Menu

Recent Interviews

Nick Mather, CEO, SolGold PLC

Nick Mather
CEO | SolGold PLC
1 King Street, EC2V 8AU London (GB)

emichael@solgold.com.au

+44 20 3823 2125

SolGold CEO Nick Mather on building a major gold and copper mining company


Jared Scharf, CEO, Desert Gold Ventures Inc.

Jared Scharf
CEO | Desert Gold Ventures Inc.
4770 72nd St,, V4K 3N3 Delta (CAN)

jared.scharf@desertgold.ca

Desert Gold Ventures CEO Jared Scharf on West Africa and its potential


Stephan Dorfmeister, Finance Department, Deep Nature Project GmbH

Stephan Dorfmeister
Finance Department | Deep Nature Project GmbH
Untere Hauptstraße 168, 7122 Gols (AT)

office@deep-nature.at

+43 681 10139055

Like Aurora Cannabis and Canopy Growth, Deep Nature Project GmbH focuses on value chain


24. June 2020 | 12:10 CET

Barrick, Franco-Nevada, Yamana - Gold price at record high and now the second row is getting interesting

  • Gold

In the morning the price of gold rose to over USD 1,770.00, its highest level since 2012, and continues to gain momentum; there is no end in sight. The big gold companies can already profit from the price increase since May 2019. Their margins have risen significantly and profits are developing in line with this. The share prices of the largest companies reflect what shareholders are already benefiting from: the flight of money into gold is in full swing. Gold is virtually the only independent currency in the world. There are now many opportunities to profit from it.

time to read: 2 minutes by Mario Hose


Nick Mather, CEO, SolGold PLC
"[...] We knew the world was rapidly electrifying and urbanising and needing significant amounts of copper to do so. [...]" Nick Mather, CEO, SolGold PLC

Full interview

 

Golden times have begun

When Barrick Gold, Franco-Nevada or Yamana Gold have gold produced and sold by their projects or their related companies, they are currently generating more profit than in the past eight years. The demand for gold has been rising for months and is gaining further momentum with the actions taken to combat the effects of the Corona Pandemic. By increasing the money supply, citizens rightly fear that their money will be worth less as a result of inflation. This assumption is well-founded and is supported by the US banks. Goldman Sachs recently raised its target price for gold from USD 1,800.00 to USD 2,000.00 per troy ounce for the next 12 months. The Bank of America even believes that a gold price of up to USD 3,000.00 in 2021 is possible.

Gold supply will decline

On the occasion of the rising gold price it is therefore obvious that producers will try to increase their quantities in order to maximise profits now and today. On the other hand, the reserves of the largest producers have been steadily decreasing since 2012, with a decline of around 34%. It is expected that a historic peak production of around 118 million ounces will be reached in 2020, which from today's perspective will then, due to a lack of permits and reserves, drop by around 45% to around 62 million ounces per year by 2029. Two things become clear from this: 1. supply is diametrically opposed to demand, which should give the price increase a further boost and 2. sooner or later producers with a lot of money in their coffers will start to take over the smaller market participants in order to rebuild the reserves.

Diversification with takeover candidates

In addition to the well-known names from the gold sector, shares of smaller companies are an ideal addition to the portfolio, as they are predestined as takeover candidates and already have well-known investors on board. At SolGold (solgold.com.au), with a focus on gold and copper, BHP is already the largest investor with a foot in the door. At Triumph Gold (triumphgoldcorp.com), the giant Newmont already holds 18% and is thus the largest single shareholder. Billionaire Eric Sprott joined gold explorer Scottie Resources (scottieresources.com) at the beginning of the year and has since held a stake of around 10%. The Canadian raw materials expert Ross Beaty is involved in Desert Gold Ventures (desertgold.ca) and Osino Resources (osinoresources.com).

In these smaller companies, investors have the advantage that when the price of gold rises, not only does the probability of a takeover increase, but the price per ounce in the ground also rises. With luck, the investors can multiply their investment.


Conflict of interest & risk note

In accordance with §34b WpHG we would like to point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH may hold long or short positions in the aforementioned companies and that there may therefore be a conflict of interest. Apaton Finance GmbH may have a paid contractual relationship with the company, which is reported on in the context of the Apaton Finance GmbH Internet offer as well as in the social media, on partner sites or in e-mail messages. Further details can be found in our Conflict of Interest & Risk Disclosure.


Related comments:

24. September 2020 | 09:15 CET

Barrick Gold, Blackrock Gold, Osino Resources: buy when weak?

  • Gold

The price of gold and silver has come under pressure in the past few days and so too has the price of the shares of the companies involved in the creation of value for precious metals. The fear of another lockdown in connection with the Corona pandemic seems to be worrying the markets. Against this backdrop the central banks and governments continue to support the economy with measures. The correction in precious metals may now be an opportunity to enter, because when the presses are running at full speed, the oldest currency in the world is usually a safe haven.

Read

18. September 2020 | 09:00 CET

BHP Group, Newcrest Mining, SolGold: Getting bogged down or putting all your eggs in one basket

  • Gold

When it comes to investing in commodity companies, the BHP Group is a household name. The British company is active worldwide, mining coal, iron ore, copper and other commodities and has long been considered a solid dividend earner. But recently the company has disappointed: Special effects put pressure on profits, unrest in Chile made life difficult for BHP and the Corona pandemic also left its mark: the bottom line at the end of the financial year at the end of June was a profit of no less than EUR 6.75 billion. While the mood among investors was not particularly good, BHP cut its dividend by around ten percent, thus spoiling shareholders’ sentiment even further. On a year-on-year basis, the share price fell by around 1.4%. In view of the good performance of copper following the outbreak of the pandemic, this is too little for many investors.

Read

15. September 2020 | 11:00 CET

B2Gold, Barrick Gold, Desert Gold: Did Warren Buffett bet on the right horse?

  • Gold

The price of gold has stabilized above the USD 1,900.00 per troy ounce mark in recent weeks. Against the background that the Corona Pandemic is not slowing down and that a second wave is becoming measurable in many places, the actions taken by governments and central banks are continuing cheerfully, thus ensuring further demand for the world's oldest currency. Those who want to protect their assets are probably best off buying shares in a gold company like Warren Buffett, and for those who can't decide, there is also a solution.

Read