Source: Clive Maund 05/03/2024
Technical Analyst Clive Maund takes a look at Aztec Minerals Corp. to explain why he believes it is a Strong Buy.
Aztec Minerals Corp. (OTC: AZZTF) is primarily an established gold-silver exploration company that is positioned to make a potentially big discovery or discoveries in mining-friendly areas in Arizona and NW Mexico with a view to greatly increasing its value which will likely result in it being bought out at a premium by a major mining company.
The reason that it is of interest to us as investors and speculators is that its shares are currently trading at relatively low prices at a time when the entire mining sector is at the point of embarking on a major bull market for a variety of reasons likely to be of unprecedented proportions.
Before examining the latest stock charts for Aztec, we will overview the fundamentals of the company using a range of slides lifted from its latest investor deck, but note that we will not be looking at those detailing the geology of the company's properties for reasons of space and because we don't need to go into this kind of detail. Those of you who have knowledge of geology and are interested can, of course, find this information in the deck linked above.
So, we'll start with an overview of the company.
This slide from the deck makes the case for buying the stock on one page, provided that this is confirmed by what we are seeing on the stock charts, and it is.
The next slide shows the locations of the company's two big properties, one just north of the border near Tombstone, Arizona, and the other not too far away in NW Mexico.
The Tombstone property is primarily gold and silver, and the Cervantes property is mainly gold.
Now, we'll briefly overview these two big properties, starting with Tombstone.
The map on the following slide shows Tombstone's location relative to other deposits in the area, some of which are BIG, like the Taylor deposit found by Arizona Mining, which was subsequently gobbled up by South32, resulting in massive windfall gains for investors in the company, and Tombstone has similar potential.
The following slide lists the attributes of the Tombstone property, in which the company has a 75% joint venture interest, and it shows a photo of the oval-shaped Contention Pit.
The location and environs of the other big property, the Cervantes property in NW Mexico, is shown on this slide, and it is interesting to see that there are other big and mid-cap companies operating nearby, such as Agnico-Eagle, Alamos Gold, Minera Alamos, and Osisko, and they wouldn't be in the area without good reason.