Attractive Junior Gold Stocks to be purchased on weakness

Michael Campbell of www.MoneyTalks.net recently interviewed David Coffin. Following are hightlights from the interview:

David Coffin: Buy these 8 Junior Miners on Dips

Michael Campbell: David could we just start and give the broad brush first of all where you see sort of that precious metals a complex. I’m talking now the bullion itself and then we’ll move to the stocks.

David Coffin: Basically I think right now the factors are consolidating after a long run. I try not to fix a date on that, but with January approaching it is profit taking time for a lot of people and institutions. We think you have to assume the consolidation for the metals continues into January.

Michael: 1,300, $1,400 Gold it makes an awful lot of properties potentially commercial. Do you see a lot of amount of money moving into the junior sector?

David: Without question. A lot of institutional money is available if you have the right project. Raising $100 million for a Gold or a Silver project right now is not difficult. Advanced projects especially, the money is there looking for a home.

Michael: A big difference compared to going back a few years?

David: Definitely, it’s making our life much easier and keeping it simple. In recognizing the consolidation coming, we sat down and did a lot of major number crunching on most of the companies we’ve talked, particularly the more advanced ones, the reality is if you factor in $1,300, $1,400 Gold and $25 to $30 Silver they are not actually overpriced. Even though they’ve had big runs

Michael: Let’s talk about some of those. Can you give us a few names that people can put on their radar screens?

David: Sure, Nevsun Resources Amex NSU in Eritrea, they are groundbreaking because of where they are working. Again they’ve had a strong run, their cash flow on large scale will output as expected next quarter. After they have done a couple of years of high output in Gold they will move into Copper, and Copper of course is also favored right now. Another which has just recently financed to put itself in production is a company called Bear Creek Mining TSX-V BCM. They are working in Peru where they have two projects lined up, one of which is in permitting stage and is funded to go into production at about 4.5 million ounces. Their second project would be a larger scale that would bring them up to 20 million oz range by about 2014, 2015. The study is being done right now and I expect it to be a go. They have also started drilling a third project. It’s not a new belt, it’s new because these are big tonnage silver projects which historically haven’t had a lot of focus. But they’ve done very well with them.

….read the other 6 companies in "Buy these 8 Junior Miners on Dips" HERE