NIA is almost 100% sure that Superior Gold (TSXV: SGI) will become one of the largest gaining gold stocks of 2019 with the majority of SGI's 2019 gains likely to occur over the next 60 days. SGI's CEO previously founded and was CEO of Kirkland Lake Gold (TSX: KL), which hit a new all-time high on Friday and has gained 6,131% over the past 5 1/2 years, making it the world's #1 best performing gold miner during this time period! SGI's largest shareholder is Northern Star Resources (ASX: NRT), which hit a new all-time high in January for a gain of 97,900% over the previous 10 years, making it the world's #1 largest gaining gold stock of the past decade!
Kirkland Lake Gold (TSX: KL) was originally known as Crocodile Gold and back in August 2013 it was trading for only $0.68 per share with an enterprise value of USD$33 million. Over the following 21 months, as Crocodile Gold increased gold production while reducing production costs, its share price gained by 450% to a May 2015 high of $3.74 per share. Crocodile Gold announced in May 2015 that it was changing its name to Newmarket Gold.
Over the following 16 months, Newmarket Gold gained by 185.29% to a September 2016 high of $10.67 per share. Newmarket Gold announced in September 2016 that it was changing its name to Kirkland Lake Gold.
Over the last 29 months, Kirkland Lake Gold (TSX: KL) has gained by 297% to a new all-time high reached on Friday of $42.37 per share. It now has an enterprise value of USD$6.54 BILLION!
The founder of Crocodile Gold who was also its President/CEO when it acquired its Australian based gold assets was Chris Bradbrook. Today, Chris Bradbrook is the President/CEO of a new Australian based gold miner called Superior Gold (TSXV: SGI). Just like how Crocodile Gold was trading in August 2013 for only $0.68 per share with an enterprise value of USD$33 million, SGI is currently trading for only $0.77 per share with an enterprise value of USD$34.2 million.
Northern Star Resources (ASX: NST) an Australian based gold miner that rose from $0.01 per share in 2009 to a new all-time high last month of $9.80 per share for a 10-year gain of 97,900%, is the largest shareholder of SGI owning a 19.2% stake in the company. In October 2016, NST sold to SGI its Plutonic gold mine, the sixth most successful gold mine in the history of Western Australia, with cumulative gold production since 1990 of over 5.5 million ounces!
SGI went public on February 23, 2017 in an IPO priced at $1 per share. After closing on April 2, 2018 at $1.31 per share up 31% from its IPO price, SGI on the morning of April 3, 2018 announced its updated Mineral Reserve and Mineral Resource estimates following its 2017 exploration drilling campaign.
When SGI first acquired the Plutonic gold mine and adjacent Hermes gold project from NST in October 2016, it had a total proven/probable reserve of 189,000 oz of gold, with an additional measured/indicated resource of 698,000 oz of gold, plus an inferred resource of 800,000 of gold. SGI announced on April 3, 2018 that its 2017 exploration drilling campaign caused its proven/probable gold reserve to increase by 102.12% to 382,000 oz of gold, while its measured/indicated resource increased by 8.74% to 759,000 oz of gold, and its inferred resource increased by 36.5% to 1,092,000 oz of gold. SGI immediately gapped up by $0.12 or 9.2% that morning to open at $1.43 per share and over the following week gained an additional $0.19 or 13.29% to reach a record high of $1.62 per share.
Sometime within the next 60 days, SGI will be announcing the results of its 2018 exploration drilling campaign. We know that during the first half of 2018 alone, SGI drilled a total of 318 holes totaling 22,600 metres. NIA predicts that SGI will once again report a very large increase in its proven/probable gold reserves and measured/indicated/inferred gold resources. We expect this to once again be a major catalyst for SGI that could quickly drive it to new all-time highs of above $1.62 per share.
A second HUGE short-term catalyst for SGI will be its 4Q and year-end 2018 production results, which we expect SGI to release approximately two weeks from today. Last year, SGI exploded 28.43% higher following the release of its 4Q and year-end 2017 production results, and we expect this year's results to be significantly stronger!
Past performance is not an indicator of future returns. NIA is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This message is not a solicitation or recommendation to buy, sell, or hold securities. Never make investment decisions based on anything NIA says. This message is meant for informational and educational purposes only and does not provide investment advice.