+ The man with a Midas touch?

Stan looks into gold mining and learns a thing or two (see Readers Letters)

As for us, well, just see what we have just found:

April 22nd, 2016

"There’s a trick to investing in mining stocks. To execute this trick, you must understand something first: the value of a mine’s ancillary resources.

What does that mean? It’s simple.

It means when you look at a gold mining company, don’t just look at how much gold it mines per year… look at everything else it does. You will be surprised by what you find.

This is because mining is extremely imprecise. It’s like trying to target shoot with a shotgun. Mining companies often expand in multiple directions at once based solely upon what they can pull out of the ground.

We’ve assembled a list of mining stocks that are currently very cheap and have diversified revenue streams that guarantee a rebound within the next few years. You can find them in a report we’re calling “2016 Mining Bargains.”

Source: Wealth Daily

Our conclusion is that being in the know makes all the difference.  It seems that making money on the backs of others is the name of the game - at least for some.

Note.... The most famous King Midas is popularly remembered in Greek mythology for his ability to turn everything he touched into gold. This came to be called the golden touch, or the Midas touch.

We hasten to add that we do not refer to Stan but to someone he often writes about.

 +  We have been asked to make it clear that Peter Hain, the former Labour MP for Neath, has close connections with South African gold mining and is a shareholder with Amara Mining - see Reuters report below: 

Australia's Perseus Mining (PRU.AX) has made an all-scrip bid worth $85 million to take over London-listed Amara Mining AMARA.L, looking to pool their West African gold resources as bullion prices defy the commodities gloom.

The gold sector has been seen as ripe for consolidation as smaller companies that have been sapped of capital look to team up with those that have cashflow from producing mines and ride a pick-up in gold prices. 

The bid has the unanimous support of Amara's board, with both companies viewing a merger as the best way to boost their value after lagging a surge in gold stocks over the past year.

Source: Reuters