Viceroy’s research can be found on archive.org or Viceroy’s website.
First off, there is the issue of plagiarism. It’s so strange that Viceroy also happened to stumble across Simon Dominy’s paper on the Brucejack deposit. (To be fair, Viceroy did generate original research of very low quality.)
Secondly, the Viceroy report contains major inaccuracies. It insinuates that Strategic Minerals LLC improperly inflated the bulk sample results.
The facts surrounding Strategic Minerals LLC are as follows: […]
Grade results for the Brucejack mine from Strategic Minerals LLC were far higher than those reported by Strathcona’s tower sample.
In reality, grade results were very similar between Strategic Minerals and Strathcona. Table 9 of Dominy’s paper (draft version with working images, final version) shows that the difference was -10%… well within the expected error coming from a high-nugget deposit. Despite referencing Dominy’s paper, Viceroy seems to have reached some strange conclusions.
In the past, I have criticized Viceroy because they have not been transparent about their relationship with CTS Labs. Now, my problem with Viceroy is that they didn’t read up on mining or hire a fact checker before publishing their report. Viceroy’s reckless and irresponsible behaviour gives short selling a bad reputation and may make life more difficult for other short sellers.
UPDATE (9/8/2018) – A more detailed explanation is in my follow-up post.
*Disclosure: I am short Pretium.