SILVER Stocks Set to Go Berserk - 'These Companies Are Printing Cash': John Feneck

Feneck says weaker inflation and employment data could reduce pressure for higher interest rates and influence Federal Reserve policy, turning him bullish. He also views Scott Bessent’s doubling of Treasury buybacks as effectively quantitative easing and a major positive signal for gold and silver, citing the rally in GDX and GDXJ since August 19 as confirmation.

Feneck’s stronger conviction in silver is reflected in its roughly 11% to 12% portfolio weighting versus 6.7% for gold, his view that silver could rise from about $68 to $100 by next year, and the SIL ETF’s roughly 20% year-to-date gain despite a 5% decline in silver. He also argues that miners offer operating leverage, with producers carrying sustaining costs near $30 per ounce potentially generating substantial cash flow at a $70 silver price.

Feneck highlights production and development catalysts across several smaller resource companies: Silverco is pursuing a 15,000-meter drilling campaign and aims to become a 10-million-ounce silver-equivalent producer within three years, while Exelon Resources could begin silver production in Peru and expand in 2027. He predicts Exelon could recover from 29 cents to its prior 50-to-51-cent resistance level by early next year, keeping the forecast explicitly contingent on those developments.

The episode emphasizes company-specific operating leverage and rerating potential, including DNRSF’s planned revenue increase from under $2 million to about $20 million, IMR Resources’ strategic contribution of an estimated 4.5 million to 5 million gold ounces, and Cass Resources’ projected tungsten costs of $100 to $150 per ton versus prices above $2,800. Feneck also points to Anchor Resources’ undrilled 30-year oil lease as a potential source of near-term cash flow alongside gold and copper exposure.