to get beaten up for no apparent reason.
We swapped NGD for AGC and still have 16 open positions on our Stocks to Follow list, one
over the self-imposed maximum. Ten of the trades are in the green, four are in the red and two
are unchanged.
company Ticker this week Avg Price Reco date Current PPS Gain/Loss% Notes
TOP PICKS
Minera Alamos MAI.v STR BUY C$0.21 13-Oct-19 C$0.71 238.1% New $1.14 tgt Aug'20 #1 idea
Rio2 Ltd. RIO.v STR BUY C$0.83 22-Apr-18 C$0.87 4.8% $1.58 tgt, bot again Nov'20
Recommended stocks (In order of preference)
Trilogy Metals TMQ STR BUY U$1.84 15-Sep-19 U$2.99 62.5% Added Dec'20, Cu for 2021
Amarillo Gold AGC.v STR BUY C$0.32 30-May-21 C$0.34 6.3% Gold developer awakening
Strategic Metals SMD.v STR BUY C$0.42 31-Jan-21 C$0.42 0.0% Asset $ trade, proj generator
Excelsior Mining MIN.to STR BUY C$0.93 10-Mar-19 C$0.66 -29.0% Delayed, but still great value
Aldebaran Res. ALDE.v BUY C$0.68 16-May-21 C$0.69 1.5% Bet on big copper, pol risk okay
QC Copper &Gold QCCU.v STR BUY C$0.205 25-Apr-21 C$0.225 9.8% Cu Jr, fast-tracking resource
Royal Road Min. RYR.v BUY C$0.155 17-Mar-19 C$0.365 135.5% Model paying off in Nica
Wolfden Res. WLF.v spec buy C$0.30 11-Apr-21 C$0.32 1.7% near-term Zn trade
Great Bear Res GBR.v BUY C$15.83 26-Aug-20 C$16.17 2.0% Binary M&A trade, wait for print
Cartier Resources ECR.v hold C$0.32 21-Mar-21 C$0.30 -6.3% Binary M&A trade, wait for print
Orezone Gold ORE.v hold C$0.79 21-Jun-20 C$1.30 64.6% Binary M&A trade, wait for print
Aurelius Min. AUL.v spec buy C$0.75 28-Jun-20 C$0.50 -33.3% added 3 times, risky
Minera IRL MIRL.cse hold C$0.195 22-Jul-12 C$0.10 -48.7% CEO change will move stock
Long-term non-mining hold
Mene Inc. MENE.v LT Hold C$0.62 6-Dec-20 C$0.62 0.0% LT bet on jockey&horse,will add
Closed in 2021 closed close price
Fiore Gold F.v jan'21 C$0.98 21-May-20 C$1.17 19.4% closed as part of rebalance
Norsemont Mining NOM.cse feb'21 C$1.55 6-Sep-20 C$0.70 -54.8% Cut loser to reduce Au exp.
Element 29 Res ECU.v feb'21 C$0.49 7-Feb-21 C$0.54 10.2% Cut Peru exposure
Kuya Silver KUYA.cse feb'21 C$1.66 8-Nov-20 C$2.51 51.2% Cut Peru exposure
Pucara Gold TORO.v apr'21 C$0.65 4-Oct-20 C$0.26 -60.0% Cut loser, Peru risk call
Copper Mountain CMMC.to apr'21 C$1.40 22-Nov-20 C$4.18 198.6% tgt hit, profit taken
New Gold NGD may'21 U$0.76 9-Feb-20 U$2.14 181.6% Sold to buy AGC, nice win
2015 to 2020 annual closed positions in appendices below, 2009 to 2014 closed positions in editions IKN553 or earlier
Now for notes on some of our covered stocks:
Amarillo Gold (AGC.v): POSITION OPENED. Going to keep commentary practical and on
trading matters only today, as the only milestone that now matters for AGC is news on
financing. There was no 30c or below available on Monday, but after the note last weekend I
personally had no choice and paid the market’s 32c and felt comfortable doing so. Once the
price held through the afternoon, it also became clear those warrants would expire in-the-
money and 30c became a floor. There was something of a speculative push higher during the
9

week and that back off so let’s consider the longer-term chart of AGC and how 35c to 40c has
been the toughest of nuts to crack. Considering that
history, I can’t see AGC moving substantially higher
until the larger players, mine capex sponsors and
financiers have positioned. Which means we now
have our trading range in which to add (or buy), I’d
suggest 32c to 33c as a place to pick at the
company if you’re interested. No matter what else
his presence means, Eric Sprott’s arrival at AGC
obliges it to move forward, there will be no more
spinning of its wheels.
New Gold (NGD): POSITION CLOSED. Sold as
per the decision last weekend and out before the
chop came on Thursday, so some slight luck with
the sale as well, I suppose. Still predicting a positive 2h21 for NGD, but the personal portfolio
money is now in another place.
Before, signing off on NGD for the time being (returns are always possible), a reminder that its
move on Harte Gold (HRT.to) is one of the more interesting strategic positions taken by a larger
miner this year. With “The Strategic Investment Model” now firmnly established among the Tier
1 and 2 companies, nobody is looking for an immediate turnaround from HRT but the
investment allows it balance sheet relief, as well as the fund required to explore and potentially
grow the prospective Sugar Zone resource.
Aldebaran Resources (ALDE.v): We now know this group takes a different route from the
Small Is Beautiful days of Antares (to put it mildy, see
G&A). The stocks that have John Black as either clear
player or bit-parter these days, also tend to come with
a suite of promotion and marketing as witnessed by
more than one effort made in Regulus, Chakana and
here in ALDE over the last 12 months. All that makes a
new effort to wake ALDE up and promote it a foregone
conclusion (as they to forget about the mess at REG),
all in sustained high price for copper. In so many words
and to back up the sentiment in today’s intro, it’s time
to get positioned in ALDE before the rush begins and
that’s all the table-banging you’re going to get from me
on this stock.
Minera IRL (MIRL.cse): There were only eight trades in this company registered on the CSE
all week, it just so happens that the last one was 10,000 shares sold at 10c, so MIRL gets to
record an 11.1% week-over-week gain thanks to a thousand dollars. Big deal.
QC Copper & Gold (QCCU.v): A good week, with QCCU running against the trend of copper
plays and rebounding from the loss of the week before, all on the back of this NR (1) that
announced more good drill assays. The takeaway from this week’s assay NR is how the so-
called Saddle Zone, sitting between the known and previously mined ‘Springer’ and ‘Perry’
deposits, is returning the type of background copper numbers that can turn it from waste into
ore in an eventual open pit mine scenario. The headline intersect of 0.78% CuEq over 76.5m is
from that zone and what’s more, the cut is 0.65% straight copper. That runs, even though
QCCU uses a high price assumption for copper in its resource calculation, at U$4.00/lb. It also
assumes 100% recoveries, which isn’t real-world but is okay for early stage geological
modelling. Therefore to add perspective, it’s worth considering that even at U$3.00/lb, a 90%
recovery and with zero credits from the other contained metals (gold first among them), they
get U$38.70 per tonne of rock processed. From that point, it becomes a question of strip rate
and this is the key to the investment at QCCU Opemiska. The 30,000 foot viewpoint,
10

considering a reasonable, ballpark pit shell, works like this:
 Let’s assume there are 600m tonnes of rock to move at the project in order to extract
its metal. If QCCU can build a 50mt resource inside that, this means it would have to
operate at an overall average strip rate of 12:1 in order to extract all the metal. That’s
high, and at a ballpark cost of U$3/tonne for rock moved, operating costs of U$36/t
don’t look attractive next to its average contained copper (0.65% Cu = U$38.70 gross
metal value, 1% Cu = U$58/t gross metal value).
 However, that same approx 600 million tonnes of rock inside the pit shell may have
more copper than expected. Let’s hypothesize that QCCU does well with the drillbit this
year and hits more nice long intersects of disseminated copper mineral in the host rock
at Opemiska, in exactly the style they announced last week in the Saddle Zone. Then
come August, they announce 80mt of resource, rather than 50mt. Suddenly, the strip
ratio is down to 7.5X and at $3 per tonne of rock moved, operating costs are down to
U$22.50/t. With the same type of revenues
expected from each average tonne of rock, the
company now has a robust economic mine plan
with gross margins running at 50% and above.
The latter is why I am a buyer of this company from now
until its resource announcement in August, QCCU is going
to pepper the market with constant NRs such as this one
and then, at the end of the process, the 43-101 will show
the fruits of the efforts in tonnes and that all-important
estimated strip rate.
Orezone (ORE.v): Another that had a good week against the grain, ORE bouncing back from
the weakness of the week before last and adding to the house suspicion that the old $1.20
ceiling price is now a new $1.20 floor price. We had an NR too, the company underscoring its
advances at Bomboré with news that it had agreed a power deal for the mine, based around
LNG with a reputable local company but with solar being phased in over time. We approve, also
it’s good to see the amount of volume now running through this stock.
Cartier Resources (ECR.v): The presentation by ECR on May 31st (2) at the Deutsche
Goldmesse 2021 online conference was the first from the company for a while. The messages
were clear, Chimo is now up for sale and further work on the project is internal, considering
optimizations to bring down the average cost per ounce. On hearing that, I got annoyed all
over again about the way ECR reached in order to get 2m oz in its resource, as their new focus
on cost trade-offs mean they are bound to lose ounces that they pretended to add (also, fwiw
I’m bored with CO Cloutier’s self-satisfied smile on this). However, the main news is that Chimo
is indeed up for sale as stands, which means ECR can move to its next project at Benoist.
Drilling is underway and we can expect assay results presently, a new flank of news cannot do
this under-performer any harm.
The Copper Basket
After twenty-two weeks of 2021, The Copper Basket shows a gain of 47.67% to level stakes.
11

company ticker price 1/1/21 Shares out Market Cap current pps gain/loss%
1 Solaris Res SLS.to 6.08 107.53 1194.66 11.11 82.7%
2 Copper Mtn CMMC.to 1.81 207.5 869.43 4.19 131.5%
3 Oroco Res OCO.v 1.85 186.96 566.49 3.03 63.8%
4 Western Copper WRN.to 1.57 135.798 406.04 2.99 90.4%
5 Marimaca Cop MARI.to 3.25 87.737 393.06 4.48 37.8%
6 Amerigo Res ARG.to 0.80 181.79 234.51 1.29 61.3%
7 Excelsior Min. MIN.to 1.12 273.585 180.57 0.66 -41.1%
8 Aldebaran Res. ALDE.v 0.455 125.24 86.42 0.69 51.6%
9 Regulus Res. REG.v 1.07 101.85 78.42 0.77 -28.0%
10 C3 Metals CCCM.v 0.115 438.56 76.75 0.175 52.2%
11 Doré Copper DCMC.v 1.00 53.304 51.17 0.96 -4.0%
12 Chakana Cop PERU.v 0.60 111.41 47.91 0.43 -28.3%
13 Element 29 Res ECU.v 0.45 68.281 31.41 0.46 2.2%
14 US Copper USCU.v 0.105 87.53 22.32 0.255 142.9%
15 Chibougamau CBG.v 0.165 53.077 17.52 0.330 100.0%
NB: All stocks in CAD$ Portfolio avg 47.67%
Aside the small hiccup last month, last week The Copper Basket 2021, weekly evolution
70%
saw The Copper Basket suffer its first true
reversal since our current copper bull run 60%
went into overdrive in mid-March. 50%
40%
We start with the count, with just three of 30%
our 15 component stocks making gains last
20%
week (REG.v, PERU.v, CCM.v), all Peru- 10%
centric and there were macro reasons in
0%
play. No unchanged stocks, so 12 losers and
we’re not listing them all, just the least best
performances from Solaris (SLS.to down
11.1%), Amerigo (ARG.to down 11.0%) and
Oroco (OCO.v down 9.0%) though there were plenty of heavy 5% to 8% losers as well.
The losses were due to weakness in copper prices, in turn hit on Thursday morning along with
the rest of ‘em. However, copper quickly repeated the pattern seen at the other commodities
pits last week, buyers moving in and snapping up the bargains. We’ve made the point about the
hard resistance to prices at this $4.50/lb level on a dozen other occasions, so the five day chart
of the most traded futures contract (still July, but we’re rolling to September) is enough this
weekend, the line held.
As well as last week’s move, let us take a step back this week and consider how the copper
12
ts1
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source: IKN calcs

stock bull run has continued for these weeks since copper prices backed away from challenging
the U$5.00/lb. With battle lines now apparently being drawn by price bulls (producers, market)
and bears (in essence, China Ltd) around the U$4.50/lb price point, last week suggests a new
reality about the mid-term future of copper prices. In the bullish corner we have the world, its
copper supply and demand, its clear rules about pricing of objects when they become popular.
In the bearish corner we have China, the world’s #1 consumer of the metal and now with an
eye to keep its input price as low as possible. Chile’s Cochilco repeated its clear warning to the
copper industry of China’s intent to drop copper prices. In its weekly report, it wrote (3)
(translated):
“The government of China has expressed repeatedly its concern for the rise in prices
of basic materials in recent weeks, asking companies to “manage their supply and
demand more strictly” and warning of proactive measures against market speculators,
which has induced a certain retrocession in prices of industrial metals.”
These are good times for The Copper Basket
and, as the longer-term track record shows,
we’re on course for only the third big winning
year of the last decade. Though also notable,
since 2016 we’ve only had one losing year. The
IKN Weekly fully expects this run in copper
stocks to continue under the secular bull
scenario for copper-the-metal, China’s jawbone
on prices is its own message about the state of
long-term demand.
Now for our regular slot, the weekly copper inventories coverage:
 Another small depletion in world copper stocks, with a total of 4,874 metric tonnes (mt)
leaving the three official warehouse systems. This weekend’s total is 380,604mt, the
world is in wait-and-see mode.
 The SHFE lost another 6,110mt or 3% of holdings, but kept its head above the 200k
line for at least one more week, The total today is 201,711mt.
 At the LME, cancelled warrants came off, some deliveries happened, 5,000 tonnes of
copper suddenly became available in a warehouse in Germany. The result of small
moves was an aggregate increase of 2,250mt and a weekend total at 124,675mt. We
underscore this historically low level, it’s as clear a bullish indicator as you’d ever want.
 COMEX saw another modest depletion of 1,014mt, the total now 54,218mt. So be it.
Here is the Shanghai-only inventories chart, the story hasn’t changed and the drawndowns are
about to begin.
Shanghai Futures Exchange Warehouse Stocks, 2014 to date
400000
350000
300000
250000
200000
150000
100000
50000
0
13
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ts1ram
ht01 ht91 ht72 ht6ced ht41 ht42 6102
dr3luJ
ht11 ht72 ht5beF ht61 ht52 7102
dr3pes
ht21 ts12 8102
ts1rpa
ht71 ht62 8102
ht4von
9102
ht31naj
ht42 9102
dn2nuj
ht11 ht02 ht92 ht8 ht71 0202ht62luj ht4tco 0202ht31ced ts12 1202dn2yam
Copper Basket Annual Performances, 2012 to date 200%
175%
150%
125%
100%
75%
50%
25%
0%
-25%
-50%
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021*
source: IKN
Mt Cu
|
source: Cochilco

Now for some notes on a few basket stocks:
The Peru copper stocks (REG.v, PERU.v, CCCM.v, ECU.v): The Peru mining complex saw
bargain hunters move in, with three out of our
four Peru exposed stocks doing well on the week
and plenty others with Peru exposure doing the
same. We also offer the ten-day chart here
instead of the five, to show that ECU.v has made
the same approx +5% move as the rest but
jumped the week before:
It’s all about the election, of course. There’s
plenty of logic in buying selective beaten-down
Peru names today, that is for sure. See ‘Regional
Politics’ for more.
A focus on Element27: In IKN606 dated January
3rd, we put together the 2021 Copper Basket and gave brief overviews of the new companies
coming in, but spent more time (about 2.5 pages) on ECU.v that day. From the start, it has
looked a cut above the average built-for-market copper exploreco (e.g. CCCM.v, RTO’d from
Carube Copper with an asset calved out of the Hochschild empire), the way in which an
exploreco comes to market is as important as what it does when it gets there. Last week ECU
gave an interesting webinar (the repeat should be up on 6ix at some point this week) and the
news it now has its drill permits is important, removing doubt for the second half of the year
under a new Peru government and mining ministry.
The Producer Basket
After twenty-two weeks of 2021, the Producer Basket shows a gain of 1.40% to level stakes.
company ticker price 1/1/20 Shares out Mkt Cap (U$Bn) current pps gain/loss%
1 Newmont NEM 59.89 805 57.52 71.45 19.3%
2 Barrick GOLD 22.78 1778.04 41.71 23.46 3.0%
3 Agnico Eagle AEM 70.51 244.187 17.27 70.72 0.3%
4 Kirkland Lake KL 41.27 267.056 11.44 42.82 3.8%
5 Kinross Gold KGC 7.34 1261.07 10.06 7.98 8.7%
6 Pan American PAAS 34.71 210.262 6.79 32.31 -6.9%
7 Endeavour Min EDV.to 29.62 252.568 6.21 29.52 -0.3%
8 B2Gold BTG 5.60 1051.697 5.29 5.03 -10.2%
9 Alamos Gold AGI 8.75 392.739 3.52 8.95 2.3%
10 Pretium Res PVG 11.48 187.833 2.03 10.80 -5.9%
Prices in U$ except EDV.to (share price in CAD$ and mkt cap in approx USD) Port. avg 1.40%
When the chop in gold came, the large-scale producers felt it and though there was no rush for
the door, the complex dropped in standard style. Most of the losses were uniform and under
The 2021 Producer Basket: Weekly performance and 20%
comparative to GDX control
15%
10%
5%
0%
-5%
-10%
-15%
-20%
14
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ht71 ts13 ht41 ht82 ht41 ht82 ht11 ht52 ht9 dr32 ht6nuj
The 2021 Producer Basket: Percentage difference between
GDX benchmark and basket (negative = IKN basket ahead) 7.0%
6.0%
5.0%
4.0%
3.0%
2.0%
1.0%
basket
gdx control 0.0%
source: Google, IKN Calcs
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source: IKN calcs, NYSE/Nasdaq/TSX data

2.0%. Leaders NEM (-2.8%) and GOLD (-2.6%) were off a little more, but the only real outliers
were the drops in Pretium (PVG down 5.3%) and Pan American (PAAS down 4.0%). To the
upside Endeavour was our only winner, EDV.to up 1.8% on the back of the push from news of
its London LSE listing (chosen in preference to NYSE).
The impression from last week’s action in the larger producers was one of underlying strength
in the metals stocks, the key moment seeing bargain hunters move in quickly on Thursday to
buy the discounted prices without undue concern. That in turn is testament to gold’s
predictable reactions and positive trend under the new Fed policy suite. Or put in English, we
precious metals investors do not have to “fight the Fed” when its policies are clearly conducive
to rising commodity and asset prices (in USD terms).
In 2021, gold and mining investment is not a contrarian play.
Endeavour Mining (EDV.to): EDV got a boost and beat its peers last week on news (4) it
was about to list on London’s LSE. The local listing goes live on June 14th and comes at the
same time as Nordgold’s listing on the LSE, also in preference to the NYSE in its dual public
offering along with Moscow. It’s understandable to see Russian capitals prefer The UK (Russian
moguls have already bought a fair percentage of London’s best real estate addresses and the
UK government tends not to ask them too many
difficult money questions), but EDV arriving at
the same time has raised a few eyebrows in
mining circles. Two companies are not a trend,
three or more may be.
StreamerWatch: Our eye on the
royalty/streamer sub-sector continues, as does
the trend of most of the streamer plays beating
out the GDX. We have SAND and Franco-Nevada
(FNV) as our examples, also true for WPM, RGLD
etc. The fact I picked an under-performer to
track the small streamers is my fault and the
news Metalla (MTA.v) was (apparently) priced
out of the deal for Fenix with Rio2 Ltd may be the root cause.
The Tiny Dogs
After twenty-two weeks of 2021, the Tiny Dogs show a gain of 3.25% to level stakes.
company ticker price 1/1/21 Shares out Mkt Cap current pps gain/loss%
Antler Gold ANTL.v 0.205 61.348 8.28 0.135 -34.1%
Aston Bay BAY.v 0.045 163.975 6.56 0.04 -11.1%
Constantine Met CEM.v 0.17 45.4 10.67 0.235 38.2%
Contact Gold C.v 0.115 240.757 21.67 0.09 -21.7%
Golden Pursuit GDP.v 0.22 40 5.00 0.125 -43.2%
Manitou Gold MTU.v 0.045 230.79 19.62 0.085 88.9%
Precipitate Gold PRG.v 0.240 106.241 14.87 0.14 -41.7%
QC Copper QCCU.v 0.315 105 23.63 0.225 -28.6%
Red Pine Expl RPX.v 0.400 95.806 77.60 0.81 102.5%
Warrior Gold WAR.v 0.090 91.818 6.89 0.075 -16.7%
Prices in CAD$, data from TSXV basket avg 3.25%
This section attempts to track the tinycap mining sub-sector of the market, our ten companies
15

chosen under the following criteria to put together a list representing the state of play in the
sub-sector of tinycap exploration company stocks. At least, that’s the plan.
 Market capitalization of under $20m. They have to be tiny. In two cases I’ve stretched the window a
little and allowed sub-U$20m market capper in that are just over the C$20m level, but the spirit is unaltered.
 A “non broken” stock price and project story. There are literally hundreds of tinycap juniors of the right
size, but it was a particularly depressing exercise to trawl through the whole of the TSXV and find companies
that are small enough, but with life in them. The vast majority of sub-$20m stocks are broken stocks, either
traded to death on the exchange or with projects that are a bust or with entrenched management more
interested in their monthly paycheck than anything else.
 Likelihood of meaningful newsflow in 2020. This connects to the company’s “unbroken” status, as we
want news and potential catalysts from companies with projects that can work.
 Decent management if possible. When you are down among the little guys it doesn’t pay to be too
choosy, but still I preferred companies that have teams or people with good peer reputations.
Another week in which money fails to reach the
bottom rungs of Canada’s exploreco sector. We
Tiny Dogs, 2021 weekly tracker
saw two stocks rise (QCCU.v, RPX.v) and QC 20%
18%
Copper’s +21.6% move was the best of the week
16%
in either direction, by some distance too. Four 14%
other stocks were UNCH (C.v, GDP.v, PRG.v, 12%
10%
WAR.v), which leaves four losers (ANTL.v, BAY.v,
8%
CEM.v, MTU.v) but none of them took serious 6%
damage, they move a penny this-or-that way. 4%
2%
0%
Now for notes on basket stocks:
Constantine Metal Resources (CEM.v): This
stock has been reasonably active in the first half
of 2021 and that’s interesting, as it’s early in its typical news season from the Palmer project in
Alaska. This ten-year chart reminds me I’ve
been watching the exploreco sector for too
long, it also shows the potential CEM has for
a trading gain in the months ahead:
The Japanese partners in this project are
seemingly content with the slow pace of
development. That wouldn’t be a surprise to
hear about this country’s mining
development chain, as anyone who has
worked at the glacial pace preferred by
JOGMEC will attest. There’s certainly little
doubt the 20c to 25c price range is its long-
term baseline.
NB: Please be clear that The Tiny Dogs is NOT a list of recommended tinycap stocks. It is a list of companies with
market caps of under $20m offering a reasonable representation of the wider tinycaps market. It is possible that in the
future I may buy shares in one or several of these stocks, but at the moment both my opinion and my wallet are strictly
neutral.
Regional politics
A brief LatAm Covid-19 update
The way in which the world treats Covid-19 deaths with increasing banality was dealt a jolt last
week by Peru, which tripled its death toll from the virus and moved its official toll to over
195,000. Here’s how medicine’s medium of record, The BMJ, reported the news:
16
ts1
naJ
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source: IKN calcs, TSX data

Peru has revised its official death toll in the covid-19 pandemic from 69 342 to 185 380,
after a scientific review of medical records ordered by the government. The new figure
means that Peru has had 5551 covid deaths per million population, proportionally the
worst official toll in the world. Hungary, which before this week had the world’s highest
official toll per capita, now stands a distant second at 3094 deaths per million.
More than 0.5% of Peru’s people have died from covid-19, a toll worse than that
recorded by the UK in the 1918-20 “Spanish” influenza pandemic.
“We think it is our duty to make public this updated information,” said the Peruvian
prime minister, Violeta Bermúdez, at a news conference announcing the publication of
the report.
Underlying those stark headline numbers are others, such as the alarming overall mortality rate
of 9.5% for Covid-19 cases in Peru, some 10x the rates seen in some industrialized nations.
Also, that 70% of deaths are adult males over 70 years old, a politically correct way of
indicating just how many excess deaths there have been in (largely provincial and slum city)
Peru with no access to a hospital bed or oxygen tank. Unsurprisingly, there’s a Reuters reporter
in the home town of Pedro Castillo this week and here’s part of a dispatch sent (5) back:
“In the Cajamarca region, only three hospitals have ICU beds, despite a population of over 1
million. Like Chota, seven other hospitals in Cajamarca have no ICU beds at all, according to
numbers from regional health authorities.
While all Peru has suffered badly, Cajamarca has just a fifth of the hospital bed capacity relative
to its population size of the country as a whole, according to government and World Health
Organization data.
That affects people like the mother of Enrique Peralta Linares, who was hospitalized due to
COVID-19 on Sunday in Chota's hospital. Doctors say she needs a ventilator and an ICU bed, but
they have access to neither.
"The doctors keep telling us that we need a ventilator, but there are no ventilators available in
Chota, and that is really worrying us," Peralta Linares said outside the hospital. "There is no
solution for us."
From your author’s viewpoint, it’s easy to disagree with his politics or economic model while
understanding why Pedro Castillo rose from virtually nowhere to fight out this second round
election; this vote was about 20 years of economic growth that left scraps for the broad
population in provincial towns and villages. Peruvians are not spongers, they don’t demand or
expect constant handouts, but the lack of healthcare and basic urban infrastructure after two
decades of economic growth has been laid bare for all to see. Peru now holds unwelcome
records for Covid-19, but far more likely is that it’s the first country in South America to confess
to realistic death and infection rates of the virus. Also, as the country suddenly got sympathetic
press from the outside world on the back of the announcement, expect more countries the
“make data sincere” (as they say down here). Example, here’s how reports come from Mexico
this weekend (6):
Mexico reported 2,649 new confirmed cases of coronavirus infections and 186 additional fatalities
on Saturday, bringing total cases to 2,432,280 and the death toll to 228,754, the Health Ministry
said.
Separate government data recently published suggests the real death toll may be at least 60%
above the confirmed figure.
Peru, Mexico and the region got real Covid-19 help last week and not just sympathy, via the
vaccines now being sent to LatAm by The USA. The Biden admin didn’t need to do this and it’s
welcome, on the other hand it would have happened later anyway; the morality of hoarding
millions of doses in one part of the world while others need them would was beginning to see a
rise in critics in the mainstream, not just on the political fringes. Biden & Co got flak from some
quarters for not offering Venezuela a share of US vaccine overstock, but they are now rolling
out their own Sputnik-based program and be okay and it’s not as if the Maduro regime
suddenly cares a fig about the lives of its citizens, anyway.
Meanwhile at the sickest end of the region, Brazil’s new case rate remains stubbornly high even
as its vaccination program finally starts to roll out, with the average still over 60,000 per day:
17

And while the death toll of over 2,000 per day is still horrific, we’re now coming down from the
peak of a month ago. That is the immediate effect of vaccination programs targeting the most
vulnerable age groups first, as post-vaccine infections are far less likely to lead to mortality.
In other South America Covid-19 news, Uruguay’s case rate remains high and Argentina’s snap
lockdown is now coming to an end with the main effect political: The Fernandez government
lost discernable favour with the Argentine public this time, there’s no currency left for
governments to impose restrictions or civil liberties just to combat the spread of the virus. True
across the region, in fact, and with this we’ve probably seen the last major government-
imposed lockdown in South America before vaccine politics take over.
Peru’s new President
Today’s ballotage with its straight up/down choice of two people for next President was
expected to bring a definitive result, one way or another. Instead, your author moves to
another inner circle of election Hell. At 7pm, the only exit poll survey put the valid votes result
at 50.3% Keiko Fujimori, 49.7% Pedro Castillo, however we need at least to wait until the
official ONPE fast count result comes in, which has already been delayed twice and is now
scheduled for 11:30pm.
UPDATE: It got to 04:30am and the vote count stands at Keiko Fujimori 50.586%, Pedro
Castillo 49.414% with 87.678% of votes counted. It’s razor tight and it’s also clear that even if
we get to all votes counted tonight, there are enough disputed vote ballots to call an official
winner and President-Elect, plus there are the overseas votes to tally after all national votes are
in (and which are expected to favour Keiko Fujimori heavily).
UPDATE 2: I held on for one more official ONPE update before sending, as the current trend of
Pedro Castillo catch-up may be key. It’s now 05:04am and the count stands Keiko Fujimori
50.506%, Pedro Castillo 49.494% with 88.871% of votes counted. Still un-callable, but Castillo
has clear momentum from later-arriving rural vote boxes.
It’s annoying not to have a decision to pass on to you in this edition, but at some point the
clock will beat me and I much prefer the Weekly go out before the local Monday sunrise .
Therefore the election and the fate of many investments and mining stocks (in the near future
at least) is still uncertain, though it’s beginning to trend toward Castillo with enough rural bias
18

to win out.
If that happens, the scenario is for Peru exposed producers taking a dose of bad news and
adjusting downward to reflect reality and higher State burdens. However, even if Castillo wins
the tight vote will remind him he has no mandate and Commie rhetoric or not, there’s not going
to be a “blood on the streets” moment (in the first year or two at least). Those thinking along
the same lines and interested in picking up longer-term value may want to wait until the new
President, whoever she or he is, is sworn in and the first week of August, when the new
government will start rolling out its high priority law projects. My best guess is that window will
provide the cheapest and easiest entry points for those of you with the required stomach and
patience, no matter who wins out once ONPE has tallied all the votes.
Argentina: Chubut about to put Navidad in the deep freeze
The way they fight with each other makes it hard to believe the main political actors in the
Chubut mining saga are all in the same Peronist PJ party, but that is the case. At the national
level we have the pro-mining President Alberto Fernández and his PJ colleague, Mining
Secretary Alberto Hensel. In Chubut, we also have the pro-mining and pro-Zonification PJ
governor Mariano Arcioni, but he is now opposed by the provincial PJ and its leader, Carlos
Linares. The PJ party in Chubut has watched its parliament split asunder by the mining question
and understands it is a clear vote loser. One of the main figures behind the sudden loss of
momentum in the Zonification law passage in late 2020 and early this year, head of the local
Chubut PJ party Carlos Linares, is now moving to put the issue out of mind. On June 19th the
regional Chubut PJ party holds is annual congress and one of the motions is (7):
“…to ratify the posture that the PF Party does not agree with the current passage of
the initiative, which has been rejected in order for more and better debate in social and
academic circles.”
This is how law projects and progressive initiatives are condemned to death in Argentina,
consigned to a committee which will then “...consider the appropriate moment to move forward
with any eventual…(etc)”. What PAAS has in Argentina looks good on its reserves sheet for
silver (and zinc and lead), but that’s all. Along with Escobal, another White Elephant on which it
will spend millions in C&M per year.
Ecuador: A false start for President Lasso on mining
The start of government administrations are always hectic and bring odd news snippets, one
from the change in command in Ecuador is the mess the incoming President Guillermo Lasso
made for his mining minister pick.
Lasso chose Roberto Salas, CEO of natural resources investment group Nobis (mostly
lumber/paper/pulp) as his mining minister and on May 25th, Salas resigned as CEO of Nobis and
from the board of directors of Canadian junior Adventus Mining (ADZN.v), which is advancing
the Curipamba project along with partner Salazar (SRL.v). The problem is, the new code of
ethics for new ministers in the Lasso
government, brought in by Lasso himself at
the same time, expressly prohibits individuals
with clear or potential conflicts of interest to
take ministerial positions and, as Salas is still
connected to Nobis and as they are the big
financial sponsors of the Curipamba project, it
soon attracted attention. On May 28th Salas
announced he would need “more time to
incorporate into the new Lasso government”.
Then this week, Lasso announced a
replacement for the job in Juan Carlos
Bermeo, an executive from Ecuador’s oil and
gas industry (8).
19

Ecuador: CONAIE testing its political power
On June 25 to 27, Ecuador’s indigenous umbrella group CONAIE holds its 7th national
conference, at which members will be able to reflect on the way its political arm Pachakutik
now has an influential bloc of power in the country’s parliament and even its congressional
president. However, the group also has to face its internal divisions from the election period,
chiefly the way some members in the North under their leader Jaime Vargas split from the rest
and supported Andrés Arauz in the first round of elections.
The conference is also expected to lay out policy for Pachakutik and the wider membership.
According to leader of the southern chapter of CONAIE, Confeniae’s Marlon Vargas, the
conference (9)…”…will adopt a resolution related to the “extractivism” in the Ecuadorean
Amazon.”
Market Watching
Eric Sprott and Newfoundland
On the blog last week, the single most hit individual post* was the heads-up on some
particularly heavy the pigs-in-trough corporate action at small CSE-listed Crest Resources
(CRES.cse) (10). With the help of a table from mailpal and IKN Weekly reader DB** the post
noted how a C$19m company had decided to award its insiders over C$9m of the company’s
own assets, by way of a bonus. The post ended, “…DB wonders whether it’s legal, but that’s
never been a particularly serious impediment to mining executives”, however what happened
next was more interesting than any white-collar arrest or charge sheet. The next day, the man
who headed the Crest Resources cash grab, its CEO Michael Collins was fired as CEO from
Exploits Discovery Corp (NFLD.cse)
Vancouver, British Columbia - June 4th, 2021 - Exploits Discovery Corp. (“Exploits” or
the “Company”) (CSE:NFLD) (OTCQB: NFLDF) (FSE: 634-FF) announces that
Michael Collins has resigned from his positions as President and CEO, effective
immediately. William M. Sheriff, Director, has been appointed interim President and
CEO.
No pleases, no thank-yous, Collins got the swift and clean boot, replaced by a board member
with the “Canada mining stalwart” image. Considering the close relationship CRES had to NFLD,
this move is a clear message on how seriously Eric Sprott is taking the nascent 21st century
Newfoundland gold rush and jow he wants its image to remain squeaky clean. There are no
other players with the combination of clout and integrity, so Sprott may also have decided to
show the young and now very rich Collin Kettell how real corporate ruthlessness works. That’s
more speculative of course, but the point of this brief note is to underscore the apparent
growth of importance of NFG and all its satellite juniors in Eric Sprott’s plans. Newfoundland is
not any type of hunting ground for The IKN Weekly, as not only is the geography distant and
the geology one of the most complex macro systems on the planet, but there are also a dozen
other commentators on the case who know far more than I ever will about the region and its
junior plays, so go read them. Horses for courses.
*Most people just hit the front page and scroll down, or just read the daily mailer.
**I probably owe you royalties of some sort, sir.
Dundee Precious Metals (DPM) buys INV Metals (INV.to)
Back in 2012, INV Metals (INV.to) bought the Quimsacocha project and its 3.5m oz of gold from
IAMGOLD (IMG.to) by paying 150m shares nominally priced at 20c, as well as running an equity
raise at 10c. Then when in 2014, the company ran a 10-for-1 rollback, the start price for the
deal was in real terms around $1.00 and that reflected in the stock price at the time. Below
please find a long-term price chart of INV.to, which includes the pop on last week’s acquisition
news. Nine years after INV Metals took over and promised great things, we read this (11):
Toronto, ON – MAY 31, 2021 – INV Metals Inc. (“INV Metals” or “the Company”)
(TSX:INV) is pleased to announce that the Company has entered into a definitive
20

agreement (the “Arrangement Agreement”) with Dundee Precious Metals Inc. (“DPM”)
whereby DPM will acquire all of the issued and outstanding shares of INV Metals that
DPM does not currently own pursuant to a court-approved plan of arrangement (the
“Transaction”). DPM currently owns 35,344,424 common shares of INV Metals, or
approximately 23.5% of outstanding INV Metals common shares.
The world of Jonathan Goodman and Dundee
has been committed to this project for a long
time, with brokerage arm Dundee acting as
advisors to the original 2012 deal and DPM
already holding 23.5%. This deal give INV a
paper price of C$0.80 and removes all doubt as
to the failure of INV under Terry and then
Candace MacGibbon, as along with that share
price gap we’ve also seen INV corporate deficit
rise from $47m to C$93m since 3q12. As for
CSR, back then in 2012 these comments catch
the eye (12)…
Mr. MacGibbon also stated, “During the
Company’s due diligence process, we met with senior Ecuadorian government
officials and are confident that the President and his government are very supportive
of the development of the Quimsacocha Project.
All of the relevant permits are in place to allow for the commencement of advanced
exploration on the Property immediately following the closing of the Acquisition.
We look forward to working with IAMGOLD, who will become the Company’s largest
shareholder, to build on its excellent social programs carried out over the past four
years.
…as they bear remarkable similarity with those from DOM this week;
“Our approach to advancing Loma Larga will benefit from our firm commitment to the
highest standards for engagement with local communities and environmental
stewardship, in addition to our development and operating experience to further unlock
the significant potential of the Project.”
Last week was another episode in the covering up of CSR failure by a Canadian mining
company in LatAm. INV came to Cuenca boasting of its strong track record of community
relations and will leave with them worse than ever before, handing over to a Dundee who claim
the same type of world class CSR, but in fact will likely shuffle this project into its longer-term
assets and let it lay fallow a while, while enjoying those 3m+ oz of gold reserve on the books.
The house advice is simple, things are very different to ten years ago and nobody should try to
invest in mining where people don’t want it to happen any longer. All these players probably
know that, too, as this deal has all the hallmarks of corporate face-saving. INV and Loma Larga
always was a waste of time and money, do not add your embarrassment to theirs.
Closing the Roxgold (ROXG.to) side bet
The voting papers are now being mailed to ROXG and FVI shareholders and the chop of last
week took 10c off the price of our small side-bet
trade, which combine to tell me I’ve spend one week
longer that I should have at this trough. Therefore
and as pre-warned last weekend, I am indeed going
to sell this small trade for a small profit in the next
days and move on. We didn’t get the blowout third
party M&A win, but the stock traded well with a
buoyant market, the profit covers commissions, a
decent evening meal, a taxi home and the
commissions on the next couple of trades. There are
worse things.
21

Alexco Resource Corp (AXU): A correction, a financing and a price target adjustment
An update to last week’s soft opening of coverage on Alexco (AXU), a silver miner run the way
all silver miners should be run. First my mistake, as after explaining how the WPM royalty
payment now works, with a 10% payment on all ounces at current prices, I promptly goofed in
my own formula and forgot to adjust correctly. The result was to underestimate gross revenues
by around U$2m per year and while a small change, it makes a positive difference to the
formula.
Second up, last week’s financing news which came with a small dose of “missed a bullet, Mark”,
because I wasn’t expecting one. CEO Nauman was kind enough to shoot over a mail to explain
the thought process behind their decision and, knowing AXU as the conservatively-run company
that it is, once the scenario was laid out it didn’t really surprise too much. The reasons are
purely operational and point to the cost creep of mining in 2021: AXU is developing three
underground mines and needs manpower and, in his words, it’s been “…difficult to source
experienced miners willing to put up with the isolation protocols etc.” That means paying more
and getting les productivity compared to (let’s say) 2019 and CEO Nauman didn’t want to get to
a situation later in the year where cash flow got to potential crunch levels before steady-state
mining (and payments) begin. He called last week’s decision the right one, but was notably
apologetic in his correspondence with this desk and clearly didn’t want to go to market again.
Indeed, the dilution does provide new drag to the AXU financial model, so here are details from
the NR and on June 3rd, AXU announced a financing of (we quote), “…7,143,000 common
shares of the Compan at a price of C$3.50 per Share for aggregate gross proceeds of
approximately C$25 million”, which also comes with a 15% overallotment facility which we
expect to fill completely. That means 8.214m new shares of AXU by the end of this quarter,
bringing the current S/O total to an IKN estimated 150.3m:
AXU: Shares Out
22
3.96 3.96 5.96 5.96 5.96 2.77 3.77
2.98 5.29 0.39 7.39
2.101 2.101 3.101 6.101 0.801 0.801 0.801 6.801 0.711 6.811 2.911 7.421 1.521 1.731 5.731 1.241
150.3
160
140
120
100
80 60
40
20
0
41q3 41q4 51q1 51q2 51q3 51q4 61q1 61q2 61q3 61q4 71q1 71q2 71q3 71q4 81q1 81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 tse12q2
source: company filings
serahs
fo snoillim
The result of the two changes is a share price target that drops by one whole penny. The
influence of slightly higher stream cheques from WPM is countered by the implicit share dilution
and by sheer luck, the result is basically a wash.
Sales & earnings model U$/oz Au prices Target price & valuation data for AXU (USD) based on
Ag spot (U$) $20/oz $25/oz $28/oz $30/oz 4.2m oz Ag/annum model year economics
Sales (U$m) 80.2 90.9 102.2 111.3 12-month target $3.05 based on 16x EPS
Upside to target 4% and U$28/oz Ag
EPS 0.08 0.14 0.19 0.24 Mkt cap (U$m) $443 Enterprise value $419
FCF 0.18 0.23 0.29 0.33 P/sales ($20/oz) 4.88 EV/sales ($20/oz) 4.61
P/E ($20/oz) 35.6 EV/EBITDA ($20/oz) 13.4
P/E ($25/oz) 21.8 EV/EBITDA ($25/oz) 10.0
P/E ($28/oz) 15.5 EV/EBITDA ($28/oz) 7.9
However, with AXU closing at U$2.95 on Friday after a week in which is was hit by the
placement news then the Thursday chop, the new target represents a small upside. That’s still
not the value entry point we’re looking for, not even the 20x and U$3.82 mooted last weekend
on a higher premium to market. That would give a 29.5% upside to this weekend’s price and
not the amount of potential reward look for in a precious metals junior miner.

Conclusion
IKN628 is done, we end with bullet points:
 McEwen Mining (MUX) has made advances in turning its bad financial situation around,
but still needs to prove itself at the misfireing Black Fox before there’s a real need to
own the stock. There is value around the U$1.00 price point, but today’s U$1.44 is full
value.
 This wasn’t my best edition of the report, maybe it feels flat due to the lack of election
resolution, or because recent issues have had plenty of trade calls.
 The lack of a Peru election result means this Weekly feels rather incomplete. We’re not
likely to get an official call for days now, even weeks are possible. However and
potential Keiko pop tomorrow, Peru remains a sell until real bargain prices show.
I thank you in advance for any feedback. Our Top Pick stocks are Minera Alamos (MAI.v) and
Rio2 Ltd (RIO.v). Flash updates will be sent if required by events.
I wish you good trading fortune, ladies and gentlemen. Best, Mark
Footnotes, appendices, references, disclaimer
(1) https://qccopper.com/news/qc-copper-intersects-76.5m-of-0.78-copper-equivalent-in-the-saddle-zone-between-
springer-and-perry-mines/
(2) https://ressourcescartier.com/media/presentations/
(3) https://www.cochilco.cl/Mercado%20de%20Metales/MERC%202021%2006%2004.pdf
(4) https://www.mining-journal.com/capital-markets/news/1411402/africa%E2%80%99s-new-gold-titan-lands-in-london
(5) https://www.reuters.com/world/americas/perus-hinterland-town-battles-worlds-worst-covid-19-outbreak-2021-06-04/
(6) https://www.reuters.com/world/americas/mexicos-coronavirus-death-toll-rises-228754-2021-06-05/
(7) https://www.adnsur.com.ar/politica/el-pj-convoca-a-su-congreso-para-el-19-de-junio-y-se-expedira-sobre-la-
zonificacion-minera_a60b928dbc7a60e42ee59923b
(8) https://www.bnamericas.com/es/noticias/juan-carlos-bermeo-calderon-es-el-nuevo-ministro-de-energia-y-recursos-
naturales-no-renovables-de-ecuador
(9) https://www.swissinfo.ch/spa/ecuador-ind%C3%ADgenas_ind%C3%ADgenas-pedir%C3%A1n-a-lasso-
sinton%C3%ADa-con-las-demandas-urgentes-de-ecuatorianos/46675938
(10) https://iknnews.com/directors-of-crest-resources-cres-cse-sets-the-benchmark-for-2021/
(11) https://www.invmetals.com/news/inv-metals-announces-acquisition-by-dundee-precious-metals/
(12) https://www.invmetals.com/news/inv-metals-to-acquire-the-quimsacocha-project-from-iamgold/
(13) https://www.alexcoresource.com/news/2021/alexco-announces-c-25-million-bought-deal-public-offering/
23

Stocks To Follow Closed Positions 2020
Closed in 2020 closed close price
TMAC Resources TMR.to Jan'20 C$3.41 20-Dec-19 C$3.61 5.9% TLS flip play, sold new year
Regulus Res REG.v Jan'20 C$1.10 20-Dec-19 C$1.30 18.2% TLS flip play, profit taken
Bonterra Res BTR.v Jan'20 C$1.90 9-Dec-19 C$1.66 -12.6% TLS flip play, loss taken
McEwen Mining MUX Jan'20 U$1.12 2-Dec-19 U$1.18 5.4% TLS flip play, profit taken
Core Gold CGLD.v Jan'20 C$0.255 7-Apr-19 C$0.305 19.6% arb trade, profit taken
HudBay Min HBM Jan'20 U$3.56 9-Dec-19 U$3.36 -5.6% TLS flip play, loss taken
Midas Gold MAX.to Feb'20 C$0.71 5-Jan-20 C$0.57 -19.7% sm & silly trade
Warrior Gold WAR.v Feb'20 C$0.08 3-Aug-18 C$0.05 -31.3% clean out non-perf sm stocks
Contact Gold C.v Feb'20 C$0.40 19-Aug-18 C$0.18 -55.0% clean out non-perf sm stocks
Sandstorm Gold SAND Feb'20 U$3.73 17-Apr-16 U$7.21 93.3% Sold during port rebalance
NexGen Energy NXE Feb'20 U$1.20 2-Dec-19 U$1.06 -11.7% TLS flip play, loss taken
MAG Silver MAG Apr'20 U$8.95 1-Mar-20 U$10.07 12.5% Sold to cut silver exposure
Alexco Res AXU Apr'20 U$1.69 7-Sep-17 U$1.69 0.0% sold to close Ag exp. in FY20
Bonterra Res BTR.v Jun'20 C$1.62 2-Feb-20 C$1.10 -32.1% under-performer cash moved
Regulus Res REG.v Jun'20 C$0.64 6-Apr-15 C$0.79 23.4% moved $ TMQ/MIN & Au stocks
Great Panther GPR.to Aug'20 C$0.60 21-Jun-20 C$1.10 83.3% Profit taken, good trade
Jaguar Mining JAG.v Aug'20 C$0.42 21-Jun-20 C$0.65 54.8% Profit taken, good trade
Sandstorm Gold SAND Aug'20 U$7.76 10-May-20 U$9.37 20.7% Profit taken, good trade
Integra Resources ITR.v Aug'20 C$2.23 13-Aug-18 C$5.40 142.2% Profit taken, good trade
Wesdome Gold WDO.to Aug'20 C$2.37 14-Oct-17 C$14.82 525.3% last 1/2 of big win closed
INV Metals INV.to Sep'20 C$0.40 17-May-20 C$0.45 12.5% Cut all Ecuador exposure
Cartier Resources ECR.v Nov'20 C$0.155 3-Aug-18 C$0.25 67.7% Exact close price TBA
Tinka Res TK.v Dec'20 C$0.195 19-Apr-16 C$0.195 0.0% Closed on a round trip fail
2015 to 2019 annual closed positions in appendices below, 2009 to 2014 closed positions in editions IKN553 or earlier
Stocks To Follow Closed Positions 2019
Closed in 2019 closed close price
Atico Mining ATY.v jan'19 C$0.55 24-Jul-16 C$0.32 41.8% patience ran out, made room
Candente Copper DNT.to jan'19 C$0.075 3-Ago-18 C$0.05 -33.3% tiny trade, made room for new
B2Gold BTO.to feb'19 C$2.11 12-Set-14 C$4.05 91.9% Took 1/2 profits, reduce size
Western Copper WRN.to mar'19 C$0.80 20-Ene-19 C$0.81 1.3% Spec trade that didn't work
B2Gold BTO.to mar'19 C$2.11 12-Set-14 C$4.15 96.7% Took rest of profit.
GT Gold GTT.v mar'19 C$1.17 10-Oct-18 C$0.90 -23.1% Took loss. Story changed
NovaGold NG apr'19 U$3.84 13-Ene-19 U$4.15 -8.1% Short that didn't work, sm loss
Zinc One Z.v jun'19 C$0.47 14-Set-17 C$0.025 -94.7% clearing out dead trade
Amarillo Gold AGC.v jun'19 C$0.24 22-Ago-18 C$0.20 -16.7% clearing out dead trade
New Gold NGD aug'19 U$1.44 31-Jul-19 U$1.23 14.6% ST short win thru Q2 earnings
IMPACT Silver IPT.v aug'19 C$0.39 21-Jul-19 C$0.46 18.0% took a quick profit
Fiore Gold F.v aug'19 C$0.34 26-May-19 C$0.56 64.7% Took profit, 2q19 avg
Chakana Copper PERU.v oct'19 C$0.84 22-Mar-18 C$0.16 -81.0% Exploreco trade fail. Want space
Wesdome Gold WDO.to oct'19 C$2.37 14-Oct-17 C$7.57 219.4% Sold half, profit taking
Superior Gold SGI.v oct'19 C$1.46 8-Abr-18 C$0.47 -67.8% Failed sm spec on Au. Moved on
Amerigo Res ARG.to nov'19 C$0.91 23-Set-18 C$0.50 -45.1% worst trade of year, hefty loss
Guyana Goldfields GUY.to dec'19 C$0.94 14-Abr-19 C$0.56 -40.4% taking the loss, financials weak
Tethyan Res TETH.v dec'19 C$0.30 8-Set-19 C$0.16 -46.7% tiny trade, word of probs in co
24

Stocks To Follow Closed Positions 2018
Closed in 2018 closed close price
Amarillo Gold AGC.v jan'18 C$0.38 24-Mar-17 C$0.31 -18.4% Cut away losing trade
Riverside Res RRI.v jan'18 C$0.39 27-Jun-16 C$0.31 -20.5% Cut away losing trade
Eros Res ERC.v jan'18 C$0.175 1-Mar-17 C$0.16 -8.6% CEO sudden exit, not good
Excellon Res EXN.to jan'18 C$1.54 9-Oct-16 C$1.66 7.8% 4q17 poor, one too many bad qtrs
Wesdome Gold WDO.to jan'18 C$1.68 15-Dec-17 C$2.06 22.6% Near-term trade block, took profit
Sabina G&S SBB.to apr'18 C$2.06 17-Dec-17 C$1.77 -14.1% Near-term trade, bad timing, small
B2Gold BTO.to May'18 C$2.11 12-Sep-14 C$3.67 73.9% sold 25% to reduce exposure
Lara Expl. LRA.v May'18 C$0.65 11-Feb-18 C$0.58 -13.8% Spec on Brazil didn't work
Solitario XPL June'18 U$0.72 19-Mar-17 U$0.41 -43.1% Failed trade, may return in 4q18
SolGold plc SOLG.to July'18 C$0.475 19-Nov-17 C$0.415 -12.6% cut, trade didn't perform
Pan American PAAS July'18 U$17.90 1-Jun-18 U$16.30 8.9% modest win on short position
NGEx Res NGQ.to Sep'18 C$1.01 22-Oct-17 C$1.00 -1.0% Closed to reduce Argentina exp
Sandstorm Gold SAND Oct'18 U$3.73 17-Apr-16 U$4.13 10.7% partial sale to raise cash for GTT
Aldebaran Res ALDE.v Nov'18 n/a n/a n/a n/a liquidate spin out of REG
Stocks To Follow Closed Positions 2017
Closed in 2017 closed close price
Continental Gold CNL.to Jan'17 C$2.68 22-May-16 C$4.17 55.6% trade closed, profit taken
Focus Ventures FCV.v Jan'17 C$0.23 1-Jul-12 C$0.05 -78.3% Give up, a disaster trade
Wesdome Gold WDO.to Feb'17 C$1.72 28-Aug-16 C$3.00 74.4% Target hit, sold, good trade
Belo Sun BSX.to Mar'17 C$0.90 30-Jan-17 C$0.90 0.0% failed near-term flip trade
Lara Expl. LRA.v Mar'17 C$1.15 8-Apr-12 C$1.05 -8.7% cut to make room for new trade
Rye Patch Gold RPM.v Apr'17 C$0.31 2-Sep-16 C$0.32 3.2% cut for doubts & new stock
Cordoba Min. CDB.v Jun'17 C$0.75 15-Sep-16 C$0.63 -16.0% closed
Constantine Metal CEM.v Aug'17 C$0.135 9-Apr-17 C$0.28 107.4% spec trade closed, good win
Red Eagle Min. R.to Sep'17 C$0.67 13-Dec-16 C$0.27 -59.7% IKN's biggest failure in years
Starcore Intl SAM.to Sep'17 C$0.61 10-Jan-15 C$0.31 -49.2% Patience ran out
B2Gold BTO.to Dec'17 C$2.11 12-Sep-14 C$3.39 60.7% sold small portion for liquidity
Stocks To Follow Closed Positions 2016
Closed in 2016 closed close price
Phoscan Chem FOS.to jan16 C$0.28 29-mar-15 C$0.265 -5.4% Buyout trade, bot but poor deal
True Gold TGM.v jan16 C$0.18 23-ago-15 C$0.25 38.9% okay trade, sold on pol risk
McEwen Mining MUX jan16 U$1.09 25-ene-15 U$1.20 10.1% sold due to lack of value
Lake Shore Gold LSG.to feb-16 C$1.10 07-abr-15 C$1.69 53.6% bot out, sold early in process
Atacama Pacific ATM.v feb-16 C$0.19 26-abr-15 C$0.40 110.5% sold for a double on big pop
New Gold NGD feb-16 U$2.06 24-ene-16 U$2.96 43.7% closed good near-term trade
Sandspring Res SSP.v mar-16 C$0.195 18-oct-15 C$0.32 64.1% Hit tgt, took profit
Teranga Gold TGZ.to mar-16 C$0.54 15-feb-15 C$0.60 11.1% disappointing trade
B2Gold BTG mar-16 U$0.85 13-ene-16 U$1.30 52.9% Separate trade on B2, hit tgt
Dalradian Res DNA.to mar-16 C$0.67 27-oct-13 C$1.00 49.3% Hit target, sold, good win
HudBay Min. HBM may-16 U$4.10 03-abr-16 U$4.36 -6.3% Short trade, poor timing
Nevada Sunrise NEV.v may-16 C$0.185 28-feb-16 C$0.23 24.3% V. small, no big deal either way
Richmont RIC jun-16 U$7.60 01-may-16 U$9.30 22.4% near-term trade, profit taken
INV Metals INV.to jul-16 C$0.25 03-abr-16 C$0.95 280.0% Trade closed on time
HudBay Min. HBM aug16 U$4.98 09-jun-16 U$4.80 3.6% short trade covered, no big deal
Miranda Gold MAD.v oct-16 C$0.125 03-jul-16 C$0.10 -20.0% tiny spec trade, didn't work
Avino G & S ASM nov-16 U$2.00 21-oct-16 U$1.40 -30.0% Abandon trade on bad bot deal
25

Stocks To Follow Closed Positions 2015
Closed in 2015 closed close price
Argonaut Gold AR.to jan'15 C$1.47 14-dec-14 C$2.53 72.1% Big gain small time, profit taken
Amerigo Res ARG.to jan'15 C$0.405 20-jul-14 C$0.285 -29.6% Given up on weak Cu prices
Reservoir Min. RMC.v jan'15 C$6.05 18-jun-14 C$4.12 -31.9% sold on Cu downturn
Coro Mining COP.to jan'15 C$0.075 26-jan-14 C$0.035 -53.3% sm, sold on Cu downturn
Fortuna Silver FSM mar'15 U$4.12 10-nov-14 U$3.75 9.0% Short used as hedge
GoldQuest Min. GQC.v mar'15 C$0.26 27-oct-13 C$0.085 -67.3% given up ghost
Rio Alto Mining RIO.to apr'15 C$2.30 07-apr-11 C$3.57 55.2% Top pick, bot out, big win
Timmins Gold TGD jun'15 U$0.60 19-apr-15 U$0.62 3.3% near-term trade, out of time
First Majestic AG jul'15 U$10.51 10-aug-14 U$4.55 56.7% horrible failed trade
NovaCopper NCQ.to jul'15 C$1.05 09-apr-14 C$0.50 -52.4% no more Cu exposure, sm sell
McEwen Mining MUX aug'15 U$0.695 21-jul-15 U$0.92 32.4% Closed nearterm flip for win
Midas Gold MAX.to sep'15 C$0.39 21-sep-15 C$0.35 -10.3% Sm. trade idea that didn't work
New Gold NGD oct'15 U$2.18 23-aug-15 U$3.05 39.9% trade closed, profit taken
Legend Gold LGN.v nov'15 C$0.085 01-mar-15 C$0.035 -58.8% tiny "land grab" idea, failed
Timmins Gold TGD nov'15 U$0.245 20-sep-15 U$0.15 -38.8% small near-term loser
Please note that due to space considerations closed positions 2009 to 2014 are now
available on request, or were published in any edition to IKN553 (end 2019).
Important Disclosure
The information and opinions contained within this report reflect the personal views of the author and therefore all
material within should not be construed as accurate or reliable or be utilized as advice for investment or business
purposes. Independent due diligence and discussions with ones own investment and business advisor is strongly
recommended. Accordingly, nothing in this report should be construed as offering a guarantee of the accuracy or
completeness of the information contained herein, as an offer or solicitation with respect to the purchase or sale of any
security or as an endorsement of any product or service. All opinions and estimates included in this report are subject to
change without notice. It is prohibited to copy or redistribute this report to any type of third party without the express
permission of the author.
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