The Diary

May 1, 2021

Despite Millennials being big on ESG investing, they just don’t seem to get as excited about mining companies as they do about, say, Bitcoin (btw, did you know that Bitcoin consumes more electricity annually than the whole of Argentina?)

Don’t get us wrong – we know that mining is by no means an environmentally friendly industry. But Scottish consultancy firm Wood Mackenzie estimates that more than $1 trillion of investment will be needed in key energy transition metals (copper, nickel, cobalt, lithium, and aluminum) over the next 15 years to build the electric vehicles and renewable energy infrastructure that will help keep global warming at less than 2 degrees by 2050.

You can read more about how to invest in this rising demand for these metals in this issue’s Sector Moves.

In other news, happy first birthday to us! We officially launched Dear Retail one year ago today. 🎂

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Now without further ado, let’s get on to what’s in store in this issue of The Diary:

Spotlight: The US-based cannabis company that’s on a path to hyper-growth
Sector Moves: The need for battery metals is heating up – here’s how you can profit
M&A: A quick overview of M&A activity in the mining space
Advice: Why retail investors should ignore the mainstream financial media

Spotlight

*Sponsored Content

This Cannabis Company Could be Another Big Winner for Canopy Growth Founder Bruce Linton

We first profiled Gage Growth Corp (CSE: Gage) in a Hot IPO Alert back in March. 

The producer, retailer and licenser of premium cannabis products is raking in serious revenue, and raised $50 m in a pre-IPO financing to expand its existing footprint.

It’s also got some serious industry heavyweights behind it.   

You can read more here.

Sector Moves

Investing in the EV Revolution: Part 1

Last week, US President Joe Biden announced the US would target a 50-52% reduction from 2005 of greenhouse gas pollution by 2030.

Part of the plan includes investing in the production of EVs and EV batteries.  

Most investors know that lithium is a key component of EV lithium-ion batteries.

 But did you know that cobalt is as well?

 And just like lithium, the price of cobalt is rising fast.

Here’s how you can profit from this trend

Continue reading here.

Mining M&A Roundup – April

Fortuna Silver Mines (NYSE: FSM) (TSX: FVI) and Roxgold (TSX: ROXG) (OTCQX: ROGFF) agree to business combination

  • Companies agreed to combine to create a “premier growth-oriented global intermediate gold and silver producer”
  • Plans to pursue organic and inorganic growth opportunities
  • Anticipated annual gold equivalent1combined production of approximately 450,000 ounces at AISC of approximately US$9505 per gold equivalent ounce.

Read more here

 

Orocobre (ASX:ORE, TSX:ORL) and Galaxy Resources (ASX:GXY) agree to a proposed A$4B merger 

  •  Merger between two Australian lithium producers creates the 5th largest global lithium chemicals company
  • Orocobre will acquire 100% of the shares in Galaxy
  • “The merged entity’s growth opportunities in both brine and hard rock position it uniquely to take advantage of expected rising EV demand for lithium.” – Galaxy Chairman Martin Rowley 

Read more here.

Advice

Why retail investors should ignore the mainstream financial media

Our delightfully cynical contributing editor Doug Fogel is back with his scathing take on why ignoring the financial talking heads can help you become a better investor. 

Read it here.

Are You Ready For The Next Market Move?

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