The Dig – Haywood Mining Team’s week in review

POSTED ON October 03, 2014 BY Haywood Mining Team
CATEGORY Haywood Securities, The Weekly Dig,

HAYWOOD'S HERITAGE MOMENT: ASTEROIDS - There are over 1,500 asteroids that are as easy to get to as the surface of the Moon... Asteroids contain valuable and useful materials like iron, nickel, water, and rare platinum group metals, often in significantly higher concentration than found in mines on Earth. Source: Planetary Resources

Mining Equities and Commodities Continue To Slide

Mining equities and commodity prices continued to fall this week; while the TSX composite index fell to as low as 14,570 on Thursday before rebounding to 14,792 on Friday, the TSX Venture continued fall, ending the week below 900 to 880. Gold fell below $1,200 per ounce for the first time in 2014, while silver finished below $17 per ounce for the first time since 2010. Precious metal prices have been declining for some weeks with September Nonfarm payroll data for the U.S. adding further pressure to gold and silver prices. The US unemployment rate fell to 5.9% in September. This pricing action occurs despite the first documented case of Ebola in the U.S. and escalation of military action against ISIS in the Middle East, which would normally be expected to push gold and silver higher. By Friday gold and silver finished at $1,192 per ounce and $16.84 per ounce respectively. Platinum and palladium prices were also hit hard, with the restart of PGE mining in South Africa continuing to push prices lower. Platinum was down 6% to $1,227 per ounce and palladium was down 3.2% to $757 per ounce as of Friday. In base metals, copper and nickel were down 1.3% and 2.6% for the week, finishing at $3.00 and $7.47 per pound on Friday. Meanwhile, both lead and zinc were relatively flat for the week, finishing at $0.94 and $1.02 respectively. Iron ore and uranium were also flat for the week, finishing at $78 per tonne (CFR China 62% Fe) and $35.50 per pound respectively. Not to be left out, oil prices (Brent and WTI) joined in to fall significantly over the week over concerns of a supply glut.

Click here for the full report.

Important Information and Legal Disclaimers
All prices are in C$ unless noted

Content provided by Haywood Securities Inc.

This report is neither a solicitation for the purchase of securities nor an offer of securities. Our ratings are intended only for clients of Haywood Securities Inc., and those of its wholly owned subsidiaries, Haywood Securities (USA) Inc. and such clients are cautioned to consult the respective firm prior to purchasing or selling any security recommended or views contained in this report.

Estimates and projections contained herein, whether or not our own, are based on assumptions that we believe to be reasonable. The information presented, while obtained from sources we believe reliable, is checked but not guaranteed against errors or omissions. Changes in the rates of exchange between currencies may cause the value of your investment to fluctuate. Past performance should not be seen as an indication of future performance. The investments to which this report relates can fluctuate in value and accordingly you are not certain to make a profit on any investment: you could make a loss.

Haywood Securities, or certain of its affiliated companies, may from time to time receive a portion of commissions or other fees derived from the trading or financings conducted by other affiliated companies in the covered security. Haywood analysts are salaried employees who may receive a performance bonus that may be derived, in part, from corporate finance income.

Haywood Securities, Inc., and Haywood Securities (USA) Inc. do have officers in common however, none of those common officers affect or control the ratings given a specific issuer or which issuer will be the subject of Research coverage. In addition, the firm does maintain and enforce written policies and procedures reasonably designed to prevent influence on the activities of affiliated analysts.

Dissemination of Research

Research reports are disseminated either through electronic medium or in printed copy. Clients may access reports on our website, or receive publications directly via email. Haywood strives to ensure all clients receive research in a timely manner and at the same time. It is against our policy for analysts to discuss or circulate their recommendations internally prior to public distribution. This policy applies equally to recommendation changes, target changes and/or forecast revisions.

For Canadian residents: Haywood Securities Inc. is a Canadian registered broker-dealer and a member of the Investment Industry Regulatory Organization of Canada, the Toronto Stock Exchange, the Toronto Venture Exchange and the Canadian Investor Protection Fund and accepts responsibility for the dissemination of this report. Any Canadian client that wishes further information on any securities discussed in this report should contact a qualified salesperson of Haywood Securities Inc.

For U.S. residents: This investment research is distributed in the United States, as third party research by Haywood Securities (USA) Inc. Haywood Securities (USA) Inc. is a wholly owned subsidiary of Haywood Securities Inc., registered with the U.S. Securities and Exchange Commission, and is a member of FINRA and the Securities Investor Protection Corporation (SIPC). Haywood Securities (USA) Inc. as a U.S. registered broker-dealer accepts responsibility for this Research Report and its dissemination in the United States. Any U.S. client that wishes further information on any securities discussed in this report or wish to effect a transaction in these securities should contact a qualified salesperson of Haywood Securities (USA) Inc. Haywood Securities Inc. Research Analysts are considered Foreign Research Analysts to the USA and are not registered/qualified as Research Analysts with FINRA. As these analysts are considered Foreign Research Analysts they may not be specifically subject to FINRA (formerly NASD) Rule 2711 and FINRA (formerly NYSE) Rule 472 restrictions on communications with a Subject Company, Public Appearances and trading securities held by a Research Analyst Account.

This report may be distributed in the following states: nil. Otherwise, this report may only be distributed into those states with an institutional buyer state securities registration exemption.
Analyst Certification

We, Kerry Smith, Stefan Ioannou, Tara Hassan, Geordie Mark, Mick Carew, Colin Healey and Ben Asuncion, hereby certify that the views expressed in this report (which includes the rating assigned to the issuer’s shares as well as the analytical substance and tone of the report) accurately reflect my/our personal views about the subject securities and the issuer. No part of my/our compensation was, is, or will be directly or indirectly related to the specific recommendations.

Important Disclosures

Of the companies included in the report the following Important Disclosures apply:
· n/a
Other material conflict of interest of the research analyst of which the research analyst or member knows or has reason to know at the time of publication or at the time of public appearance:
· n/a

Absent the use of encryption, E-mail is not a secure medium and privacy cannot be ensured. Email is vulnerable to interception and forging. Haywood Securities Inc., its subsidiary Haywood Securities (USA) Inc. and their employees cannot ensure the privacy and authenticity of any information or instructions you send to us by E-mail. All E-mail communication is subject to delay and may from time to time be undeliverable due to technical problems. WE RECOMMEND YOU DO NOT SEND CONFIDENTIAL INFORMATION OR INSTRUCTIONS such as orders to buy or sell a security and money or security transfer requests by E-mail. Haywood Securities Inc., its subsidiary Haywood Securities (USA) Inc. and their employees will not be responsible for verification of any instructions received by E-mail or for any damages you may incur if you communicate confidential information or instructions to us by E-mail. Haywood Securities (USA) Inc. is a member of the Securities Investor Protection Corporation, as well as the Financial Industry Regulator Authority. The firm's place of business is Suite 700 - 200 Burrard Street, Vancouver, BC, V6C 3L6, phone (604) 697-7400, facsimile (604) 697-7481.

Please click here to unsubscribe from all future email communication from Haywood Securities Inc. We will respect all unsubscribe requests . Please allow 5 business days to process your request. If you have any questions, please contact us at Haywood Securities Inc. (Head Office), 200 Burrard Street, Suite 700, Vancouver, BC, V6C 3L6. Tel: 604-697-7100 or Toll: 1-800-663-9499.

[Moon Image source]

Haywood Mining Team

Canadian mining companies have been among the industry leaders, creating new exploration and development undertakings and drawing on their recognized production expertise to generate new opportunities. Our mining research team follows all segments of this sector, covering base and precious metal sectors for large and small-cap companies. Haywood's mining sector coverage also continually seeks opportunities in the dynamic Canadian junior market sector, one that has a rich culture in exploration and development. More →

gmark@haywood.com

Haywood Mining Team

gmark@haywood.com

Disclaimer:

Readers are advised that the material contained herein is solely for information purposes. Readers are encouraged to conduct their own research and due diligence, and/or obtain professional advice. Nothing contained herein constitutes a representation by the publisher, nor a solicitation for the purchase or sale of securities. The information contained herein is based on sources which the publisher believes to be reliable, but is not guaranteed to be accurate, and does not purport to be a complete statement or summary of the available data. Any opinions expressed are subject to change without notice. The owner, editor, writer and publisher and their associates are not responsible for errors or omissions. They may from time to time have a position in the securities of the companies mentioned herein, and may change their positions without notice. (Any significant positions will be disclosed explicitly. This article is not intended to meet your specific individual investment needs and it is not tailored to your personal financial situation. Nothing contained herein constitutes, is intended, or deemed to be — either implied or otherwise — investment advice. Thomas Humphreys, Pacific Website Company Inc., and other entities in which he has an interest, employees, officers, family, and associates may from time to time have positions in the securities or commodities covered in these publications or web site. We reserve the right to buy and sell such securities or commodities without notice to readers. While the information herein is believed to be accurate and reliable it is not guaranteed or implied to be so. The information herein may not be complete or correct; it is provided in good faith but without any legal responsibility or obligation to provide future updates. Neither Thomas Humphreys, nor anyone else, accepts any responsibility, or assumes any liability, whatsoever, for any direct, indirect or consequential loss arising from the use of the information in these publications or web site.

Forward-Looking Statements: This article may include certain "forward-looking information" within the meaning of Canadian securities legislation. Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "forecast", "expect", "potential", "project", "target", "schedule", budget" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the potential of the Company's properties are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company's expectations include actual exploration results, changes in project parameters as plans continue to be refined, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, delays or inability to receive required approvals, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements which speak only as of the date of this article. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Always do your own due diligence. We seek safe harbor.