13.01.2016
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Topics:
Alabama Graphite, Altona Mining, Birimian Limited, Caledonia Mining, Endeavour Silver, EnWave, Fission Uranium, GoldMining Inc, Klondex Mines, MAG Silver, Pershing Gold, Rye Patch Gold, Sibanye Gold, Sierra Metals, Sulliden Mining, TerraX Minerals, Timmins Gold, Treasury Metals, Uranium Energy, Uranium-Comeback, Lithium-Sector.
Ladies and gentlemen,
With this first SRC newsletter in 2017 we would like to give you a short review over the most important topics in 2016 and a forecast on 2017 for a couple of interesting mining companies.
Alabama Graphite was able to publish some very positive results from its pilot plant in 2016. This led to several test supplies to lithium ion battery producers.
The company will continue with these supplies and hopes, that Trump will favor the development of own US projects.
Video:  Don Baxter, CEO interview Mines and Money London 2016

Altona Mining published several new discoveries from its high-grade Roseby South Project.
In the following months, the company will force to complete the planned joint venture with the Chinese Sichuan Railway Investment Group. Should there be finalized a positive agreement, Alton Mining may get a completely re-evaluation.
Video: Dr. Alistair Cowden comments about the SRIG Deal with AOH

Birimian Limited was able to publish a high-grad lithium resource for its West African Bougouni project in 2016. This led to several letters of intent with Asian high-tech companies. Recently, the company got a concrete bid from the Chinese Shandong Mingrui Group for an amount of AU$107.5 million. Furthermore, the company was able to set an option-agreement with Randgold for its gold project Massigui.
In 2017 the company intends to close the Bougouni deal and to develop the Massigui project together with Randgold.
Video: Company presentation Birimian

Caledonia Mining continued with its plans to make the Blanket Mine more efficient, what led to a record fourth quarter in 2016.
The improvements in efficiency will be completed by 2017. The company intends to continue with its quarterly dividend policy. The dividend yield currently lies at about 4%.
Video: CFO Mark Learmonth interview Commodity-TV

In 2016, Endeavour Silver acquired the far developed projects Parral and El Compas, which shall be brought into production until the end of 2018 latest. Furthermore, the company was able to discover and expand several top-class veins at its Terronera project. Besides that, the all-in-costs have been drastically reduced.
For 2017 the company wants to lay all its focus on the production start at El Compas and the development of the Terronera project, including a pre-feasibility study.
Video: Bradford Cooke, CEO Endeavour Silver interview Edelmetallmesse Munich  

EnWave signed several top-class license-contracts with food and animal food producers and technology companies. This led to the first profit in the company’s history.
In 2017, the company should be able to gain more license contracts which should led into a long-term profit zone. This could allow the company to pay a dividend to its shareholders.
Video:  John Budreski, Executive Chairman EnWave interview, Commodity-TV

Fission Uranium was able to heavily expand the mineralized trend at Patterson Lake South to a distance of more than 2.6 km. Therewith, the company now owns the largest high-grade uranium project in the Western Athabasca Basin.
2017 will be hallmarked by exploration activities, which will be operated within the current known trend, but also outside of it. All this shall lead to a new resource estimate in the 3rd quarter.
Video:  Ross McElroy interview Mines and Money London 2016

GoldMining Inc. the former Brazil Resources, completed the acquisition of the Titiribi copper gold project in 2016. Furthermore, the company was able to publish top-class resource estimates for this project and the Whistler project.
2017 shall also be a year of acquisitions and resource expansion. With a further rising gold price the company may be able to profitably sell one or more projects.
Video: Newsflash #50 with Sibanye, Sierra Metals, Altona Mining & Gold Mining (Brazil Resources)  

Klondex Mines acquired the Hollister and Esmeralsa Mines and announced a positive production decision for the True North gold mine in 2016. Furthermore, the company was able to publish a couple of very positive drill results.
In 2017, Klondex will force its current mining activities to realize another record production. It will also show several mining activities.
Video: Klondex company presentation Commodity-TV

MAG Silver was able to fully complete the financing for its 44% Juanicipio project. The ramp construction for the project itself was nearly completed.
In 2017, the company will force the end of construction and the continuous improvement of the already excellent project economics.
Video: MAG Silver: Huge Upside Potential Below Developed Mine - ZURI Invest Night

Pershing Gold published a positive PEA for the Relief Canyon project in 2016. Furthermore, the company achieved the Environmental Assessment and Plan of Operations, authorizing Pershing Gold to expand the Relief Canyon Mine.
In 2017, the company will complete a pre-feasibility study for Relief Canyon, to be able to bring the mine back into production.
Video:  Newsflash #52 with Pershing Gold, Caledonia Mining & TerraX Minerals  
 
Rye Patch Gold surprisingly made the step from a pure exploration company to a producer in 2016. The company acquired the Florida Canyon gold mine and refurbished it until the end of the year.
The company intends to bring the mine back into full production by the end of the first quarter 2017. The operation is fully financed and will be able to finance itself by the coming cashflow and the ongoing royalty payments from Coeur Mining.
Video: Rye Patch Gold: Producing 75k Oz Gold at AISC 887$ from Q1 2017  

Sulliden Mining acquired the former producing Troilus gold mine from First Quantum in 2016 and was also able to publish a first own resource estimate for it. Furthermore, the company made a strategic investment in Carpathian Gold.
2017 shall be a year of additional, profitable investments in companies and projects.
Video: Sulliden Mining Capital: Advancing Promising Mining Projects Towards Development  

Sibanye Gold successfully acquired the gigantic platinum producing operations Aquarius and Rustenburg. In addition to this, the company was able to negotiate the acquisition of Stillwater Mining.
In 2017, the company wants to complete the Stillwater acquisition become the fourth largest platinum producer by successfully bring Aquarius and Rustenburg back into a profitable production. Investors still have a high dividend clear in sight.
Video: Sibanye Gold: Huge Reserves, Profitable Gold Production in South Africa & Highest Dividend of Peer Group  

Sierra Metals announced several new production records from its Yauricocha Mine in 2016. Furthermore, the company announced a completely new, high-grade mineralization near the current operation zone.
For 2017, Sierra Metals aims to improve last year’s exploration and production success.
Video: Sierra Metals: Mid-Tier Precious & Base Metals Producer in South America  

2016 was a big success story for TerraX Minerals’ drill campaign. The company was able to discover several new, high-grade zones at its extensive gold project Yellowknife City.
The drill success should continue into 2017. At least, Yellowknife City still houses a multiplicity of potential high-grade zones and even provides an enormous explorational potential for the already known deposits. The company is on a good way to become a takeover target.
Video: TerraX Minerals: High Grade Gold Exploration in Yellowknife, Canada  

Treasury Metals showed a couple of top-class drill results in 2016. Besides that, the company was able to acquire Goldeye Explorations and therewith secure the high-grade Weebigee gold project.
In 201, the company wants to develop the flagship project Goliath. Treasury should come more and more into sight of potential takeover interests.
Video: Newsflash #51 with Uranium Energy, Treasury Metals & EnWave  

Timmins Gold successfully re-structured the company in 2016 and thereby avoided a bankruptcy.
In 2017, the company will push on the development of the San Francisco mine in Mexico. It pursues a production of 100,000+ ounces of gold.
Video: Timmins Gold: Production at San Francisco Mine & Development of Ana Paula  

Uranium Energy was able to conserve its cash in 2016. The weak uranium market led to the fact, that the company didn’t produce any uranium. At the end of the year, it achieved the final mine permit for its Burke Hollow ISR project.
Depending on the uranium spot-price, which gained around 30% since December 2016, the company may come to a production decision in 2017.
Video: Uranium Energy: Uranium Price at Bottom - U308 Production Pending Higher Price  
 
The most important commodities in 2017
In our opinion, there will be two leading commodities in 2017. Uranium and Lithium - Lithium Report Update I  . While uranium was flagging until the end of 2016, there were some strong since for a turnaround recently shown. So, there was a record number of running nuclear reactors achieved in 2016. Only a few days ago, the world’s largest uranium producing country, Kazakhstan, announced, that it will reduce its uranium production by 10% in 2017. It seems that a supply shortage may be inevitable and therefore also a sharp recovery of the uranium spot-price. Especially as most of the long-term supply-contracts will run out soon and the large producers will not be interested in renewing them based on the current low prices.
Lithium may remain the second important commodity. The electro-revolution has just begun, the large giga-factories, which are manufacturing energy storage systems, mainly for the automotive sector, spring up like mushrooms. However, many new companies have entered the market in 2016, there will not be any new producing projects before the year 2020. This all will result in a massive supply shortage, which would hold the lithium price on a stable and high level.
 
 
 
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Swiss Resource Capital AG and the authors of the Swiss Resource Capital AG directly own and/or indirectly own shares of the following companies which are described in this publication: Alabama Graphite, Altona Mining, Birimian Limited, Caledonia Mining, Endeavour Silver, EnWave, Fission Uranium, GoldMining Inc, Klondex Mines, MAG Silver, Pershing Gold, Rye Patch Gold, Sibanye Gold, Sierra Metals, Sulliden Mining, TerraX Minerals, Timmins Gold, Treasury Metals, Uranium Energy.

Swiss Resource Capital AG has closed IR consultant contracts with the following companies which are mentioned in this publication: Alabama Graphite, Altona Mining, Birimian Limited, Caledonia Mining, Endeavour Silver, EnWave, Fission Uranium, GoldMining Inc, Klondex Mines, MAG Silver, Pershing Gold, Rye Patch Gold, Sibanye Gold, Sierra Metals, Sulliden Mining, TerraX Minerals, Timmins Gold, Treasury Metals, Uranium Energy.

Not for use in the USA. Only the German original version is valid. No assurance for translation.  This is only for your information and no financial advise. German Disclaimer
 

Hinweis gemäß §34 WpHG (Deutschland) und gemäß § 48f Abs. 5 BörseG (Österreich) sowie Art. 620 bis 771 Obligatorenrecht (Schweiz) zu bestehenden Interessenskonflikten der Swiss Resource Capital AG und der Autoren der Swiss Resource Capital AG:
Sowohl die Swiss Resource Capital AG, als auch die Autoren der Swiss Resource Capital AG halten aktuell Aktien von Unternehmen, die in dieser Publikation erwähnt wurden. Es besteht somit ein Interessenskonflikt nach oben genannten Paragraphen. Ferner beabsichtigen sowohl die Swiss Resource Capital AG, als auch die Autoren der Swiss Resource Capital AG in naher Zukunft, sich von Aktienbeständen zu trennen und damit von steigenden Kursen und/oder erhöhter Liquidität der jeweiligen Aktie zu profitieren. Zudem behalten sich sowohl die Swiss Resource Capital AG, als auch die Autoren der Swiss Resource Capital AG vor, jederzeit Aktien von Unternehmen, die in dieser Publikation erwähnt wurden zu kaufen oder zu verkaufen, auch unabhängig von einer Berichterstattung in Publikationen der Swiss Resource Capital AG. Auch hieraus ergibt sich ein entsprechender Interessenskonflikt nach §34 WpHG (Deutschland) und gemäß § 48f Abs. 5 BörseG (Österreich) sowie gemäß Art. 620 bis 771 Obligatorenrecht (Schweiz).
Ferner machen wir darauf aufmerksam, dass die Swiss Resource Capital AG IR-Beratungsverträge (Übersetzungen, Organisieren von Roadshows, Unterstützung bei der Suche nach Investoren bei Kapitalerhöhungen etc.) mit, in dieser Ausgabe erwähnten Unternehmen geschlossen hat und daraus ebenfalls Interessenskonflikte nach §34 WpHG (Deutschland) und gemäß § 48f Abs. 5 BörseG (Österreich) sowie gemäß Art. 620 bis 771 Obligatorenrecht (Schweiz) bestehen.
 
Die Swiss Resource Capital AG sowie die Autoren der Swiss Resource Capital AG halten aktuell Aktien an folgenden, in dieser Ausgabe erwähnten Werten: Alabama Graphite, Altona Mining, Birimian Limited, Caledonia Mining, Endeavour Silver, EnWave, Fission Uranium, GoldMining Inc, Klondex Mines, MAG Silver, Pershing Gold, Rye Patch Gold, Sibanye Gold, Sierra Metals, Sulliden Mining, TerraX Minerals, Timmins Gold, Treasury Metals, Uranium Energy.

Die Swiss Resource Capital AG hat mit folgenden, in dieser Ausgabe erwähnten Unternehmen IR-Beratungsverträge geschlossen: Alabama Graphite, Altona Mining, Birimian Limited, Caledonia Mining, Endeavour Silver, EnWave, Fission Uranium, GoldMining Inc, Klondex Mines, MAG Silver, Pershing Gold, Rye Patch Gold, Sibanye Gold, Sierra Metals, Sulliden Mining, TerraX Minerals, Timmins Gold, Treasury Metals, Uranium Energy.

Diese Publikation basiert auf den ausführlichen Risikohinweisen, Haftungsbeschränkungen und Disclaimern der Swiss Resource Capital AG, die hier eingesehen werden können:
Risikohinweis und Disclaimer SRC AG
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