Avoid Copper Exploration Stocks

Fernando Ganoza, a copper expert with decades of experience in copper mining and exploration in South America, told me to stay away from green-field copper explorers as "they are too risky".

During the full conversation, we discussed Atico Mining. You can watch the full conversation for free: https://resourcetalks.com/copper/atico-aty-copper-exploration-development-production-in-1-company/

Fernando is the CEO of Atico Mining, a small copper producer with a producing asset in Colombia, and a development asset in Ecuador.

In this clip, you witness a portion of the full conversation that Fernando and I had on March 1. In this portion we talked about what copper stocks Fernando likes, what makes a good copper stock, and even what makes a bad copper stock.

Fernando told me that he likes junior copper producers who have their own cash flow, as that diminishes dilution, but he also wants to see exploration and development potential that can grow the company over decades of execution, which is why he runs his own company that way.

Other than that, when it comes down to the bigger copper companies, Fernando likes Capstone & Copper Mountain.

A good quote from this conversation is: "Even the best management team can't work wonders. If the asset is lousy, don't bother".

Being in South America, I asked Fernando if that's still a safe mining jurisdiction for copper because we do hear a lot about corruption, crimes, and other bad signs. Fernando told me that those are all true, but that doesn't make it impossible to develop a good asset, as long as you have people who know and understand that jurisdiction.

Timestamps:
00:00 Which copper companies does Fernando like?
02:00 What makes a good copper stock?
04:15 What makes a bad copper stock?
06:10 Is South America safe for copper investments?
09:00 What will move copper in the next 10 years?

This video should not be considered investment advice of any sort. The contents of this video are general and impersonal in nature. No trading recommendations are being made in this article. Be diligent and do your own research before risking your capital. The investment decisions of the author are based on their own investor profile. This includes, but is not limited to, their risk profile, their cash balance, and their debts. The author likely has a higher risk appetite than yourself. That’s why you may never assume anything on this website to be personally tailored to your situation. Resource Talks, nor the author of this article are registered advisory services and we do not give investment advice. Our comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to buy or sell a stock, option, future, bond, commodity, or any other financial instrument at any time.

Видео Avoid Copper Exploration Stocks канала Resource Talks