If not, you wouldn’t want to miss out again
If not, you wouldn’t want to miss out again. And the geniuses behind Silver Wheaton are doing it again.
We’re getting a second bite at this golden apple, and you can bet the taste of this victory will linger for years to come…
If you know the Silver Wheaton story and the 12x returns they produced, you’re familiar with the wonder boy behind it all.
Silver Wheaton’s CFO was the youngest CFO of any New York Stock Exchange company… ever.
And now he’s CEO… and still only 32… and if you talk to any mining insider in Vancouver, they’ll tell you “he has a keen eye for the value of dirt.”
And he’s tireless in pursuit of the perfect plot of dirt.
In his first year at this new gold banking company, he looked at nearly 400 mining operations. He got requests to do business from miners all over the world.
He’s only financed six projects so far.
Being good at “gold banking” takes two skills that don’t usually go together —“ knowing mining, and knowing finance. If you’re good at both, you know there’s only a handful of projects that are the right size… with the right setup… at the right stage… with the right risk profile….
It’s kind of like panning for gold. You’ve got to swirl a lot of sand to get one good nugget. But you’ve also got to have a sixth sense about the lay of the land.
And this wonder boy banker has got it. I’m looking at his company’s financials right now, and I can see that they’re on track to tally up a minimum of $1.4 billion in gold sales and probably much, much more…
And they’re doing all this with only 10 employees and a puny little $1.5 million operating budget!
I’ve never heard of such a small operation making so bloody much! All the more reason to become a partner with this lean and mean operation and enjoy all the advantages coming…
I call this bank a “Gold Streaming Bank” technically because they invest cash and get a steady stream of gold deliveries in return…
When they locate a miner with the right stuff and a need for money, they invest…
In return, the miners hand over to the banker an agreed-upon quantity of gold at a discounted price. And the bank then sells this gold on the open market.
So paying ahead for gold at huge discounts… and then selling in a steadily rising market… locks-in big steadily rising returns.
As a partner with these bankers, you share in the profits. This may well be the most lucrative way to make money ever invented.
So let’s look at the company’s actual profit outlook —“ based on the gold prices we see coming.
To set the stage, the gold bank is currently financing six gold mines in four countries and is bringing on at least four more in the coming years…
| Project #1 Profit Scenarios | |||
| Contract: Est 240,000 ounces at $489 | |||
| At spot of | $1,550 | $2,500 | $4,000 |
| Cash generated | $310,000,000 | $500,000,000 | $800,000,000 |
| Return on capital | 317% | 511% | 818% |
| Project #2 Profit Scenarios | |||
| Contract: Est 54,000 ounces at $617 | |||
| At spot of | $1,550 | $2,500 | $4,000 |
| Cash generated | $69,750,000 | $112,500,000 | $180,000,000 |
| Return on capital | 251% | 405% | 648% |
| Project #3 Profit Scenarios | |||
| Contract: Est 24,000 ounces at $600 | |||
| At spot of | $1,550 | $2,500 | $4,000 |
| Cash generated | $31,000,000 | $50,000,000 | $80,000,000 |
| Return on capital | 258% | 417% | 667% |
| Project #4 Profit Scenarios | |||
| Contract: Est 54,000 ounces at $444 | |||
| At spot of | $1,550 | $2,500 | $4,000 |
| Cash generated | $69,750,000 | $112,500,000 | $180,000,000 |
| Return on capital | 349% | 563% | 901% |
| Project #5 Profit Scenarios | |||
| Contract: Est 72,000 ounces at $888 | |||
| At spot of | $1,550 | $2,500 | $4,000 |
| Cash generated | $93,000,000 | $150,000,000 | $240,000,000 |
| Return on capital | 175% | 282% | 450% |
| Project #6 Profit Scenarios | |||
| Contract: Est 132,000 ounces at $1,009 | |||
| At spot of | $1,550 | $2,500 | $4,000 |
| Cash generated | $170,500,000 | $275,000,000 | $440,000,000 |
| Return on capital | 154% | 248% | 396% |
| Projects #7 – 10 Profit Scenarios | |||
| Contract: Est. 400,000 ounces at $674 | |||
| At spot of | $1,550 | $2,500 | $4,000 |
| Cash generated | $620,000,000 | $1,000,000,000 | $1,600,000,000 |
| Return on capital | 230% | 371% | 593% |
This has to be the sweetest profit picture I’ve ever seen. The six mines now under contract are already guaranteeing a profit for the bank. The four that will come on in the next year or two will just keep those profits roaring ahead. It all adds up to one impressive bottom line:
| Profit Summary for Gold Streaming Bank | ||
| At $1,550 gold | $1,364,000,000 | 248% |
| At $2,500 gold | $2,200,000,000 | 399% |
| At $4,000 gold | $3,520,000,000 | 639% |
Every time gold goes up, this bank makes a bigger spread… so more profit for investors.
And what if gold shoots past $4,000 an ounce to $5,000 like a lot of very sober analysts are projecting?
In this case, their expenses stay the same but their profit increases —“ it’s a killer formula!
Global Resource Alert
- How to put one million ounces of pure gold "in your name" in the next 72 hours
- If not, you wouldn't want to miss out again
- And these are just the numbers for the hard assets of the company, the book value if you will
- Safer way to ride to riches on the gold boom
- This approach has paid out handsomely for us for two decades now
- URGENT ALERT #3
- I'm ready to put you in that game, in the front row
About Peter Krauth:
Peter Krauth is a highly regarded market analyst and expert in metals and mining stocks, with a special expertise in energy and resource-related investments. More...
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