Last week I caught up with Mark Jarvis to get an update on his company, Giga Metals, his views on the Nickel market, and his opinion on the rise of electric vehicles.
Hey Mark, welcome back to The Next Bull Market Move. When we first spoke it was back in May when you were in London and you mentioned some exciting drill programs for this summer, can you give us an update on this?
Nice to chat again, Kerem. We have people in camp, one drill has arrived and the second is on its way. We’ll have at least one of the drills turning to the right this week. (this interview was conducted last week and since then two news releases have come out this week - see below for links:
1. Giga announces start of exploration season:
2. Giga Metals Sells Royalty on Turnagain Nickel-Cobalt Project:
We’ll be doing infill, metallurgical and geotechnical drilling to provide data in support of a Pre-Feasibility study for the giant nickel/cobalt deposit we have already defined, but we are also very excited about some of the exploration targets we will be testing.
We have three targets that could be the roots of this ultramafic system, and it is these potential feeder zones where massive sulphides can accumulate. If we hit on any of these targets, it will be a very big deal indeed.
There are more and more news stories surrounding Nickel and the growth of electric vehicles, especially within China, how big of a story are electric vehicles for the Nickel market?
The rise of the electric vehicle changes everything for the nickel market. Whether it is Nickel Cobalt Aluminum batteries in Teslas, Nickel Cobalt Manganese batteries in most other electric vehicles, or Nickel Metal Hydride batteries in Hybrid vehicles, nickel is an integral part of every battery chemistry in use. And the trend is towards a higher percentage of nickel in the batteries because nickel has such a high energy density.
If we look ahead to 2021, where do you see Giga metals? Your plan is to have your asset shovel ready by then, so are you on track?
We are on track, and the reason we are targeting 2021 is that is when most analysts think shortages of nickel, and in particular Class One Nickel suitable for batteries, will really be starting to sting.
If we can be shovel ready by 2021, we can be one of the first really large new supplies of cobalt and nickel to be built to feed that demand. (below is a recent interview Mike gave while he was at the 121 Mining Investment Conference in London earlier this year).
You have had much success in the past with previous companies within the resource space, what does it take to become successful within this space?
My first principal is, size matters. I like really huge deposits because that’s where the leverage is. Mineral exploration and development is a risky business, as everyone knows, so why take risks unless you are exposing yourself to gigantic upside?
Giga metals is backed by some very successful investors and funds within the resource space. How did you attract such investors when, until recently, the Nickel market was in the depths of a bear market?
I wish I could claim some genius move on my part, but the truth is that they found us. Mike Beck, a billionaire investor, called us out of the blue one day. He is extremely bullish on battery materials and, like me, he favors extremely large deposits. (To watch Collin Kettell’s interview with billionaire investor Mike Beck go to https://www.youtube.com/watch?v=6R6DuOMfaPE)
So, he got involved and also brought in Pala and Palisade, two very successful resource oriented groups.
And as a final question, is the Nickel market the place to be for resource investors over the next few years?
You know, it’s interesting to consider that almost all of the recent upward momentum in nickel prices has been driven by a robust stainless steel demand, and only a tiny part has been driven by battery demand. What will happen when battery demand really takes off? I think we are in the very early stages of a fundamental shift in the nickel market and that people who are properly positioned and have the patience to stick with it will do very well.
Many thanks Mark.
The Next Bull Market Move
For more information on Giga Metals go to https://www.gigametals.com
To watch Collin Kettell’s interview with billionaire investor Mike Beck go to https://www.youtube.com/watch?v=6R6DuOMfaPE
To read the latest research piece from Palisade Research click on the link below:
Giga Metals and Triumph Gold Just Filled Their Coffers With Huge Funding Deals
Disclaimer - Interviews are conducted in the name of research and learning from the best. Only you can decide what makes a good speculation/investment.