Formation Metals and Apollo Silver: Two more Explorers set to get even Hotter!
Greetings, Investors! Two items I’ve been discussing a lot (and sharing multiple items with you on in recent days) are looking to coalesce this week to make crazy, bubbly markets even more so (but also, I’ll point out, to let more air OUT OF certain recent bubbles):
First, we’ve heard today that a purported framework for a “deal” to, at least, effect a decent cease-fire in the U.S. v. China trade/commodities war has been reached.
Among other things, President Trump will relent on present/threatened tariffs and lighten up on tech transfers and certain financial “levers”…
…While Chinese President Xi will lift the embargo on certain rare earth end products and other materials (for a year, per initial reports) and buy some U.S. soybeans.
Fortunately, we’ve already been booking some NICE gains in recent days on certain stocks/themes that will likely give back a LOT of recent “WW3”-inspired gains in recent months.
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—>> Tomorrow a.m., I’ll have some added moves for our Members, perhaps on BOTH sides of trades to come based on this news…so be alert!
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Make no mistake: None of this will end the long-term realigning with China, other countries, commodity wars, etc.
BUT for now, attitudes in the market will change, at least for a while.
Second, the Fed meets again this week, as Chairman Jerome Powell is set to take further steps back in the direction of arsonist instead of fire (inflation) fighter.
Expect another 25 bp cut in the fed funds rate, despite 1. record stock prices, 2. dopier speculation elsewhere and 3. the fact that inflation continues to tick higher as reported late last week.
Further, the Fed will continue to lower rates incrementally because of all those cracks and stresses that have been appearing in certain places in credit markets.
Similarly to the fall of 2019 when the Fed was forced to start injecting massive liquidity into markets due to what Powell at the time euphemistically referred to as “plumbing problems,” similar such problems exist now.
So it will become that much more obvious come Wednesday that the Fed has de facto abandoned its purported 2% inflation target. (It will be entertaining this go-round to see how Powell explains it away this time.)
The volatility (and likely some heavy net selling further) that we’ll see in certain critical materials stories this week due to the China cease fire (assuming, of course, things STAY that way, which we never know from one minute to the next with the fickle Orange Wonder!) should alternatively support general base metals and energy.
The Fed’s moves and added surrender on inflation (not to mention stoking more necessarily to keep the present skyscrapers of cards from all falling) WILL bolster precious metals ultimately, even if they correct further on the China news/as traders pile into tech and ag names.
So even more so than I said in my email of early this past week, it’s wise now to be redeploying some dough from GREAT moves in PM ETFs and certain individual names and going down the food chain to superior exploration stories that are still relatively undiscovered and cheap.
I’ll be offering more updates profiles and interviews in the coming days, but for today here are two more:
First, here’s my LATEST CONVERSATION with C.E.O. Deepak Varshney of Formation Metals (CSE-FOMO; OTCQB-FOMTF).
And “FOMO” is the mind set you should have here, folks!
This is yet another story of a micro cap gold exploration company that has indeed done well for us (up about 5X as of this writing after its spinoff from Usha Resources a year ago) … BUT has potentially explosive upside still well beyond that, as you’ll learn anew.
Formation’s flagship N-2 Gold Project in Quebec’s Abitibi region has solid potential, as you’ll hear anew, for a multi-million ounce gold resource to be fleshed out (likely, incrementally; but over just the next couple or three years or so.)
And the company is VERY nicely cashed up right now to expand once more its exploration program through the end of next year/early 2027 (which had been modestly anticipated to be in the 5,000 meter neighborhood but will now be well beyond the 20,000 meters even most recently announced.)
JUST as we recorded this, the news came out of Iamgold’s buyout of fellow regional explorer Northern Superior Resources: yet another recent example of the growing hunger for intermediates/majors for the best exploration stories out there. Formation Metals has a lot of work ahead of it, to be sure. But the potential is notable to build yet another significant resource at N-2, which would likely put it on the auction block.
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Secondly, I just caught up this past week also with Ross McElroy, C.E.O. of Apollo Silver (TSXV-APGO; OTCQB-APGOF) ; you can watch this meaty discussion RIGHT HERE or by clicking on the below graphic.
We discussed the coming next steps for the company’s flagship Calico Project in California, following the recent upgrade to the Mineral Resource Estimate there (which officially added critical materials barite and zinc to the mix as you already know.)
Incredibly, STILL unbeknownst to many investors is the recently-bolstered significance of California’s San Bernardino County wherein Calico is located. It’s the home of Equinox Gold’s Castle Mountain Project, which just won federal Fast 41 designation to expand that massive primary gold mine.
More spectacularly of late, the U.S. Government/MP Materials high-profile deal likewise added to San Bernardino County’s relevance, as that neighboring rare earths project to Calico likewise has been in the news!
Already up by multiples share price-wise, Apollo still has a LOT of potential as Calico’s various resources are expanded and the main present resource moves toward development. And if that’s not enough, the seasoned management team–Exec. Chairman Andy Bowering, of course, along with McElroy–is looking to make another hugely prospective project come to fruition in Mexico (where one of Andy’s other “creations”, Prime Mining, was also just bought out.)
All the best,
Chris Temple
Editor/Publisher
From the desk of Chris Temple — Sunday, Oct. 26, 2025
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