We would like to invite you to our 19th
AUSTRALIAN RESOURCES CONFERENCE
in Zurich, Hotel Baur au Lac, on the 21st of February 2020
Please find invitation/registration/participating companies under the link: https://www.schroeder-equities.com/conference/
Registration – without any charge – is essential
As usual, the companies are inviting, and the attendance is free for investors
2020 is shaping up to be an interesting year. US brokerage Sanford C.Bernstein states, that resources stocks are at their cheapest vs the wider market in 100 years! We hope to present you with some companies, which should enable you to profit from this theme – covering a wide range of commodities from copper to gold, from gas to battery materials!
Please feel free to pass this invitation on to interested investors and colleagues. A detailed timetable will be forwarded to all registered attendees by mid-February.
Good afternoon,
Equities are getting a bit slower….Europe is currently down a little, while the US are still ahead ….
For the Australian market, some interesting statistics from Livewire: The market returned 20-30% ( like in 2019 ) on 19 occasions since 1900. In 17 of those occurences, this was followed up by another strong rise, averaging 18,5% vs the average return of 13,1%. Are we in for another good year?? In any case - momentum is with us!
China signalled no- or small cuts to subsidies for EV´s this year…
Base metals, especially copper ( which is making an 8-month high ), are stronger today….as gold is down by a few$ in late afternoon.
Resolute - announced 2020 guidance today., which is a bit disappointing. 500.000 oz at AISC of 980 US$/oz. The Mako Mine will produce 160.000oz at 800 US$ , which compares to 675 US$ in AISC last year. Syama especially is a disappointment vs previous, official broker forecasts, which had expected cost to be 20% or so lower…but I think the market never really expected these low costs, as the mine has not proven as yet, that the highly automated sub-level cave is working properly. There are some concerns as to whether the company needs to raise some money….But according to the Australian press today, ERM, the resources private equity fund, might well come to their “rescue”. The AFR reports about a 300 mill A$ sale of the Ravenswood Mine to them - which wuld be a fantastic price ( I sincerely doubt this price!! ). Even 150 mill A$ I guess would be welcome by the market, and would alleviate capital raising concerns, as Ravenswood has produced very little or no cash in 2019.
Chalice - the share price has improved considerably ove rthe last 4 weeks, and continues to profit from interest in Victorian golds, following the unbelievable success of Kirkland Gold with their Fosterville mine. The company is curently drilling a large anomaly, under substantial cover. Drilling is succesfully deliniating very low grade intersections, which according to the theory, are indicative for a potentially large resource underneath. The company is sitting on a lot of cash, but I would certainly like to see a few hits with real grades to underpin the market cap. But without any doubt - the potential price is rich, and in so far, the share price makes sense, even though it´s taking some success in it´s stride already. One to watch for now.
Evolution - donates 3 mill A$ to bushfire-related charities. A lot of money for the size of the company - but rathet to see it negatively, I think it´s a good example for many otehr mining companies. In the end, mining is relying on country people within remote locations, which currently can do with all the help they can get! The bushires seem to slow down a little - some more favourable wheather this week could bring more relief.
Have a nice evening!
WS
Schröder Equities GmbH
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Tel. +49-89-4613440-0
Fax +49-89-4613440-10
email: wschroeder@schroeder-equities.com
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