MMRGF - Explorer Looks to Have 'Key Year' as Copper Prices Break Out | Benzinga
Source: Streetwise Reports 04/26/2024
Copper and gold explorer Vortex Metals Inc. believes that 2024 will be a "key year" for the company. Find out why two experts agree the stock is attractive as the red metal starts to jump.
Copper and gold explorer Vortex Metals Inc. (OTC: VMSSF) believes that 2024 will be a "key year" for the company as it works toward permitting for two projects in Mexico and advancing the highly prospective brownfield Illapel project in Chile, and two experts agree that the stock is attractive as the red metal breaks out.
So far this year, the metal important to the energy transition has jumped more than 16%, hitting US$4.53 on Tuesday.
"Copper has traded in the (US)$3.13-3.90 range for most of the past two years, with the lows occurring in 2022, shortly after the Fed embarked upon monetary tightening in July of that year" wrote Michael Ballanger of GGM Advisory Inc. "Recently, however, the compelling fundamentals brought about by the looming structural supply deficit propelled copper to new recovery highs above (US)$4.00."
Vortex Metals owns 100% interest in two drill-ready high-potential copper volcanogenic massive sulfide (VMS) properties (Riqueza Marina and Zaachila) in the state of Oaxaca, and a third high-potential gold property (El Rescate) in the state of Puebla.
The Oaxaca projects incorporate the most highly prospective areas of high-grade copper mineralized surface exposures and prominent gravity anomalies along an
emerging copper VMS belt that includes Minaurum Gold's (OTC: MMRGF) Santa Marta project, Vortex said.
In an alert on Thursday, Ballanger said he added 250,000 shares of VMS to his trading account "as a surprising amount of supply came into the market." Total volume on the day was 3,162,123 shares, he noted, with the next most-active session for the company being May 17, 2023, at 423,235.
"On the premise that 'volume precedes price,' I added the extra trading position in order to have liquidity, which I did not have with the 1,000,000 units I bought on the offering at CA$0.09/US$0.065" Ballanger wrote.
Electric vehicles (EVs), their charging infrastructure, solar panels, wind, and batteries all require much more copper than fossil fuel-based technology. EVs themselves use more than three times as much copper as gas-burning cars.
The Catalyst: Metals Markets Entering 'Major Bull Market'
Technical Analyst Clive Maund noted the metals markets "at large are entering a major bull market, with strong gains already being seen in copper, gold, and silver over the past month or two."
But "copper is a special case with a huge supply shortfall incoming due to the combination of an explosion in demand due the expanding ...