Investors

STOCK INFORMATION

Olive Resource Capital TSXV - OC Capital Markets Profile June 2023

Investment themes FOR 2023

High Inflation and rapid Interest Rate increases have resulted in a race to liquidity as the market expectations are for a recession in 2023. While this increases volatility in the short-term, it does not derail medium to longer term themes.

Precious Metals

E

Gold Prices Should Rise

Gold and gold equities usually outperform other asset classes during a recession. This coupled with an inflationary environment should be positive for gold.

E

“Strong” Metal Prices

Effectively flat metal prices should see quality producers generate strong cash flow presenting opportunity at current valuations. Also, stronger balance sheets could drive increased M&A activity.

Olive’s Focus

Producers with funded organic growth plus Developers with scale

Electrification/ Decarbonization

E

Government Incentives for Electrification

The push to reduce carbon emissions creates demand for some metals. Electric grids need overhaul, leading to intense demand for metals.

E

Not All Green Metals are Created Equal

Several metals offer limited quality investment opportunities. Focus on safe jurisdictions & favourable supply demand fundamentals.

Olive’s Focus

Copper, Uranium, PGMs, Nickel, Lithium

Traditional Energy

E

Decarbonization is the Trend, But We Are Not There Yet

Under-investment has led to limited new supply, despite demand still increasing. Rising prices have oil and gas producers generating substantial shareholder returns.

E

Supply Constrained

Shifting global supply chains is pushing prices higher in the nearterm, while infrastructure limits how much supply can increase.

Olive’s Focus

Quality Oil & Gas Producers, and Integrated Producers.