THE Mining Stock
Bunker Hill Mining Corporation
The evolution of being an involved silver stacker opens up many rabbit holes in life, and some of those rabbit holes require further attention. One such rabbit hole begins with The Wizard of Oz and ends in the realization that America does not have enough mines. It could be argued that the “Green Movement” merely pushed those ugly mines away from the view of Americans? Many of the minerals needed to run America are only available from other nations. That has not been a problem for decades.
Ukraine Being invaded by Russia changed everything.
Silver IS the Focus
After awhile I noticed there were rabbit holes all over the place. Too many to explore so it was decided to not stray from the path of silver. The more I learned from the history of silver the more intrigued I became with what is actually going on present day. The investment mantra I hear from everyone is NOT what I do. I am NOT a financial advisor and I don’t have any letters behind my name. This is just my personal beliefs and the story currently playing out in my head.
The one thing I do NOT do is diversify my ‘portfolio’. (I feel foolish even saying that word.) I consider owning physical silver to be the same ‘portfolio’ as owning mining stocks. The main reason I am this way is because of how strong I believe the financial tsunami that is coming. Preparing for this event is merely strategic prepositioning of supplies. If the U.S. Navy knows a really, really horrendous storm is coming they ship off everything of value to somewhere else. The future safety of their ships, aircraft and personnel is not half-stepped to anywhere but assured safety as their destination.
Financial Tsunami is Coming
I feel as if I cracked some Enigma code and know that a literal tsunami is coming sooner than later. I spent the first few days trying to gather my family and friends to safety. For the most part they did not listen and thought I had become some kind of nutjob. It reached a point that I realized I may have more time to run back for more supplies as I prepare my financial evacuation. (If you are not aware of Greg Marino MMRI this is a great tool.)
Realizing that silver is physically heavy the dilemma becomes what else can I do to prepare? This is when I found the mining stocks industry.
Mining Stocks Suck! Do NOT Buy Them!
If you speak with a real financial advisor they will drag your money as far away from silver and mining stocks as fast as they can. The reason for this is they do not make any money off you by doing that. If you had to pay your financial advisor cash upfront you would be sickened by how transparent things would become.
I am more interested in mining stocks now than I was three years ago when I started the exploration of this silver rabbit hole. I say this because the entire mining sector is pretty much in the crapper right now. I love this current situation because it has allowed me accumulate a literal ‘portfolio’ of mining stocks. I currently invest in exploration stocks, junior miners and a smattering of royalty companies. I keep plowing money into this sector because I like to buy things on sale and right now the silver mining sector is in financial turmoil because of the under-valuation of silver.
I only invest in companies that mine in Canada, America and Mexico. That could be another entire article.
I Fell Down The Bunker Hill Mine Shaft!
When I first came across the company Bunker Hill Mining I needed to be pinched. I have always been a history lover type of guy. I could walk around a museum for hours reading every placard available. When I saw the history of this mine being in operation and why it was closed… I was all in.
Here are some basic facts… that you could ignore and still create wealth!
- Produced more than 165 million ounces of silver and 5 million tons of base metals over nearly 100 years.
- Located in the most prolific USA silver district that produced +1.2 billion silver ounces.
- Fully permitted in mining-friendly Idaho; enthusiastic local stakeholder support.
- 9Mt of relatively shallow historical reserves, validated in 2020 to 43-101 Inferred Resources category, creates significant optionality.
- New management team and Board of Directors led by former executives from Barrick Gold Corp.
- ESG is a core belief : focused on building a sustainable, modern, long-life, zero footprint, zero-emission underground mine.
- Successful commissioned in-house water pre-treatment plant, generating cost savings and 70% reduction in metal-load discharge.
- Improving corporate and capital markets profile; moving from CSE to TSX-V.
- Robust updated PEA: $143M NPV, 35% IRR, 2.6 year payback, $44M CAPEX, $25M average annual free cash flow over 11 years.
- Staged approach to mining to leverage shallow resources above water table.
- Underground processing and tailings deposition to minimize surface footprint.
- Vast existing infrastructure to benefit up front capital and operating costs.
- Significant high grade silver potential identified in 1970’s, including potential silver zonation at depth
- Under-explored since the mine closed in 1981.
- 95 years of data incorporated into first digitized geological model in 2020 significantly increases geological understanding.
- Ongoing exploration programs focused on expanding resource and high grade silver targets in upper areas of the mine.
Just Look To Sprott.
Forget everything I am amped up about and just look to Sprott. They have been behind this mine re-opening for a few years now. When I saw they loaned enough money to Bunk Hill that ensures the silver mine starts producing again in the 4th quarter of 2024. They did not do this lightly. They had teams of people do their due diligence on Bunker Hill.
I know I am not a financial investor but from what I know about the history of silver, combined with the current state of silver mines in America… I can’t help but be thrilled by how easy it is to profit off the coming tsunami.
Watch this article in video format on YouTube….
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