Daily Brief Energy/Materials: Gold, E2Gold Inc, Cemex SAB de CV, Albemarle Corp, Pioneer Natural Resources, Newmont Mining, Pan American Silver and more

• At TMA we deliver high probability outcomes by focusing on our 3 pillars of technical analysis. •1) Response to key levels. •2) Price action. •3) Momentum confirmation.
• Gold retraced almost 50% of its aggressive Q4/Q1 uptrend in the past 4-5 weeks. The correction has bottomed at critical MT support.
• The weekly close has the potential to deliver a bullish MT reversal pattern this week and likely set up the next phase of the MT uptrend, targeting 2070/75.

• ETU’s flagship Hawkins project sits in one of the best mining neighbourhoods in the world with its massive 681km2 land package spanning 80km along the Porcupine-Destor Fault which hosts >100 Moz Au
• The Band-Ore Project is an asset that the market is not yet giving ETU any credit for, however, the high-grade historical resources and recent drill results make for a highly promising project
• Committed partners – Kinross & Crescat Capital each own 10% 

• Weak EBITDA generation in 2022, but margins recovering in 2H22.
• Upgrades from MSCI to ‘A’, and both S&P and Fitch to BB+ are proof of the company’s hard work.
• We recommend a BUY on CEMEX 27 and the CEMEX perp.

• Albemarle Corporation’s fourth quarter results were mixed as the company failed to meet the revenue expectations of Wall Street.
• However, its adjusted EBITDA increased by more than 400% yearly resulting in an earnings beat.
• While higher lithium prices were a factor in these outcomes, there was also a notable increase in volume growth.

• Pioneer Natural Resources Company delivered a mixed set of results in the last quarter with revenues falling short of analyst expectations.
• The peer-leading free cash flow of Pioneer per BOE is supported by strong margins.
• We give Pioneer Natural Resources Company a ‘Buy’ rating with a revised target price.

Edison Investment Research is terminating coverage on Newmont Corporation (NEM). Please note you should no longer rely on any previous research or estimates for this company. All forecasts should now be considered redundant.

Pan American Silver (PAAS) reported an encouraging set of Q4/FY22 results, with Q4 EBITDA of US$92.3m exceeding consensus expectations by c 21% and FY22 EBITDA coming in at US$272m, c 6% above consensus. The bottom line was negatively affected by US$157.3m of one-off costs relating to the Yamana transaction, which is expected to be completed in Q123. Our valuation and forecasts remain under review.