08. April 2021 | 09:36 CET
Plug Power, Blackrock Silver, Nordex - Right on trend!
Historically, silver, along with gold, has been considered a safe haven and protection against inflation. The precious metal is gaining more and more importance due to renewable energies in industrial production. Currently, silver is correcting, but in the long run, the prospects are extremely positive. Strongly rising public debts worldwide, unprecedented support measures of central banks and governments, and increasing concerns about high inflation are undoubtedly good arguments. In addition, there is an enormous demand in the electromobility sector and the photovoltaic industry.
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ISIN: US72919P2020 , CA09261Q1072 , DE000A0D6554
"[...] In our experience, the local communities are supportive and friendly. [...]" Steve Cope, President, CEO and Director, Silver Viper
Blackrock Silver - Hot irons in the fire
Politicians want it and the automotive industry welcomes the switch from combustion engines to electric motors. Worldwide, battery-electric solutions are being massively promoted by governments. Silver demand could already rise to around 60 million ounces in the current year, with further demand growth of about 8% per year until 2025. The reason for this is the much higher demand for silver per automobile. Around 15 to 28 grams of silver are consumed in vehicles with internal combustion engines. For hybrid cars, the figure rises to 18 to 34 grams. The demand is even higher for electric cars, at 25 to 50 grams per car.
The focus on silver has been set by the Canadian exploration Company, Blackrock Silver. In the "Silver State" of Nevada, which has a historically high production of gold and silver, the Canadians have two promising projects. The significant silver discoveries in Nevada included the Comstock Lode and the Tonopah Silver District in western Nevada within the so-called Walker Lane Trend. The flagship Tonopah West project covers a large area west of the Tonopah Silver District. Blackrock Silver's primary objective is to prove the district's western extension and restore the Tonopah Silver District to a significant producing area. To this end, 40,000m is being explored as part of the current drilling program. A resource estimate should be in place by year-end, according to management.
The Company announced yesterday that its Blackrock Gold Corporation subsidiary has entered into a property exchange agreement with Nevada Select Royalties, Inc, the wholly-owned subsidiary of Ely Gold Royalties Inc, and three other landowners who hold surface use rights to certain properties in the area of the Company's Tonopah West project in the Walker Lane Trend of Nevada. The agreement will allow Blackrock Silver to move forward rapidly with the Tonopah West project and its plans to conduct underground drilling in the near future. With this new agreement comes the opportunity for further development without any significant impact to the surface project.
Also reporting positive news was the second project, Silver Cloud, located along the Northern Nevada Rift. In the Northwest Canyon target area, drill hole SBR20-007 encountered a significant amount of gold mineralization, indicating that the east-west zone continues further than expected. With the excellent drill results, management plans to transfer the project to a new company as a spin-off. Silver Cloud promises potential because of this, as the geology shows many similarities to the Hollister mine operated by Hecla Mining. Blackrock Silver's stock has corrected 50% since peaking at around CAD 1.60 and has been bottoming out for several months. Currently, the value is quoted at CAD 0.79. With rising gold and silver prices, the share is a good addition to any portfolio.
Plug Power - Investor for green hydrogen
The crash due to irregularities in the balance sheet has not yet been digested. Thus, after the past month's horror reports, the chart slid from USD 75 to USD 33.50 yesterday. Chart technically, there is still no all-clear. The price is marching south again to test the course low at USD 30. Fundamentally, the fuel specialist is attracting attention with a new business segment. Together with Chart Industries and Baker Hughes, Plug Power founded the FiveT Hydrogen Fund, aiming to provide financial support for hydrogen infrastructure projects.
Nordex - Orders are hailing in!
Even in the crisis year 2020, there was no dip in orders. As a result, order receipts bubbled up at a similar rate to the pre-crisis year 2019. And demand for Nordex products continues to be in demand worldwide in the current year. Last week, orders for a total of 293 MW were received from Spain and Lithuania. Yesterday, the fax rang again. An order for the delivery and installation of twelve N163/5.X turbines in Finland was received from global wind farm developer Energiequelle. The orders for the "Takanebacken" and "Torvenkylä" wind farms also include a premium service contract for the turbines over the long term of 30 years. Nordex managed to reach an annual high of EUR 29.20 before profit-taking set in on the back of the positive news. In the short term, the value is overheated. The broad support at EUR 22 should, however, mark the end of a correction.