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Pacific Empire Drills Company Making Copper in 1st Hole in BCBob Moriarty My regular readers know full well that I am a giant fan of measuring sentiment. The best sentiment indicator I have ever come across is the Daily Sentiment Indicator or DSI from Jake Bernstein. With silver hitting new all time highs day after day and platinum gunning to join the party sentiment becomes the most valuable tool I know. We clearly are in uncharted waters with gold roaring higher approaching $4400 per ounce on October 20th and silver hitting a new all time high last Friday touching $68 an ounce. Platinum is a mere 10% under its all time high and is has been blasting higher as well. Even copper wants to join the list of precious metals with a close of $5.41 Friday after touching an all time high in July over $5.80. Something big is going on. If you ever wanted to track sentiment so you could predict the next moves, this would be the time. I downloaded Friday’s closing DSI numbers with shock. They will shock you as well. Basically, people are dumber than bricks. If you don’t understand that, you need to download and read the classic book on investing, written about 175 years ago, “Extraordinary Popular Delusions and the Madness of Crowds.” You see, people want to join the herd. We are herd animals just as a school of fish or flock of birds. But the birds are probably smarter. If you don’t think it is worth spending $.99 for an education in sentiment, for certain you are too dumb to invest. The mob is always wrong. They want to buy at tops and sell at bottoms. You don’t have to know anything about gold or silver or platinum or even the latest metal to become precious, copper. Forget the Fed, forget where you think interest rates are going, ignore the $12 trillion unwinding of the Japanese Carry Trade. When 100% of investors are bullish and the DSI is 100, the next trade will be down in a crash. When 100% of punters or 0 on the DSI are bearish the market is about to explode higher. At an all-time price of silver on Friday the DSI was 77. Gold wasn’t at an all-time new high but it was close. The gold DSI was 77 on Friday, neither was any signal of warning. Platinum had a DSI of 88 and all that means is soon there will be a correction. Even copper had a DSI of only 76. We not only are not at a top, the DSI for these metals suggests ordinary investors are not even in these markets so far. We could go a lot higher. When the DSI on these metals’ hits 95 or so, we will have a top. We are not even close. When ordinary investors wake up to the potential in the metals and in resource stocks for these metals they are going to be offered a life changing opportunity to profit by investing in junior resource stocks that have barely begun to move. I did some research last week into the total market cap of all the juniors with a market cap under $100 million. If you added up the market cap of every junior with an under $100 million market cap, you would have a total of about $14 billion. That may sound like a large number but the Japanese Carry Trade is about $12 trillion, almost a thousand times higher. The clipto currencies got as high as $4 trillion before people woke up and started dumping the 17,000 variations of random number generators that people think have value. They don’t. At the end of the day when Beanie Babies tumbled, you at least had a $.79 stuffed toy. The Donald Trump Meme coin has lost 88% of its value and the Melanie Trump Meme coin has plummeted by 99%. Those are not investments, they are scams. I invested in a tiny copper/gold junior with two projects in the Quesnel Terrane in BC a while back. I participated in two private placements in the company named Pacific Empire Minerals (PEMC-V) for pennies. On the 15th they released their first results from this year’s drill program. It was a home run of 183 meters of 1.23% Copper Eq from 9 meters. That was the first hole of a 2,500-meter drill program. The shares went from $.06 to $.16 that day as 10% of the shares traded hands. The company has about 46 million warrants outstanding at an average price of just over $.08 apiece so the stock spent the rest of the week bobbing and weaving between $.175 and $.12 as warrant holders sold shares to exercise warrants solidly in the money. What does 183 meters of 1.23% CuEq mean for a junior? Well, when Hercules (BIG-V) announced their discovery hole in Idaho of 184 meters of 0.84% Cu the shares ran from $.20 to $1.60 giving the company a market cap of about $400 million. With the close of PEMC on Friday at $.155 the company had a market cap of about $30 million. And you will like this, PEMC didn’t release the entire hole, just what they had assays for. The remaining portion of the hole should be released soon. Pacific Empire’s Trident and Pinnacle copper/gold properties are located just over 30 KM NW of the Mt Milligan Copper mine in Northern BC. In 2024 Mt Milligan produced 168,000 ounces of gold and 54 million pounds of copper. (Click on image to enlarge)
Pacific Empire wants to conduct a 10,000-to-15,000-meter phase 2 drill program at Trident in 2026. The warrants outstand could bring in about $4 million in cash but ideally PEMC management would probably want to bring in a major or two to finance the drilling program and provide technical assistance. With results such as their very first hole, they are in the driver’s seat. Copper is hot and in shortage. The outstanding warrants will tend to put a lid on the price of the stock as investors sell shares in order to exercise the warrants. The remaining to be announced lower portion of hole DD25-TRI-001 and the other five holes that were part of the Phase 1 drill program could blow the lid off the stock. I’ve participated in a couple of private placements in Pacific Empire Minerals. When I read the results a week ago, I suggested to management that they needed to tell the story. They agreed and are now advertisers on 321gold.com. Of course, I am biased so do your own due diligence. Pacific Empire Minerals Corp ### Bob Moriarty 321gold Ltd |
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