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Gold and Silver May Be Ready for Another Run | Shawn Khunkhun - Contango Silver & Gold

The Deep Dive
The Deep Dive•May 13, 2026

Why It Matters

Contango’s blend of strong balance sheet, high‑grade pipeline and favorable metal price dynamics offers investors a rare opportunity for leveraged upside without dilution risk.

Key Takeaways

  • •Precious metals near 50‑day moving averages, signaling potential upside.
  • •Contango targets 200k oz gold, 5M oz silver by 2030.
  • •Lucky Shot to become DSO, adding $100M free cash flow by 2028.
  • •$100M cash, $12M free cash flow now; self‑funded $50M expansion.
  • •Prioritizing high‑grade, low‑cost mines; avoiding low‑grade marginal projects.

Summary

In a recent interview, Shawn Khunkhun of Contango Silver & Gold discussed the recent volatility in gold and silver markets and outlined the company’s post‑merger strategy after the March combination of Dolly Varden and Contango.

Khunkhun noted that silver has risen above its 50‑day moving average and gold is within $100 of its own, suggesting a healthy correction and a likely next leg up. He highlighted that gold at $4,800 and silver at $77 would trigger further buying. Contango now holds about $100 million in cash, generated $12 million of free cash flow last year and expects roughly $200 million in 2025, while producing 60,000 oz of gold annually.

The company’s growth plan centers on the Mono mine, the Lucky Shot DSO project and two district‑scale assets—Johnson Track and Kitsalt Valley. Lucky Shot aims to add $100 million of free cash flow by 2028 with a $50 million self‑funded drill program. Khunkhun emphasized the high‑grade focus, citing the acquisition of Johnson Track for $50 million that delivers a $615 million NPV and a sub‑year payback.

If metal prices stay above the moving averages, Contango’s low‑share count and expanding production could deliver outsized returns. The DSO model and improving infrastructure in the Golden Triangle reduce capital intensity, positioning the firm as a cash‑generating mid‑tier producer attractive to investors seeking exposure to both gold and silver.

Original Description

Register here for The 2026 Rule Symposium on Natural Resource Investing:
#Gold #silver #mining #stockmarket #silverprice
In this conversation with Shawn Khunkhun, President of Contango Silver & Gold Inc. (TSX: CTGO | NYSE: CTGO), we discuss why he sees the recent pullback in gold and silver as healthy, what technical levels he is watching next, and why he thinks another leg higher in precious metals could come sooner than many investors expect. Shawn explains how he reads the current price action, why the selloff in mining stocks may have gone too far relative to the metals, and why he believes this setup still favors investors who are positioned for a stronger move ahead.
We also get into the newly merged Contango Silver & Gold story, how the company combines current cash flow with a deep development pipeline, and why Lucky Shot, Johnson Track, and Kitsault Valley each matter in a different way. Shawn walks through the DSO strategy, the role of Kinross at Manh Choh, and how the company plans to use its treasury and operating cash flow to keep feeding growth. If you value real mining conversations without the usual noise, subscribe to the channel and share this with someone else who takes this market seriously. That support helps us keep bringing on guests like this and asking the questions that matter
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Writers: Jordan Lutz & Steve Hyland
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Disclaimer:
Not a recommendation to buy or sell securities. Always do additional research and consult a professional before purchasing a security. The Deep Dive and its affiliates hold no licenses.
00:00 Introduction
00:46 Precious Metals Are Setting Up Again
02:54 A New Silver and Gold Growth Story
04:46 The Mine Funding Its Next Moves
07:43 The DSO Edge
10:18 The Assets With the Most Torque
13:19 When Higher Metals Start to Matter
18:05 What the Next 12 Months Need to Deliver

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