Source: The White House.

Fort Knox gold

The US Department of the Treasury’s Weekly Release of US Foreign Exchange Reserves shows the levels of various official assets, including gold. It reported gold of 261.499 million fine troy ounces. An estimated 56 percent of that is in Fort Knox, with the remainder in West Point, Denver and New York.

The Federal Reserve Act 1913 still gives the power to the US Federal Reserve: “To deal in gold coin and bullion at home or abroad, to make loans thereon, exchange Federal reserve notes for gold, gold coin, or gold certificates, and to contract for loans of gold coin or bullion (and much more).”

The question of how much gold is in Fort Knox and elsewhere is not only important for the purposes of DOGE, but even more so in the case of a potential return to a gold standard. And such an incredible return is not mere speculation, but is due to some credible public comments.

Source: Visual Capitalist.

Trump gold standard

Private citizen Trump commented, as a presidential candidate, about a possible return to a gold standard in June 2016, when he said: “Bringing back the gold standard would be very hard to do, but, boy, would it be wonderful. We’d have a standard on which to base our money.”

More recently, Steve Bannon stated in December 2023: “Nixon took us off the gold standard … over a weekend … in an emergency executive order. That is going to be reviewed strongly in the second Trump term … getting rid of the Fed, yeah, maybe you start with converting back into gold.”

Economist Judy Shelton has an October 2024 book as a guide: “When the US dollar is backed by gold, America prospers, and so does the rest of the world. But this is no curmudgeonly demand to return to the gold standard of yore; (but) gold for a new international monetary order.”

Some sort of gold standard might dovetail with a new global trading system, as outlined in the “Mar-a-Largo Accord” of November 2024, as well as with the GENIUS Act of July 2025, which: “establishes a regulatory framework for payment stablecoins (must redeem for a fixed value).”

Shadow gold price I

Shadow pricing is a method long used in cost benefit analysis that adjusts prices from, or creates prices for, failed or non-existent markets. The shadow price of gold (SPoG) in August 2018 was defined as: “The linkage between the US monetary base and the implied price of gold.”

The In Gold We Trust (IGWT) annual report from May 2025 uses a similar definition: “The theoretical gold price in the event of full gold backing of the base money supply.” The report adds: “The reciprocal value of the (SPoG) gives the degree of coverage of the monetary base.”

The reciprocal SPoG, based on current market prices, is the “Gold Coverage Ratio” (GCR). The report explains further that: “Currently, the (GCR) in the US is only 14.5%. To put it crudely: Only 14.5 cents of every US dollar currently consists of gold, the remaining 85.5% is air.”

Gold backing of monetary base, in percent, 01/1920 to 03/2025.

Source: Incrementum.

Shadow gold price II

According to IGWT: “In the gold bull market of the 2000s, (GCR) tripled from 10.8% to 29.7%. A comparable (GCR) today would only arise if the gold price were to almost double to over $6,000. The record value of 131% from 1980 would correspond to a gold price of around $30,000.”

IGWT goes beyond just $USD: “The international shadow gold price (ISPoG) shows how high the gold price would have to rise if the money supply (M0 or M2) of the leading currency areas were covered by the central banks’ gold reserves in proportion to their share of global GDP.”

“This view impressively reveals the extent of the monetary expansion: With an — admittedly purely theoretical — 100% coverage of the broad money supply M2, the gold price (per ounce) would be over $231,000; even with a moderate 25% coverage, it would be around $58,000.”

International shadow gold price at different gold coverage levels (log), in USD, 12/2024.

Source: Incrementum.

Shadow gold price III

In May 2024, James Rickards predicted: “My latest forecast is that gold may actually exceed $27,000. I don’t say that to get attention or to shock people. It’s not a guess; it’s the result of rigorous analysis.”

This was based on a similar approach to SPoG and GCR that he called “the implied non-deflationary price of gold under a new gold standard (iPoG).” Rickards calculated a gold price, based on iPoG, of $27,533 per ounce.”

He divided US$7.2 trillion of M1 money supply by 261.5 million of gold troy ounces (or 8,133 metric tonnes) in official US reserves estimated by the World Gold Council. The M1 figure is 40 percent of US$17.9 trillion as: “this percentage was the legal requirement for the US Federal Reserve from 1913 to 1946.”

In summary, the sort of gold prices that might be reached under a return to a gold standard, using the shadow price of gold approach, range from lows of US$6,000 to highs of US$231,000, with US$27,533, US$30,000 and US$58,000 in between.

Whatever the gold price ends up at, it would be a once-in-a-lifetime windfall for those holding gold at that time. After that, gold would cease to be an investment, as it has been since 1971 and 1974. Because gold would be actual money once again, and it would be sound money at that.

About Darren Brady Nelson

Darren Brady Nelson is chief economist with Fisher Liberty Gold and policy advisor to The Heartland Institute. He previously was economic advisor to Australian Senator Malcolm Roberts. He authored the Ten Principles of Regulation and Reform, and the CPI-X approach to budget cuts.

Markets and commodities react

In Canada, equity markets were in positive territory this week.

The S&P/TSX Composite Index (INDEXTSI:OSPTX) posted steady gains through the week, moving up 2.16 percent to close at 27,758.68 on Friday. The S&P/TSX Venture Composite Index (INDEXTSI:JX) registered a 2.71 percent rise to 787.22. Meanwhile, the CSE Composite Index (CSE:CSECOMP) soared, gaining 8.99 percent to 142.78.

US equity markets were broadly down on Friday on new US tariffs and poor jobs data. The S&P 500 (INDEXSP:INX) rose 1.62 percent to 6,389.44, the Nasdaq 100 (INDEXNASDAQ:NDX) jumped 2.86 percent to 23,603.05 and the Dow Jones Industrial Average (INDEXDJX:.DJI) gained 0.90 percent to 44,175.60.

In base metals, copper prices fell as low as US$4.41 per pound on Tuesday (August 5), but recovered to finish the week with a 0.67 percent gain to US$4.52.

Top Canadian mining stocks this week

How did mining stocks perform against this backdrop?

Take a look at this week’s five best-performing Canadian mining stocks below.

Stock data for this article was retrieved at 4:00 p.m. EDT on Friday using TradingView’s stock screener. Only companies trading on the TSX, TSXV and CSE with market capitalizations greater than C$10 million are included. Mineral companies within the non-energy minerals, energy minerals, process industry and producer manufacturing sectors were considered.

1. Kirkland Lake Discoveries (TSXV:KLDC)

Weekly gain: 88.24 percent
Market cap: C$15.2 million
Share price: C$0.16

Kirkland Lake Discoveries is a gold-copper explorer focused on projects in its district-scale land package located in the Kirkland Lake area of Ontario, Canada. Its holdings span approximately 38,000 hectares in the Abitibi greenstone belt, an area that holds past-producing gold and copper mines. Its land is broadly divided into KL West and KL East, which contain the Goodfish-Kirana and Lucky Strike gold projects, respectively, among others.

On April 29, the company entered a mining option agreement with Val-d’Or Mining (TSXV:VZZ) to acquire the Winnie Lake and Amikougami properties, as well as mining claim purchase agreements with two vendors to acquire further claims around the Winnie Lake Pluton. The properties expand KL West’s southern portion.

On Wednesday (August 6), the company initiated an inaugural diamond drill program at KL West and Winnie Lake. The program is designed to follow up on historic drill results as well as recent surface exploration.

About 2,000 meters of drilling are planned, and the company expects it to be completed by the end of August. Kirkland stated that assays will be released as they are received and interpreted.

2. Avanti Helium (TSXV:AVN)

Weekly gain: 78.95 percent
Market cap: C$15.2 million
Share price: C$0.17

Avanti Helium is an explorer and developer focused on advancing helium assets in Canada and the US toward production. Its Greater Knappen projects are composed of several areas in Southern Alberta, Canada, and Northern Montana, US. The combined land packages cover approximately 74,000 acres with multiple targets.

According to its project page, Avanti has drilled three exploration wells in Montana, with two testing for a combined 18.5 million cubic feet per day gas rate with 1.1 percent helium concentration.

The company’s Leader project consists of a combined land package of 91,000 acres in Southern Saskatchewan. The surrounding region has seen 84 wells drilled by other companies since 2016, and as of September 2023, it hosted approximately 25 wells producing 450,000 cubic feet of helium per day.

Avanti gained this week after it announced on Thursday (August 7) that it has signed a multi-year offtake agreement with a global industrial gas supplier. The buyer has committed to a minimum monthly volume from Avanti’s Sweetgrass helium recovery unit in Montana, for 33 percent of the initial plant output and 25 percent following a planned expansion.

3. Discovery Energy Metals (CSE:DEMC)

Weekly gain: 68.57 percent
Market cap: C$17.08 million
Share price: C$0.295

Discovery Energy Metals is a lithium explorer working to advance interests in Québec and BC, Canada. Most of the company’s land holdings are in Québec, where it has interests in over 225,000 hectares.

On March 20, the company released assays from a fall 2024 exploration program focused on its Eeyou Istchee James Bay properties. It reported values including 82 parts per million tantalum pentoxide and 101 parts per million cesium oxide at Cirrus East, and 0.66 g/t gold and 0.56 percent zinc at its Mantle property.

Discovery announced on June 25 that it had completed the acquisition of eight mineral claims over 5,283 hectares at the Crystal Lake property in BC. The company acquired the property in a deal with Zimtu Capital (TSXV:ZC).

Early stage exploration work at the property was carried out between 2009 and 2010, and included a magnetic survey and grab samples, which returned up to 0.7 percent copper with elevated gold and silver.

The most recent news from Discovery came on July 15, when it announced a non-brokered private placement for up to 10 million units for gross proceeds of up to C$1 million.

4. Abcourt Mines (TSXV:ABI)

Weekly gain: 66.67 percent
Market cap: C$45.53 million
Share price: C$0.075

Abcourt Mines is a gold exploration and development company focused on operations at its Sleeping Giant mine in the Abitibi region of Québec. The property consists of four mining leases covering an area of 458 hectares and 69 claims. The site hosts an underground mine along with a mill capable of processing 750 metric tons per day.

A July 2023 preliminary economic assessment demonstrates an after-tax net present value of US$77.5 million with an internal rate of return of 33.3 percent over a payback period of 2.2 years.

The company has been working on restarting mining operations at the site throughout 2025.

On Thursday, it provided an update on progress from Sleeping Giant, stating that teams had begun the rehabilitation of underground openings, as well as preparations at the mill for the first stope at the end of July. It also said it had built a surface stockpile of approximately 1,000 metric tons of ore and started work on a tailings facility. Once complete, pulp storage will be good until 2032 at the proposed mining rate of 100,000 to 125,000 metric tons per year.

5. Scorpio Gold (TSXV:SGN)

Weekly gain: 64.71 percent
Market cap: C$60.93 million
Share price: C$0.28

Scorpio Gold is an exploration and development company focused on the advancement of its Manhattan District in the Walker Lane Trend in Nevada, US. The district is composed of the 6,071 acre Manhattan project, which hosts two past-producing open-pit mines, Reliance and Manhattan, as well as the fully permitted Goldwedge underground mine.

Scorpio acquired the project from Kinross Gold (TSX:K,NYSE:KGC) in 2021.

The most recent update from the project came on June 19, when Scorpio announced it was commencing a Phase 1 diamond drill program. The focus is on targets at the Gap zone, the Zanzibar trend and Mustang Hill. Up to 3,400 meters have been planned, with results contributing to an initial mineral resource estimate, which is expected in Q3.

FAQs for Canadian mining stocks

How much does it cost to list on the TSXV?

There are a variety of different fees that companies must pay to list on the TSXV, and according to the exchange, they can vary based on the transaction’s nature and complexity. The listing fee alone will most likely cost between C$10,000 to C$70,000. Accounting and auditing fees could rack up between C$25,000 and C$100,000, while legal fees are expected to be over C$75,000 and an underwriters’ commission may hit up to 12 percent.

The exchange lists a handful of other fees and expenses companies can expect, including but not limited to security commission and transfer agency fees, investor relations costs and director and officer liability insurance.

These are all just for the initial listing, of course. There are ongoing expenses once companies are trading, such as sustaining fees and additional listing fees, plus the costs associated with filing regular reports.

How do you trade on the TSXV?

Investors can trade on the TSXV the way they would trade stocks on any exchange. This means they can use a stock broker or an individual investment account to buy and sell shares of TSXV-listed companies during the exchange’s trading hours.

Scrutiny on safety standards

Mining Minister Aurora Williams ordered the temporary cessation of activities at the mine over the weekend. Meanwhile, Energy and Mining Minister Diego Pacheco said on Sunday that Codelco would commission an international audit to understand what went wrong.

“We’re going to commission an international audit to determine what we did wrong,” Pacheco said. While no formal complaints had been received about the safety conditions of the site, he pledged that a full investigation and appropriate corrective measures are underway.

El Teniente, located about 100 kilometers south of Santiago in the Andes mountains, is a cornerstone of Codelco’s operations and Chile’s mining economy.

It produced 356,000 metric tons of copper in 2024, nearly 7 percent of the country’s total output. The mine has operated for over a century and contains a labyrinth of more than 4,500 kilometers (2,800 miles) of tunnels.

The seismic event that triggered the collapse, while relatively mild by global standards. has raised questions about the structural integrity of older sections of the mine and the adequacy of current fortification systems.

A blow to expansion efforts

The accident is a significant setback for Codelco as it seeks to modernize its aging infrastructure and boost production after years of underinvestment.

The collapsed area is believed to be part of the Andesita section of the mine, a relatively small but strategically important component of El Teniente’s broader expansion, which includes the Andes Norte and Diamante projects.

The Andesita development is intended to help offset declines in older zones and maintain output levels through the next decade. Its disruption will likely ripple through Codelco’s project pipeline, which is already under pressure due to rising costs.

Though Chile boasts one of the world’s safest mining sectors – a fatality rate of just 0.02 percent in 2024 – the string of incidents at Codelco sites has drawn concern from unions and regulators alike.

The industry’s worst accident remains the 1945 fire at El Teniente, which killed 355 miners and stands as one of the deadliest mining disasters in history.

1. Pulsar Helium (TSXV:PLSR)

Market cap: C$46.05 million

Pulsar Helium is a helium project development company with assets in the United States and Greenland.

The company’s Topaz project in Minnesota is the newest helium discovery in the US, and drilling at its Jetstream #1 well in 2024 demonstrated high helium concentrations of 14.5 percent. Pulsar is also the first company in Greenland to obtain a license for helium exploration. According to the company, its Tunu helium-geothermal project in the country is one of just a few primary helium projects in Europe.

At Topaz, Pulsar is conducting a well flow testing program at the Jetstream prospect during the summer to gain data necessary to assess the project’s production potential. As for Tunu, a pre-feasibility study is underway at the project and is slated for completion by the end of August 2025.

2. Desert Mountain Energy (TSXV:DME)

Market cap: C$18.84 million

Next up on this list of top Canadian helium stocks is Desert Mountain Energy, a company engaged in the exploration, development and production of helium, hydrogen, natural gas and condensate projects in the US. Its key helium project is the West Pecos gas field in New Mexico, where it has a fully operational helium processing facility. It also owns the high-grade Holbrook Basin helium project in Arizona.

In 2025, Desert Mountain Energy is expanding into the international market with the formation of its wholly owned subsidiary Desert Energy UK, which has secured a substantial onshore exploration license for helium and hydrogen in Devon, United Kingdom.

3. Helium Evolution (TSXV:HEVI)

Market cap: C$12.07 million

Helium Evolution is a helium exploration company with over 5 million acres of helium land rights in Southern Saskatchewan, Canada. The company holds a 20 percent working interest in helium wells on joint lands with North American Helium, which is advancing the joint 2-31 discovery, with development wells planned for late 2025.

Earlier this year, Helium Evolution formed a collaboration agreement and secured a substantial investment from ENEOS Explora USA, a subsidiary of Japanese energy conglomerate ENEOS Group (TSE:5020), through two private placements. The second, closed in May, brought ENEOS’ total stake in Helium Evolution to about 28 percent.

4. Avanti Helium (TSXV:AVN)

Market cap: C$11.97 million

Avanti Helium’s helium exploration and development assets include approximately 78,000 acres within the Greater Knappen area, which covers land in both Southern Alberta, Canada, and Northwest Montana, US. It also owns approximately 63,000 acres of prospective helium permits within Southwest Saskatchewan.

Avanti’s Sweetgrass pool project in Montana is on track to achieve helium production in Q4 of 2025, the company stated in its April investor presentation. The company has two wells at Sweetgrass capable of total gas production of approximately 18,500 million cubic feet per day at 1.1 percent helium.

In August, Avanti announced it signed a multi-year offtake agreement with a global industrial gas supplier for a minimum monthly helium purchase volume equivalent to about one third of Sweetgrass’ initial plant output.

5. Altura Energy (TSXV:ALTU)

Market cap: C$8.21 million

Altura Energy is an exploration and production company which holds 27,000 acres in the Holbrook basin of Arizona, where its wells produce helium at concentrations of 5 percent to 8 percent. The company has a development plan for over 300 wells, with nine wells currently connected to a pipeline and an additional 10 wells at various stages of completion.

Formerly known as Total Helium, the company completed a name change and share consolidation in May 2025. In June, Altura announced it closed an up-sized brokered private placement for C$1.99 million, a quarter of which was used to settle outstanding indebtedness, with proceeds also planned for working capital.