Jim’s Mailbox

Posted at 12:51 PM (CST) by & filed under Jim's Mailbox.

Particularly of interest if you own junior mining shares.

Courtesy of JB.

Bill

Why The Barrick Deal Could Mean The Mega Melt Up Is Here For Gold
February 26, 2019

In 1986, Peter Munk bought a gold mine in northeastern Nevada for $62 million.

The mine was only producing 40,000 ounces of gold a year back then (around $16 million annually) … and the sellers believed the land held 600,000 ounces easily minable gold.

But those estimates were woefully short.

By 1992, the mine yielded 1.1 million ounces of gold. Today, the mine, known as Goldstrike, is the richest mine in North America – producing over two million ounces per year. And it has reserves of over 21 million ounces of gold.

Although the Goldstrike acquisition proved to be his best, Munk bought many other successful gold mines.

He was the founder of the world’s largest gold producer, Barrick Gold. And his company earned the top spot through deal making…

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