The surge of silver prices after the usual summer correction is a fitting impulse to publish this list of mostly Canadian-listed silver companies.
Companies are grouped into explorers/developers and producers. Compiling a list of silver companies is controversial as there are only very few pure silver plays. The white metal is mostly mined in combination with gold or base metals.
Seeing silver prices multiplying in this decade these companies give extra leverage - if their plans come true. As I am still scouting the sector for more purchases I do not disclose my current holdings.
GRAPH: Silver seems to have ended its correction. The metal is a lot more volatile than gold. Fundamentally a 16-year supply deficit speaks for itself. Silver currently trades at a ratio of 1:50 to gold. In the long term this ratio has been closer to 1:15, leaving enormous upside potential for silver that could easily lead to a price around $25 next year. Chart courtesy of stockcharts.com.I consider investments in exploration companies as very risky and build up positions very slowly. But they come with a notable exception to the golden rule that for every percentage point of possible reward there is an equal risk. In the case of explorers/developers there is an exception to the rule: As long as one invests without leverage there is a risk of 100% but a multiple of that in possible gains when an explorer hits silver indeed.
When researching risky investments like this very small sector with only a few billions in market capitalization I look mainly for the following:
- Quality of management. Check the track record of management in past ventures.
- Management's stake in the company. If they don't sell or even buy more it is usually a good sign.
- Delays. Are there any delays in realizing the company's ventures ?
- Cost per ounce. What are the company's cash costs per ounce produced? How much do I pay per ounce when I buy their shares.
- Institutional shareholders. Which funds own the company, which analysts cover the stock?
- Proximity to production. Potential gains are higher with explorers in the early stages, but so are the risks. I like companies in the process of finalizing the feasibility study for financing or - at a later stage - companies that are close to production.
Abcourt Mines (ABI.V): Gold, silver and zinc in Quebec
Apogee Minerals (APE.V): Silver, lead, zinc in Bolivia
Arian Silver (AGQ.V): Silver in Mexico
Aquiline Resources (AQI.TO): Silver and gold in Argentina, Canada and Mexico
Avino Silver & Gold Mines (ASM.V): Silver, gold, zinc, copper, lead in British Columbia
Aurcana (AUN.V): Silver, gold, lead, zinc in Mexico
Aura Silver (AUU.V): Silver in Canada, El Salvador, Mexico, USA
Baja Mining (BAJ.TO): Silver, copper, cobalt, manganese, zinc in Mexico
Bear Creek Mining (BCM.V): Silver, gold in Peru
Canasil Resources (CLZ.V): Silver, gold, copper, lead, zinc in British Columbia and Mexico
Continuum Resources (CNU.V): Silver, gold in Mexico
Eagle Plains Resources (EPL.V): 35 gold, silver, uranium, copper, molybdenum, zinc and rare earth mineral projects in Canada
Esperanza Silver (EPZ.V): Silver in Mexico, Peru
First Majestic (FR.V): Silver in Mexico
Fury Exploration (FUR.V): Silver in Canada
Genco Resources (GGC.V): Silver in Mexico
Huldra Silver (HDA.V): Silver in Canada
Klondike Silver (KS.V): Silver in Canada, Mexico
MAG Silver (MAG.V): Silver in Mexico
Mines Management (MGT.TO): Silver, copper in the USA
Mexican Silver Mines (MSM.V): Silver in Mexico
Minco Silver (MSV.TO): Silver in China
Orko Silver (OK.V): Silver in Mexico
Oremex Resources (ORM.V): Silver in Mexico
Oro Silver (OSR.V): Silver in Mexico
Palmarejo Silver and Gold (PJO.V): Silver, gold in Mexico
Pershimco Resources (PRO.V): Silver, gold in Mexico
South American Silver (SAC.TO): Silver in Bolivia, Chile
Sabina Silver (SBB.V): Silver in Canada
Silver Dragon Resources (SDRG.OB): Silver in China
St. Eugene Mining (SEM.V): Silver, lead, zinc in Canada
Silver Eagle Mines (SEG.TO): Silver in Mexico
Silver Fields Resources (SF.V): Silver in Canada, Mexico, USA
Stroud Resources (SDR.V): Silver, gold, natural gas in Mexico
Silvermex Resources (SMR.V): Silver in Mexico
SNS Silver (SNS.V): Silver in the USA
Scorpio Mining (SPM.TO): Silver in Mexico
Silver Quest Resources (SQI.V): Silver in North America
Southern Silver (SSV.V): Silver in Mexico, USA
Silver Grail Resources (SVG.V): Silver in Canada
SilverCrest Mines (SVL.V): Silver in Chile, El Salvador, Mexico
Silvermet (SYI.V): Silver in Canada, Turkey
Tumi Resources (TM.V): Silver in Mexico, Sweden
UC Resources (UC.V): Silver, gold in Mexico
US Silver (USA.V): Silver in the USA
Valencia Ventures (VVI.V): Silver in Australia, Canada, Chile, USA
Yale Resources (YLL.V): Silver in Mexico
ECU Silver Mining (ECU.V): Silver, lead, zinc in Mexico
Endeavour Silver (EDR.TO): Silver in Mexico
Excellon Resources (EXN.V): Silver in Mexico
Fortuna Silver Mines (FVI.V): Silver in Mexico
Great Panther Resources (GPR.TO): Silver in Mexico
Hochschild Mining (HOC.L): Silver in Argentina, Chile, Mexico, Peru
Impact Silver (IPT.V): Silver in Mexico, Dominican Republic
Minera Andes (MAI.TO): Silver in Argentina
Milner Consolidated Silver Mines (MCA.V): Silver in Canada
Pan American Silver (PAA.TO): Silver in Bolivia, Mexico, Peru
Silver Wheaton (SLW): Silver in Greece, Mexico, Peru, Sweden
Silver Standard (SSRI): Silver in Argentina, Mexico, Chile, Peru, Canada, the United States and Australia
Silverstone Resources (SST.V): Silver in Mexico
Silvercorp (SVM.TO): Silver in China