by James Kwantes
The sound of helicopter blades is getting louder as the price of gold climbs in response to unprecedented money printing around the world. So when a gold exploration legend loads up on a base metals play in this environment, I pay attention.
Andre Gaumond's Virginia Gold Mines found the Eleonore gold deposit in James Bay, Quebec and sold the company to Goldcorp for US$420 million in 2005. The prospector and geological engineer spun out a royalty on Eleonore into a new company, Virginia Mines. In 2014, the new Virginia sold to Osisko Gold Royalties for US$424 million, and the Eleonore royalty became one of Osisko's flagship assets.
The two Virginias were an impressive exercise in shareholder value creation that amounted to more than $1.1 billion Canadian (at current exchange rates).
Gaumond is a director of Altius Minerals, the base metals royalty company run by Brian Dalton, and he's been loading up on the stock in the midst of a burgeoning precious metals bull market. Watch my 5-minute video to learn more. And subscribe to Resource Opportunities using coupon code CEO here to save US$100 on regular prices of US$299 for 1 year or $449 for 2 years.
SUBSCRIBERS GET MY BEST IDEAS FIRST: in the March 13, 2020 newsletter, I touched on portfolio companies trading at $4.50 (now $11.70), $5.92 (now $12.40) and 90 cents (now $1.55).