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Eric Sprott trims position in Honey Badger Silver

 Trevor Abes Trevor Abes , The Market Online
0 Comments| March 19, 2024

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  • Eric Sprott has allowed 1,253,132 common share purchase warrants for Honey Badger Silver to expire unexercised, representing a 5.5-per-cent decrease in his equity position
  • He now owns 7.5 per cent of outstanding shares
  • Honey Badger Silver is a silver exploration company backed by a highly experienced management team with a track record of value creation
  • Honey Badger Silver stock has given back 60 per cent year-over-year, and 62.55 per cent over the past five years

Eric Sprott has allowed 1,253,132 common share purchase warrants for Honey Badger Silver (TSXV:TUF) to expire unexercised, representing a 5.5 per cent decrease in his equity position on a partially diluted basis since the last early warning report.

He now owns 2,944,862 Honey Badger Silver shares, coming out to 7.5 per cent of outstanding shares on a non-diluted basis.

The expiry resulted in Sprott’s investment falling below 10 per cent, causing him to lose insider status at the microcap silver company.

Sprott holds the shares in 2176423 Ontario Ltd., a corporation he beneficially owns.

Why does Eric Sprott own stock in Honey Badger Silver?

Honey Badger Silver is an attractive stock thanks to having given back 60 per cent year-over-year, and 62.55 per cent over the past five years, despite providing exposure to projects with clear upside:

  • The Sunrise Lake project in the Northwest Territories houses a historic resource of 12.8 million ounces (Moz) of silver indicated and 13.9 Moz of silver inferred
  • The high-grade Plata silver project resides 165 kilometres east of Yukon’s prolific Keno Hill district, which is home to Hecla Mining’s (NYSE:HL) producing Keno Hill mine, and is adjacent to Snowline Gold’s (TSXV:SGD) Rogue discovery, which has sampled up to 95.3 g/t gold
  • The Clear Lake project in the Yukon features a historic resource of 5.5 Moz of silver and 1.3 billion pounds of zinc
  • Honey Badger Silver also owns significant land holdings in Nunavut that produced more than 20 Moz of silver between 1976 and 2002, in addition to two other Yukon-based projects

With silver expected to have a strong 2024 thanks to rising industrial demand, Sprott seeing a path for silver to 8x to US$200, and the gold-silver ratio around 85, well ahead of the long-run average of 65 since the 1970s, Honey Badger’s presence in districts with rich histories offers an abundance of catalysts to outperform silver, should the metal start to climb.

Honey Badger Silver is a silver exploration company backed by a highly experienced management team with a track record of value creation.

Honey Badger Silver stock (TSXV:TUF) last traded at C$0.08 per share.

Join the discussion: Learn what other investors are saying about this silver stock on the Honey Badger Silver Bullboard, and check out Stockhouse’s stock forums and message boards.

The material provided in this article is for information only and should not be treated as investment advice. For full disclaimer information, please click here.



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