10 Junior Stock Picks from John Kaiser

Kaiser pointed to exploration plays from a number of different sectors. For copper, he stated that there isn’t much to gain in terms of existing projects, advising investors to “go for exploration.”

He is also positive on zinc, and said that “zinc is the one base metal where it seems to be a consensus that there is upside potential.”

Furthermore, Kaiser sees scandium as a “big story” with enormous potential. “This obscure metal is going to go ballistic in the next few years because of a game-changing development in Australia,” he said.

Here’s a look at the companies that Kaiser mentioned, as well as a little bit of what he had to say:

• AMARC Resources (TSXV:AHR)— “This is a potentially major copper-moly–silver discovery in … BC.”
• Tsodilo Resources (TSXV:TSD) — “They have a project in Northern Botswana where it’s all undercover. First Quantum (TSX:FM) has spent $14 million this past year simply developing the database and the geological context for a target drilling program of $5 to $6 million next year.”
• First Point Minerals (TSX:FPX) — “The Decar project is a nickel project. It’s a low-grade project with a different style and a 1-percent NSR that’s worth more than the market cap if this ever goes into production.”
• InZinc Mining (TSXV:IZN) — “One of my favorites is InZinc. They’ve already done a PEA. You can see … at a dollar zinc [price], this thing is actually quite valuable.”
• Peregrine Diamonds (TSX:PGD) — “This is the best diamond play out there that’s fairly advanced.”
• Scandium International Mining (TSX:SCY) (formerly EMC Metals)— ” … the most advanced [in the scandium space]. They’re working on a feasibility study now.”
• Midas Gold (TSX:MAX)
• Temex Resources (TSXV:TME) and Cartier Resources (TSXV:ECR)— “They have accumulated deposits in Quebec and Ontario where there is … development potential and also exploration potential, which, if gold starts going, these are the kinds of projects capital is going to swarm to as opposed to exploration.”
• Highway 50 Gold (TSXV:HWY) — “They’re testing a target which they hope to be a multi-million-ounce, good-grade, Carlin-type deposit.”

The list makes it easy to see that despite his concerns regarding the state of the junior space, Kaiser also believes some junior companies might be worth checking out.

Securities Disclosure: I, Teresa Matich, hold no direct investment interest in any company mentioned in this article. 

For more information and disclosures from Kaiser regarding the companies mentioned here, please contact him via his website — Kaiser Research Online