A quick update on a couple of purchases in my portfolio adding to my existing positions.
- On Friday, I added 4,000 shares in Brixton Metals Corp (BBB.V) @ C$0.52. Couple of weeks ago, I initiated a position in this microcap silver/gold/cobalt exploration company. Following my purchase, the stock prices shot up, but finally pulled back last week after it was disclosed that $4M was raised in a private placement. The PP deal consists of shares at $0.50 and flow thru shares at $0.55, in addition to warrants exercisable at $0.70 for 24 months. That sounds like a decent floor price for me and I decided to add on the pullback bringing my total position to 9,000 shares with an average price of $0.46.
- Yesterday saw a huge reversal in the precious metal (and base metals as well) miners performance. It turned into a bloodbath at the end of the day and the GDXJ (junior gold/silver mining ETF) fell close to 10%. The space has been acting extremely that is confounding everyone as there is a disconnect from the metal prices — gold and silver prices have been climbing as the equities fall. This was too great an opportunity to pass up and I decided to add buy 230 shares in Kirkland Lake Gold (KL.TO) @ C$8.79. I put in a low-ball offer at $9 after seeing a 8-9% fall in shareprice, but managed to get executed even lower — I love flash crashes! 🙂 For those unaware, this is a newly merged company between Kirkland Lake and Newmarket Gold forming a new mid-tier company with approx 500K oz in annual production. The jurisdictions are as secure as they can come – Canada and Australia, has a fantastic management in place and the board is chaired by none other than Eric Sprott. New discoveries and extensions of mineralization show nothing but great news for the company and this pullback was a great opportunity for me to add shares. After this purchase, Kirkland Lake becomes one of the largest holdings in my portfolio.
Full Disclosure: Long BBB.V & KL.TO. Our full list of holdings is available here.