My favourite gold (PM) plays...........Hi Machzdamage,
SCP would without a doubt be my favourite gold (not pure gold) play. Cash rich as they now appear to have about 260 million in cash. Sprott Resource Corp. (T.SCP) has acquired 40,475 ounces of gold bullion and 852,478 ounces of silver bullion in the past quarter. As you can see SCP trades well below its cash value alone. They also have an extremely strong management team. For disclosure I have 10K shares of SCP at an average of $1.76.
SCP Capital Structure (as at Dec. 1, 2008)
Toronto Stock Exchange SCP / SCP.WT
Shares Outstanding 81,807,229
Warrants Outstanding 3,855,430
September 5, 2009
(Exercisable at $2.50)
Warrants Outstanding 16,594,284
December 31, 2010
(Exercisable at $4.25 – Callable at $6.00)
DIRECTORS
Kevin Bambrough
John Embry
Terry Lyons
Murray Sinclair
Eric Sprott
Michael Winn
I like Orvana (T.ORV) which trades WELL below cash value and runs a very profitable, low cost mine in Bolivia. (The Dan Mario mine). The problem is that many investors are nervous about investing in Bolivia and until Orvana makes an acquisition outside of Bolivia, I have a gut feeling this play will trade sideways.
I like Romarco (V.R) as they have a very well defined measured and indicated resource base for a junior explorer. This play has begun to run a bit. I originally bought quite a few shares at $0.14 but have sold half my position at $0.28 & $0.29.
For a short term trade I really like ECU silver (T.ECU) as they have acquired a mill and will be going into production in less than 2 months, to the best of my knowledge. They have significant gold tailings that they were unable to process before but can now. The latest PP which was priced at $0.70 should be oversubscribed and will close soon. The SP is currently $0.59 which is quite low for a play with potential resources of well over 1 billion ounces of silver. Once again for disclosure I have been buying ECU on the dips and selling in the mid to high $0.80’s to accumulate as many free shares as possible. I bought 40K shares at $0.60 over the past couple of days. ECU is a GATA favourite as well.
Good luck. Tennis.