Precious metals and the junior miners are taking a much needed breather today as they have had a phenomenal bullish move in 2016.
However, attention must be paid to significant small cap companies on the North American Exchanges making significant progress in both clean energy and tech.
1) Last week I highlighted Great Lakes Graphite (TO:GLK) in this article entitled, “Canada Could Become Significant Supplier of Micronized Graphite for Lithium-Ion Batteries”.
In the article I wrote, “As they should announce production and sales of graphite in the near term I expect the company to be rerated higher and breakout of 2 year highs at $.15.” Great Lakes announced news today that they received two purchase orders from a Texas Industrial Company.
Senior Vice President of Sales Mike Coscia commented:
“These initial orders represent an important outcome of a process that has been ongoing for several months now. In this case, we worked closely with a customer who is developing a solution with particular performance requirements. Identifying the right product for their application required an iterative process of testing various products and blends and working collaboratively to find the right solution. We believe this model works well for us and enables customers to benefit from our substantial experience with graphite and other industrial minerals.”
2) Attention should be paid to Pure Energy Minerals (TO:PE) who announced today an operational and exploration update on the Clayton Valley South Lithium Brine Project.
Pure Energy Minerals CEO Robert Mintak commented:
“We are pleased to report that the drilling campaign continues to run smoothly and we are gathering excellent data as we expand our understanding of the CVS lithium-brine resource. Simultaneously, the team is ramping up activity as we make preparations for the commencement of the upcoming mini-pilot plant process testing work.”
I expect as Pure Energy advances with the pilot plant and the Preliminary Economic Assessment towards the middle of this year it could be rerated significantly higher and surpass old highs after the off take agreement was signed with Tesla (O:TSLA). I expect a top class PEA as the project is adjacent to the only producing lithium operation in North America run by Albemarle. Unlike many other junior lithium plays Pure Energy has already published an inferred resource. The stock should soon find support at the 50-Day Moving Average.
3) In another sector, pay attention to Siyata Mobile (SIM.V), who is making great progress in gaining market share in North America.
| Year | Revenue (Rounded) | Distributors | Mobile Carriers |
|---|---|---|---|
| 2012 | $3,900,000.00 | 0 | 1 |
| 2013 | $4,900,000.00 | 1 | 3 |
| 2014 | $7,400,000.00 | 3 | 4 |
| 2015 | $9,900,000.00 | 7 | 8 |
| Total | $26,100,000.00 | 7 | 8 |
Marc Seelenfreund, CEO of Siyata, stated:
“We are very pleased with our continued growth in 2015 and industry acceptance amongst mobile carriers, distributors, and their clients. We anticipate 2016 to be another year of strong sales growth as we enter the North American market.” I expect the stock to breakout at $.28 on all these fundamental developments continue to progress."
Disclosure: I own share positions in all three companies. Pure Energy and Siyata are current website sponsors while Great Lakes Graphite was a prior sponsor. I could benefit if the price rises on these stocks so I have a conflict of interest which means you must do your own due diligence and consult with a registered financial advisor.