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Clay

Otc And Pink Slip Ups

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Ever wonder where all that money you poured into those "promising" juniors went? It's been a bad year for the little guys and it seems they are going to pot... literally.

 

A trio of Canadian have-been juniors dominate Venture volume with plans for medical marijuana.

 

Not to be outdone the definitely not junior South African gold producer Gold Fields started an export sushi operation.

 

Hatched in the boardroom of South African bullion producer
Gold Fields, a project called Highlands Trout is now
exporting 2,000 tonnes of rainbow trout a year, mainly to
Japanese supermarket chain CGC.

 

Gold Fields hatches a trout harvesting project - from all places Lesotho - to export rainbow trout to Japan.

 

So what have you "invested" in lately? Seems even holding warrants isn't going to give you much say in how a company uses your risked resources. What's next, mining for vegetables or shoe manufacturers forming environmental PACs?

 

Smoke em if you got em.  :lol:

 

 

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http://cannabiscup.com/denver

 

Business venture capital might wish to investigate the greengold in Colorado. 

 

There's a need for the creation of a new and improved banking system.  The existing banks are "hands off".

 

The state tax revenues are above previous projections.

 

Legal retail sales for recreational use have exhausted the supplies.

 

The genie is out of the bottle and people are reacting in unusual ways.

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I spoke with some folks in the non-junior mining business in Canada today. It seems this story was the subject of much cocktail conversation amongst the major producers (mining not pot) over the weekend.

 

To clarify. Canada has approved the cultivation and sale of marijuana for medical purposes on a Federal level for several years. What brought this recent market interest about was the recent approval of commercial licenses for large grow operations and the opening of a possibility of future import/export licenses.

 

Word is that the more productive individual private growers are being offered large sums to implement commercial grows of high quality. Your back yard pot grower is now a hot item in commerce. The better the growers reputation the higher the value of the stock for the company who signs a contract with them.

 

There are some stoners who are becoming very wealthy this week in Canada.

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Well isn't that a dilemma for my investment choices.

  One sounds a bit fishy .... the other may go up in smoke !

 

It seems the mining juniors have discovered the wonderful world of renewable consumables. I don't think any mining company has ever made a complete shift to pharmaceutical production? Things are definitely changing in the world of mining.

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There's a strong reason for the conversations to be lively and filled with curiosity.  Constitutionality is a familiar subject among small-scale miners.

 

"Last week Canadian cannabis patients scored a major victory when a federal judge in Vancouverissued a temporary injunction allowing licensed pot patients and their designated caregivers to continue growing their own medicine beyond the Conservative Party's mandated April 1 deadline.

The injunction will stand until a constitutional challenge to the federal government's revised medical marijuana regulations can be heard in court.

In his decision, Judge Michael Manson wrote: "This group will be irreparably harmed by the effects of the (new Health Canada regulations).

"I find that the nature of the irreparable harm that the applicants will suffer under the (updated regulations) constitutes a 'clear case,' which outweighs the public interest in wholly maintaining the enacted regulations."

The injunction does not supplant the soon-to-be established commercial cultivation system, but rather allows patients to continue growing their own – at least until the constitutionality of the regulations is determined."

 

 

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Penny stock mining companies that trade on the TSX are capable of anything. The possibility that they might diversify is always an option.

 

Go to www.terrafirmaresources.com/investor.html  and take the link to their SEDAR filings and LOOK at their MD&A for October, 2013. :)

 

Get the facts and understand that these companies are public and there is a real effort to satisfy investors.

 

- Geowizard

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These are small cap;

 

The companies are operated by a hand full of people that drive the companies toward areas that offer positive growth. There's nothing wrong with that. It's smart business. They are "penny stocks".

 

Terra Firma sells for $0.025 per share. You can buy 1000 shares for $25.00. IT might be a good investment! :)

 

- Geowizard

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Diversification is smart in a world economy that is becoming a moving target! :)

 

The business of mining is dependent on metals prices. As those commodities head for the basement, smart companies look for industries that represent potential profit. In the case of mining, because it has a problem with "image" in society, the idea of producing trout for the dinner table turns the miner into an asset by helping feed the rest of the world. One of the problems mining companies face when metals begin to tank is the problem with having equipment, people and machinery that is not able to operate and is setting dormant. Keeping people working and generating revenue "by any means" makes a whole lot of sense!

 

- Geowizard

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You're right GEO.

 

However I think my point along with Clay is the switch of industries from that where I was investing in mining got relocated over to medicine.  That aint bad but it is a surprise.  Some investors might be alienated.  

 

At the same time,  I am curious as to the newer industry choice.  Are the profit potentials real or obscured by smoke?  I want to believe the investment is more than an emotional reaction to something which is fraught with cultural turmoil.  We investors will certainly help to make the market expand into the mainstream.  I'm not yet convinced that we're seeing anything more than a boom-bust cycle.  In short the risk seems to be much less in the mining sector.

 

Higher risk offers better rewards.  We understand that fact.  So I'm focusing my own research on comprehending the risk and trying not to acknowledge the potential reward.  I guess I can't trust the world governments to change their ideas relative to cannabis tax income.

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Rod,

 

I agree completely.

 

Another consideration is flexibility. A small cap has greater flexibility because the decision makers are represented by a small number of investors and principals in the company. Since they usually have the most "dogs in the race", they have the liberty to "divest" in the "dogs" that are losing races. :)

 

- Geowizard

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Invest in the growers that produce the high CBD grade marijuana. This has high (no pun intended) medicinal properties and low THC which produces the high. The benefits of this product has long been known but the tobacco / alcohol and drug industry have been keeping it illegal for all the know reasons, profit.

 

It would be a good idea to watch this emerging market.

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