Educational content only, not investment advice. Mining stocks are high risk.
By Ben McGregor
Monday, November 16, 2026
Rick Rule is president and CEO of Rule Investment Media. Jeff Phillips is CEO of Global Market Development and of Geomorphic AI. They described how they think about resource stocks when prices fall in a VRIC Media interview hosted by Darrell Thomas. It was published November 10, 2026, and recorded in early November.
The figures below are from Friday's close, November 13. The junior gold miners ETF, or GDXJ, closed at $99.02. Kitco's Friday report put spot gold near $3,883.40 an ounce, up 0.18%, and spot silver near $48.63. That report was published at 5:46 p.m. ET on November 13, 2026.
COMEX gold futures settled at $3,886.30. Silver futures settled at $49.12, and copper futures settled at $6.09 a pound. CMR covered that week's gold move in Three Down Days: The Gold Selloff, the Dollar and Fed Odds, published November 13, 2026.
How do Rick Rule and Jeff Phillips think about a falling resource market?
The host recalled that at the New Orleans Investment Conference, with metal prices falling, veteran explorer Bob Quartermain looked relaxed, and asked how the guests keep their composure. Rule said, "I'm always more calm in down markets." (1:40)
He pointed to GDXJ, which he said is off about 30% since January, making the sector more attractive to him. CMR looked at his earlier remarks on gold mining valuations in Cheap on What? Rick Rule and Gold Mining Stocks, November 13. GDXJ closed at $150.42 on January 28, 2026, its highest January close. It closed at $99.02 on November 13, 2026, down 34.2%, by CMR's calculation. Rule put the drop at about 30%.
Phillips said people at the conference were worried. He pointed to copper near record highs, good uranium prices, gold around $4,000 and silver about $50. Those figures fit the days around the recording, November 4 to 11, 2026. COMEX gold futures settled above $4,000 on each of those days. Silver futures settled between $51.10 and $52.56 over the same days.
COMEX copper set a record settlement of $6.80 a pound on September 9, 2026. It settled at $6.09 on November 13, about 10.5% lower, by CMR's calculation.
Phillips recalled buying his first physical gold at $294 an ounce in 1999, and said he still holds it. The London afternoon gold fix reached $252.80 on July 20, 1999, its low for that year, according to SD Bullion. A $294 purchase falls inside that year's trading range.
Rule said to watch what has to happen. A growing world population that wants a higher standard of living will use more energy, he said, and that needs more copper. Relaying Robert Friedland's forecast, he said, "we will use more copper in the next 25 years than have been mined in the history of humankind." (7:47)
He said, "you cannot have constrained supplies as a consequence of reduced investment and increased demand without moving price." (8:03) Rule described about 25 years of constrained exploration spending. S&P Global's October 2026 report forecast higher 2026 exploration budgets for metals other than iron, with copper budgets at their highest since 2012.
What does Rick Rule say about junior mining financing and the cost of capital?
Rule said he tells most people to own the largest, lowest risk companies when prices fall, while he himself has moved toward smaller, riskier names. Earlier this year, he said, small companies seeking $10 million came back with $25 million. The financing window began to close about three weeks before the interview, he said, and he now gets about five calls a day from companies seeking money. CMR could not check those details.
Capital providers want a high cost of capital, meaning the return they are paid for funding, he said, because they receive it. He said, "we have a circumstance that's tailor made for a stock picker." (11:18) In the same stretch, he said generalist investors have stepped back.
If metal prices keep recovering and equity markets stay calm, he expects more mergers and acquisitions after two already busy years. After about 25 years of constrained exploration spending, he expects very high prices to be paid for significant discoveries. He said "the multiples that will be paid for a good discovery will be eyepopping" (12:14).
He said that in an earlier discovery cycle, which he placed in the early 1990s, he and Phillips were long Arequipa. He said it went from 30 cents to $30 in 19 months, ending with a cash or share bid from Barrick. The 30 cent start, the 19 months, and the cash or share structure are Rule's figures, and CMR did not verify them. The New York Times, on August 30, 1996, reported Barrick's takeover of Arequipa Resources, valued at about $800 million. Barrick announced a $27 a share bid on July 11, 1996, several years after the cycle Rule described.
How do Jeff Phillips and Rick Rule think about royalty companies and prospect generators?
Phillips said that, in his view, large companies suit most people without time for deep research. He works at the riskier front end, where companies drill for discoveries, and he counts it a big success to be right one time in three. He looks for royalty companies and for people who have built and sold companies before.
Rule said, "A prospect generator is a company that engages in exploration on the intellectual side as opposed to the physical capital side." (22:01)
In plain terms, it does most of its exploration work with ideas and know-how. It stakes projects, then farms them out to partners who fund the work. He likens it to holding a share of many racetrack tickets bought by others.
Speaking about Latin Metals, whose partners fund the drilling, Rule said, "they're spending their own money, which is the most honest due diligence in the world." (23:41)
CMR discussed this model in Prospect Generators: Rick Rule, Jeff Phillips and the Arithmetic of Juniors, published September 3, 2026.
Rule said he was taught that a mineralized anomaly has a one in 3,000 chance of becoming a mine. In his own experience across more than 70 public prospect generators, he counts 20 to 25 economic successes. He also counts 23 takeovers, for a success rate he puts at almost 30%. He calls that a two standard deviation advantage. Those figures are his own record, and CMR could not check them.
Phillips said there are good and bad prospect generators, and he looks for ones partnered with major miners on meaningful targets.
What did they say about uranium term prices and supply?
Rule pointed to strong uranium term prices, meaning prices in long-term supply contracts. He said contracts are being signed with index ceilings and firm minimum prices he puts at about $95. Contract terms are private, and CMR could not verify them. He also said uranium has risen from about $30 to almost $100 a pound with little new supply.
Cameco's month-end indicators show spot uranium at $91.55 a pound on October 30, 2026. The same report put the long-term indicator at $98.00. Spot was $29.63 at the end of January 2021. His range from about $30 to almost $100 fits that move.
Phillips said he does not think there has been a uranium equities bull market since about 2005 to 2006, which is his opinion. He called 2012 to 2016 a bad market. Cameco's month-end spot price was $52.13 in January 2012. It was $18.00 in November 2016.
CMR looked at the lag in uranium equities in Uranium Stocks Lag Despite New Nuclear Deals, published October 27, 2026.
What did CMR check in the royalty and gold company remarks?
Phillips named Empress Royalty, where he is a large holder, and Versamet Royalties. Rule's Versamet figures are his estimates. He put the tradable float at about $200 million against a market value of about $850 million.
On Empress, Rule said the Tongon stream deal brought the company to critical mass and cut internal risk, though he said risk remains. Empress agreed on September 17, 2026, to buy a gold stream on the Tongon mine in Cote d'Ivoire for $62 million upfront. The deal included a $75 million credit facility and closed on October 19, 2026.
On Banyan Gold, Phillips praised CEO Tara Christie. Rule said he has sold enough stock to have no cost basis, and called the AurMac deposit about 7 million ounces. Banyan's current resource, effective May 15, 2026, shows indicated resources of 3.64 million ounces at 0.68 grams per tonne. Inferred resources are 4.98 million ounces at 0.58 grams per tonne, according to Banyan.
Rule said nearby Victoria Gold failed because it lacked the tons and grade to pay back its plant. That explanation is his view. The documented event is the heap leach pad failure at the Eagle mine on June 24, 2024. A court put Victoria Gold into receivership in August 2024, according to CBC News.
On GoGold, Rule said permitting is now in place for the underground part of Los Ricos. On June 8, 2026, GoGold said Mexico's environment department had granted all permits needed to build the Los Ricos South underground mine. His estimate that free cash flow would be about 55% silver and 45% gold is his own.
On Revival Gold, Rule pointed to two former producing mines, Beartrack in Idaho and Mercur in Utah. Mercur produced about 2.6 million ounces from 1890 to 1998, according to Revival materials. The Beartrack mine produced about 610,000 ounces from 1994 to 2002. Rule put the Beartrack figure at 2 million ounces.
On Coast Copper, Rule praised Michael Kosowan, a former broker at his firm and now a large shareholder. The CEO is Adam Travis. Rule said he has no opinion on Coast Copper.
Phillips described Almadex Minerals, run by Morgan Poliquin, and said he thinks he may be the largest shareholder. That claim was not checked.
What did CMR check in the uranium company remarks?
Phillips described North Shore Uranium as a very small, high-risk company with a historic deposit in New Mexico, led by CEO Brooke Clements. The Rio Puerco project has a historic estimate of 6.0 million tonnes at 0.09% eU3O8, or 11.4 million pounds. It is based on Kerr-McGee drilling from the 1960s and 1970s. It is not a current mineral resource under Canada's NI 43-101 rules, according to North Shore. Phillips' figure of 11 million pounds is close to that historic estimate.
On Uranium Royalty Corp., Rule said it paid a big price for Sweetwater Royalties and diversified into trona, or soda ash. He said the change needs time to settle in the share price. The deal was completed on July 27, 2026. The land includes about 850,000 acres of fee surface rights, close to Rule's figure of almost a million acres, and about 4.5 million acres of mineral rights.
Who has a stake in these views?
Rick Rule runs Rule Investment Media and a free online classroom site. In this interview, he said he is a shareholder in Versamet, Banyan Gold, GoGold and Revival Gold. He said he has sold enough Banyan stock to have no cost basis. On GoGold, he called himself an unabashed long and said, "am I talking my book? Absolutely." (34:43) He said he owns NexGen directly and through Mega Uranium, and holds a large Paladin position. He said he is the largest shareholder of Sprott, and that he helped create some Sprott products in the past.
On November 3, 2026, Sprott raised its quarterly dividend to $0.50 a share. It is payable December 1 to holders of record November 16, up from $0.40.
Phillips said he believes Rule also holds Headwater Gold, Kincora Copper and Latin Metals. That is Phillips' belief. Rule did not state those holdings. Phillips also said Rule took part in an Empress financing about four years ago. Rule's current Empress holding was not stated. Rule has no opinion on Coast Copper. Kosowan is his former employee.
Phillips said he is a large shareholder in Empress Royalty, and a large shareholder in and consultant to Daura Gold, which is drilling Latin Metals' Cerro Bayo project. Daura's CEO, Mark Sumner, is also CEO of Geomorphic AI, which is working on the same project. He said he is a large shareholder in Kincora Copper, has a small Banyan holding, and holds GoGold shares from an old project sale. He also said he is a fairly significant Revival Gold shareholder and consultant, and that he may be the largest Almadex shareholder. He mentioned a couple of unnamed small uranium holdings and said he is not a Mundoro shareholder. He said he is a connector and a shareholder, biased toward companies he owns. Host Darrell Thomas said he added to his Empress position, holds a physical uranium trust, and has held Sprott shares.
How I read it. Both men describe the same thing from opposite seats. Rule writes checks and welcomes a higher cost of capital. Phillips works with companies that need those checks, so he favors models that can survive without them. Their common thread is management, and they say so repeatedly. The prospect generator odds are Rule's own record and cannot be checked, and several figures in the interview needed correcting.
What is on the calendar next?
- Tuesday, December 1, 2026: Sprott pays its raised $0.50 quarterly dividend, according to the company.
- Wednesday, December 9, 2026: the Federal Reserve's decision after its December meeting, and the Bank of Canada's rate announcement.
- Thursday, December 10, 2026, 8:30 a.m. ET: US CPI for November, from the US Bureau of Labor Statistics.
- Banyan Gold's preliminary economic assessment was expected in the second half of 2026, per the company. No date has been set.
FAQ: what are readers asking about Rick Rule, Jeff Phillips and this interview?
What is a prospect generator, as Rick Rule describes it?
Rule describes a prospect generator as a company that does most of its exploration work with ideas and know-how. It stakes projects, then farms them out to partners who fund the work. He likens it to holding a share of many racetrack tickets bought by others.
Why does Rick Rule say a higher cost of capital helps investors like him?
Rule says capital providers want a high cost of capital because they receive it. He said junior mining financing has tightened, and that he now takes more calls from companies seeking money. That view is his opinion.
Is this article a recommendation to buy any company mentioned?
No. CMR reports Rule's and Phillips' views and checks the figures they cited. It makes no recommendation on any company or other asset. Their comments are their opinions.
What sources did CMR use?
- Rick Rule: We're Entering a Massive Buying Opportunity, VRIC Media, YouTube, November 10, 2026. https://www.youtube.com/watch?v=rgZze6QJfe0
- Junior gold miners ETF (GDXJ), Yahoo Finance, November 13, 2026. https://finance.yahoo.com/quote/GDXJ
- Gold posts steep weekly loss as Treasury yields rise, Fed tightening bets persist, Kitco, November 13, 2026. https://www.kitco.com/news/article/2026-11-13/gold-posts-steep-weekly-loss-treasury-yields-rise-fed-tightening-bets
- COMEX gold futures (GC=F), Yahoo Finance, November 13, 2026. https://finance.yahoo.com/quote/GC%3DF
- COMEX silver futures (SI=F), Yahoo Finance, November 13, 2026. https://finance.yahoo.com/quote/SI%3DF
- COMEX copper futures (HG=F), Yahoo Finance, November 13, 2026. https://finance.yahoo.com/quote/HG%3DF
- Three Down Days: The Gold Selloff, the Dollar and Fed Odds, Canadian Mining Report, November 13, 2026. https://www.canadianminingreport.com/blog/gold-selloff-pauses-after-three-down-sessions-as-dollar-and-fed-hike-bets-rise
- Cheap on What? Rick Rule and Gold Mining Stocks, November 13, Canadian Mining Report, November 13, 2026. https://www.canadianminingreport.com/blog/rick-rule-says-gold-mining-stocks-match-the-cheapest-of-his-career-is-a-revaluation-coming
- 1999 Gold Prices, SD Bullion. https://sdbullion.com/gold-prices-1999
- Is Copper at the Start of the Next Supercycle?, Frank Giustra. https://frankgiustra.com/posts/is-copper-at-the-start-of-the-next-supercycle/
- Global nonferrous exploration budgets, S&P Global, October 2026. https://www.spglobal.com/market-intelligence/en/news-insights/research/2026/10/global-nonferrous-exploration-budgets-growth-2026-gold-copper
- For Canada's Brash Young Mining Companies, That Pot of Gold May Depend on Acquisitions, The New York Times, August 30, 1996. https://www.nytimes.com/1996/08/30/business/for-canada-s-brash-young-mining-companies-that-pot-gold-may-depend-acquisitions.html
- Prospect Generators: Rick Rule, Jeff Phillips and the Arithmetic of Juniors, Canadian Mining Report, September 3, 2026. https://www.canadianminingreport.com/blog/one-ticket-versus-a-sack-of-tickets-how-prospect-generators-try-to-change-the-math-of-junior-mining
- Uranium price, Cameco, month-end indicators through October 30, 2026. https://www.cameco.com/invest/markets/uranium-price
- Uranium Stocks Lag Despite New Nuclear Deals, Canadian Mining Report, October 27, 2026. https://www.canadianminingreport.com/blog/nuclear-demand-keeps-rising-but-uranium-stocks-have-lagged-what-investors-need-to-know
- Empress to acquire Tongon gold stream, Empress Royalty, September 17, 2026. https://www.empressroyalty.com/news/160494
- Empress announces closing of Tongon gold stream investment and debt financing, Empress Royalty via Access Newswire, October 19, 2026. https://www.accessnewswire.com/newsroom/en/metals-and-mining/empress-announces-closing-of-tongon-gold-stream-investment-and-debt-financing-1238025
- Banyan expands indicated and inferred mineral resource estimate and improves grade at AurMac deposit, Yukon, Canada, Banyan Gold, May 19, 2026. https://banyangold.com/news-releases/banyan-expands-indicated-and-inferred-mineral-resource-estimate-and-improves-grade-at-aurmac-deposit-yukon-canada/
- Court appoints receiver to take over Victoria Gold, CBC News. https://www.cbc.ca/news/canada/north/victoria-gold-yukon-receivership-application-1.7294339
- GoGold announces receipt of all permits required for the construction of Los Ricos South, GoGold, June 8, 2026. https://gogoldresources.com/images/uploads/files/2026_06_08_LRS_Permit.pdf
- Revival Gold Corporate Presentation, Revival Gold, November 2026. https://revival-gold.com/wp-content/uploads/2026/11/Revival-Gold-Corporate-Presentation-Nov.-2026-FINAL.pdf
- Management and directors, Coast Copper. https://coastcoppercorp.com/corporate/management-directors/
- Rio Puerco property, North Shore Uranium. https://northshoreuranium.com/projects/rio-puerco-property/
- Uranium Royalty completes Sweetwater transaction, Uranium Royalty Corp., July 27, 2026. https://www.uraniumroyalty.com/news/uranium-royalty-completes-landmark-sweetwater-transaction-creating-leading-uranium-and-land-royalty-company
- Sprott Inc. announces 25% dividend increase and declares third quarter 2026 dividend, Sprott, November 3, 2026. https://www.globenewswire.com/news-release/2026/11/03/3394656/35318/en/sprott-inc-announces-25-dividend-increase-and-declares-third-quarter-2026-dividend.html
- Bank of Canada publishes its 2026 schedule for policy interest rate announcements, Bank of Canada, August 2025. https://www.bankofcanada.ca/2025/08/bank-canada-publishes-2026-schedule-policy-interest-rate-announcements-other-major-publications/
- Meeting calendars and information, Board of Governors of the Federal Reserve System, accessed November 15, 2026. https://www.federalreserve.gov/monetarypolicy/fomccalendars.htm
- Schedule of Releases for the Consumer Price Index, US Bureau of Labor Statistics, accessed November 15, 2026. https://www.bls.gov/schedule/news_release/cpi.htm
