THE Junior Gold Stock Primed for a Bull Market Run
By October 19, 2018
– Published onTHE Junior Gold Stock Primed for a Bull Market Run
No matter which financing titan I talk to, whether it’s Rick Rule, Frank Holmes, Marin Katusa or Frank Giustra…
They all tell me that “People” are the #1 thing they back.
With BIG money. Their own money.
It’s not uncommon for one of these big-time financiers to write a $1-$10 million dollar check just because of a single last name on company incorporation documents. They know that winners breed winners.
Over the past year, many of these resource titans have quietly financed several junior exploration companies. They know what is coming, the writing is on the wall….
Gold Broke Out of its Multi-Year Trading Range
The surge past $1,400 and then $1,500 was swift.
When gold moves, it moves fast.
And many gold stocks climbed higher in a hurry, with some gaining 367%.
The resource focused conferences and summits Cambridge House puts on are increasing in attendance. The YouTube videos are now doing over 100,000 views and growing.
People are starting to care about gold again.
Every year, I showcase some of the best and brightest in the mining space at the intimate San Francisco Silver and Gold Summit.
And no matter the type of market, there are always few darlings at the show who go on to have a mammoth year.
At last year’s event we featured winners like Equinox Gold, Sun Metals, Liberty Gold and few others who had huge gains for their shareholders.
And that was in a bear market….
But, some companies will be no longer be around next year. Not because of insolvency like in the lean years…
Instead, a number of juniors will get scooped up and acquired at a significant premium through acquisitions and mergers.
Riding a Gold Bull Market to the Bank
$6,109,927,959.
That is the amount of new wealth gained when the price of gold rises by only $1 an ounce. That’s not a typo.
That means for every dollar the price of an ounce of gold moves, the wealth of those holding physical gold increases by over $6.1 Billion.
As you know, the wealth created in the stock market can result in an exponential increase for a gold stock that’s leveraged to a good team, good results and a rising gold price.
If you look at the run up of gold in 2010, you can tell why investors are giddy about the upcoming years.
Gold is buzzing again. You hear about it the news, stock forums, elevators, bars and even on the streets.
Investors have just started flowing into the gold sector, and it’s just a matter of time before they start flooding in.
The early innings of a gold rush are here. Just Google “Gold stocks” and you will see a surge in results.
Searches for gold and gold stocks has now outpaced cannabis stocks for the first time ever.
Big time hedge fund kingpins like Ray Dalio are talking about investing in gold.
Franco-Nevada’s founder, Pierre Lassonde, recently said he sees gold going to $25,000 in the future.
While I’m not in the prediction or guru game, I’ve seen firsthand the power of leverage that gold stocks have.
Gold rises 10% and gold stocks – especially well positioned juniors – rocket 100% or higher.
And if they get impact-style drill results or a good joint venture partner, then you’re looking at major triple and 4-digit returns.
But as my mentors Rick Rule and Marin Katusa say, a lot of these companies are lottery tickets and burning matches. How do you know which ones to focus and put your money on?
Easy.
Yesterday I told you about the Next Generation of Mining’s Triple Crown.
This is a trio of YOUNG, POWERFUL and WELL-CONNECTED individuals who founded a junior gold exploration company looking at a major target with even bigger results.
And today I want to reveal this company to you.
Gold Bull Market - Junior Spotlight
Barrian Mining (BARI.V)
Over the years, I have met many famous names in the business. The ones that have done billions of dollars in deals together.
And this one junior company has some of the best last names in the business…
Max Sali is the co-founder and CEO of Barrian.
His father, Barrie Sali, was a prolific Vancouver investor, developer and one of the founders of Qtrade Securities. His uncle Rob Sali was the power broker for Dundee Securities. Rob is a living legend in the game and was a sounding board and trusted broker of the biggest names in the business.
Of course, simply having the right lineage doesn’t guarantee success. But what it does do is set up connections and open doors that wouldn’t otherwise be available.
Co-founder, Brad Telfer, is the son of Ian Telfer, who founded Wheaton River and took it from $10M market cap to over $2.4B and eventually became Goldcorp.
And the third piece of the puzzle is Jordan Trimble who has founded and worked with several public companies during his career in the mining sector. He currently runs Skyharbour Resources and has one sale of a company under his belt with the sale of Bayfield Ventures to New Gold Inc.
Building up a Bolo of Cash
Barrian’s flagship asset is the Bolo gold project located in Nevada.
It’s a top tier mining region that is no stranger to operations and has a long history of past wins.
The Fraser Institute ranks Nevada as the top jurisdiction in the world for mining investments.
Nevada Gold Facts
Over 5.5 million ounces of gold is produced in Nevada annually. Over 70% of the gold produced in the U.S. comes from the state.
If Nevada was a country on its own, it would be the fifth largest producer of gold in the world.
The largest goldmine in North America - Goldstrike - which is in Nevada, has produced over 40 million ounces to date and produces over 1.2 million ounces of gold annually.
Twin Creeks, Turquoise Ridge, Goldrush, Cortez and many of the other tier 1, world class gold mines in Nevada all share one feature…
These mega mine gold producers in Nevada are known as Carlin-type deposits.
To us non-geo’s, it means that the gold is not visible to the naked eye. Without labs assaying the gold, you wouldn’t be able to determine whether you have gold or not.
The Bolo Project Was Highly Sought After
Bolo was highly sought after by some of the biggest names in the industry.
In fact, a famous geologist, directly responsible for over 20 million ounces of Carlin-type gold and backed by one of the biggest financiers in the sector, was chasing after Bolo.
But it was the aggressive trio of Sali, Telfer and Trimble that aggressively landed this big score in Nevada snagged the prized asset. The young guns jumped on a plane, got the deal done and pulled the rug under the big names going after Bolo.
Barrian optioned earning a controlling (50.01%) interest in the Bolo project by spending US$4 million in exploration expenditures over 3 years, alongside US$1 million in staged payments of issued shares.
They also locked in some additional optionality, to increase that stake up to 75% with an aggregate US$8M spend that can be accelerated anytime.
The site is also right next to a historical working mine and close to power, water, and roads.
This accessibility makes exploration and development very easy.
The Lottery Ticket Upside in Barrian
Running several conferences, I see hundreds of pitch decks, booths, PowerPoints and companies every year.
But I never get tired of listening to a pitch that has promise from management that can deliver.
Bolo has the right address and all the infrastructure benefits of the mega gold mines. But the other most compelling part is that it has all of the characteristics of all of the Carlin Trend gold deposits and mines in Nevada.
Like the mega deposits in Nevada, Bolo has:
- Northerly-trending structures with Breccia bodies along the vast array of high angle northwest-northeast cross faults
- All the right trailer elements such as arsenic, antimony and barium (which is a good thing when associated with gold)
- Hydrothermal alteration
- Low concentration of base metals (again the right ratio for the Carlin trend)
But in the end, it all comes down to the ultimate truth test in gold mining, the drill results.
And this is the most promising part of the Bolo program.
To date, some 12,000 meters worth of drilling has been done on Bolo, and the project has demonstrated excellent gold mineralization at surface.
To the layman that might not sound like much, but shallow mineralization makes it easier to do open pit mining.
Bolo has had some high grade and thick intercepts from drilling led by veteran geologist Andy Wallace in the early 2000s. Wallace is one of the most successful Nevada gold geologists ever and has discovered millions of ounces of gold in Nevada.
There were some smaller dill programs completed in the past in 2013 and 2017 by which yielded some interesting drill holes with 30.5 metres of 3.24 g/t gold and a broader zone of 1.28 g/t gold over 133 metres.
Barrian has drilled 10 new deeper and fatter Reverse Circulation holes and management is very confident about the upcoming drill results.
If Bolo can repeat anything near the drill intercepts that Andy Wallace drilled in the early 2000s, Bolo stock is going to go vertical and fast.
Barrian just completed their first drill program at Bolo at the end of September 2019.
And results from that are expected at any time.
Shares are Tight and Wound Up
Telfer, Sali and Trimble own a large number of shares. Together with close associates they own over 55% of the company’s approximately 44 million shares outstanding.
Barrian is trading in the $0.20 cent range and insiders have been quietly buying additional shares (over 500,000) in the open market. This is rare, and it shows the commitment and confidence that Max Sali and his team have in Barrian.
With any good drill results, this story has all the right ingredients to be a star performer over the next 6 months.
It has very well-connected founders, who will have no trouble raising money and bringing in big names to the company.
In mining, as in all sectors, the earlier you get in when the story is in its high-risk infancy, the more you stand to make.
Barrian has a coiled up tight share structure that speculators absolutely love – which provides for the most explosive upside.
I will be watching their drill results very closely. So will members of my exclusive Pangea Club that will have an intimate dinner with the Barrian management team this during the Silver and Gold Summit in San Francisco.
I mentioned earlier some of the big winners from last year: Equinox Gold, Sun Metals, and Liberty Gold. Strategic investors who got in early on those companies have identified Barrian as the next big thing.
The smart money has already placed their bets with these young scions and their company.
Do you want to left be on the sidelines while the Gold Bull Market takes off?
Barrian will be a featured presenter at the San Francisco Silver and Gold Summit on October 27th and 28th.
And to get you started, my team has prepared a report walking you through the finer details of this junior gold company.
See you in San Francisco.
Regards,
Jay Martin
CEO, Cambridge House International
Disclaimer: Barrian Mining will be presenting at the upcoming 2019 San Francisco Silver and Gold Summit. Cambridge House has received a paid sponsorship from Barrian Mining. The company and its affiliates may own shares in Barrian. This is not to be construed as individual investment advice and this is not a recommendation to buy or sell the company, please do your own due diligence. All material was taken from publicly available information via SEDAR, company news releases and discussions with management about published information. Management has reviewed and sponsored this article. Never make an investment based solely on what you read in an online newsletter, especially if the investment involves a small, thinly-traded company that isn't well known. Past performance is not indicative of future results and should not be used as a reason to purchase any stocks mentioned in this publication or on this website. Cambridge House is not a registered broker-dealer or financial advisor. Before investing in any securities, you should consult with your financial advisor and a registered broker-dealer. Please review the filings on Barrian’s SEDAR profile for more details regarding the company and its risks. The scientific and technical information contained in this article as it relates to Barrian’s projects have been reviewed and approved by Kristopher J. Raffle, PGeo (B.C.), principal and consultant of APEX Geoscience Ltd. of Edmonton, Alta., a director of Barrian and a qualified person as defined in National Instrument 43-101 -- Standards of Disclosure for Mineral Projects.
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