Gerardo del Real, resource sector specialist and editor of Junior Mining Monthly, selected Great Bear Resources (GTBDF) as his favorite investment idea for 2019. The stock has since risen 38%. Here's his latest update on this junior mining firm.
The recommendation of Great Bear Resources was predicated on multiple factors. First off, the company had a robust treasury and had already attracted the attention of deep-pocketed and long-term investors like Rob McEwen.
That cash position allowed Great Bear the luxury of a very aggressive drill program over a highly prospective land package that already had all the makings of a company maker. The drilling would provide consistent news flow that was going to keep the market engaged.
That point has been proven out by the recent financing that allowed Great Bear to expand the already aggressive drill program to 90,000 meters. This was all done within a bear market which brings me to buy final point. The new gold bull market.
Those of you familiar with my newsletter know I’ve been very hesitant to say gold is ready for prime time but you also know that I’v been dying that the second half of 2019 would set off the new gold bull market.
I called a bottom in May and told you in June it was time to position yourself in the best names. With over 13 trillion dollars of negative yielding debt, a Fed that has blinked here in the US and the major central banks of the work with no choice but to try to inflate themselves — they’ll fail — out of debt, the writing was and is on the wall.
We are in a new gold bull market. One that will be historic. Companies like Great Bear that are cashed up, have talented technical teams, large prospective land packages being aggressively drilled will do very well as the majors and mid-tiers search for the next great gold camp/district.
No one knows what the drill bit will find but the bottom line is companies not looking aren’t going to find anything so stick with companies that have good assets, exploration potential, cash to drill those assets and companies in good jurisdictions.
