RE:RE:RE:Husband falling Retiredgeo wrote:
Most of the world's copper comes from the third world. It is hard to find a copper play without political risk.
I agree. It is hard to find a copper play without political risk, which is why I opened a small position in NCU Nevada Copper. It's the only producer with 100% of its production in the USA. The mine just started up recently; so yes, there is still execution risk, but provided this can be sorted out, then potentially there is good upside (albeit speculative, at least until it proves out a couple of quarters of profitable production). If copper holds at a price above $4.50, then there will be phenomenal returns in NCU, provided that it can execute as promised. We shall see.
For those who are comfortable with junior exploration companies, there is also US Copper, USCU trading on the TSXV. This company, based in NE California, near the Nevada border, is proving out copper reserves in an area that historically had plentiful amounts of copper, silver and gold. While it looks promising, this is still speculative, but it avoids the political risk you mention. Should the latest reports, expected later in 2021 prove the existence of the indicated and inferred copper, then I imagine this stock will see a fair pop because there is a relatively low share count (unlike the situation with NCU)
So, a bit of speculative execution and discovery risk, but these two copper companies avoid all of the political risk that so many other companies have. You might want to check them out. Personally, I've allocated a small portion of my roughly 10% metals & materials allocation to these two stocks, so we'll see how it goes. Of course, I still have positions in HBM and FCX for larger cap exposure.
GLTA