Home » Exploration » What’s working? Nearology darlings and a mispriced stock

Here are my most recent buys. Honestly, these have all felt like no brainer buys where you kind of wonder who’s the schmuck selling you the shares at such a low price. Odd feeling that is. Turns out to have been warranted, which is nice for a change!

As an aside, I am amazed how most North American speculators continue to ignore and turn a blind eye to ASX and AIM listed stocks. Many of the absolute best opportunities over the past few years have hailed from the ASX and AIM. Their loss.

Antipa Minerals (AZY.ax) – huge land package (and JV with Rio) in red hot Paterson region of WA where rumors are swirling of a huge discovery by Rio. Greatland Gold (GGP.L) hit 275m of 4.77 g/t Au and 0.61% Cu next door, adding serious fuel to the fire. AZY had a modest ~$AUD 50MM market cap at the time with stupid blue sky potential. No brainer buy on the heels of the GGP.L news. Bought at 0.024 and sold some at 0.032.

Cohiba Minerals (CHK.ax) – tenement 2km from BHP’s jaw-dropping 180m 6.07% Cu, 0.92 g/t Au, 12.77 g/t Ag discovery near Olympic Dam. I was asleep at the wheel and missed out on Cohiba shares on the first day of trading post discovery. Bought at the open next day at 0.015. Closed at 0.021 which gives it a market cap of roughly $AUD 11MM – still stupid cheap for the potential. I’m holding here – think this goes to 3 cents + before it cools off.

Gatling Exploration (GTR.v) – was recently spun out of Bonterra Resources. At time of spin out, the company had a ~1 million ounce gold resource and $7MM cash. When the stock began trading, it was in the $0.20-$0.30 range for over a month – an enterprise value of ~$2-$3MM, or $2-$3 per ounce in the ground. Even the “cheapest” (read: sketchy jurisdictions with no exploration upside and continuity and metallurgical issues) projects out there garner a valuation of $5+ per ounce in the ground. This was simply a mispriced stock and it didn’t take a genius to recognize it. Shout out to HHorseman for getting it on my radar. I bought several times in the high twenties and low thirties. I’ve since exited the position completely.