Looking Good and Just the Beginning of a Long StoryThings are really lining up for TV. My top pick for Zinc bulls since August. Some real misteps and regular new mine building issues that many shareholders had to endure for sure for a long time, including more share issues than expected. Since the start in Peru though the company has been doing an excellent job, including regular updates with ramp up, and now at official commercial production. Rebuiling confidence in managment.
Company matches all my criteria for Juniors:
- Find a unique deposit/company: The company is probably the only pure play Junior to go to in the Zinc space. Not alot of other choices... If zinc bulls really want something this is where a lot of money will go to...it's unique
- Company should be is a rising commodity price environment: Zinc stock pile is reducing steadily, Supply/demand in deficite, production reducing, and not enough new supply coming on. No one will know the exact timing but either later this year or definately by next year will be great. It's already turning up. Lead looks good too.
- Must be high grade: Trevali has good grades in Peru and throughout there entire pipeline of projects. The new zones recently discovered have had great results, and tons of futher expansion
- Capital: Looks like they will be able to fully fund future ramp up and exporation without issuing more shares
A few other things, you won't find many other companies if any that just became producers with such a huge pipeline of projects in there control, especially at 100%. Not only are these deposits numerous, they are derisked with current infrastructure, high grades, former mines, and less permitting issues.
Lots of institutional support that will stay supportive for a long time. They have a supportive major partner partner in Glencore. They own the power station for the mine, with expansion, energy costs are a big factor with new mines. This is cheap power for them, and future flexibility exists.
I would say the entry point is excellent here for those not in. Good for short, medium, and especially longer term, investors will do extremely well in my opinion. Just the start of a long story. And for the techinicals chart looks great, in awesome trend.
Go Canada Go!!
Cheers
Presclubs