K92 Mining and Fosterville South Were 10-Baggers
FOSTERVILLE SOUTH 2.0 LISTS TOMORROW–
YOU GET IT DAY ONE!!!
The single most successful team in junior mining in the last two years has a brand new exploration company that will trade TOMORROW. That’s right–I’m giving it to you on DAY ONE.
Their last two stocks were both 10-baggers for me and my subscribers. So you can bet this team has my attention, and I begged them to let me tell you about it in the first few days of trading so EVERYBODY could benefit.
Today is the background. Tomorrow is the symbol.
In the summer of 2019 my portfolio was enjoying a huge run in Bryan Slusarchuk’s K92 Mining (KNT-TSX) when I got a call from the man who introduced me to Bryan many years ago.
“You better call Bryan. He’s got something special and you’re going to want to know about it.”
As K92 was fast becoming my Stock of the Year in 2019, I got right on that. That took a couple days, as Bryan was becoming a man-in-demand. His K92 was growing into one of the largest, highest grade orebodies discovered in recent times. In the two years the stock has gone from $0.50 – $9.00 Every banker and analyst on the Street wants his attention now.
That call turned into Fosterville South – FSX-TSXv, which turned into my Stock of the Year in 2020. Bryan went through how he was teaming up with Chairman James Hutton—whom I knew well as a long-time subscriber of mine. Hutton had developed a tight relationship with an Aussie geologist by the name of Rex Motton who had accumulated a large gold play in southern Australia—with some eye-popping grades.
Prior to the Fosterville IPO, I interviewed Bryan, Hutton and Motton and came to understand…well, everything that we all know now:
- 1-2 oz (30-60 g/t) gold at or near surface
- Lots of historical production
- But no modern work done on the properties
- In the middle of farmland and forest, making logistics very cheap
- Kirkland Lake’s Fosterville Mine, right nearby, was the single most profitable gold mine in the world at the time
That meant that I had nearly a 13 BAGGER in the books for 2020 before 6 months of the year were over.
Now, I can’t tell you their next play—also in Australia—will do the same thing. But I can tell you the geology is VERY similar. You get the name and trading symbol tomorrow–the day it lists. This has a shot at being The Stock of the Year for 2021–for you too.
Because of the historical gold numbers and “closology” to Fosterville, we all knew FSX would be something special. The market gave us that feedback as well—there was incredible institutional interest out of the gate—from around the world!!! Crazy….for an exploration stock, this was unlike anything we had ever seen.
When I say we, I really mean management. I’m pretty close to this group so they shared the market euphoria in those pre-IPO days.
Fosterville South is so sexy because it’s so close to the Fosterville Mine in Australia, operated by Kirkland Lake Gold (KL-NYSE/TSX). The Fosterville Mine has been the single most profitable mine on earth for a couple years thanks to the Swan Zone, a 2 M oz. deposit at 2 ounces or 60 g/t per ton.
The Swan Zone is a freak of nature. Not only is it high grade and unbelievably profitable—it’s in a first world country and surrounded by suburban and farming communities. Infrastructure and logistics is incredible.
By that I mean drilling and operations are incredibly cheap.
Fosterville South had/has a good sized property on that same trend that already had high grade historical production on it—in multiple locations!
An investor just could not ask for a better set up than that.
Same Team, Same Neighborhood, Same Set-up
Well folks, I think history is about to repeat itself. Get ready, because the same team is bringing a very similar asset package to market—again with a low valuation, but this time with a full treasury of $12 million.
This may even be a better setup than Fosterville South (40 cents to $5 in months)? How could I say that?
For one, the treasury is already full. By the way, $12 million goes a long way when drill holes only cost $50,000. Second, drilling will start immediately.
I’m not predicting the result but I think you will agree that the potential of this setup is not debatable. After what Fosterville South did–everyone in the market is also going to want a piece of the next one from the same group.
By being a reader of mine, you are one of the first to hear about it!
This is not a developing story to circle back to later in 2021. This is happening now. Drills will start turning within weeks. I am already on the edge of my seat.
This new company has two large properties that are quite close to each other in southern Australia, and both have an astounding number of historical high grade gold occurrences AND several shafts that became producers 150 years ago—at grades of 75 g/t, 55 g/t, 53 g/t etc….
Those high grade numbers mean well over 1 ounce per ton and even over 2 ounces per ton!
The past work done on the project dates back to the 1800s where old-timers literally just picked the high-grade gold off the surface. There has been no work done here with modern techniques and those historic high grade discoveries are EVERYWHERE.
An exploration punt yes —— but what an incredible looking piece of land. This team is starting at 2nd base with so many historical workings. No homeruns needed here, just a solid single will bring the runner to home plate.
There is just so much gold already discovered on the property and it is all super high grade. You literally can dig up gold almost everywhere. The biggest challenge for the team has really been figuring out where to focus first.
That is one high-class problem to have.
DO NOT MISS MY E-MAIL TOMORROW!!!
Fosterville South helped make 2020 a GREAT YEAR for my portfolio.
This team’s new stock has me so excited because I think it’s a 2021 look-alike to FSX. The macro situation is the same as 2020–Central Banks have printed so much money that you know the gold miners are going to have another big run.
This new pubco has the right team, the right assets and a full treasury—and it is hitting the ground running—with speed—the value creation here will be much quicker than average junior. They are cashed up, know exactly what they are going after and the drills start turning ASAP.
There is no reason this can’t be the The Stock of the Year for 2021, just as FSX was for me in 2020.
The drills are turning in February and that should mean press release, after press release after press release. If the news is good—this team and these assets will grab the market’s attention and keep it for months.
The big junior gold mining successes have the three elements of SIZE, GRADE and SPEED. This stock promises to have all of them in the cheapest, least complicated and hottest gold camps on the planet.
While this is exploration (never forget that!), the land is littered with historical high-grade discoveries from 150 years ago. The job for this team is to get out there, delineate what they have and quantify it for the market.
Most junior exploration punts are about trying to find a needle in a haystack. That is why it often takes up to three years for a junior to get a resource calculation completed.
This stock isn’t about searching for that needle…….it has a box of needles that is sitting on top of the hay thanks to the historical discoveries. That means that this project should develop much faster.
And you are hearing about it on DAY ONE. The IPO is tomorrow. BE READY!!