RE:Northern Miner Interview There is a Friedland interview in the pack there at the Northern Miner Symposium. He's all over the map on various topics but on your point of undervaluation - 1. Where does all the metal come from in the escalating military expenditures of same, on top of "green transition" and on top of depleting mines and lengthening supply chain issues for development of new mines - all that specialized mining gear? And 2. ... easier to comprehend ... the entire mining index market cap vs the market cap of the S&P 500, has reached less than 1% ... an all-time low.
Friedland says, and man a fast talker, he says the current depressed prices are inventory depletion and destocking to bump revenues to cover higher interest costs on the producer side. Prices are low and depressed for gold and copper.
BUT ... the situation is untenable. Demands are inevitable and growing. Big price rise pressure is coming for industrial and precious metals. Copper and gold together is a fantastic mining proposition in terms of economic stability and cyclical metals prices.
In a few years people who missed the boat here are going to moan at the opportunity they passed up to load up across the mining investment spectrum. Senior producers, streamers, leveraged junior developers.
There is sniping in these parts about how it gets done between Seabridge KSM and Three Amigoes TC - it's just the economic pressure of depressed valuations and the rather intelligent refusal of Seabridge and Tudor to sell out when prices are stupid low. When the money comes dealscwill be done.
Back up the truck and wait. Great KK presentation by the way and he and the Tudor engineering/exploration team due big congrats on having drilled off a huge resource while achieving their goal of improved grades before ounces or pounds. When Perfact Storm starts producing big copper numbers it will just get better and better.
back up the truck but have staying power and wait. Not so so long, but a few years maybe. In the meantime as rationality returns to the valuation of the supply side in mining we should see some major market cap improvements on the back of both metals price increases but also a general revaluation of the mining sector.
cg