Who Wants To Be A Copper Millionaire?
This is a photo of the largest Copper Whiskey Still in the world. It’s called the “Jameson Still Cork”. It was constructed in 1825 in County Cork, Ireland and it had a capacity of 37,971.65 U.S. gallons.
But what does it have to do with making money in mining stocks? It’s very simple…
Most investors like to invest in gold, silver, and other metals, particularly during times of rising global commodity prices.
But what about the other metals, still largely in use? I’m talking Copper.
A better alternative is to invest in metal mining and exploration stocks that not many people are talking about, that don’t necessarily have all the headlines. This can often get you a better bang for your investment buck.
It can also give you a piece of ownership in solid companies that are less interested in the limelight, and more interested in the bottom line. And that’s always good for you the investor.
Red Metal Resources is a company that primarily explores copper among other precious metals and holds mineral claims on various sites in Chile’s mineral-rich areas.
Let’s explore why RMESF stock could be a worthy investment as the company has plenty of positives that can contribute to its growth, providing investors with huge upside potential.
Red Metal Resources was founded on January 10, 2005, as Red Lake Exploration, but was renamed to Red Metal Resources in 2008. It formed a subsidiary company, Minera Polymet Limitada, in Chile on August 21, 2007, which acquires and explores mineral claims to earn royalty income.
The company owns four properties, with mining and exploration claims, in two districts of Chile. In the Carrizal Alto district area, the company has Farellon and Perth properties, whereas Mateo and Veta Negra properties are located in the Vallenar district area.
The company’s Farellon property lies within Chile’s Candelaria iron oxide-copper-gold (IOCG) belt that has polymetallic deposits with metals, such as iron, zinc, copper, uranium, gold, lead, and cobalt.
Red Metal Resources Stock
The company’s stock trades on the US over-the-counter market OTC under ticker symbol RMESF and on the Canadian Stock Exchange under ticker symbol RMES. On the Canadian Securities Exchange (CNSX), the stock debuted at CAD$0.30 per share on December 02, 2021, and, at the time of writing, is trading at CAD$0.25. On the US OTC market, the stock is currently trading at around $0.19, with a 12-month gain of 5.56% and a YTD-gain of 35.71%.
Future Outlook
Copper prices have doubled since March 2020 as it gradually increased from $2.1 per pound to around $4.5 per pound. Futures contracts for delivery in April 2022 on the U.S Comex market are trading in the range of $4.46 per pound. Many analysts forecast that the bullish run in copper might go on for decades as the world is shifting towards decarbonization and energy transition.
Also, the supply challenges and the electric auto industry could also contribute to the rising trend in the years to come.
The rising commodity prices, particularly copper, can bring tailwinds to copper exploration stocks like Red Metal Resources, which can provide a decent opportunity for investors to invest in a company that is in its start-up phase.
Why You Should Consider Investing In Red Metal Resources?
● Caitlin Jeffs, the President, CEO, and Director of Red Metal Resources, is a certified geoscientist and brings over 15 years of experience related to exploration, mining, GIS technology, and metallurgy. Other top-management team is also well-qualified and experts in their relevant field, which can assure investors that their investments are in safe hands.
● The company’s Farellon & Perth properties are located in Carrizal Alto area, which is among major mining districts of Chile. The area is known for its cobalt, gold, and copper reserves, and the extraction activities have been in place since the 1900s.
● Mateo, and Veta Negra properties of the company in Vallenar district are also in mineral -rich areas, with a potential to mine precious metals in sizable quantities.
● Goldman Sachs Inc. group is bullish about commodities and expects that the commodities supercycle will run throughout the decade. The rising metal prices will incentivize exploration and mining activities and help them improve their profitability.
● The growth in the electric vehicle industry, global shift towards clean energy and net-zero emission targets are also fueling demand for metals like copper, which can lift copper prices higher and benefit the exploration companies like Red Metal Resources.
● The stock has already given a return of around 35% since the start of 2022, taking cues from the performance of copper and bullish sentiment surrounding the metal.
● The stock is currently trading at just $0.19, which is extremely cheap for a company with exploration claims in metal-rich areas.
Conclusion
Although Red Metal Resources is yet to generate revenue, there are plenty of positive and bullish points that can push it to become a profitable company for its investors. The company is still in its early stages and is relying on funding from shareholders and investors to fund its operations.
With the exploration claims in Chile’s key mining areas, the company is aptly positioned to generate royalty revenues when it starts exploiting the minerals extracted from the claims.
Disclaimer:Please read our full disclaimer by clicking here. Statements regarding the Company which are not historical facts are “forward-looking statements” that involve risks and uncertainties. Such information can generally be identified by the use of forwarding-looking wording such as “may”, “expect”, “estimate”, “anticipate”, “intend”, “believe” and “continue” or the negative thereof or similar variations. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements due to factors such as: (i) fluctuation of mineral prices; (ii) a change in market conditions; and (iii) the fact that future operational results may not be accurately predicted based on this limited information to date. Except as required by law, the Company does not intend to update any changes to such statements. One Stock Weekly believes the expectations reflected in those forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included herein should not be unduly relied upon. This article shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state. OneStockWeekly.com, is owned by LeadGopher LLC, which is being compensated to conduct investor awareness advertising and marketing campaigns for some of the companies it profiles. This compensation should be viewed as a major conflict with our ability to be unbiased, more specifically: This communication is for entertainment purposes only. Never invest purely based on our communication. For more on trading risks read our policy and compensation disclosure statement by clicking here.