Good mining companies defy the crisis
Especially when markets are turbulent, investors should remain calm. After all, gold mining stocks are not about short-term investments. This is also shown by recent price developments, not only in the heavyweights in the sector, but also in the so-called juniors or smaller gold companies. Because, as always, it came in crisis situations: Initially, all asset classes, including gold and silver, were sold, which sent share prices plummeting. After the crash, the gold price was the first to rise, taking gold stocks with it, and share prices went up.
The junior companies offer a significantly higher price potential compared to the majors of the gold industry. On the other hand, the risks are higher for the smaller companies, so they are more suitable for bold investors. Basically, the indices for gold mining shares are stronger than the gold price moves. The reason for the higher volatility is the leverage effect that gold price movements have on the profits of a gold company.
Even if some expect an exaggerated phase in the gold price in the near future, it should be worthwhile to remain or invest. If you want to do this with leverage, you should take a look at Bluestone Resources or Treasury Metals.
Bluestone Resources owns the Mita geothermal project and the Cerro Blanco gold project in Guatemala: https://www.commodity-tv.com/play/newsflash-with-bluestone-resources-isoenergy-and-skeena-resources/. This project is expected to produce an estimated 146,000 ounces of gold annually in the first few years. Well financed, CEO Jack Lundin is excited that detail engineering (construction of the mine) will start in 2020.
Treasury Metals, like Bluestone Resources, will start gold production in the foreseeable future: https://www.commodity-tv.com/play/treasury-metals-new-c-zone-will-increase-production-and-resource-profile/. This on its Goliath gold project in Ontario. The 15,000-metre drill program, about a third of which has already been completed, has produced encouraging results, for example up to about 10 grams of gold per tonne of rock.
Aktuelle Unternehmensinformationen und Pressemeldungen von Bluestone Resources (https://www.resource-capital.ch/en/companies/bluestone-resources-inc/) und Treasury Metals (https://www.resource-capital.ch/en/companies/treasury-metals-inc/).
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
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