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FED “Pauses” Rate Hikes: Green Light For NEGATIVE RATES! (Inflation Update)


FED “Pauses” Rate Hikes: Green Light For NEGATIVE RATES! (Inflation Update) Welcome to looking at the markets with
David Moadel I have a very special guest today he is mr. rich Munson the CEO of
sand spring resources now rich Munson became the CEO and director of sand
spring resources back in 2009 when it acquired the Torah paro gold project mr.
Munson has been active in the natural resources sector for over 35 years and
we’re gonna talk gold and mining today I’m super excited about this rich months
and welcome to looking at the markets sir thanks very much David very happy to
be here in these shall we say interesting times oh yeah interesting
and yet potentially very profitable if we pick and choose our companies
carefully and we’re gonna talk about that there’s been some goings-on in the
mining sector you’ve got a huge merger with Newmont buying Gold Corp this was
all over the news now in your estimation why would barrack in R and gold merge
now and now Newmont and Gold Corp yeah what are
these large cap producers thinking and is it positive for the industry well I
think you know I would look at I do look have looked extensively at while the
analysts are saying about both of those mergers the beric situation is a little
bit different than Newmont and Gold Corp beric is getting a major step up in
their view at least in ways to manage their African assets which have always
been a challenge for Barrack ran gold of course has had some significant success
in Africa as well as elsewhere it’s a very strong company that’s a lot of
management change going on there new mod and Goldcorp I think I would
look at the what the chairman of Gold Corp has been talking about for some
period of time and that’s the declining production that Gold Corp has been in in
incurring over the last few years in fact Ian Telfer has been a strong
advocate if you will for the concept of Peak Gold so if you look at the analysts
they’re all saying that the way these companies can make substantial steps to
ongoing growth in their production and replacement of declining production is
by making large-scale acquisitions now historically has that worked in the
mining business well I’m not sure it’s work generally in a lot of sectors of
the economy the mining business in particular the I think the more wiser
course and the one that had been going on up until the fourth quarter of last
year and now with this large merger was the larger mining companies very kicking
very selective assets very selective companies so that they knew they were
getting a very strong asset without carrying along a lot of baggage from
other may be weaker assets so is it good for the industry that the majors are all
getting together I’m not sure it remains to be seen they’re very smart people
obviously they’re very successful but I think the rest of the mining sector is
going to look a lot more carefully at how they pick mergers and pick
acquisitions so it’s interesting times definitely
interesting a lot of opportunities there though I believe I’ve been hearing so
much about Peak Gold and it’s no secret that in the past decade as Pierre
Lassonde has told us there have been no major discoveries at all only billions
of dollars wasted of shareholders money in unsuccessful drilling production is
supposed to get cut in half by 2024 why is this
happening well the air doesn’t pull any punches I’m not sure that I agree with
him that there’s been no major discoveries art or apparel project is 10
million ounces I think that’s major but it’s been discovered for a while and
we’ve been working on it a while in this last downturn especially starting in
2014 2013 2014 we saw the majors cut exploration completely that was the
low-hanging fruit if you will for them to find a way to cut costs and so there
is no pipeline of projects sitting in the major companies inventory at this
point in time and historically junior companies such as sand spring and some
of the rest of our partners compatriots have always been the source of new
discoveries we’re the ones that go out and take the greatest exploration risk
but in this downturn there hasn’t even been money for exploration available so
now the majors who are in declining production everybody acknowledges it
have to go out and start looking for prospects well it’s been very well
documented by several studies that from the time I declare that I have found a
major discovery I am 12 to 15 years away from beginning production so the majors
are not going to be able to explore their way out of peak production issues
they’re going to have to continue to do acquisitions and yes there are good
projects out there projects that have been significantly do risked such as
tore apart with here at San spring so you know Peak Gold is is probably true
gold is hard to find all of the easy deposits that you find from surface
outcrops etc have been I think a large maybe not all discovered but a huge
proportion of those so the exploration process to find these
deposits like the Torah Paro deposit it’s much more expensive lot harder work
and take a long time and a tremendous amount of dedication yeah absolutely I
wanted to talk about the macro-environment for finance and the
economy people have become indifferent for lack of a better word to global debt
warnings I mean I’m hearing all the time from
listeners from investors okay the system hasn’t crashed yet and it feels like it
never will there’s a lot of complacency out yeah well I hear this and there’s a
lot of complacency out there we had the worst December on record in the stock
markets and the worst first two days in the stock market ever on record on the
other hand this January is looking green and bullish at least in the last couple
weeks have the central bank’s been able to engineer a comeback for the global
economy or is this just noise well you know I’m certainly not a graduate
economist but I have been in the business world for almost 40 years and
have seen a lot of different things and I do a lot of research reading and I’m
in constant discussion with shareholders who are economists etc and experts in
the market such as yourself I think the central banks have deferred a problem I
don’t know that they have much ammo left in the artillery to continue the
deferral and there is so many threats to the global economy which create extreme
threats to the US economy that I I for one am worried and I take my cue from
people that are smarter than me and and probably understand the whole
international system better than I do but I truly am amazed at all of the
day-to-day things that we just closed our ears
and mines too and go on about our way saying well you know no problem here gee
I know my house is gonna keep appreciating and I’m just gonna live as
well as I am right now I just don’t agree with that right I hear you
yeah and so you mean this 10 year old bull market is not just going to keep
going and going forever imagine that yeah I’m with you on that
one and and that’s why I’m such a big fan of precious metals as a Christ hedge
and and also the mining companies especially if you pick and choose them
carefully like I do and in fact you you are the founder and CEO of a junior
mining company one of my favorites in this space right now which is sand
spring resources which by the way people I encourage you to visit sand spring
resources dot-com tons of information there and you can learn more about this
company if you’re interested in looking at the stock on the TSX Venture Exchange
it is stock ticker symbol ssp and on the OTC markets in the united states it is
stock ticker symbol s s P X F but I wanted to ask you mr. Munsen about gold
stocks I mean they’ve been under pressure let’s say for the past eight
years that’s an understand right there was a
nice rally in 2016 but overall it’s been a brutal bear market how can companies
stay afloat for so long in this environment well it is certainly not
easy David by any stretch and you know I think companies that have management
that have skin in the game have a leg up because of the dedication that comes
with protecting your own money as well as the money of your shareholders I for
example in 2015 when things were really tight I was borrowing here in the US on
my home equity line of credit to fund San Spring now I loaned the money to
stay in spring and in fact got repaid when one of our major financial partners
came took a position but there were many days
during that period of time that I wasn’t sure that we were going to be able to
preserve this very unique and valuable asset that we have been Guyana South
America now other companies haven’t been as fortunate as we have to have one a
good asset and two strong financial backing so if you don’t have the asset
you’re probably not going to have the backing and to get the asset
I think management’s got to show these financial backers that I’m in it with
you I’m not just spending your money I’m continuing to participate to the degree
I can we’ve taken salary cuts I’ve cut just about every employee I can during
the worst times I ended up terminating some people that have worked for me for
20 years so it is not a pleasant situation even
today money is very hard to raise and gold has been so out of favor that you
know it’s amazing to me again just like this long-term bull market what I think
as you say smart people are looking at gold and we’re I think in for a run here
on the gold side and in for potentially an incredible run on the silver side
yeah I’ve seen I’ve been through a lot and so
have you and so have my viewers through this bear market in precious metals and
yet we’re finally getting not only some relief but I believe a bottoming process
we had an amazing December and not a bad January so far we’ve got gold right now
at around 1290 which was kind of unthinkable not long ago that 1300 would
be so close right so what’s it going to take for precious metals and miners the
prices in those stocks to really break out what’s it going to take for
investors to get excited about the mining space right now well you know if you are a value
investor and looking for long-term stability I think the key here is a
stable gold price and I think the way you’ve described it we’re getting some
of that stability and maybe it is going to be around the $1,300 mark that’s
encouraging for companies that can bring in these what they call Ollie and
sustaining costs at fairly attractive numbers now if gold were to continue its
march forward and we were to see for example 1400 in by the end of quarter
one q1 then I think investors really need to be in this market and should
have been in this market from today as we go up to that 1400
so if 14-under just really a kind of a key breaking point in my mind to a
tremendous potential for further upside and that would be both for precious
metals and the miners where you can get some really great news edge on the
metals I believe a known as youth yeah yeah as you say David if you look if I’m
making a 20% margin at $1200 gold and gold moves 10 percent to 13 20 let’s say
my profit margin may double not just move 10 percent so the leverage you get
from mining stocks can be tremendous yeah and it’s even better if you get
into it through undervalued under the radar and underappreciated those are my
three unders undervalued under-the-radar underappreciated mining stocks the ones
that not everybody is looking at and that we’re trying to bring you bring to
you through looking at the markets now since spring I believe San Spring is is
among the best in that category so what are the factors that make it so
undervalued right now what makes it such a bargain compared to its peers you know one were in the country of
Guyana now the first years I was in business in this company I spent a lot
of time explaining to people that this is Guyana South America and not Ghana
Africa and so there is a little bit of uncertainty as to one where we’re at
into how good a jurisdiction is that to be in is it a scary place and it
certainly is not it’s a former British colony British common law politically
stable ExxonMobil has just made a huge oil discovery offshore there so Guyana
is a very good place to be other than that you know you’re right David we’re
not and probably shame on me we’re not active in the social media we’re not out
talking to general in folks that are generally investing and not not
following all of the gold stocks and that’s one of the reasons I’m so pleased
to have the opportunity to talk to you we need to do a better story of getting
do a better job of getting our story out there and we’re doing that by broadening
the way we’re talking to folks historically we’ve been press release
only which is the historic way of doing it in the mining business in today’s
business world that does not work as a good method to getting your story out so
I think we are undervalued I think we have one of the best projects yet to be
developed that’s held by a junior it’s the biggest property in South America
that’s held by a junior company so once we start getting better known getting
better visibility and we’ve got some news flow coming we’re doing some
drilling yes I think we have a chance to make a significant run even if gold just
stabilizes but I don’t think that’s going to be
case I think gold is gonna run and we’re gonna run with it
excellent I believe so as well want to talk about your flagship flagship
project the Toro paru project what stage of development is this project in right
now David we have I think de-risked the project significantly we we did a pre
feasibility study back in 2013 and that study was strong enough to interest a
company by the name of then Silver Wheaton now it’s called Wheaton precious
metals and they came in as a financial partner with us in late 2013 before the
big downturn but with their assistance we’ve done a lot of further work and we
are ready now sometime during this calendar quarter to announce a revised
operating plan that makes the project stronger allows us to get into
production quicker and will I think gain a lot of attention now that needs to be
documented it’s just my belief of it but we will we will have a technical report
as they call it in the industry that supports all of these points then we are
really fully permitted with the government of Guyana we’ve spent a lot
of time working in country we have an environmental authorization we also have
what is termed in the industry these days social license we do a lot of work
in the local community we support the schools we participate in medical
outreach programs yes we are we’re poised and that’s one of the things that
our three key financial shareholder partners have really impressed on me and
I’ve impressed on the rest of my folks that when the window opens and the
opportunity is here to raise some additional funding and move forward we
need to be ready so we’re fortunate in that
we’ve maintained that level of readiness and can turn this project on relatively
near term yeah again for people who want to learn so much more about this they
can visits and spring resources dot-com I’ll put a link to that website in the
description below this video make it easier for you to click on that and go
there and get the rest of it yeah and and also if people want to
check out the stock shares on the TSX Venture Exchange in Canada stock ticker
symbol SSP in the United States on the OTC markets it is SSP XF just one more
question because I know there’s something exciting going on that is with
the wpm I know that your shareholder base is very strong you have a streaming
agreement with wpm that’s pretty unique I would say now this makes the project
less risky would I be correct in saying that correct David Wheaton precious
metals is one of the three key royalty streaming companies Pierre Lassonde
one’s another one of those three but the distinction that’s so important to see
about wheaton wpm is that they’re the only one of these streaming companies
that has a complete technical team in-house and when they start looking at
a project they bring to bear a level of due diligence that frankly I had never
seen in the industry before when they came in in 2013 as I said we had a
pre-feasibility study already done Wheaton didn’t they looked at that but
they basically took all the raw data and built their own model to see if they
agreed with the conclusions that we had reached in the pre-feasibility study
their conclusion was they did agree and that this was the best project they had
looked at in a while in terms of projects held by juniors and when
Wheaton did precious metal streaming agreement with us in 2013 we were the
first junior company that Wheaton did that kind of a
deal with so we think it really affirmed to the market and really affirmed to me
that my technical team had done a very good job analyzing this project the guts
of that technical team are still with me today either by consulting contract or
I’m fortunate enough to have one of the key members of that team still with me
he has an employee but at significantly D risks the project in my view and in
the view of many people in the market when the other two key shareholders came
in the Fiore group and Gran Colombia they also are very established
successful investors miners so with them taking positions in this company even in
the the end it you know they took they were looking for what you talked about
david undervalued and unfortunately were significantly undervalued but they took
advantage of that because they see a very good project that has an almost an
assured production profile coming somewhat soon down the road so wheaton
in in is key the other two shareholders are also key
what it makes us very unique to have the three key people behind this junior
company yeah it’s a huge vote of confidence and you’re saying that it’s
unfortunate that this company is undervalued but you know what it really
is fortunate for people ready to get in ready to make the move the time to do it
is now is now not when sands spring is in the headlines for making the big move
to the upside you got to get in early and at least I do okay so I’ve been yeah
and I’ve been speaking with mr. rich Muntz and who’s been kind enough to take
the time to speak with me today and to bring these insights to you on looking
at the markets it’s amazing that I get to speak to the best in the business mr.
rich Munson of sand spring resources is there anything else you wanted to say to
my audience no David I as you say we encourage them to
you do the due diligence that I think is going to show them that wow this is
quite an opportunity yeah it’s a huge opportunity sands spring resources
dot-com is the website to learn more information I’m getting into precious
metals I’m getting into minors I’m picking and choosing the best of the
best very carefully I’m gonna keep on bringing you these opportunities out
looking in the market looking at the markets so keep checking back mr. rich
Munson thank you so much for stopping by we got to have you again on some time
soon thank you sir I’d enjoy it thanks David

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8 thoughts on “FED “Pauses” Rate Hikes: Green Light For NEGATIVE RATES! (Inflation Update)

  1. How about $GFI? it is trending now. Even gold looks bullish, since the end of correction, didn't give its profit. Thanks

  2. So right. David this whole looming market crash is getting old. Its seems more like a yoyo these days. No one can really predict when and where the crash will hit

  3. the bankers manipulate the markets. This is what happens when there is the ability to print out of thin air. Our founders knew that you cant inflate or "print" gold and silver.

  4. I've only just starting exploring this topic. Thank you for such good content. Maybe my gold will be getting dusted off

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