Categories: General Market Commentary / Precious Metals
Topics: General Market Commentary / General Precious Metals

Exploration Leaders On Precious Metals Stocks: Remember That Quality Is Important

Exploration Leaders On Precious Metals Stocks: Remember That Quality Is Important

Sprott US Media

The recent Sprott Natural Resource Symposium in Vancouver assembled some of the most accomplished builders & explorers in the natural resource space. 

Following the conference, a few industry leaders were kind enough to share their thoughts on the current state of the resource market with Sprott’s Thoughts readers.

John-Mark Staude, Brent Cook, Joe Mazumdar, and Morgan Poliquin explain where the resource industry has been, where it is now, and where it is headed.

Brent Cook and Joe Mazumdar of Exploration Insights explain that the [Sprott Junior Gold Mining Index] has jumped over 100% since the start of the year. While such a recovery was expected after years of veritable sector depression, there are still deep inefficiencies in the public junior and mid-tier gold mining space. The good and the bad companies have risen in price, lock step, a phenomenon which will not continue indefinitely.  

As more capital pours into the space, Brent expects high quality companies to continue to rise higher over time, while lower-quality competitors experience muted relative performance.

Speaking toward lower-quality gold deposits, Joe shared a similar tone—noting that major producers have lots of uneconomic ounces in their portfolios, and are more likely to develop them (as opposed to acquiring), should those ounces ever become economic.

For a link to the video interview and MP3 please click link http://sprottglobal.com/thoughts/articles/exploration-leaders-on-precious-metals-stocks-remember-that-quality-is-important/