Equedia Letter

The Destruction of Small Cap Miners15 min read

Comments (7)
  1. Dr. M. Abdul Awal says:

    What should be my modality?

  2. Dr. M. Abdul Awal says:

    Please send me the event

  3. RedDog says:

    The majority of exploration companies cannot afford to support on-going exploration using cash flow from mining operations. Instead, many should be looking at using the “Prospect Generator Model” which has become the resource industry’s most underrated strategy for minimizing risks while maximizing rewards.

    These Prospect generators acquire potential land packages w/ high potential for a significant discovery, & then carry out the initial pre-drilling exploration work (i.e. geologic mapping, geophysics, geochemistry).

    After successful opportunity is outlined on a property, the next step is securing joint venture or option partnerships. These partnerships often grant a major or mid-tier miner the ability to earn a direct majority interest (from 51 – 100%) in exchange for funding drilling and more advanced, expensive stages of exploration through property and or share payments.

    This way, a successful prospect generator can leverage its exploration expertise to identify quality projects and attract partners with the capital needed to fund further exploration. A company that doesn’t have to go to the markets to raise more funds can keep its capital structure tight.

    These partnerships not only help prospect generators preserve capital and capital structure, and thereby minimize dilution, but they also provide income to build out a sizeable portfolio through the acquisition and early-stage exploration of other projects.

    These deals typically give prospect generators a position in any future discoveries from the project through an equity position in the partner company or royalties based on any future production. In fact, a growing portfolio of royalties may become the main value driver for the company.

  4. Gerald A says:

    Excellent rcap of Ascension of Gold. Dont overlook Copper stock with low share structure. As a 50 year trader in Risk exploration companies I am looking forward to the Apex breakout of Copper on its long term uptrend. Since 2002 low 0.62Us$ spent 2/3 of the time grinding higher into a low volatility acending uptrend. See CMMC.TO. LMC.TO Good Luck with your wealth management.

  5. ossie says:

    how do i get on board with little or no money to start up

  6. testery softwerov od roku 2016 bez prijmu ??? baj Jan Šprlak

  7. Ken Phipps says:

    You review Seabridge Gold (SA) as a Miner who continues to grow and continues to have a business model with concern for the shareholder.

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