Playing the Gold, Silver Equities Selloffhttps://www.theaureport.com/pub/na/12741
TGR: You mentioned Silvermex earlier. What are your thoughts on it?
ST: Silvermex continues to do a good job ramping up production at La Guitarra. It's slow and steady. Its stock got caught in the selloff that we talked about earlier, but it's trudging along.
I'm very bullish on silver. I believe that could outperform gold on a percentage basis over the next two to three years. Silvermex is a great way to play that trend.
TGR: What's the next catalyst for that stock?
ST: It's going to be either the silver price and the macro developments that drive that or further delineation of its plans going forward at La Guitarra. Silvermex is getting some good drill results in some high-grade areas. Everyone's waiting to see where it wants to go.
TGR: Does Pan American Silver Corp.'s (PAA:TSX; PAAS:NASDAQ) purchase of Minefinders Corp. (MFL:TSX; MFN:NYSE) bode well for a company like Silvermex?
ST: Clearly, Silvermex could be a good acquisition target at some point. It's a process that will continue into the years ahead, however.