Mining Review Sunday Update 22nd August 2021
Once again gold was the focus this week, trading was shaky but in the end it ended up a single US dollar higher than the previous week’s close at $1781.
Iron ore prices fell 22% in a week.
Of the companies we follow, Osisko Development and Maple Gold were the standouts with positive exploration news.
.
.
Wesdome Gold Mines – Eagle River underground mine
.
Mining Review Sunday Update 22nd August 2021
.
Once again gold was the focus this week, trading was shaky but in the end it ended up a single US dollar higher than the previous week’s close at $1781. Some market commentators fear that, as gold has not regained the $1,800 level, another selloff could be on the way.
The Central Bank of Russia purchased 3.1 tons of gold recently, which did not feature in the popular western press.
One piece of news that did receive comment in the press was that a data analytics company, Palantir, has purchased $50 million worth of physical gold bars. This shocked Wall St., and perhaps is an indication that companies are becoming wary of holding their funds in dollars and bonds.
Silver had another poor week, losing 3%.
Lithium rose 6% to on the back of the strike by Albemarle employees in Chile. They produce 28% of the world’s lithium, so this strike was bound to result in a price spike.
Copper fell after the unions and BHP reached agreement, and the strike at the giant Escondida mine in Chile came to an end. The fall was exacerbated by fears that Chinese growth would be lower than anticipated.
Iron Ore prices were absolutely hammered, down 22% in a week! The fall month on month was an incredible 36%. This is since the Chinese government introduced their process of limiting speculation in strategic metal prices.
.
Of the companies we follow, Osisko Development and Maple Gold were the standouts with positive exploration news. Wesdome Gold released impressive Q2 results, and confirmed the restart of the Kiena Mill.
.
Stocks on our watchlist in the news last week
Newcore Gold – Increased their exploration program to 90,000 m at Enchi in Ghana
Maple Gold – Released 3D results from their Telbel prospect
Osisko Development – Hit 70.96 got Au over 2 m at the former Barkerville Cariboo project
Westhaven Gold – Wildfires at their Shovelnose project forced the suspension of drilling.
Wesdome Gold – Released Q2 201 financial results, and the successful restart of the Kiena Mill.
Boab Metals – Released a new corporate presentation
.
Market Data
.
Precious metals
| Gold | 1781 | 0% |
| Silver | 23.02 | -3% |
| Palladium | 2208 | -14% |
| Platinum | 997 | -13% |
| Rhodium | 17000 | -6% |
Gold failed to finish above $1,800, leading some market commentators to believe that it may have another selloff, as the US $ Index rises, and FED tapering is once again threatened.
Another poor week for the PGM sector, with some car production being curtailed due to a shortage of micro chips / semiconductors. Substitution between palladium and platinum is also occurring.
.
Base metals
| Copper | 4.08 | -5% |
| Nickel | 8.38 | -5% |
| Zinc | 1.33 | -3% |
| Tin | 14.85 | -11% |
Tin is the biggest loser after a tremendous run recently came to an abrupt halt and reversed. Copper and nickel declined due to concerns about Chinese GDP falling.
.
Energy Metals
| Cobalt | 23.22 | -2% |
| Manganese | 2.84 | -3% |
| Lithium | 15385 | +6% |
| Uranium | 30.45 | -5% |
.
Bulk commodities
| Iron Ore | 131.7 | -22% | -36% |
| Coking Coal | 203 | -2% | -2% |
Iron ore took a huge tumble as market sentiment determined that demand would be poor. Coking coal was surprisingly stable given the news from iron ore.
.
The City Investors Circle
Mining Review Sunday Update for the 22nd August 2021 is complete
=======
.
City Investors Circle is based in the financial district in the City of London
We present interesting and exciting junior mining companies listed on the ASX and TSX stock exchanges to a group of city professionals, and private investors, all of whom are active investors with a mandate to invest in junior mining companies.
Our audience is selected and invited individually to ensure interest and relevance for the presenting company.
Meetings are non deal, small group, highly focused and engaged, with a lively Q and A to follow the main presentation.
We create awareness, and maintain interest in presenting companies by disseminating their future news to our entire investor group via email, social media, and our Monthly Review newsletter.
If you wish to present to our select group of active mining investors, please email andrew@city-investors-circle.com
.
=======
,
This website is not sponsored, we are truly independent, and will always remain so.
Companies featured here have either presented to the Circle in London, or have been selected because they are considered to have interesting projects, in good jurisdictions, run by an experienced management team.
All information used in the preparation of this communication has been compiled from publicly available sources that we believe to be accurate and reliable, however, we cannot, and do not, guarantee the accuracy or completeness of this.
These articles are for awareness and informational purposes only, and are not recommendations in any form. Always consult an investment professional.
Disclosure
At the time of writing the author holds shares in Newcore Gold, Maple Gold, and Boab Metals, bought in the market at the prevailing price on the day of purchase.
.
To read our full terms and conditions, please click HERE