Lawrence Roulston - CZX I see that respected newsletter writer Lawrence Roulston has CZX rated accumulate on buying opportunities. Very good.
World class zinc deposits are few and far between. Akie is almost 30 million tonnes of approx 10% Zn+Pb. With some silver....
Interesting reading in this month's newsletter:
Junior companies now control many of the best development prospects available to the mining industry. The well-managed among those companies are continuing to add value to the deposits they hold.
Without getting into detail here, let me remind you that a metal deposit that has already been drilled off as a resource can appreciate in value by 10-, 20- or even 30-times as that deposit advances toward production.
As those deposits advance, there will be more takeovers. And, as was the case last year, the takeovers will come at substantial premiums to the present share prices.
It is very clear that mining companies will continue to seek out new acquisition targets: the miners need to replace depleted mines. In addition, demand for metals is continuing to expand.
Investors must be selective. The objective should be to own companies with high quality projects that will become takeover targets. Management is critically important. Companies that have cash are in a much stronger position than companies that will have to raise cash in a bad market.
Areas with low perceived risk will be more popular in the near term: Canada, parts of US, parts of Latin America.