FRANKFURT – East Africa -- and I include the Italy suburb of Ethiopia -- is the freshly scrubbed newGold Coast for European resource investors.
“I think Africa overall is in demand in London and with the Swiss and German investors, with emphasis on Liberia (West Africa), Rwanda, Tanzania, the Sudan and Ethiopia: places still in discovery phase,” says Sam Jonah, a Ghana gold pioneer who runs Sam Jonah Capital from Johannesburg, South Africa.
Sir Sam is a knight in England in recognition of his decades-long stewardship of Ghana gold miner Ashanti Goldfields and its generative Obuasi Mine. I just saw him again a few weeks ago in Accra, the capital of Ghana. (See article:Sam Jonah’s African Fruit)
What Sir Sam had to say about East Africa convinced meI needed to revisit Tanzania after all these years of hanging my hat in West Africa. A few weeks later and presto, I was jamming in Tanzania and checking into Ethiopia, courtesy of Andrew Lee Smith’s Canaco Resources (TSX: V.CAN, Stock Forum).
My on-site visit to Canaco’s Harvest gold and polymetallic project in Ethiopia is on the record here:Please see article. (Photo here: Geologist consultant Sandy Archibald shows us what he hopes to reap at Harvest—Meghan Brown photo)
My Tanzaniatake on Canaco’s Magambazi concession in the Handeniis in the works. I started the on-site report in Frankfurt as I awaited my connection back home from East Africa. Likely it will see light of day early next week via Stockhouse.com.
In the meantime, my intentions as always I wear on my sleeves. I fell in love with Canaco’s Magambazi, some five hours’ easy drive from the coastal city of Dar es Salaam. I think the next round of drill holes, and there are at least two dozen holes awaiting laboratory release, will be spectacular. I base that in part on our viewing of the drill core on the expansive property.
I am, coincident with this report and Canaco’s AGM shareholder gathering today (Friday) in Vancouver, Canada, set to purchase shares of Canaco. That means I likely will receive an additional 20 percent of whatever amount I purchase today in shares of Ethiopia’s Tigray Resources (scheduled ticker is TIG), if the spinoff wins Canaco shareholders’ approval and Canadian regulators’ signoff to trade as a separate stock entity. By the time this article is published, the two-thirds shareholder approval almost certainly will have happened. And I will have purchased shares before next week’s record date of ownership.
Our audience knows that I am fully invested in the resource companies that each four-king-pizza day sink to fresh lows. C’est dingue. Wholly mozzarella. It’s one of my specialties, two actually: making thin-crust pizza & buying stocks whose prices keep falling like a blade on the thick four-king chop block.
At the conclusion of this article are several resource companies that deserve recognition for marking fresh lows, in most cases one-year lows. I know I own a few of them. That is because my net worth since this dang-it resource equities slide began April 1 is down about 38 percent. (Former subscribers and this beloved Stockhouse & BabyBulls.com audience will be glad, or not as the case may be, to know that my body weight is up 10 percent during this silly three-months-and-running span. That is a good thing in my physical world.)
Our subscribers of Ticker Trax, a 35-month service that I bequeathed to Calgary writer and investor Danny Deadlock, must know that there is nothing that has changed regarding my featured companies. In most cases, I own shares of them. In some cases, I own oodles of shares.
Here are a few of those so-called “notable” 52-week (or close to it) resource lows. These are the ones whose projects I have seen with my own eyes … or whose shares I own. Or whose properties I intend to visit soon.
They include Kiska Metals (TSX: V.KSK, Stock Forum) in Alaska; Xtra-Gold Resources (TSX: T.XTG, Stock Forum and XTGR), a company whose shares I own in large quantity and whose Ghana gold properties I have visited four times now; Serafino Iacono’s Gran Colombia Gold (TSX: T.GCM, Stock Forum) in my favoured and now freshly inexpensive (finally!) Colombia – my preferred Paris of all Latin America; and True North Gems (TSX: V.TGX, Stock Forum), a ruby prospector whose shares I purchased this week. (Yes, it is true: I am developing several stakes in diamond and gem companies.)
That is all for now. I will have an on-site report about Canaco and its Handeni holdings in coming days via Stockhouse. (I now own Canaco shares as of Friday noon Pacific time: 12,800 shares. I do not use margin to purchase shares.)
SANDSPRING: Next week I will be accompanying Guyana gold and copper prospector Sandspring Resources (TSX: V.SSP, Stock Forum) and its family founders, founder John Adams among them, in an investor tour across Southern California. Those of you who would like to learn about Sandspring and lick a plate or two, including dessert, please sling me a note at tc-at-sdthc-dot-com. (I own shares of Sandspring and have seen Toroparu in Guyana twice now, going on three times. Sandspring is a client of Torrey Hills Capital in Del Mar, California.) … I will be speaking at the Gold Antitrust Action Committee’s August gathering at The Savoy in London. Sponsor companies include Golden Predator and Samex Mining. I believe there are two sponsorship spots left.
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