To: Goose94 who wrote (10519 ) 12/6/2014 9:37:48 AM From: Goose94 Respond to of 202998 Better times ahead for gold mining - Canaccord banker Craig Warren advises it will take several years before retail investors will return to the mining industry. “We believe that we’re bottoming out here and that there’s better times ahead,” said Craig Warren, managing director, Investment Banking, Canaccord Genuity, during a panel at the American Exploration & Mining Association meeting in Sparks, Nevada Wednesday. Warren observed that despite the collapse of gold price, total gold demand remains relatively unchanged from last year. Short term, Canaccord analysts like base metals including zinc and nickel, but are bearish on iron ore and metallurgical and thermal coal, Warren told his audience of geologists and junior mining company executives Wednesday. Canaccord’s long-term view is bullish on zinc, nickel, copper and diamonds due to anticipated supply deficits, said Warren, stressing that zinc supplies are already in deficit. Warren forecast that copper would experience small surpluses in 2015 and 2016, which will be mitigated by a shortage of copper scrap. However, equity financing activity in Canada is a “pretty bearish situation” with mining deals mostly reserved for mining producers, Warren observed. Nevertheless, he suggested that a rebound in mining equity finances is on the horizon. The money will come to the senior mining companies first, then juniors, he predicted. Meanwhile, Warren suggested that retail investors will return to the mining sector, “but they will be wiser” in their investments in the wake of serious declines in precious metals prices. He predicted that returning retail investors will concentrate on mining and exploration companies with projects in low risk countries. Nevertheless, he advised that it will take several years before retail investors actually return to the mining industry.