Large gold mining companies are beginning to make strategic acquisitions… This summer, we saw Goldcorp take over Kaminak Gold and take a 20% stake in another gold junior.
The research we have revealed to you in the last year is setting us up for a flood of mergers and acquisitions. Call it peak gold, like Goldman Sachs, or blame it on a 5-year bear market, the fact is that gold mining discoveries have absolutely collapsed.
Since 2009, exploration budgets have failed to deliver any meaningful discoveries, which puts the entire industry on edge.
Every major gold mining company in the world is looking for where their future supply will come from. As the Royal Bank of Canada put it, “there is a shortage of near-term production gold projects available for acquisition, especially in geopolitically safe areas.”
Here is why First Mining Finance (TSXV: FF & US: FFMGF) is a prime takeover target in 2017
- FF has accumulated all prime advanced-stage gold projects in the safe region of Canada. All are specifically in the mining-friendly jurisdictions of Ontario, Quebec, and Newfoundland.
- The infrastructure is already in place or in very close proximity to FF’s gold resources.
- A king deal maker… FF is headed up by the who’s who in the junior resource market, and the fact is the high-quality management teams tend to be attracted to people they know well. And no one is better known for delivering value than Keith Neumeyer, FF’s Chairman and founder.
First Mining Finance has a robust gold portfolio of nearly 14 million ounces… But you have to connect the dots to see who would be high on the list to take them over.
This is pure speculation on my part, of course, but look at these two maps of FF’s projects and their proximity to a very specific major mining giant.
FF’s Springpole project (over 5m oz.) and Pickle Crow Mine (1.3m oz.) are practically next door to Goldcorp’s Red Lake mine and Musselwhite mine.
I should note that the Springpole project ranks amongst one of the largest undeveloped gold assets in the world, and would be a highly lucrative asset for any major mining company to own.
In my opinion, given the current gold market and bull run we have in front of us, this single project alone could justify FF’s current market value.
Keith Neumeyer and his team have been very aggressive in acquiring high-quality ounces in the ground at ridiculously cheap prices, and now, the benefit for current shareholders is watching those ounces in the ground get re-valued under new management and benefit to the upside as the gold price itself rises.
Our Recommendation: Consider shares of First Mining Finance (TSXV: FF & US: FFMGF) as a strategic core position in your portfolio.
President, FutureMoneyTrends.comEditors Note: In addition to Goldcorp, Barrick Gold Corp has active gold mines in the region, along with a dozen other large producers.Any major that took over FF would immediately become the largest dominator in the region with the marriage of an active gold producer and First Mining Finance, who has the largest resource of any non-producer in Canada.
Legal Notice:This work is based on SEC filings, current events, interviews, corporate press releases and what we’ve learned as financial journalists. It may contain errors and you shouldn’t make any investment decision based solely on what you read here. It’s your money and your responsibility. The information herein is not intended to be personal legal or investment advice and may not be appropriate or applicable for all readers. If personal advice is needed, the services of a qualified legal, investment or tax professional should be sought.
Never base any decision off of our emails. FutureMoneyTrends.com stock profiles are intended to be stock ideas, NOT recommendations. The ideas we present are high risk and you can lose your entire investment, we are not stock pickers, market timers, investment advisers, and you should not base any investment decision off our website, emails, videos, or anything we publish. Please do your own research before investing. It is crucial that you at least look at current SEC filings and read the latest press releases. Information contained in this profile was extracted from current documents filed with the SEC, the company web site and other publicly available sources deemed reliable. Never base any investment decision from information contained in our website or emails or any or our publications. Our report is not intended to be, nor should it be construed as an offer to buy or sell, or a solicitation of an offer to buy or sell securities, or as a recommendation to purchase anything. This publication may provide the addresses or contain hyperlinks to websites; we disclaim any responsibility for the content of any such other websites. We have been compensated by First Mining Finance two hundred and fifty thousand dollars for our promotional pieces, online ads, and other digital marketing. In addition to cash we have received six hundred thousand options. Future Money Trends LLC staff currently owns twenty thousand shares of First Majestic Silver, which shares many of the same members of First Mining Finance. We also own three hundred and five thousand shares of First Mining Finance that we will hold for a minimum of six months. Please use our site as a place to get ideas. Enjoy our videos and news analysis, but never make an investment decision off of anything we say. Please review our entire disclaimer at FutureMoneytrends.com.
Gold Standard Media, has received up to three hundred thousand dollars for additional advertising. Gold Standard Media is owned by the same members as Future Money Trends.