IKN #676Premium

The IKN Weekly
Week 676, May 1st 2022
Contents
This Week: Trade heads-up, In Today’s Edition, Doom and Gloom, FOMC and Jobs.
Fundamental Analysis: Solis Minerals (SLMN.v) (SLM.ax): A bargain basement copper trade
Stocks to Follow: Abrasilver (ABRA.v), Superior Gold (SGI.v), Chesapeake Gold (CKG.v),
Discovery Silver (DSV.v), Meridian Mining (MNO.to), Element 29 (ECU.v), Minera Alamos
(MAI.v), Newcore Gold (NCAU.v).
Copper Basket: Overview, Hot Chili (HCH.v).
Producer Basket: Overview, Barrick (GOLD), Agnico Eagle (AEM).
TinyCaps Basket: Overview, Aurelius Minerals Inc. (AUL.v), Manitou Gold (MTU.v), Signature
Resources (SGU.v).
Regional Politics: Chile: The future is desal, Argentina launches its mining sector
transparency programs, Colombia: A new poll confirms Petro’s lead, Peru: More violence at Las
Bambas, Peru: The Ministry of Energy and Mining grinds to a halt, Ecuador: You can’t fire me
cos I quit, Brazil: Belo Sun gets no legal love.
Market Watching: New Gold (NGD) reports tomorrow, Discovery Silver (DSV.v) 4q21
financials, Copper Mountain (CMMC.to) 1q22 financials, Mene (MENE.v) 2021 year-end
financials.
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
Trade heads-up
As long as the entry price is right (and it’s a strict stipulation on this trade), I am going to open
a small, speculative position in Solis Minerals (SLMN.v) in the week ahead. There is a window of
opportunity for value, thanks to recent selling on news that didn’t matter much either way. The
real news is to come and if it goes well, there’s high reward upside to this high risk trade.
In Today’s Edition
 Today’s main fundies section outlines the plans for a small, speculative trade in Solis
Minerals (SLMN.v) (SLM.ax), a tinycap exploreco currently drilling for copper in Chile.
Recent selling has dropped its stock price to an excellent entry point and while clearly a
high-risk proposition, shares at the right price make this drill play a reasonable bet.
 Aside from Solis, today’s edition is more backward-looking and reviews a slew of recent
financials and results from companies of all sizes, including present and ex-members of
the IKN Stocks to Follow list. Of them all Discovery Silver (DSV.v) looks very cheap this
weekend.
 In Regional Politics, Ecuador joins the list of LatAm countries of Presidents under
pressure and Argentina gets ready to welcome more mining FDI.
 The intro notes how the bears, pessimists and prophets of doom have taken over the
market narrative, as much in the broad markets as in the (seemingly) perma-gloom of
1

the mining investor sector. I’m all for sentiment washout, it means good things.
Doom and gloom
It took until Thursday to complete the three purchases from IKN675 last weekend (I waited too
long on Superior Gold) and even then, there
are still plenty of signs that I may have been
too early and that selling continue into this
week. Bears and merchants of despair will
have plenty of cloth to cut, what with the
ongoing Ukraine mess (that only gets passing
mention on these pages today, you’ll be glad
to hear), the FOMC and its 50 points raise,
talk of recession, inflation (and therefore
stagflation) and to top it all, the BLS Jobs
report ready to ruin your Friday. Indeed, the
way the gold/silver ratio tipped above the 80X
line last week and closed at nearly 83X is one
of the classic signs of economic slowdowns
and recession fears, so even the PM sector is
flashing the warnings.
It wasn’t as if gold was a particularly popular
alternative, either. As seen in our regular GLD
inventory tracker, gold holdings saw their first net loss for a while, with nearly 10mt leaving
vaults and a total 0f 1,094.55mt held this weekend.
GLD gold holdings, 2022 YTD (metric tonnes)
1150
1130
1110
1090
1070
1050
1030
1010
990
970
950
2
22/1/3 22/1/7 22/1/11 22/1/51 22/1/91 22/1/32 22/1/72 22/1/13 22/2/4 22/2/8 22/2/21 22/2/61 22/2/02 22/2/42 22/2/82 22/3/4 22/3/8 22/3/21 22/3/61 22/3/02 22/3/42 22/3/82 22/4/1 22/4/5 22/4/9 22/4/31 22/4/71 22/4/12 22/4/52 22/4/92
mt
source: SPDR GLD data
However, relative strength of hands among Wall St improved by six spots, to 6.18X. So gold
performed better (or less worse) than fickle and also managed to hold its own against the
mighty US Dollar as its index (DXY) rose to new recent highs.
7.00
GLD: Inventory/Price Ratio, 2021 to date
6.80
6.60
6.40
6.20
6.00
5.80
5.60
5.40
5.20
5.00
As for the broad market week that was, along with the continued backdrop of the Ukraine war
4/1/1202 41/1/1202 42/1/1202 3/2/1202 31/2/1202 32/2/1202 5/3/1202 51/3/1202 52/3/1202 4/4/1202 41/4/1202 42/4/1202 4/5/1202 41/5/1202 42/5/1202 3/6/1202 31/6/1202 32/6/1202 3/7/1202 31/7/1202 32/7/1202 2/8/1202 21/8/1202 22/8/1202 1/9/1202 11/9/1202 12/9/1202 1/01/1202 11/01/1202 12/01/1202 13/01/1202 01/11/1202 02/11/1202 03/11/1202 01/21/1202 02/21/1202 03/21/1202 9/1/2202 91/1/2202 92/1/2202 8/2/2202 81/2/2202 82/2/2202 01/3/2202 02/3/2202 03/3/2202 9/4/2202 91/4/2202 92/4/2202
Source: SPDR data, IKN calcs

and all it entails, the main economic news was the negative 1.4% US GDP reading on
Wednesday, compared the forecast median of +1.1%. Equally as telling, perhaps, was the way
talking heads and media channels lined up to brush off the unexpectedly low number and a
brief revision of headlines and commentary this weekend shows words and phrases such as
“one-off”, “noise, not signal” as well as Forbes articles on the philosophical stupidity of “A GDP
Number” (1), those essays that never show when the economic data is positive. It was all
rather forced, with this Reuters piece (2) “U.S. economy still 'very, very strong” that quoted “a
senior Biden administration official” (so help me) the cherry on the cake:
Other data, including a 3.6% unemployment rate, strong continued job growth and the
level of debt relative to household income, also pointed to continued strength in the
economy, the official added.
Debt to household income, you say? Who knew people would be too scared to take out a loan
when inflation is rampant? Who knew!
FOMC and Jobs
This coming week is stacked with market-moving US data potential, with first the FOMC that’s
widely expected to raise rates by 50bps and second the US BLS employment report, out Friday
morning. Regarding the jobs report, according to the reliable Calculated Risk (3) market
consensus currently stands at 400,000 NFP jobs to be added, with a headline employment rate
unchanged at 3.6%. However, data-mining of secondary BLS report issues now moves the
market so matters such as participation rate and wage inflation will matter to the market.
As for the Federal Reserve show, the widely-expected 50 point raise comes at 2pm Wednesday
and this FOMC comes with a Jerome Powell press conference at 2:30pm and again, the
comments made during that Q&A may move markets as much as anything written in the official
communiqué. Expect questions to follow the route laid out by this Goldman Sachs preview note:
The key question is therefore what comes next. We forecast another 50bp hike in June
followed by a deceleration to a 25bp/meeting pace of tightening for the rest of 2022,
but see reasonably high chances that the FOMC will continue to hike in 50bp
increments until reaching their median neutral rate estimate of 2.25-2.5%. We will
therefore be paying close attention to any comments from Chair Powell at the press
conference that suggest the FOMC intends to hike in 50bp increments beyond June."
The same Vampire Squid produced a macro forecast last week positing The USA had a 35%
chance of lapsing into real recession in 2023, i.e. a soft landing is likely. However, the paper
also predicted that rates couldn’t go higher than 5% without causing a “likely recession” and
that’s the type of policy framework that suits gold bullion. With inflation set to remain
significantly higher, it implies the type of long-term negative real interest rate scenario that’s
historically conducive to higher gold prices. This isn’t an exact copy of the 1970s and history
rarely repeats itself, but it does rhyme and there are enough parallels for even the monetary
wonks to accept the growing case for gold ownership. As we’ve mentioned on other occasions,
the choice in the 21st century is hardly a binary “Dollar Or Gold” and financial institutions have
other options in their reach for yield, but the world’s bedrock money , for example that which
sits in Central Banks, doesn’t have the opportunity of using the Brazilian carry trade and must
seek the safest alternative. When the reach for US yield only allows a negative return, neutral,
counterparty-less gold’s attraction rises and more bullion is taken from the world’s markets by
governments. That dynamic doesn’t create sudden, rapid rises in the price of gold, instead it
offers a constructive backdrop from which gold raises steadily. And that is, after all, why I own
bullion.
Fundamental Analysis of Mining Stocks
Solis Minerals (SLMN.v) (SLM.ax): Bargain basement copper exploration
This is not going to be a long analysis, as even though we try to cover the main bases it’s less
about the long-term prospects of an exploreco currently working in Chile and more about the
3

near-term opportunity being offered by a weak market at the right time. It’s also a high risk
proposition, so those of you who cannot stand the idea of risking half your investment if things
don’t go well should desist at this point and skip to other sections of this edition (or perhaps
something else entirely to read, probably more interesting). Even if you are still reading, this
shouldn’t be your first port of call for a copper trade (that’s Amerigo (ARG.to) if you ask me),
neither is it the same type of set-up as the copper explorecos currently held on the Stocks to
Follow list such as Element 29 (ECU.v) or QC Copper (QCCU.v). Instead Solis Minerals, which
trades on the TSX Venture exchange as SLMN.v and has recently listed in Australia under the
ticker SLM.ax (also trades as “08W” in Frankfurt) offers a specific trade on a speculative drill
play opportunity. It’s a stock that’s flown under most radars this year despite having raised
plenty of capital and currently drilling its flagship Mostazal project in Northern Chile. We start
with the basics, as per our standard topbox:
Shares out: 60.47m
Options: 2.9m
Warrants: 26.3m
Fully diluted: 89.67m
Current share price: C$0.135
Market Cap: C$8.16m
Approx cash per S/O: 8c
All prices are in Canadian Dollars unless stated. Forex U$0.80=CAD$1
For what it’s worth most of the options and warrants are priced between 20c and 30c, but 2.4m
warrants priced at an 80c strike are about to expire unexercised, so the real world warrants
total is around 24m.
Regarding EV, treasury and market cap
However and before we go any further, we address the first elephant in the room. While
Enterprise Value (EV) isn’t quite the same thing for a company that generate no revenues, in
SLMN today we are considering a company with a treasury of just over C$5m, working capital
of C$4.2m and a market cap of just C$8.16m, as at this weekend. That means you’re getting
everything else that comes for just $4m, which may be a fair price for a zombie junior but this
company is far from that. Here you’re getting an active exploreco with a flagship in Chile and
secondary assets in coastal Peru but above all, a drill program with the potential to hit a big
porphyry prize. In a nutshell, that is the trade proposal: A tiny market cap and even small EV
that would return multiples on a drill result that’s due in the near future. Now for a little history:
Pooted company history and financials overview
We’re keeping this note tight and concise today, as the trade set-up is as straightforward as the
company. Therefore to kill two birds with one stone we can walk through the recent corporate
history of SLMN by considering its financial charts.
Until July last year, Solis Minerals was Westminster Resources and, while it has carried through
the exploration targets it holds in Peru, its centre of attention was a copper project in Mexico.
In late 2020 it became clear to the team they were getting nowhere, could not raise any more
capital and had started to run up cash liabilities (below right) so the company decided to pivot.
SLMN.v: Liabilities per qtr
2
1.8
1.6
1.4
1.2
1
0.8
0.6
0.4
0.2
0
4 May'20 Aug'20 Nov'20 Feb'21 May'21 Aug'21 Nov'21 Feb'22
source: company filings
srallod
fo
snoillim
$m SLMN.v: Assets LT liabs
11 current liabs
10 fixed
9 other current 8
cash
7
6
5
4
3
2
1
0
May'20 Aug'20 Nov'20 Feb'21 May'21 Aug'21 Nov'21 Feb'22
source: company filings

The first task was to hand its “El Cobre” project to another company and clean its books, that
had been achieved by the end of the 2q21 period (i.e. end November 2020, as the SLMN
financial year ends May 31st). In early 2021 it then entered into a deal to option in on the
“Mostazal” project in Chile’s Atacama region, East of the mining city of Copiapó. Mostazal hosts
a zone of high-grading copper “manto” style mineralization with a historical resource and plenty
of previous drill work done, as well as a currently active small-scale mining operation (artisan if
you like, but all legal and proper…just small).
5 SLMN.v: Working Capital per qtr
4.5
4
3.5
3
2.5
2
1.5
1
0.5
0
-0.5
-1
-1.5 source company filings
-2
May'20 Aug'20 Nov'20 Feb'21 May'21 Aug'21 Nov'21 Feb'22
In this second stage of its turnaround, SLMN raised a small amount of capital (see May’21
period, above), Paid the legal fees (see “other” below, also May’21) and then changed its
corporate title as part of the refresh to Solis.
SLMN.v: Admin expenses
C$m
1 other exp
share payments
0.8 mgmt fees
account/audit
G&A
0.6 cons fee
0.4
0.2
0
Aug'20 Nov'20 Feb'21 May'21 Aug'21 Nov'21 Feb'22
source: company filings
The final part of its corporate re-birth was to go to the Australian market and raise capital via a
local IPO, which closed early this year with the
sale of 27.5m shares at A$0.20 apiece. This has
pushed the share count to 60.47m this weekend
and added the C$5m in cash you see above to
treasury, sufficient for at least the first two rounds
of programmed drilling at Mostazal. And so in the
space of a year and a half, the near-empty shell
Westminster has become Solis, raised cash, got a
new and live target along with an new audience
on a continent that’s recently warmed to Chile as
a place to go exploring for metals, particularly
copper.
It’s gone through the turnaround without causing any particular damage to its share price
either, as this three year price chart shows.
5
srallod
fo
snoillim
SLMN.v: Cash treasury per qtr
6
5.5
5
4.5
4
3.5
3
2.5
2
1.5
1
0.5
0
May'20 Aug'20 Nov'20 Feb'21 May'21 Aug'21 Nov'21 Feb'22
source: company filings
srallod
fo
snoillim
SLMN.v: Shares Out
80
70
60
50
40
30
20
10
0
Feb'20May'20Aug'20Nov'20 Feb'21May'21Aug'21 Nov'21Feb'22
source: company filings
serahs
fo
snoillim

After coming out of the Covid trough, SLMN traded in a tight-ish 20c to 25c range for the last
year and a half aside from two occasions:
 Some premature market noise when changing tack and
announcing the acquisition of the Mostazal option along
with the name change. The stocks traded as high as
35c before old Westminster bagholders took advantage
and cashed out during the marketing hoopla.
 Last week. After several teaser NRs that started
February with the onset of drilling and ended early April
with the company reporting that “…(a)ll four holes have
now successfully encountered broad zones of copper
sulphide mineralisation, for the most part starting from
surface, supporting potential for the existence of a large
copper system at Mostazal”, we got the results from the
first two holes of its four hole program (4). Here’s the
table from the NR (right):
In one word, “dusters”. In fact that’s harsh, as the holes did in fact cut through mineralization,
with both holes going through the type of manto structure
being mined on the property at an artisan level. However,
there’s nothing there for a large-scale copper mining
project and the market reacted accordingly. If above
three-year chart doesn’t show the drop very clearly, this
ten-day visual helps:
With the scenario now set…
 A re-worked exploreco, cashed up and a with new
project
 A four hole drill program on a copper target in
Chile, recently completed
 First two holes fail to return anything interesting
 Share price plummets on the news
…it begs the obvious question, why be interested now? The answer is simple; the only hole that
matters is Hole 3. If you first consider the map of the Mostazal property, including the clutch of
historic drill holes that are centred on the small scale artisan copper mine workings…
6

Then consider the target zones as seen in the 2021 corporate presentation (5) specifically slide
17 (below) The “proposed drillholes” zone as seen here are the area where the only hole has
been sunk to date, that’s hole 003. The other three holes, including the reported 001 and 002
(as well as 004 that steps out the other side come from the “previous drilling” area in this visual
At some point in 2022, SLMN plans changed from drilling the IP target to drilling around the
known manto zone. Indeed, in its February 8th NR SLMN recognized as much when stating (6):
“The drill rig has now moved and commenced drilling at the third planned hole
(MODD003). This drillhole is targeting the heart of the interpreted IP chargeability
geophysical anomaly, which we believe may represent a feeder structure for the
extensive manto-style copper mineralisation found closer to surface at Mostazal and
drilled in our first two holes.”
In other words, in holes 001 and 002 the company drilled into the Manto zone and…found
manto mineralization. Good for them and one wonders why they decided to do this, but the
reason to drill deep holes into copper prospects in the Andes is to chase the big prizes, not the
mineral that was already understood and being worked on a small scale. From the start the
clearest target for the type of long-width porphyry style mineralization has been the West but in
this first phase of drilling SLMN has only put one hole there, 003. Finally, the last teaser NR
from the company came on April 7th (7) and now we have the mediocre results from the first
two holes, we have better context for the CEO comment of that day:
7

“Drilling of our initial campaign at Mostazal was completed on time, on budget, and
with significant intersections of copper sulphide mineralisation in all four holes. This
first phase of drilling was designed to test the presence and extent of copper sulphide
mineralisation in both previously explored near surface manto structures as well as a
deeper “feeder” target.
“It’s clear from mineralisation observed in drill core that a large copper bearing system
is present at depth and appears to be related to mineralisation reported near surface.
We are encouraged by the potential size of the mineralised system at Mostazal,
especially at depths never before tested on the project. We’re looking forward to
receipt of assay results, and have commenced planning the second phase of drilling.”
Paragraph one seems to be pre-excusing the holes put into the manto area. However and with
knowledge of those first results, paragraph two now points to a significant result from the only
hole that ever mattered in this first phase drill program, the one sunk at 90° into the heart of
the high IP chargeability zone.
Discussion and conclusion
Last week, SLMN was sold off on the results of two holes which may have disappointed the
market, but were never the reason to be interested in this stock to begin with. Therefore I am a
buyer of a small amount of SLMN in the week to come, but there are strict rules to this trade:
1) The entry price is all-important. After having followed the progress of this company
for three quarters and watching speculators get on early (and sometimes in droves on
over-enthusiastic marketing pushes), the price paid for entry is all-important. There are
a lot of people now holding 40% and 50% losses to their original stakes who would
relish the chance of getting out on “another newsletter pump”. This is NOT one of
those, it’s a trade with a strictly ceiling price and while ideally there will be 13c and
13.5c shares available, will not pay more than 15c under any circumstance.
2) This trade is predicated on one hole. For their own reasons, SLMN drilled and then
reported holes 001 and 002 before they got to this, the deepest hole of the four (sunk
90° perpendicular, planned for 500m, went to 528m). From the start it was the only
hole of true interest in this phase one drill program (to be frank, the pending assay
from hole 004 doesn’t interest me much either). With the recent price drop, SKLN offers
a window of speculative opportunity that leaves little downside after the recent sell-off
and asymmetric reward if the hole returns mineralization of interest.
3) This is a small trade, at least to begin with. With two mediocre assays behind it and
a band of disgruntled investors already underwater this obviously a high risk trade
proposition, but risk management is not about the percentage loss you rack up in a
losing trade, it’s about the amount of absolute cash won or lost. The right entry price is
a key ingredient, but a strategy of starting small on a high-risk trade and then upping
the stakes if things go well also mitigates risk effectively.
Finally, as for what “mineralization of interest” means in point two, the nature of porphyry
systems means that we’re unlikely the hit the type of long, high grading assay that makes for
the next open pit copper mine on the first hole. For sure that would be nice and if 003 gets
lucky, we wouldn’t see the share price for dust at the market cap/EV leverage offered by SLMN
today. As the company is currently planning its phase two drilling (funded from treasury), all
we’d need from 003 are enough indications of a porphyry system at or around the high IP zone
to buoy the stock from these low levels.
Stocks to Follow
Of the 19 companies now on our Stocks to Follow list, five of them were week-over-week
winners (CKG.v, ABRA.v, MIRL.cse, MNO.to, WRN.to) and two others remained unchanged
(ALDE.v, MENE.v). That leaves 12 losers on the week so let’s not list them all, instead we note
the two double figure percentage losers Element 29 (ECU.v down 13.8%) and Discovery Silver
(DSV.v down 10.6%).
8

It’s our fifth week of the new Stocks to Follow presentation table. We have a total of 18 open
positions, two below our self-imposed maximum, of which ten are in positive territory, seven in
negative territory and one unchanged on its cost basis.
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$0.64 204.8% $1.14 tgt, #1 idea on FY22 dev
Rio2 Ltd. RIO.v STR BUY C$0.83 22-Apr-18 C$0.67 -19.3% $1.30 tgt May22 permit catalyst
RECOMMENDED STOCKS
Amerigo Res ARG.to STR BUY C$1.36 12-Dec-21 C$1.59 16.9% $2..40 tgt on FY22 guidance
Discovery Silver DSV.v STR BUY C$1.77 24-Oct-21 C$1.52 -14.1% Best Ag play, 1st tgt $2.75
QC Copper&Gold QCCU.v BUY C$0.275 25-Apr-21 C$0.27 -1.8% Now drilling. Easy hold
Superior Gold SGI.v STR BUY C$0.95 3-Apr-22 C$0.93 -2.1% Au prod jr, right place/time
Element 29 ECU.v BUY C$0.58 6-Mar-22 C$0.50 -13.8% Cu exploreco w/ 2 Peru assets
SPECULATIVE TRADES
Chesapeake Gold CKG.v SPEC BUY C$3.07 20-Feb-22 C$2.85 -7.2% Au leverage, adding now (sm)
Abrasilver Res. ABRA.v SPEC BUY C$0.42 24-Apr-22 C$0.45 7.1% 2nd Ag trade, Arg exploreco
Aldebaran Res. ALDE.v SPEC BUY C$0.72 16-May-21 C$0.80 11.1% Assay catalyst in Q1 and Q2
Strategic Metals SMD.v BUY C$0.42 31-Jan-21 C$0.33 -21.4% Canada land bet+Zn in FY22
Palamina Corp PA.v SPEC BUY C$0.295 21-Nov-21 C$0.15 -49.2% Au expl in S.Peru
Altiplano Metals APN.v SPEC BUY C$0.31 17-Sep-21 C$0.26 -16.1% Cheap entry, plan on track.
Minera IRL MIRL.cse hold C$0.195 22-Jul-12 C$0.095 -51.3% CEO change will move stock
FIVE TRADE IDEAS FROM IKN670, March 2022 (yellow not owned, blue owned)
Meridian Mining MNO.v BUY C$0.88 20-Mar-22 C$0.96 9.1% tracking IKN670 idea
Superior Gold SGI.v see above 20-Mar-22 see above
Newcore Gold NCAU.v BUY C$0.51 20-Mar-22 C$0.485 -4.9% tracking IKN670 idea
Electra Battery ELBM.v BUY C$5.31 20-Mar-22 C$5.56 4.7% tracking IKN670 idea
Western Copper WRN.to BUY C$2.41 20-Mar-22 C$2.45 1.7% tracking IKN670 idea
LONG-TERM NON-MINING HOLD
Mene Inc. MENE.v adding C$0.67 6-Dec-20 C$0.70 4.5% LT bet, adding slowly
CLOSED TRADES IN 2022 date closed close price
Great Bear Res GBR.v Jan'22 C$15.83 26-Aug-20 C$28.58 80.5% Bought out by Kinross, print
Copper Mountain CMMC.to Jan'22 C$3.40 18-Jun-21 C$3.78 15.9% Sold 1/2 position in rebalance
Copper Mountain CMMC.to Feb'22 C$3.40 18-Jun-21 C$3.70 8.8% Sold rest on FY22 guidance
Trilogy Metals TMQ Mar'22 U$1.84 15-Sep-19 U$1.04 -41.3% killed by US permit reversal
McEwen Mining MUX Apr'22 U$0.89 2-Jan-22 U$0.82 -7.9% No 2022 turnaround, cut loss
2015 to 2021 annual closed positions in appendices below, 2009 to 2014 closed positions in editions IKN553 or earlier
Now for some notes on some of our covered stocks, but keeping it very brief this weekend.
Abrasilver (ABRA.v): POSITION OPENED. Aside from the official “bought a few” message
at the top of notes, we also got lucky with timing as on April 27th the company delivered
another excellent assay result (8) from its current drill program at the flagship Diablillos project.
The team seems to have got a handle on the sweet spot of mineralization at the project and
impressively, hit the same type of high-grading mineral as seen in its April 11th release, but on
a step-out of 300m. The suggestion of strong continuity and far higher grades than expected
saw ABRA beat the strong headwinds and finish up on the week.
Last week’s Hole DDH 22-005 cut 67.5m of 293.9 AgEq, made up of 157g/t Ag and 1.95g/t Au)
with a very high grade central zone to that assay. That’s a fine hit and this map from the NR…
9

…shows the location (yellow star, bottom centre-left) compared to the main Oculto zone of
exploration, then this section…
…shows the paydirt in more detail. ABRA seems to have got a tiger by the tail and I may regret
having this as my second-string silver play, rather than the number one (see DSV, below).
Also and intriguingly in the NR, Chief Geologist David O’Connor gave a narrative report on the
first pass drilling just completed at ABRA’s other active project, La Coipita in Chile, and though
we don’t have any assay results yet this may turn out to be an interesting bonus ball. Please
see the NR for full details, but phrases such as “…we believe indicates the presence of a large
copper molybdenum-gold porphyry system” and “…the mineralised zone from 517 to 1,001m in
hole DDHC 22 002 was significantly thicker than expected, illustrating the potential for a major
copper-gold porphyry system with a molybdenum overprint”, are certainly promising. All that on
visuals only so far, we await the truth from the assay labs.
Superior Gold (SGI.v): ADDED. As so often happens in a negative market, the stock you’ve
earmarked for purchase is the stock that doesn’t dump hard with the rest of them. I eventually
bought a few in the 90s and got the cost average to 95c, but missed the cheapest shares at 90c
because I got greedy and waited for the collapse that never came. So be it, this is now a
chunky sized trade and my best idea among official producers (until MAI.v goes commercial at
Santana, anyway).
Chesapeake Gold (CKG.v): ADDED. This also went as planned and while still a small trade, I
got enough to pull the cost average closer to the $3.00 line. Now set until further notice.
10

Discovery Silver (DSV.v): Last week DSV reminded me why I hate silver plays. As this chart
that pits DSV against silver (SLV proxy) and the main
silver sector ETF (SIL) shows, it wasn’t as if its
performance were out of the ordinary or particularly bad
compared to others, either.
We go into more detail on DSV and its 4q21 financials, as
reported to SEDAR last week, in ‘Market Watching’ below
and to pre-empt one of the closing comments, if this
drop had happened a week earlier I probably wouldn’t
have bought Abrasilver (ABRA.v9 and instead, added to
this trade to increase silver exposure.
Meridian Mining (MNO.to): A riser on the week,
thanks to this NR (9) which reported more of the same type of good copper intersects at the
main Cabacal zone, as well as the continuation of the gold vein overprinting in the upper zones
that look set to turn what was theoretical overburden into theoretical, come the day this project
is a mine.
The copper grades of this VMS aren’t impressive compared to many, but they don’t have to be
as most VMS lenses are deep and cannot be mines as an open pit.
Element 29 (ECU.v): As well as finally breaking down from its recent floor level and returning
to 50c, ECU also reported its 4q21 financials last week and there was nothing we didn’t know
already. I hate to be annoying and say things like “Bargain now!” Cheap stock” and play the
newsletter cliché, but here it’s true.
Minera Alamos (MAI.v): President Doug Ramshaw tells this desk that MAI reports its YE
financials tomorrow Monday, therefore we’ll run the numbers and get a better handle on the
cheapest stock I own next weekend.
Newcore Gold (NCAU.v): When the mining sector
goes negative you’re going to take near-term losses,
it’s just the way it is. What you want from any gold
junior is relative strength, rather than just winning all
the time. In explorecos, no matter if the initial dump
is 10% or more, feel cheer if the drop on low
volumes and then bargain hunters move in soon
after.
11

The Copper Basket
After seventeen weeks of 2022, The Copper Basket shows a loss of 12.12% level stakes:
company ticker price 1/1/22 Shares out Market Cap current pps gain/loss%
1 Copper Mtn CMMC.to 3.42 210.166 603.18 2.87 -16.1%
2 Western Copper WRN.to 2.00 151.451 371.05 2.45 22.5%
3 Marimaca Cop MARI.to 3.77 88.028 355.63 4.04 7.2%
4 Oroco Res OCO.v 2.04 203.4 331.54 1.63 -20.1%
5 Nevada Copper NCU.to 0.71 448.437 260.09 0.58 -18.3%
6 Hot Chili HCH.v 1.53 109.223 169.30 1.55 1.3%
7 Meridian Min MNO.to 1.18 153.735 147.59 0.96 -18.6%
8 Regulus Res. REG.v 1.06 101.845 112.03 1.10 3.8%
9 Aldebaran Res. ALDE.v 0.84 114.495 91.60 0.80 -4.8%
10 C3 Metals CCCM.v 0.16 645.379 67.76 0.105 -34.4%
11 Kutcho Copper KC.v 0.88 103.94 51.97 0.50 -43.2%
12 Doré Copper DCMC.v 0.79 66.123 46.29 0.70 -11.4%
13 Element 29 Res ECU.v 0.58 79.24 39.62 0.50 -13.8%
14 QC Copper QCCU.v 0.34 129.06 34.85 0.270 -20.6%
15 Coast Copper COCO.v 0.13 41.335 4.55 0.11 -15.4%
NB: All stocks in CAD$ Portfolio avg -12.12%
Another downleg in the price of copper had the effect you’d expect on those stocks dependent
on the metal. As for our basket, three of the 15
The Copper Basket 2022, weekly evolution
stocks managed to swim against the tide and record 4%
2%
week-over-week wins (WRN.to, MNO.to, HCH.v),
0%
while another two were unchanged (CCCMJ.v, -2%
ALDE.v). That leaves ten losers (CMMC.to, OCO.v, -4%
-6%
MARI.to, REG.v, KC.v, DCMC.v, ECU.v, QCCU.v, -8%
COCO.v) and of those, the big hits happened to the -10%
-12%
smaller names Element 29 (ECU.v down 13.8%) and
-14%
Doré Copper (DCMC.v down 11.4%) plus the biggest -16%
market capper on our list Copper Mountain (CMMC.to
down 12.2%).
This week has two copper-the-metal charts,
the first is a standard look that shows how the
futures contract held the U$4.40/lb line.
But alongside we go with this, the last ten
days of spot metals for copper (HG00, the
continuous contract) gold (GLD proxy) and
silver (SLV proxy):
12
ts1naJ ht9naJ ht61 dr32 ht03 ht6bef ht31 ht02 ht72 ht6raM ht31 ht02 ht72 dr3rpA ht01 ht71 ht42 ts1yam
source: IKN calcs

Seeing the way copper sold off but not in the hard way we saw silver dive suggests that last
week was about market financials, rather than real world concerns. The market is currently
obsessed with the twin headwinds of inflation and demand and if both blow equally, we’re
headed for stagflation and real trouble for commodities. Instead, seeing the more financially-
slanted silver dive (much) harder than copper is a pointer to the dominant cause being pure
market stress, rather than a sudden drop in end-user demand.
Away from last week’s generalized neuroses over inflation and recession that made it sound as
though stagflation issn’t merely possible but already with us, the most interesting news from
China was President Xi exhorting the country to go “all-out” Keynesian. Here’s CNBC (10):
Chinese President Xi Jinping on Tuesday called for an “all-out” effort to construct
infrastructure. Proposed projects range from waterways and railways to facilities for
cloud computing.
Xi was speaking at a meeting of the Central Committee for Financial and Economic
Affairs, a group he heads.
“The meeting suggests to us that Chinese policymakers have been increasingly aware
of the strong growth headwinds from Covid restrictions and continued property
downturn, and thus becoming more determined to ramp up policy easing measures,”
Lisheng Wang and a team at Goldman Sachs said in a note Wednesday.
The backdrop to this move is important too, as Xi is scheduled to be ratified in his position at
China’s major party conference in November and nothing less than wonderful will do. China’s
zero Covid policy is a matter of pride for Xi after he mocked the West for suffering waves of
infections in 2021, so the economic consequences of relaxing the current Shanghai lockdown
are bad but maybe not as bad as the loss of face he might suffer if Omicron swept the entire
country. Therefore, boosting growth from public funded programs once the lockdown is over
fits politically as well as the timeframe Citi analysts envisage (11):
Citi analysts, meanwhile, believe China's infrastructure investment is likely to surge by
8% in 2022, sharply higher than the 0.4% increase seen in 2021.
"The infrastructure push is real," they wrote Wednesday in a note. "The turning point
for real policy actions may have arrived, and stimulus will likely come through more
obviously from late Q2."
It the end of another month and time to dial up the long-term tracking chart for world copper
inventories, though this time there’s less to reads into developments:
Key Cu inventory aggregate, 2012 to date
1000000
900000
800000
700000
600000
500000
400000
300000
200000
100000
0
13
21.naJ ram yam luj pes von 31.naJ ram yam luj pes von 41.naj ram yam luj pes von 51.naj ram yam luj pes von 61.naj ram yam luj pes von 71.naj ram yam luj pes von 81
naj
ram yam luj pes von 91
naj
ram yam luj pes von 02
naj
ram yam luj pes von 12
naj
ram yam luj pes von 22
naj
ram
Mt Cu
Comex
Shanghai
LME
source: Cochilco
We know SHFE inventories are being demolished and we also know LME numbers have
recovered slightly as copper is diverted away from China mainland warehouses due to Covid.
That’s caused a rapid drop in SHFE percentage participation (below)
Copper inventories: percentage held per exchange
80
70
60
50
40
30
20
10
0
21.naJ ram yam luj pes von 31.naJ ram yam luj pes von 41.naj ram yam luj pes von 51.naj ram yam luj pes von 61.naj ram yam luj pes von 71.naj ram yam luj pes von 81
naj
ram yam luj pes von 91
naj
ram yam luj pes von 02
naj
ram yam luj pes von 12
naj
ram yam luj pes von 22
naj
ram
LME Shanghai Comex source: Cochilco

Instead, we focus on the longer-term trend showing in Comex warehouse data:
Comex copper stocks, 2021 to date
80000
70000
60000
50000
40000
30000
20000
10000
0
14
12
naj
bef ram rpa yam nuj luj gua pes tco von ced 22
naj
bef ram rpa
source: LME data
reppoc
sennot
cirtem
When the scramble for tonnage began last year, we posited that China would do as much as
possible to keep its input costs for raw materials as low as possible. Indeed we saw Chinese
tonnages dump onto the LME in early 2021 in time-honoured fashion, but when they ran out
copper also started its run to U$5.00/lb. At that time, we suggested that Dr. Copper would be
another sort of bellwether and if The USA were keen on playing the counter to Chinese price
suppression strategy it would try to build copper inventories on its own shores. In this chart we
see just that happening and at some point, Comex may reach the critical mass required to start
influencing spot prices and copper price discovery It’s not there yet, but this inventory build is
happening at the same time as severe depletion in SHFE warehouses and coincidentally, in a
period where LME’s dominance over price setting for metals of all types has come under
question.
Now for our weekly look at copper inventories, data from Cochilco:
 It was only a modest 821 metric tonnes (mt) overall, but for the first time in four
weeks, the aggregate world copper stock level lose ground and closed the week at
279,927mt. The segments below strongly suggest that the Shanghai Covid lockdown is
bending the normal market out of shape, but also that copper end use is not dropping
much in the world’s largest market.
 The big news was (once again) SHFE stocks, which continue to fall off a cliff as a
massive 21,492mt left Shanghai warehouses last week, leaving just 48,363mt to go and
for all intents and purposes, we’re back to scraping at the same barrel we scraped from
October to December last year. The LME data below seems to be a factor, as South
Korea and Taiwan accepts tonnages that would normally be welcome here.
 At the LME, another substantial hike in stocks last week took the system total to
156,050mt, up 18,275mt. Of the total, we once again saw South Korea taking the
brunt with 15,100mt arriving there. This location has seen its stocks rise by 330% in
2022 to date as tonnes that normally land in Shanghai get diverted, due to China’s
Covid lockdown. Likewise Taiwan, which saw 3,700mt arrive last week. This is not
normally a popular location for LME copper, but 2022 to date has seen the amount
stored there rise by a cool 599.4%, to 27,800mt. A for projected near-term demand,
54kmt is under cancelled warrant at the LME and unless it’s the treading pits playing
games, will be shipped out soon.
 The Comex also had inflows, a net 2,396mt copper added and a total of which now
total 75,514mt. As noted above, we’re at the highest level since 2020.
Here’s the dedicated SHFE chart, we’re back to where we were in 4q21:

Shanghai Futures Exchange Warehouse Stocks, 2014 to date
400000
350000
300000
250000
200000
150000
100000
50000
0
15
31'13ceD dr32 ht02 ht51 ht01 ht5tco ht03 ht52 dn22 ht71 ht21 ht6pes ts1von 102ht72ced ts12 ht71 ht21 ht7guA dn2tcO ht4ceD ht92 ht62 ts12 ht61 ht01 7102
ht5von
ts13 ht52 dn22 ht42 ht91 ht41 ht9 9102
dr3bef
ts13 ht62 ts12 ht51 ht01 0202ht5naj 0202ts1ram ht62 ts12 ht61 ht11 0202ht6ced ts13 ht82 dr32 ht81 ht21 ht7 2202dn2naj ht72 ht42
Mt Cu
|
source: Cochilco
The alternative presentation of SHFE stocks got fan mail last week (ty reader SB), so here it is
again and I tend to agree, it puts the data into sharper relief:
SHFE copper inventory levels, 2018 to 2022
400000
350000
300000
250000
200000
150000
100000
50000
0
1 2 3 4 5 6 7 8 9 01 11 21 31 41 51 61 71 81 91 02 12 22 32 42 52 62 72 82 92 03 13 23 33 43 53 63 73 83 93 04 14 24 34 44 54 64 74 84 94 05 15 25
MT Cu 2022
2021
2020
2019
2018
source: Cochilco data
Now for notes on just one of the basket stocks:
Hot Chili (HCH.v): HCH bucked the trend last week and rose by 9.2% on the back of another
long drill intercept, this time CORMET003 returned 0.6% CuEq over 552m. This was one of the
pending holes we noted three editions back in IKN674 when noting the CORMET006 assay, but
it was interesting to read the marketing used in Australia for this NR. Here’s the widely-read
Australian website, Stockhead (12):
Hot Chili’s Cortadera porphyry discovery has returned a whopping intersection of 552m
grading 0.6% copper equivalent in hole CORMET003 at the Costa Fuego Copper-Gold
hub in Chile.
Importantly, this development study drilling at Cortadera continues to demonstrate
growth potential following the recent Costa Fuego resource upgrade.
In fact, hole 006 was an infill and while its overall
grade is slightly better than the Cortadera average
of 0.46% CuEq, it’s not going to make that much
of a difference in tonnages of mineral. Still, the
market reacted to the news in both Canada and
Australia (right). I will continue to avoid this stock,
its economics do not look robust enough and there
are plenty of alternatives, e.g. I’d take Marimaca
(MARI.to) over HCH without a second thought.

The Producer Basket
After seventeen weeks of 2022, the Producer Basket shows a gain of 9.65% to level stakes:
company ticker price 1/1/22 Shares out MktCap(U$Bn) current pps gain/loss%
1 Newmont NEM 62.02 797.44 58.09 72.85 17.5%
2 Barrick GOLD 19.00 1779 39.69 22.31 17.4%
3 Franco-Nevada FNV 138.29 191.192 28.90 151.16 9.3%
4 Agnico Eagle AEM 53.14 454.904 26.49 58.23 9.6%
5 Wheaton PM WPM 42.93 450.3 20.20 44.86 4.5%
6 Gold Fields GFI 10.99 887.72 11.92 13.43 22.2%
7 Kinross Gold KGC 5.81 1296.5 6.59 5.08 -12.6%
8 B2Gold BTG 3.93 1055.6 4.49 4.25 8.1%
9 Alamos Gold AGI 7.69 392.503 3.05 7.76 0.9%
10 Sandstorm SAND 6.20 191.4 1.42 7.41 19.5%
All prices and stock quotes in U$ Port. avg 9.65%
The GDX dropped 5.3%, the GDXJ dropped 5.8% and while our Producer Basket selections did
slightly better than the benchmarks over the week, there was still no escape from the
downdraft and all ten components were losers. The range of losses start at Newmont (NEM
down 2.2%) and Agnico (AEM down 2.3%) and finish at Kinross (KGC down 7.5%) and
Sandstorm (SAND down 7.6%). The only other getting a mention this weekend is Barrick
(GOLD down 6.0%), its market cap now nearly U$20Bn behind the sector leader.
The 2022 Producer Basket: Weekly performance and
35% comparative to GDX control
30%
25%
20%
15%
10%
5%
0%
-5%
-10%
-15%
Barrick (GOLD): The scheduled event of the week for our sector is the Barrick 1q22 earnings,
with the filings pre-open on Wednesday May The
Fourth (be with you) and the ConfCall on this link
(13) at 11am ET. As flagged on April 14th, GOLD
has seen cash costs move up and we saw how
the knock-on effects hit Newmont’s Q1, two
Fridays ago. Here’s the comparative chart
between NEM, GOLD and the GDX benchmark
over two trading weeks and GOLD has kept
around 3% over its larger rival. That sounds
about right to me, considering how NEM had its
own costs issues from its Australia operations.
Unlike recent earnings events among the Tier 1
stocks, this desk sees no obvious trade this time.
Agnico Eagle (AEM): The first reported quarter of New AEM, with Kirkland Lake incorporated,
went well for the company. With all eyes on costs and inflationary pressures at the moment,
AEM made sure its commentary on costs came front and centre in its literature and
communication. In the NR (14), the first bullet point at the top of the shop started like this:
16
ts1naJ ht9naJ ht61 dr32 ht03 ht6bef ht31 ht02 ht72 ht6ram ht31 ht02 ht72 dr3rpa ht01 ht71 ht42 ts1yam
The 2022 Producer Basket: Percentage difference
between GDX benchmark & basket (negative = IKN ahead) 6.0%
5.0%
ikn 4.0%
gdx control 3.0%
2.0%
1.0%
0.0%
-1.0%
source: NYSE, IKN Calcs ts1naJ ht9naJ ht61 dr32 ht03 ht6bef ht31 ht02 ht72 ht6ram ht31 ht02 ht72 dr3rpa ht01 ht71 ht42 ts1yam
source: IKN calcs, NYSE data

Solid quarterly production and costs despite COVID-19 challenges – Payable gold
production1 in the first quarter of 2022 was 660,604 ounces at production costs per
ounce of $1,002, total cash costs per ounce2 of $811 and all-in sustaining costs
("AISC") per ounce3 of $1,079.
Later at the ConfCall, new CEO Ammar Al-Joundi called AEM’s AISC of U$1,079 “exceptional”,
the overall performance “stellar” and underscored that AEM considered 1q22 would be its
weakest quarter of 2022. The result was this…
…compared to GDX, NEM and GOLD, which was all about the relief felt by the market that at
least one of the Tier 1 names had kept the lid on costs. The only eye-roll moment of the day
was when CEO Al-Joundi claimed the AEM/KL fusion had gone very smoothly which may be true
for him because he got the Big Table job, but it would be interesting to get Tony Makuch’s
perspective on how things went. Finally, we note New AEM is now just U$1.5Bn behind Franco-
Nevada on the market cap table and breathing down Harquail’s neck for third place on the list.
The TinyCaps List
After seventeen weeks of 2022, the TinyCaps show a loss of 6.13% to level stakes:
company ticker price 1/1/22 Shares out Mkt Cap current pps gain/loss%
Aurelius Min AUL.v 0.24 37.134 13.74 0.37 54.2%
Golden Pursuit GDP.v 0.13 34.638 4.50 0.13 0.0%
Infield Min INFD.v 0.06 48.276 1.93 0.04 -33.3%
Kingfisher Met KFR.v 0.30 84.57 16.49 0.195 -35.0%
Latin Metals LMS.v 0.12 57.296 8.31 0.145 20.8%
Manitou Gold MTU.v 0.06 344.47 13.78 0.04 -33.3%
Melkior Res MKR.v 0.295 24.011 7.56 0.315 6.8%
Precipitate Gold PRG.v 0.105 129.322 11.64 0.09 -14.3%
Signature Res SGU.v 0.07 238.4 14.30 0.06 14.3%
Winshear Gold WINS.v 0.08 61.585 4.31 0.07 -12.5%
Prices in CAD$, data from TSXV basket avg -6.13%
This section attempts to track the tinycap mining sub-sector of the market, our ten companies
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
17

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.
After creaking and bending, The TinyCaps list 12% TinyCaps, 2022 weekly tracker
finally cracked and dropped hard under the 10%
8%
waterline as several components were sold
6%
down. There were three winners (AUL.v, GDP.v,
4%
MKR.v) and one unchanged on the week 2%
(INFD.v) so it wasn’t all one-way traffic, but the 0%
six losers (KFR.v, LMS.v, MTU.v, PRG.v, SGU.v, -2%
-4%
WINS) included large losses from all but KFR, the
-6%
worst of the bunch from Manitou (MTU.v down
-8%
20.0%).
Aurelius Minerals Inc. (AUL.v): We had news from the best performer of our ten (so far)
when AUL announced channel sample results (15) last week, the numbers from the assays very
much in line with what we’ve previously understood about the Aureus East mineralization. At
this point I was going to excerpt the CEO comment, but as there was a lot in the segment
here’s the whole of the first paragraph. However, I have highlighted two parts to make sure
you see them:
“The continuity we encountered in the channel sampling program provides us with
confidence as we build our resource from the inside out, by accessing our
existing underground development, which follows the gold zones down to a
depth of 160 meters below surface. The first two phases of drilling in 2020 and 2021
established that the gold mineralization continues to at least 900 meters below surface
and historical work has traced the mineralization over a strike length of 1600 meters.
These channel sampling programs have been designed to quantify the amount of gold
mineralization located surrounding the underground development and to assist in the
mineral resource estimates of zones down dip and along strike. It confirms our
interpretation that high-grade gold often occurs in the lower area of the zone and this
opens important growth potential. The gold is not only found in the multiple stacked
and folded quartz veins but also in the surrounding wall rock and this significantly
increases the volume of potentially mineralized rock at the project. This is key strategic
work at the project while our updated resource estimate is being finalized, and the
results seen to date are significantly increasing our confidence in the interpretation and
continuity of the mineralization. Due to COVID-19 related delays, we now anticipate
receiving the resource estimate from Nordmin Engineering in May.”
As well as having a new schedule for the resource estimate (this month), the fact AUL is going
to include the stacks as far down as 900m, as well as strike length of up to 1,600m suggests
the overall resource number will pleasantly surprise the market. AUL is on the TinyCaps list this
year to track how stupid I was for giving up on my (admittedly small) trade in late 2021 after
taking a hefty loss. So far at least, I feel suitably stupid.
Signature Resources (SGU.v): Another with a resource estimate due out in our Merry Month
of May is SGU at its flagship Lingman Lake property.
The recent price action shows the social media led
promotion in March, followed by a re-trace in April
that sees the price back from whence it came and
must have left a few Twitter-based traders rather
apprehensive about the number this company is about
to report.
The silver lining is the volume. As you can make out to
the right, trading has slowed to a crawl in the last two
weeks so, seeing a hefty drop is at least
understandable.
18
dn2naJ ht9
naJ
ht61naJ dr32 ht03 ht6bef ht31 ht02 ht72 ht6ram ht31 ht02 ht72 dr3rpa ht01 ht71 ht42 ts1yam
source: IKN calcs, TSX data

Manitou Gold (MTU.v): The biggest loser on the week and due to the news out on April 28th,
which reported that the first six holes back from its current 16 hole campaign managed to
report “three broad intervals of anomalous gold mineralization” from one of the holes, which
translates as “six dusters”. MTU CEO Richard Murphy put on the customary brave face with a
comment that started, “We are encouraged by…” and made the results sound geologically
interesting, as the old saying goes.
To its credit, MTU is drilling a true exploration campaign and unafraid of drilling dusters as it
searches for a motherlode hit (and with AGI as sponsor, there must be reasonable grounds for
the search). However, the dump last week was fully deserved.
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’s possible in the future
I may buy shares in one or several of these stocks, at the moment both my opinion and wallet are strictly neutral.
Regional politics
Chile: The future is desal
On Monday 25th, Chile’s beancounter mining bureau Cochilco published a new report on the
state of water supply to its copper mining sector and projections for the next ten years (16).
Here’s a translation of part the cover blurb, to give the idea:
The results obtained in the projection for copper production in the period 2021 to 2032
show that, compared to 2020 registered production, there is an increment of 21.15%
toward the end of the period. This implies Chile will reach annual copper production of
6.95m tones by 2032.
In order to sustain this production increase, water demand for copper mining is
projected at 20.9m3 for the next decade, of which 68% comes from seawater source
and 32% from continental water source.
The full PDF report goes into greater detail and those versed in Spanish and interested should
check it out (and even if Spanish isn’t a strong point, there are plenty of easy read graphics and
charts telling the story), for example the chart below left, which shows the projected sea/land
source water for the next 10 years:
And above right is how Cochilco expects that split to develop over the years:
Even before the new Boric government took over, the new thrust in Chile has been for more
seawater used in its copper mining industry, be it via desalination plants (e.g. La Escondida,
which leads the country in the use of desal) or the Capstone Copper Santo Domingo
copper/iron project, which plans to use untreated seawater in its production circuit (though
presumably they filter out the fish and seaweed). This trend will only accelerate in the years to
come, which means higher front-end capex for copper projects in the country and will surely
favour the construction of only the largest projects.
Argentina launches its mining sector transparency programs
A few weeks ago while discussing the national level policies to develop mining in Argentina
19

announced by Alberto Fernández and his cabinet, we talked about the two main transparency
initiatives proposed by the government’s “Superministry” of Productive Developemnt under
Matias Kulfas. They go by the acronyms…
 MEMAC: The Nacional Round Table on Mining Open to the Community (Mesa Nacional
sobre Minería Abierta a la Comunidad)
 SIACAM: System of Information Open to the Community on Mining Activity in
Argentina (Sistema de Información Abierta a la Comunidad sobre la Actividad Minera)
…and in a surprisingly efficient turn of events, both these systems go live tomorrow Monday at
a bells’n’whistles press conference and presentation headed up by Kulfas, all media invited (17).
The objective of the two-pronged initiative is to provide as much data and openness on the
mining sector to the general public as possible, including costs, benefits and environmental
impact data for operating mines as well as development projects going through permitting. The
strategy is a good one and is all about shining as much light as possible on the realities of
modern, well-regulated mining in order to combat the anti-mine propaganda from entities such
as Greenpeace that has tended to dominate the debate in Argentina over the years.
Colombia: A new poll confirms Petro’s lead
On Friday we had another of the “reliable” Colombian pollsters making headlines, as Invamer
published the results of its first voter intention poll since the February primaries. The numbers
we got (18)…
…are close enough to the CNC poll from the week before to allow an extra layer of confidence
in both polls, however there is some movement below the leading two as the wildcard
independent candidate Rodolfo Hernández has moved up somewhat. The other big story is the
continued collapse of the Sergio Fajardo vote, who is now talking about joining forces with
Hernandez. Assuming Petro doesn’t make it to 50%+1 vote, we need to consider the most
likely run-off scenario: The CNC poll seen in IKN675 last weekend had the second round run-off
split at 44.8% Petro, 36.9% Fico, i.e. an eight point lead or four point swing. This week’s
Invamer poll reads similarly, with a seven point lead for Petro (52.4%) over Fico (45.2%) that
counts valid votes only and franks Petro’s favourite’s position with a month to go before the
first round vote.
Peru: More violence at Las Bambas
The lack of real government at national level is showing in the way Peru deals with its latest
round of protests at Las Bambas, the MMG copper mine with a chequered history of community
relations (to put it diplomatically). This time…
 Protesting locals invaded the mine operations concession and set up camp close to the
main working pit, causing the stoppage of all operations.
 Police moved in to dislodge the protesters and skirmishes ensued
 Locals accused the company and police of including employees of the company in the
police operation and equipping them with “false police uniforms”
20

 While initially successful, local protesters re-took the same positions inside the company
the next morning. As a result, operations remain suspended.
 Also on the next day, vehicles belonging to MMG were attacked by separate groups and
set on fire. While nobody was injured, a truck and a 4x4 were set on fire and burned
out and one drill rig was vandalized.
While not overtly siding with the communities, the national executive is clearly unwilling to
crack down on protests or find a reasonable settlement between the two sides, the result is a
deterioration and “local law” is now prevailing in the provinces of Peru. That’s a dangerous
situation that theoretically puts international level decisions in the hands of local and regional
players (who only really care about their own well-being).
Peru: The Ministry of Energy and Mining grinds to a halt
Further to the above, MMG has accused the government of not lifting a finger to help and also
that its Ministry of Energy and Mining (MINEM) is ineptly run and with no idea of how to
negotiate peace or help calm the atmosphere. That rings true, as multiple sources in Peru have
told this desk that permits have stopped flowing from MINEM and the ministry has essentially
ground to a halt. Your author conversed face to face with two CEOS of junior mining companies
working in Peru (names withheld by agreement) who reported they were still waiting on drill
permits that should have been awarded back in October and December respectively. This
information concurs with recent mail exchanges and social media conversations between this
desk and other juniors and explorecos in Peru; put simply, if you don’t have your permits in
place already, you’re out of luck.
While the problems have been stacking up since late 2021, things have come to a head since
February and the appointment of the latest Minister of Energy and Mines. As noted in several
previous editions of the Weekly, Señor is a Peru Libre ally of Pedro Castillo (via the nefarious
backroom influence of the hard Left wing Vladimir Cerrón) and was appointed to the post
despite being unqualified for the job. Since then he has gone about replacing key employees
with “his own people” but, at the same time, his ostensible lack of qualifications caused a
formal investigation opened on him by Peru’s “Defender of the4 People” ombudsman. This is
the reason for the logjam, as the ombudsman started the investigation in late February and
reports back with findings in 120 days. As everyone inside the ministry knows that the Minister
is both unqualified and as useful as a chocolate fireguard, those who are responsible for signing
off on paperwork such as permits are refusing to do anything, else their names will appear on
official documents with a man who is bound to lose his job soon and when he goes, those “who
help him” would see their own jobs under pressure. The result is complete inertia, nobody
signing off on paperwork and everyone trying to boot responsibilities further upstairs, hence
zero permits for mining exploration or development showing and the country’s mining industry
on stand-by.
Ecuador: You can’t fire me cos I quit
Last week saw political crisis arrive at President Lasso’s door. Without much warning, either one
or two of his ministers resigned suddenly and were followed out on Thursday by Minister of
Human Rights Bernarda Ordóñez and Minister of Agriculture Pedro Álava also handed in their
resignations. In response, Lasso decided to do something that happens on occasion in
Ecuador’s protocol system and asked for the formal resignation of all his cabinet, in order to run
a re-shuffle. That’s the situation this weekend and, while the cabinet is bound to be re-formed
in the next few days and most “resigned” ministers will get their jobs back, the lead-up events
signal rising pressure on the President to get things done (in the widest sense of the phrase).
The “one or two” mentioned above is because we know his Defense Minister, Luis Hernández
resigned on his own volition, while there are conflicting reports as to whether his Minister of
Energy and Non-Renewable Resources (i.e. the minister in charge of the mining sector)
resigned by choice or whether he “was resigned” by Lasso. Either way, the previous Vice-
Minister of Mining Xavier Vera has stepped up to the role.
The context is important, as May 24th marks the first anniversary of Lasso’s mandate and
21

there’s a rising sentiment in Ecuador of the President being unable to get anything done while
the country gets worse. Under pressure due to rising crime rates and murders connected to
drug trafficking, Lasso on Friday (19) ordered a State of Emergency in the three most affected
regions in North Ecuador, with 5,000 army troops sent to the zones to patrol streets and help
maintain order.
All this comes at a delicate time for the Lasso administration, as this weekend is the time limit
for reports to arrive at the President’s desk in order that he may formulate the questions for the
referendum he wants to run at a national level. He has chosen the plebiscite route in order to
by-pass Ecuador’s hostile and opposition-led Congress, in an attempt to pass the legal and
economic reforms he has wanted to push through for almost a year. We await the details of the
questions that are to be included in the referendum and while (as previously mentioned on
these pages) many are expected to be pro-business and suit the country’s mining industry (e.g.
tax and duty breaks for large ticket civil works and capital projects), the devil will be in the
details and the exact phrasing of each question put to the nation is important. Indeed, in the
words of one of his loyal inner circle, Secretary of Public Administration Iván Correa (20),
“There is no crisis in the cabinet, rather an evaluation of functionaries and a series of changes
in order to achieve our objectives, in matters such as the pledge to double hydrocarbons
production and the need to bring large scale mining to the nation.” He went on to say that the
government “Needs to start its motors fully to begin the process of economic reactivation,
working alongside private companies”. Also that Lasso was “planning changes in his
communications strategy.” In other words, all the ingredients of a cabinet crisis and a
government that has spent a year not getting its policies enacted…but it’s not a crisis.
Brazil: Belo Sun gets no legal love
This saga is over a decade old and has already cost backers tens of millions over the years
(including the ex-strategic partner Agnico Eagle, who got nowhere), last week saw the latest
setback for Belo Sun (BSX.to), The court case
mentioned last weekend in IKN675 was ruled
against the company and its construction and
operating licenses remain suspended, as the
company will have to re-submit its environmental
impact study due to the failure to properly consult
local residents.
The news of the reversal did this to the stock price
(right) and while it put in a bit of a dead cat
bounce afterwards, this desk considers the stock
overvalued even today. The only chance left for
BSX is to see Jair Bolsonaro beat Lula in this year’s
election and then push through its claim with the “help of friendly bureaucrats”, if you get my
drift. A Lula win would mean at least another five years of inertia. Either way, this company is
as clear an avoid as it’s always been.
Market Watching
New Gold (NGD) reports tomorrow
Pre-open tomorrow Monday sees the somewhat troubled New Gold (NGD) report and from the
looks of the ten-day price chart compared to
GDX, there’s bad news already baked in:
While not on my active shopping list at the
moment, NGD has caught your author’s eye
recently due to its relative weakness. We’ve seen
this type of relative weakness before and NGD
tends to recoup the losses later.
22

As NGD has been a happy hunting ground for IKN money over the years, this desk will pay
attention to tomorrow’s earnings report and, in the case of a resulting strong trade opinion,
you’ll hear about it in IKN677 next weekend. If time is important to the trade, it would of
course come as a Flash update (though they tend to be rare these days).
Discovery Silver (DSV.v) 4q21 financials (in CAD$ unless stated)
Last Wednesday’s annoying price dump is one thing (see Stocks to Follow above), another was
on Thursday when our main silver trade
Discovery Silver (DSV.v) filed its 4q21 and year-
end financials (21). A second look at the DSV
price chart today, but this time compared to
silver bullion (SLV proxy) shows how the ticker
is volatile compared to the metal and how
we’ve had to endure a couple of previous gut-
wrenching drops, but when it comes to the
fundamentals of the stock the following charts
make for better reading and show there’s
nothing wrong at the company; this is all about
the market’s perception toward silver, rather
than a reflection on the company.
With that, we dive into the YE results via a limited selection of our usual suspect charts and
starting with balance sheet items:
DSV.v: Cash assets, per qtr
100
90
80
70
60
50
40
30
20
10
0
As DSV expenses its development at Cordero,
the $36m or so in fixed assets is of little
importance so we focus on liquidity. Cash stood
at just under $55m as at year-end, though to
that we must add the $15m held in an interest-
bearing account. Liabilities remain tiny and in
optimum shape, which means we can skip
23
81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4
$m DSV.v: Liabilities, per qtr
5
other current 4.5
4
cash 3.5
3
2.5
2
1.5
1
0.5
0
source: company filings
81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4
source: company filings
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LT liabs
current liabs
100 DSV.v: Working Capital per qtr
90
80
70
60
50
40
30
20
10
0
81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4
source company filings/IKN ests
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quickly to the best gauge of the DSV balance sheet, its working capital:
Working capital stood at $69.611m and more than enough for the company to do all it wants to
do. We see that in its operating expenses, which include office, corporate, legal and all
development expenses at the project (unlike many other juniors, what you see is what you get
at DSV’s Profit+Loss sheet:
C$m DSV.v: Operation expenses
12
other exp
10
Share payments
8 prof fees
G&A
6
Exploration
4
2
0
-2
-4
1q18 2q18 3q18 4q18 1q19 2q19 3q19 4q19 1q20 2q20 3q20 4q20 1q21 2q21 3q21 4q21
source: company filings
The reason for the negative “other” is mainly due to the sale of its non-core Jemi rare earth
property in Mexico to Monumental Gold (MGLD.v) last year, which started in Q3 and closed in
Q4. As for the rest, we again highlight the efficiency of DSV’s capital use compared to so many
other juniors out there. Here’s a chart that breaks down the blue “exploration” column into just
two categories, namely “drilling at Cordero”
and “Everything else” and, once again, the
majority portion of cash burned at DSV goes
straight where shareholders want it to go. This
is good and it bears close examination; of a
total of $36.94m in exploration expenses in
the years 2020 and 2021, a full $25.02m of
that cash went directly into drilling. Not
testing, assaying, catering, management fees,
consultants or any of the myriad ways juniors
have of spending money, we are talking
specifically about drill rigs and drilling.
Our final chart in this brief update is on the
share count, which stands today at 333.13m and is projected to move to up as remaining
warrants become due:
DSV.v: Shares Out
24
440.56 440.56 440.56
17.861
12.112 84.112 23.752
15.992 10.503 49.323 51.523 61.523 53.133 31.333 943 063
400
350
300
250
200
150
100
50
0
81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4 tse22q1 tse22q2 tse22q3
source: company filings
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DSV: Exploration costs breakdown
8.0
7.0
6.0
5.0
4.0
3.0
2.0
1.0
0.0
Specifically, around 380m seems to be the limit and at the moment, there are a total of 15.66m
warrants priced at C$0.77 due between May 29th and June 8th. They should all become whole
and bump the shares out count to around 349m by the end of the current quarter, but also
bring some C$12m to DSV treasury. That’s useful cash and in its literature, DS confirmed that
that “…it has sufficient cash and liquidity in order to advance the Project to a construction
81q1 81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4
all other exploration
Cordero Driling
source: company filings

decision through the completion of a Definitive Feasibility Study in the second half of 2023”
(end quote). That’s the longer-term, we also got confirmation on the revised timing of the Pre-
Feasibility study (PFS) slated for the end of 2022. Here’s the MD&A on that:
Work on the PFS is advancing well, and the Company remains on schedule to deliver
the study during the fourth quarter of 2022.
Along with that, DSV also published a useful little table outlining its drilling program plans for
this year:
The 25km of PFS drilling is the rote stuff that needs to be done and doesn’t tend to move the
market until the PFs is delivered, but we’ve already seen promising numbers come from the
14,000m budgeted for Resource Growth and soon, more results should start flowing from
outlaying areas of the large Cordero property, away from the main pit target. Management is
on record as being keen on testing generated targets away from the PFS zone, any one of
which may return a serious bonus prize discovery.
The bottom line: If I hadn’t bought some ABRA.v and expanded my exposure to silver last
week, I’d now be sorely tempted to add some DSV at these bargain levels and average down.
We’ve seen near-term weakness and sudden bouts of heavy selling in this stock before, only for
it to rebound nicely (and normally quickly) so my personal annoyance is a signal for your
opportunity. Discovery Silver is still a stand-out among silver stocks, no matter how hard the
sector got punched in the gut last week, and its 4q21 financials underscore the fundamental
strength it offers. Bargain hunters in the silver space should look no further next week.
Copper Mountain (CMMC.to) 1q22 financials
As expected, Tuesday April 26th saw Copper Mountain deliver its 1q22 financial results (22) (one
of the first juniors to do so this quarter) and this desk was expecting a soft quarter from CMMC,
it was after all the reason behind the sales in January and February. However, there are misses
and there are misses:
CMMC had already been under pressure in the lead-up to last week and the market vibes
turned out to be spot-on, as seen in the volume spike on earnings day in the above chart. This
wasn’t a bad quarter, it was awful and while we expected lower grade, the throughput issues
25

compounded the quarter. Here’s a quote from the NR:
“Production was lower during the quarter due to lower grades and reduced mill
throughput as the Company continued to run the secondary crusher at reduced rates
due to the damaged main shaft which occurred late in 2021. The Company has
determined the root cause of the damage and has since improved the systems to
prevent a recurrence. The main shaft was temporarily weld repaired in December
2021 , but the temporary nature of the fix required the Company to reduce crushing
power to sustain operations, thereby increasing the crushed product size of the ore
feed going to the SAG mill. The coarser ore feed resulted in low SAG throughput.”
It’s not as if that’s the end of the lower production period, either. CMMC talked of Q1 being an
aberration and maybe so, but away from the NR gloss and over at the MD&A (where companies
get held to more account), we read in the outlook (excerpts bulleted):
 …the Company expects to achieve the lower end of its annual guidance range of 80 to
90 million pounds of copper.
 …production in the second half of the year to be stronger that the first half of 2022
 The second quarter of 2022 is expected to be a transition quarter
 The Company is increasing its AIC per pound of copper cost guidance for 2022 to be
between US$2.25 and US$2.75 as a result of the higher‐than‐planned AIC in Q1 2022
and inflationary pressures.
With those in mind, we now dial up the tracking charts to consider how bad things were,
starting with production results. One thing that stands out is how the company didn’t just cut
down on milled ore, but also on mined tonnages. With strip rate remaining roughly equal, there
was clearly a deliberate decision to slow down on mining to tailor mill supply to the reduced
capacity in the quarter. This reduces op-ex, but CMMC could have built ore inventory and
improve later quarters of operations and didn’t.
6 CMMC: Strip ratio, per qtr
5
4
3
2
1
0
Along with reduced throughput due to those shaft issues, here are the other two reported
problems of lower head grade and mill availability:
26
81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4
CMMC: Ore mined and milled, per qtr
source: company filings
876.3 835.3 775.3 566.3 331.3 527.3 587.3 804.3 824.3 034.3 458.3 534.3 350.3 714.3 320.3 421.3 888.2 869.2
5.0
4.5
4.0
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0.0
02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4 22q1
mmt ore mined
tonnes milled
source: company filings
CMMC: Mill head grade, per qtr
43.0 82.0 03.0 92.0 82.0 62.0 13.0 03.0 82.0 92.0
04.0 24.0 024.0 073.0
3.0 52.0
0.50
0.45
0.40
0.35
0.30
0.25
0.20 0.15
0.10
0.05
0.00
81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4 22q1
% Cu 100%
CMMC: Mill operating time (%)
98%
96%
94%
92%
90%
88%
86%
84%
82%
80%
4q19 1q20 2q20 3q20 4q20 1q21 2q21 3q21 4q21 1q22
source: company filings source: company filings
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Put all that together and the copper production and sales came out like this: Ugh
CMMC: Copper production and sales, per qtr
27
274.71 268.71 290.81 978.81 439.81 428.71
350.32
217.81
625.52
105.72
515.52 696.12 604.22 614.42
396.61 193.91
422.31 784.31
30
25
20
15
10
5
0
02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4 22q1
Mlbs Cu
Cu prod (mlbs)
Cu sales (mlbs)
source: company filings
Here’s the gold production/sales data, also well under the norm and unlike 4q21, there was no
trailing inventory to help prop sales. The silver
numbers were also well short, but as that only
accounts for around 2.5% of quarterly revenues
it’s not so important. Typically, copper is 85% of
revenues and gold 12% or so.
Even though the company tried to keep costs
down, the combo of keeping the lights on at a
relatively high cash cost operation, the effects of
inflation and the need to shell out for new capex
goods for repairs all mounted on top of the low
production quarter.
CMMC: AISC/lb Cu in USD, per qtr
87.1 31.2 37.1 78.1 58.1 82.2 72.2 41.2 76.1 34.1 85.1 64.1 38.1 77.1 45.2
54.4
5.00
4.50
4.00
3.50
3.00
2.50
2.00
1.50 1.00
0.50
0.00
81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4 22q1
CMMC: Gold production and sales, per qtr
U$
source: CMMC filings
Simply horrid. Even though the average received price was U$4.54/lb, CMMC only just
managed to return a gross mine profit. That chart makes it look as though CMMC went “full
kitchen sink”, but as Q2 is going to be “transitional” as well, it’s going to take time to get back
under U$2.00/lb. On that subject, we now switch to the financial results:
9316 4636 9947 9826 0366 2326 9598 3527 7818 3558 7267 5456 9447 8038
2745
5826
5315 6705
10000
9000
8000
7000
6000
5000 4000
3000
2000
1000
0
02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4 22q1
Oz Au
Au prod
Au sold
source: company financials
CMMC.to: Quarterly Earnings overview
952.03
910.24 713.74
82.69 687.58
146.66 571.27
675.81 34
28
180
160
140
120
100
80
60
40
20
0
-20
02q2 02q3 02q4 12q1 12q2 12q3 12q4 22q1 tse22q2 tse22q3
source: company filings, IKN ests
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revenues
COGS
Gross profit

Gross profit for 1q22 was C$18.576m and once G&A and “other” are backed out, operating
profit was just $7.7m, or 3.7c/share. For
comparative purposes, your author decided to sell
CMMC.to: Net income, per qtr
his position when forecasting 1q22 gross profit at 50
40
$40m and operating profit at $33m. The final net
30
was a quarterly loss, which is scandalous when you 20
consider the price of copper CMMC enjoyed last 10
0
quarter. As for the next quarters, as you can see in
-10
the above main operations chart, we’re sticking with
-20
our transitory figure for 2q22, but costs guidance is -30
higher and with a forecast gross profit of $43m in -40
-50
the current quarter, it will indeed take time for
CMMC to get back impressing the market with its
results.
The bottom line to this car crash of a quarter is that even now, with CMMC trading under
C$3.00, there’s no reason to buy back in. For one, the lack of guidance on the mill problems
does no favours for the company and its transparency (the mill breakdown happened in 4q21,
we only found out about it half way through 2q22 ) and for another, 2q22 will not be running
at full tilt and grade remains low. Financially, CMMC gets to paper over the cracks thanks to the
high copper price, but when your operation underperforms this badly there no reason to jump
straight back in. I consider myself lucky to have got out from my long position with a modest
profit earlier this year, but CMMC is now off the table until 3q22 at a minimum and only then if
the company delivers on expectations in the meantime.
Mene (MENE.v) 2021 year-end financials
Our third set of financials this edition come from Mene Inc (MENE.v), our non-mining precious
metals play that sells 24k jewellery instead of
producing 24k gold. Here’s a 12 month chart
of MENE set against the S&P500 index, which
shows how the company has done generally
well in spite of being thinly traded and, at
times, prone to sudden moves on volume.
MENE remains a company largely on the
sidelines of the e-commerce market
boom/bust and that’s not such a bad thing.
Also on reading the CEO comments that
accompanied its 4q21 and year-end filings last
week, we get a clearer impression of CEO Roy
Sebag’s strategy going forward. For fellow
longs in this stock, they are an important read
so today you get an extended quote with some bold type added by this desk:
Moving forward, our primary task is to expand our production capacity as well as our
direct-to-consumer distribution infrastructure. We are negotiating the acquisition of a
US-based jewelry production facility. Menē has been one of the largest customers
of the facility over the past two years. We believe that this acquisition will benefit Menē
in several ways. First, we will be able to produce non-chain items within a much shorter
time frame. Second, we will be able to conduct R&D on new designs more rapidly and
efficiently. Third, we will be able to place a greater emphasis on our exemplary
craftsmanship and technical capabilities, showcasing our savoir-faire. Finally, we will
increase our production capacity allowing us to sell up to $50 million of non-chain items
per year. Chains, which account for roughly 35% of total sales, are produced by a
manufacturing partner with built-in capacity for up to $100 million a year in annual
sales. In other words, with the acquisition of the US production facility, Menē
would be in a position to sell circa $150 million in jewelry per year should the
demand present itself.
With regard to expanding our distribution channels, our aim is to launch the next
phase of Menē’s global footprint by establishing a European distribution facility.
28
81q1 81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4 22q1
source: company filings
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We have begun the process with an experienced partner and still believe that a
European distribution facility will be established in the 2022 calendar year. Once this is
achieved, Menē will launch its website and customer service in French, German, Italian
and Spanish. We expect this launch to take place in early 2023.
These steps will form the basis for our next phase of growth from 2023-2030. It is
imperative that we execute these steps well and continue to provide the same
exemplary customer experience which has fueled the growth of our brand since we
launched
Menē in 2018. To that end, our brand continues to grow in value and clout. We have
now registered close to 29,000 independent reviews of our jewelry. We believe that,
over the long-term, Menē will continue to grow and disrupt the traditional jewelry
market because our loyal customers love our jewelry and share their knowledge and
experience of our unique business model with their friends and family.
The bold-typed snippets are chosen deliberately, as this a company now setting its stall out for
long-term growth. The expansion plan via the acquisition of a production facility is not new
news, neither is the plan to establish a European distribution hub, but they are reiterated and
complement the other notes, such as the multi-lingual website and customer service expansion.
Talk of growth to 2030 and phrases such as “over the long-term” point in the same direction,
MENE is now confident enough with its business and financial model to begin to replication
process that turns small online businesses into big ones (your model? Amazon, of course).
This is the main message to take away from these Year-end results, rather than any
numbercrunching and for what’s it’s worth, I would much rather get the production numbers for
1q22 (which should be out soon) before making any forward estimates for 2022 at MENE than
going for it today. Therefore and instead I’m going to defer most of the operational information
for a few weeks until we know more. Today, therefore, just the basics starting with sales and
costs data, which was pre-announced but we now have exact numbers. Revenues for the key
Holiday Season came in at C$8.498m:
MENE: Revenues per qtr
29
930.1 393.1 689.1 15.3 337.2 754.2 812.3
456.4 751.5
934.3
324.5
11.7 302.7
457.5 813.5
894.8
9
8
7
6
5
4
3
2
1
0
81q1 81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4
C$m
source: company filings
Costs are broken into two parts, with COGS related to metal value and operating expenses
related to the business of making and selling the pieces:
MENE.v: Costs breakdown
9768.168.0 4243.161.1
998.1777.1
757.1725.2 255.2450.2
38.1159.1
867.1465.2
997.2
557.3
127.1
441.4
582.1125.2
133.1
548.3
319.1
914.5
35.1
664.5
34.1
422.4
614.1
270.4
248.1
984.6
10
9
8
7
6 5
4
3
2
1
0
81q1 81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4
$m
COGS operating exp
source: company filings,IKN ests
That total of C$8.331m left an operating profit of C$0.167m:

1 MENE.v: Operating income, per qtr
0.5
0
-0.5
-1
-1.5
-2
-2.5
30
81q1 81q2 81q3 81q4 91q1 91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4
C$m
source: company filings
And for what it’s worth, net profits are perhaps the least important of the main metrics at MENE
(and as its model is to invest in growth, it will stay that way), but the company reported a
quarterly net profit of $92,000. In other words, financially stable. I’m leaving other metrics and
main balance sheet item for the next piece in a couple of weeks’ time, today just a couple of
the charts starting with equity (basically
MENE.v: Equity per qtr
working capital), which stood at C$15.625m at
year-end. The company seems to have
worked out the right level of cash it needs to
remain flexible and liquid at any point (it deals
in the purchase and sale of expensive precious metals and needs cash on-hand) without
carrying too much dead money.
A major component of its liquidity is the credit
line it has with Sebag’s other company set-up,
Goldmoney (though he’s now only on the
board there and it’s controlled by others). We
note that subsequent to 4q21, MENE and
Goldmoney agreed to roll over its line of credit for another year to March 2023, which is set at a
maximum of “5,000 troy ounces in any weight combination of gold and platinum” and serviced
at a friendly 3% per annum. As at December 31st the liability stood at C$10.421m, plenty below
the nominal ceiling that stands around C$12.2m this weekend. This cheap credit line suits both
partners (MENE buys its bullion from
Goldmoney at a 0.5% premium to spot)
and while done on a yearly basis, we can
expect the loan to roll over indefinitely.
The final chart today is included out of
interest, as inventories managed to remain
buoyant despite the heavy sales period.
That augurs well for the 1q22 period, the
second best selling period of the year
(Valentines and all that) so in the enxt
quarter I’ll be looking for some slight
depletion of finished goods and then watching to see what MENE does with that money
Aside from 1q22 sales figures, the next MENE milestone will be the closing of its deal to expand
production. For us the outside shareholders, the devil in the details will be the terms of
purchase and while we should expect a share-based deal that dilutes the count somewhat, its
Class A/Class B share set-up and long-term vision means that should be palatable. However,
with financials all pointing to a stable and successful growth business, it’s exactly the right time
to invest substantially in the business’s growth prospects and it would be a surprise to read
about deal terms that aren’t incremental.
324.81 4.71 721.51 123.41 188.21 791.21
913.01
279.51 201.71 310.61 526.51
22
20
18
16
14
12
10 8
6
4
2
0
91q2 91q3 91q4 02q1 02q2 02q3 02q4 12q1 12q2 12q3 12q4
source company filings/IKN ests
srallod
fo snoillim
MENE: Inventories per qtr
2.70 4.02 3.15 5.29 2.43
294.7
186.01
939.21
814.11
165.11
981.8
533.7
709.01
708.21
754.21
990.31
489.41
8.41
C$m
24
22 Supplies
20 Finished Goods
18 Work in Prog
16 Raw Mat.
14
12
10
8
6
4 2
0
4q18 1q19 2q19 3q19 4q19 1q20 2q20 3q20 4q20 1q21 2q21 3q21 4q21
source: company filings

Conclusion
IKN676 is done, we end with bullet points:
 After last week’s purchases and Solis (SLMN.v) this week I’m now set up, money
where mouth is, to take advantage of the current target rich environment. The
discounted prices of last week helped and knowing me, I won’t get the entry point
exactly right but that’s okay. The method is “buy low, sell high”, not necessarily “buy
lowest, sell highest”.
 Of all the companies featured this week, Discovery Silver (DSV.v) stands out as the
outstanding bargain. Conversely, I’m in no rush to buy back into Copper Mountain
(CMMC.to) despite its new low price.
 I still can’t quite believe how much of an Argentina mining fan I’ve become. However,
steer clear of Colombia as from now, Petro is looking stronger than four weeks ago.
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 wishes, Mark
Footnotes, appendices, references, disclaimer
(1) https://www.forbes.com/sites/johntamny/2022/05/01/-14-gdp-just-reminds-us-of-the-abject-stupidity-of-
gdp/?sh=715e5f5c5009
(2) https://www.reuters.com/world/us/us-economy-still-very-very-strong-despite-expected-drop-gdp-growth-official-2022-
04-27/al
(3) https://www.calculatedriskblog.com/2022/04/schedule-for-week-of-may-1-2022.html
(4) https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02514547-
6A1088612?access_token=83ff96335c2d45a094df02a206a39ff4
(5) https://solisminerals.com/wp-content/uploads/2021/12/211130_Solis-Presentation-TSX-ASX-version.pdf
(6) https://solisminerals.com/widespread-copper-sulphides-logged-in-first-two-holes-at-mostazal-copper-project/
(7) https://solisminerals.com/solis-completes-4th-hole-planning-follow-up-drilling-at-mostazal-copper-project-chile/
(8)
https://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=&cad=rja&uact=8&ved=2ahUKEwi9hYGAwL_3Ah
W_FLkGHTRdDsIQFnoECAQQAQ&url=https%3A%2F%2Fwww.kitco.com%2Fpr%2F3420%2Farticle_0427202207092
0.pdf&usg=AOvVaw3InaChMWXqvvyHrhEt2Ifm
(9) https://www.newswire.ca/news-releases/meridian-confirms-2nd-high-grade-gold-trend-in-cabacal-northwest-
extension-824039468.html
(10) https://www.cnbc.com/2022/04/27/chinas-xi-calls-for-another-infrastructure-push-as-covid-drags-on.html
(11) https://edition.cnn.com/2022/04/27/economy/china-xi-infrastructure-push-covid-lockdowns-intl-hnk/index.html
(12) https://stockhead.com.au/resources/hot-chilis-cortadera-copper-discovery-delivers-strong-copper-results-ahead-of-
resource-upgrade/
(13) https://services.choruscall.com/mediaframe/webcast.html?webcastid=i2xfMkxA
(14) https://www.prnewswire.com/news-releases/agnico-eagle-reports-first-quarter-2022-results--strong-operational-
performance-integration-ahead-of-schedule-and-corporate-merger-synergies-better-than-expected-good-progress-at-
key-exploration-and-development-projects-301535875.html
(15) https://aureliusminerals.com/news/aurelius-announces-high-grade-gold-results-from-underground-channel-
31

sampling-program/
(16) https://www.cochilco.cl/Paginas/Sala-de-Prensa/Noticias.aspx?ID=544
(17) https://www.sitioandino.com.ar/n/384869-kulfas-lanza-la-mesa-nacional-sobre-mineria-abierta-a-la-comunidad/
(18) https://www.infobae.com/america/colombia/2022/04/29/gustavo-petro-y-federico-gutierrez-se-disputarian-la-
presidencia-de-colombia-en-la-segunda-vuelta-fajardo-se-desinflo/
(19) https://www.semana.com/mundo/articulo/lasso-decreto-estado-de-excepcion-en-tres-provincias-de-ecuador-por-
violencia/202217/
(20) https://www.expreso.ec/actualidad/guillermo-lasso-enojado-hay-explicacion-126544.html
(21) https://discoverysilver.com/news/
(22) https://cumtn.com/investors/press-releases/2022/copper-mountain-mining-announces-q1-2022-financial-4178/
Stocks To Follow Closed Positions 2021
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 Min NOM.cse feb'21 C$1.55 6-Set-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
Orezone Gold ORE.v jun'21 C$0.79 21-Jun-20 C$1.61 103.8% sold on pop, leaky boat
Wolfden Res. WLF.v sep'21 C$0.30 11-Abr-21 C$0.19 -36.7% Failed spec trade, cut loss
Cartier Res ECR.v sep'21 C$0.32 21-Mar-21 C$0.235 -26.6% Failed spec trade, cut loss
Amarillo Gold AGC.v sep'21 C$0.31 30-May-21 C$0.30 -3.2% Capex story changed: Out
Excelsior Mining MIN.to oct'21 C$0.93 10-Mar-19 C$0.53 -43.0% May return in 2022
Royal Road Min. RYR.v nov'21 C$0.155 17-Mar-19 C$0.275 77.4% Closed on Nica pol risk
Aurelius Min. AUL.v dec'21 C$0.75 28-Jun-20 0.24 -68.0% cut end 2021, failed trade
Argonaut Gold AR.to dec'21 C$2.95 25-Jun-21 C$2.15 -27.1% cut on capex blowout
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
32

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
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
33

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
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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