Good afternoon
Following a bit of a late sell-off in New York yesterday evening, I feared for a real setback today…however, it did not eventuate! Australia not looking to bad today, and Europe as well as the US are looking slightly green…despite new corona infections in the US in absolute numbers still increasing pretty badly.
Metals looking ok so far, no unusual volatility and no major changes in price!
Trump has nothing better to do than to play the blame game with the Chinese government…as if he had nothing better to do…US cases still exploding…New York death are now exceeding 2200 people, and authorities as well as the health system seem very stretched.
Oil is very strong - China wants to buy for the strategic reserve. Oil stocks very strong - Royal Dutch up by more than 12% in the moment. Trump tweets, that Saudi/Russia are cutting 10 mill barrel oil, maybe 15…he forgot to mention wheather per day or per month or whatever? .but I am sure, that he does not know any details anyway. For now, oil is jumping big time to 30$!
US unemployment numbers up by a record amount again…comments say, that analysts had been surprised by the size of the jump. What do these guys smoke? Don´t they read the newspaper??? Nevertheless - the numbers were bad enough to give the gold price a bit of a run, which currently is trading at 1612 US$ or 2670 A$
Tietto - announced another round of positive drilling results from their main prospect. It increasingly looks like they will also have good potential underground, on top of the open pit resource. Drilling is continuing full steam ahead at this stage. The company took some measures to counteract virus risks in early February already. The fact, that the MD is of Chinese origin, and that most of the drilling team is from China, is probably good news - in the first place, I feared the opposite. But they have had no cases at all, and that means, that they will not have any any time soon as well. All Chinese drilling people returning from home, had to go into a 2 week voluntary quarantine. There are more assays outstanding, and we should also see shortly first results from the area immediately to the North, where has been intense , artisinal mining activity in the past ( which is certainly no guarantee, just an indication ). Stock still looks extremely cheap…
I looked at a few valuations today…Chalice with one drill hole drilled, 146 Mill A$ / Legend with a few more holes 320 mill A$ / Staveley with 85 mill A$ / Mincor 171 mill A$ ( with smaller reserves and resources ) and then you have Panoramic, in production ( even though no full production as yet ), great reserve, substantial exploration upside…capped at 95 mill A$. I think it might come down to the old saying: Never mine a good ore body! Having said this, I bought a few Chalice today…as I said the other day: Absolutely EVERY geologist I talk to loves this thing…
Have a nice evening
WS