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SVB, IAU, TUO, BTO
The shares of Silver Bull Resources aka SVB have woken up for the first time in a long time on the basis of their latest NR. Since 2019 SVB has been unable to access their only asset of worth, the Sirra Mojada Ag/Zn/Pb/Cu project in Coahuila, Mexico,, due to an illegal blockade which Mexican authorities have been unable or unwilling to address. Recently SVB announced an application to file for more than $178M in damages under NAFTA, and now we hear that Mexican authorities have requested a meeting on May 30th to try to negotiate an amicable sentiment.
SVB also announced that if that meeting doesn't resolve they will file a formal request for arbitration, They have also brought in a hot shot lawyer to help with negotiations, and reshuffled management between SVB and related company Arras Minerals aka ARK.
I doubt they will get all they are asking for, but I expect they will use whatever they do get to acquire a new asset. They could also just declare a cash dividend and wind up the company in order to concentrate on ARK.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34270642
I-80 Gold aka IAU has released an update on drilling at what has become their flagship asset, the Ruby Hills project in Nevada. Last year they found high grade CRD Ag/Pb/Zn/Au mineralization in what they call the Hilltop zone, and now they have found a new zone of similar mienralization they are calling East Hilltop, with intersections like 0.5 g/t Au, 226.1 g/t Ag, 9.7% Zn and 10.0% Pb over 8.4M, & 3.2 g/t Au, 366.0 g/t Ag, 19.8% Zn and 10.2% Pb over 0.9M.
They also stepped out from the Hilltop zone, with one hole alone intersecting three separate zones of mineralization -- 3.4 g/t Au, 11.0 g/t Ag, & 6.8% Zn over 18.3M (Hilltop West), 9.9 g/t Au over 5.8M (Ruby Deeps extension) and 9.2 % Zn over 3.0M (new Geddes CRD discovery). They have also been drilling below the Archimedes pit, where they are finding multiple levels of mineralization, e.g. 7.1% Zn, 3.5 % Pb, 3.7 g/t Au & 116.7 g/t Ag in the Blackjack Zone and up to 11.6 g/t Au over 13.1M in the Lowerjack Zone.
They continue to drill with five rigs, including following up some intriguing gaps between known area of mineralization as well as new targets. Following drilling, we will get a new Resource Estimate and then economic studies, including conversion of the existing Ruby Hill mill to process the CRD minerlation.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34270671
We've been waiting to hear how Teuton Resources aka TUO is going to monetize its share of the JV on the Treaty Creek property in BC's Golden Triangle and its giant Au/Ag/Cu deposits, and now we finally get an outline.
In essence, all of TUO's properties and JVs which are not Treaty Creek will be spun out into two separate company which presumably will be listed separately at some point. One will hold all the properties south of Treaty Creek along the Sulphurets fault which is prospective for more giant Au/Cu deposits, while the other will hold the Au prospects east and south of Stewart near the properties GOT and DV are exploring in the area.
It will take some time for the details to be worked out and the legalities satisfied. I expect a minimum of two years before current TUO shareholders end up with shares in all three companies, assuming Treaty Creek isn't sold first.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34270981
FWIW, in the wake of last week's acquisition of SBB by B2Gold aka BTO, TD issued a new analyst report. Citing BTO's record of growing through acquisition of shovel Ready projects, particularly Fekola, they see the impact as Positive, but kept BTO as Action List Buy with a target of $9.
TUO, WEX
Teuton Resources aka TUO and its JV partners announced that equipment is on the road to its Treaty Creek Au/Ag/Cu project in BC's Golden Triangle. The main objective of the upcoming drill programme, which will start in early May, will be to expand the already enormous Goldstorm deposit, particularly the north and northeast extensions discovered last year. As well, drilling will attempt to enlarge the recently discovered Perfectstorm deposit and metallurgical testing on materials from the Goldstorm, Copper Belle, and other deposits on the property.
Will this be the year a big company buys Treaty Creek? It would not surprise me.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34266852
WEX
I have added a new pony to my stable, Western Exploration aka WEX. The company has been around for 25 years, but only listed on the TSXV last year. They have a very experienced management team and are focused on the Aura property in Nevada, which already has three deposits with Inferred and/or Indicated Resources, some gold, some gold and silver, plus abundant exploration upside. One of the reasons I decided to buy in is the extremely low float, well under 40M shares fully diluted. No doubt this will grow as they work toward production, so IMO now -- or even better, at lower prices in the upcoming dig in the gold price before it takes off later this year --is the time to get on board. Due to the small float it trades thinly so pick your entry point with care. It took more than a week for my initial bid to be filled. Here's the website.
https://www.westernexploration.com/home/default.aspx
I am not that worried about the permits from MAI's Cerro de Oro, because neither the company itself, nor the IKN newsletter that follows the company very closely, are worried about it. I will keep an eye out for more information though.
I would suggest you contact the company directly and ask about this.
IMO the weakness in MAI's share price has been due to a big seller, who at some point should run out of shares to sell. Note that every time that seller stops making shares available, the price rises.
LC
LC MAI Great company Great Mgt W/DK Everything you said is right on. Cerro de Orro, they will build it quick, cheap and make money. What do you do with this
Mexican authorities announced that no more permits for new open-pit mining projects will be issued during López Obrador’s remaining government term, set to end in September 2024. Experts stressed that the ban on new permits poses a threat to investments and developing mining companies.
Mexico’s Minister of the Environment, María Luisa Albores, stressed that no more concessions will be granted for open-pit mining projects due to the negative impact on the environment and the adverse effects on the health of communities living nearby. In addition, the minister stated that many of the concessions already granted threaten 68 protected natural areas. Therefore, López Obrador’s government has ordered the creation of five new natural reserves, increasing the protected areas to two million hectares.
Argonaut sold the Ana Paula project to Heliostar this April (An impressive project), except now Helio has to bail on the open pit plan option and go underground?
Some risk there dont you think? Probably the reason for the soft MAI share price.
Doug keeps buying and nobody talks about this in CEO.ca. A penny for your thoughts.
https://mexicobusiness.news/mining/news/no-more-open-pit-mining-permits-ministry-environment
BTO, NRN, EDV, CEE
In the years I have been following B2Gold aka BTO, pretty well all of their many acquisitions have proven out. Today they announced they had completed the buyout of Sabina Silver & Gold aka SBB, and it will be interesting to see if they can continue the string of success with the purchase of this Nunavut gold mine to be. I expect so.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34264149
FWIW, in the wake of this announcement, BMO issued a new analyst report resuming coverage of BTO. (They were involved in the takeover of SBB so had to drop coverage until the transaction was completed.) In the wake of the transaction and following an increase in their PM price deck, BMO is rating BTO as Outperform while raising their target from $7 to $7.50.
Northern Shield Resources aka NRN continue to poke around at various targets on their Root & Cellar prospect in Newfoundland, finding samples that include Au, Ag, and Cu, as well, for the first time because it hasn't been tested for up till now, the valuable rare metal tellurium (Te). If they ever do come up with enough mineralization to be minable, the Te will be a valuable byproduct.
They also announced that they have crews "ground-truthing the preliminary gold targets generated from the recently competed Induced Polarization geophysical survey and, an area where the interpreted copper porphyry-type mineralization may come nearer to surface." Finding that underlying porphyry close enough to surface is almost certainly where a potential mine could be developed.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34264265
FWIW, Edison released a new report on West African gold producer Endeavour Gold aka EDV, highlighting the positive effects of a higher gold price. EDV has been trading well of late, but they point out that, based on their metrics, if EDV was valued equally to their peers it would be trading over $C51. You can access the report for free at this link. (Note if you want it in pdf form form you need to use the download button on the upper right.)
https://www.edisongroup.com/research/rising-gold-prices-begin-to-feed-through/32214/
Centamin aka CEE released their Q results, and they were generally good. Gold production from their Sukari mine in Egypt came in around expectations at 105875 oz, while cash costs came in below expectations at $937/oz Au, this in spite of the extensive pre-stripping programme, which will pay off in lower future costs, not yet having been completed. In spite of these expenditures, their cash stash remained steady at $155M with no debt. They also reiterated previous guidance for 2023 for the production of 450-480k oz Au at a cash cost of $840-890/oz Au.
There will be good newsflow for the rest of the year, including the release of a PFBS for the Doropo project in Côte d'Ivoire in mid-year, ongoing exploration at Sukari, and the first exploration results from the recently awarded Eastern Desert prospects in Egypt. But the big news will be the release of the revised mine plan for Sukari during Q2, particularly regarding increasing production of high grade underground ore.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34265540
FWIW, in the wake of this NR BMO issued a new analyst report that emphasized the word 'stable'. Accordingly, they kept CEE at Market Perform with a target of $C2.16.
FWIW, TD released a new analyst report changing their price deck for gold, raising the average 2023 gold price from $1850/oz to $1954/oz, and their 2024 price from $1850 to $2000/oz. They also opine that M&A will remain strong, and that B2Gold aka BTO remains their top puck among the gold producers.
KRR, BTO, AUN
Karora Resources aka KRR gave us the first look at its Q1 production and the new was good, with the Beta Hunt and Higginsville mines producing a record 39810 oz Au. This sets them up for an excellent chance of reaching their 2023 guidance. We also got the first look at their finances, announcing they exited the quarter with a cash balance of $65.8M, down only slightly from last quarter in spite of large expenditures on building raises and upgrading their mining fleet and mills.
Full details will come when they release their financial quarterlies early next month.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34261782
How time flies. It seems like B2Gold aka BTO just opened their Otjikoto gold mine in Namibia, but it turns out it was 8 years ago, and now they are announcing they are closing the open pit due to lack of remaining ore. They will continue to develop the underground component of the mine, along with processing low grade tailings.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34262898
I can remember some heated exchanges on this board involving Aurcana Silver aka AUN. There were some posters who swore by it, but to me they have always had poor management which tended to be self-serving and also pursued what was IMO a suicidal dividend programme. Well, I guess I get the last word. This I was reading the TSXV bulletins and came across a notice that AUN has been suspended from trading for failure to meet exchange requirements, a step that almost invariably leads to delisting on the way to bankruptcy.
Saville continues to opine that after making a triple top in the $2060-2090 range, the mostly likely scenario for gold is a correction to somewhere around $1900-$1950 before breaking that triple top later thus year and heading to a new ATH. He also expects the gold mining indexes and ETFs to at some point correct back to their 50-day MAs before joining the party. And he points out that COTs show that sentiment is still supportive.
WM, MIRL, MAI, KRR
Even as they continue exploration drilling at their flagship Fenelon Au project in Quebec, Wallbridge Mining aka WM is ramping up operations at the nearby Martineiere project. They recently announced an MRE of 680k Indicated oz and 630k Inferred oz at Martiniere, but hope to grow that substantially as they drill up four known instances of mineralization and a number of grassroots prospects across the property. There will also be new exploration programmes encompassing both geophysics and outcrop sampling as they refine their understanding of the complex geology on the property.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34256223
Peruvian gold miner Minera IRL aka MIRL released results from a drill campaign at its producing Collahuasi mine. The results themselves were promising, finding a number of shallow intercepts grading higher than the existing resource. Alas, this is little more than a diversion, as there was no explanation of the recent significant drop in production at Collahuasi, the company's plunging share price, the looming debt crisis that will take away their most valuable asset at Ollachea, or getting rid of the larcenous management team pillaging the company.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34256238
Mexican gold miner Minera Alamos aka MAI released an update on its producing Santana mine in Sinaloa and the next project in line for construction, Cerro de Oro in Zacatecas.
At Santana, they are drilling up several new prospects. I am looking forward especially to the results from Zata, a pipe that has never been drilled before.
At Cerro de Oro, they have now finished the submission of all permits necessary for construction, and expect to receive the permits in time to build the mine in the first half of next year. In the meantime, they will work on finalizing the financing package. The PEA estimated pre-production capital costs at $28.1M, and based on their track record, I expect MAI to be able to negotiate favourable terms.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34257562
Karora Resources aka KRR's Beta Hunt mine in Australia is the gift that keeps on giving. Since KRR started exploring the property in earnest, they have defined several new nickel zones and two significant shear-hosted gold zones. Based on the latest drill results, including 6.5 g/t Au over 26m and 46.5 g/t over 7.0m, have established the Fletcher shear zone as a new contender. They had already established Fletcher over 0.5 km, but these intersection step out to a potential length of 1.5km, with indications that it may extend up to 2 km, and it remains open at depth too. Drilling is underway to test these possible extensions.
KRR has ambitious plans to increase production significantly over the next few years. The results go a long way towards supporting those plans. It should also be noted that Fletcher is close to existing infrastructure for nickel mining, making for easy access to the ore.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34257640
IPT, MIRL
Impact Silver aka IPT announced that they have completed the purchase of the producing Plomosas Zn/Pb/Ag mine in CHihuahua, Mexico, in a move designed to transform them for a steady state operation working their holdings in the nearby Royal Mines of Xacualpan into a growth story. From what I have been able to gather, Plomosas has been plodding along, making money only because the ore is high grade. (The former owner, CLZ.AX, reported a JORC mineral resources1 of 215kt @ 13.5% Zn, 6.3% Pb, and 34.0 g/t Ag (indicated), and 772kt @ 13.1% Zn, 3.0% Pb, and 19.0 g/t Ag (inferred), at a 3% zinc cut-off as of December 2021.)
IPT's idea, as they are cashed up, is to upgrade the mine and mill with a mind to increase production. As well, the property has barely been explored, so they intend to immediately get to work both extending known mineralization and testing the many prospects on the property. Notably, some of these prospects features Au/Cu mineralization.
My main concern remains how badly the 12% net profit interest ("NPI") royalty CLZ got as part of the deal will impact the profitability of the operation.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34247528
Minera IRL aka MIRL has announced that they have applied for a Management Cease Trade Order because they were unable to file their financials on times, The reason given is that the auditors want more information. One can't help but wonder if it's because the auditors have uncovered the unsavoury practices used by this duplicitous management team.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34247563
Thanks. I kind of gathered that since they were marketing their facility as a regional processing hub, for various companies developing various mines in the area, that the mine itself was not a priority for BC Moly.
LC
AUMN Possible game changer here. Could shoot to $1.00 it they open Velardena with these terms and metals stay strong.
Golden Minerals Announces Improved Concentrate Terms for Velarde ƒ ±a Properties Gold-Pyrite Concentrate
2023-04-04 06:45 ET - News Release
Company Website: https://www.goldenminerals.com
GOLDEN, Colo. -- (Business Wire)
Golden Minerals Company (“Golden Minerals,” “Golden” or the “Company”) (NYSE American: AUMN and TSX: AUMN) announced today that it is selling gold-rich pyrite concentrates from its Velardeña Properties on improved terms to a buyer in Manzanillo, Mexico.
Warren M. Rehn, Golden’s President and Chief Executive Officer, commented, “Recently improved and updated terms for the purchase of our gold-rich pyrite concentrates allow us to consider moving forward with the re-opening of the Velardeña Properties’ mines without the need to build the BIOX plant, as we had previously planned. The new terms pay for enough of the gold and silver in the concentrate to enable us to shelve plans for the BIOX plant and sell our flotation concentrates directly to smelters. We made our first shipment of 142 tonnes of previously produced and stockpiled gold-rich pyrite concentrate under the new terms last week and we are currently processing 3,000 tonnes of previously mined and stockpiled mineralized material from the Santa Juana mine for future shipments. The economic benefit of the new payable terms bodes well for a restart of the Velardeña mines.”
The new payable terms for gold-bearing pyrite concentrates are a significant improvement over previous terms offered in 2022 and earlier, and now represent in excess of a 100% increase for gold payables in the concentrate. The Company had previously planned to construct a BIOX facility at Velardeña in order to recover the gold in the pyrite concentrate. The capital cost of the BIOX facility was initially estimated at approximately US $6.5 million in 2019 (as reported in the May 2020 PEA); however, upon re-estimation in 2021 (as reported in the March 2022 PEA) the cost estimate had more than doubled to $14.5 million. In 2022, detailed costing and design showed a minimum cost of well over $20 million, which was more than could be readily financed for the project. The increase in the BIOX plant costs created uncertainty about the economic feasibility of re-commencing production. With these new concentrate sales terms, the problem of payable gold recovery appears to be solved without the significant capital costs required to build the previously planned BIOX facility.
The Company is now evaluating the economics of a restart of the Velardeña operation without the need for major capital expenditures for the BIOX facility and ancillary equipment. Pending confirmation and Board approval of the start-up plan, the Company believes that it could commence production as soon as mid-2023. To address the concerns related to mining dilution at Velardeña, the Company anticipates that it would schedule initial production from those veins that showed the best results from test mining in 2022. Ore-sorting, while showing promise to help reduce dilution, would not be required for the currently envisioned plan to resume production given the improved revenue projected from the new concentrate sales terms.
About Golden Minerals
Golden Minerals is a gold and silver producer based in Golden, Colorado. The Company is primarily focused on producing gold and silver from its Rodeo Mine, advancing its Velardeña and Yoquivo properties in Mexico and, through partner-funded exploration, its El Quevar silver property in Argentina, as well as acquiring and advancing selected mining properties in Mexico, Nevada and Argentina.
LC I wouldn't buy that BC Molly. I spoke with a professional who knows Molly well. They said its not a climax deposit therefore hard to mine. Id also spoken with the company awhile back. They have no plans other than to see if they can get something going. For Molly Id pic a good price and stick with Stuhini
OGC, IAU
Oceanagold aka OGC released an update on their mineral Reserves and Resources, and the news was neutral at best. Due to mining depletion, total Proven and Probable Reserves across the company decreased by 430k oz Au to 5.20M oz Au, 7.4M oz Au, and 0.15Mt Cu. M&I resources decreased by 540k oz Au to 8.59M oz Au, 13M oz Ag, and 0.17Mt Cu, while Inferred resources stayed the same at 3.9 Moz of gold, 7.3M oz Ag, and 0.04Mt Cu.
Bottom line -- even after the slight decrease in Reserves and Resources, their mimes have years of life left in them. That said, after not doing much exploration or definition drilling in 2022 as they concentrated on operational issues, this year's renewed focus on exploration drilling and resource conversion needs to bear fruit.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34243218
In response, Scotia issued a new analyst report which like me called the impact Mixed, for similar reasons. They kept OGC at Sector Outperform with a target of $3.50.
Nevada miner i-80 Gold aka IAU had already told us plenty about their plans for this year (and beyond), but their latest PR details exactly what they plan to do for the remainder of 2023.
One notable development is that they have now anointed Ruby Hill, bolstered by the recent purchase of a company that owns land containing extensions of the Ruby Hill mineralization, as their flagship project. Ruby Hill contains two types of deposits, Carlin-style gold and CRD polymetallic, and they will continue exploring and developing both types. They will continue to expand the known deposits at Ruby Hill while testing new prospects, as well as starting economic studies of the Ruby Deeps and 426 Au deposit3, with a PEA expected in Q2. Meanwhile, their geologists will continue to refine their on the complex mineralization across the property, (Most recently, they are even starting to find some massive sulphides.)
As well, there is ongoing metallurgical testing, plus permitting for underground construction at the Archimedes pit.
And that is just for one property. Phew....
At the producing Granite Creek Au property, they continue to develop new mining levels in the Ogee deposit to increase production. This will also allow more drilling at the high grade SPZ zone, which is expected to deliver refractory ore for processing at Nevada Gold Mine's nearby mill. Meanwhile, and FBS for the Ogee undergroiund and a PEA for SPZ will be released in Q2.
At Lone Tree, they continue to add oxide ore from Granite Creek to the leach pads, but the main focus is on bringing the Lone Tree autoclave back into production so they can process refractory ore that is currently being trucked to NGM's mill. They have given a first look at the numbers by releasing an FBS, according to which it cost about $250M to get the autoclave running again. A reined economic study is underway and will be released later this year.
At the McCoy-Cove Au/Ag project, they are continuing the construction of an underground drift, which will allow further exploration and eventual ore production. They expect to drill another 10KM over the next 18 months, and these will feed into the FBS currently underway.
And finally, Buffalo Mountain hhs now been added to the pipeline of projects under development after the initial drill programme last year produced promising results. The project is located adjacent to Lone Tree, making for easy access to processing of ore.
So there you have it. Between all these properties, various mills,, and multiple types of ore, IAU has a lot of balls in the air. Fortunately they are all cashed up to pay for all these efforts. I am hoping they have enough money to take them through to the point where production starts generating profits.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34246419
According to Saville, the number that signal a breakout for gold and silver prices, are monthly closes above $2100 and $25, respectively. He continues to expect that there will be a correction in both before this happens, and that once these corrections are complete, HUI will exceed its 2020 high during the second half of 2023.
My pleasure. I've been adding bits to my KRR stash when the price dips.
LC
Lone Clone KRR
Thanks!!! Appreciate the updates.....KRR is an excellent co. and a nice addition to the portfolio...
Art
KRR, IPT
Karora Resources aka KRR announced Q4 results for its gold and nickel mines in Australia. We already knew the production numbers were good, but in these inflationary times it's all about costs, and KRR did well there too, with cash costs of $1031/oz Au in Q4 allowing them to meet guidance for all of 2022. They reiterated that they are on target to achieve their goal of 170-195k oz Au at an AISC of US$1000-1200 per ounce sold by 2024, as well as a major increase in Ni production in H2 2024.
Even after a testing year cost-wise, they exited 2023 in good financial shape, with a cash stash of $69M and an undrawn line of credit for $60M. This will be a busy year, with more decline development underway at Beta Hunt, mill enhancements, and an extensive exploration programme in the works.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34234321
Impact Silver aka IPT released annual results from mining at its Zacualpan Ag/Au/Pb/Zn property in Mexico, which contains several operating mines and a mill plus a plethora of exploration prospects. In general, 2002 was a good year for IPT; mill grade was the same as 2021, while an increase in mill throughput partly offset a decrease in silver prices. They did manage to generate a profit, and as a result at year end had a healthy cash stash of $15.3M and no debt.
For years IPT was content to bump along at break even or thereabouts, but under newly energized management the focus is clearly on the future. They recently bought the nearby operating Plomosas Zn/Pb/Ag mine and mill, and see potential not only to upgrade mining and milling operations but also huge exploration upside. As well, back at Zacualpan they are evaluating the use of ore sorting technology to bring the Capire open pit and associated mill back into operation. They will also be conducting an extensive exploration programme at various prospects at Zacualpan.
If these plans work out, we will see a different IPT a year from now.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34235225
I will also mention that there is a sale on right now at RCHR. The company, Archer Exploration, was created and spun out by Wallbeidge to hold its Ni/PGM assets in Ontario and Quebec, and has very experienced management. Someone is dumping a large position, so I took advantage to greatly increase my position beyond the shares I received in the spin out.
As always, so your own DD...
LC
TUO, GOT, CAPT, KDK, EDV, CEE
We already knew the Treaty Creek property in BC's Golden Triangle and controlled by Teuton Resources aka TUO and its JV partners hosted a lot of netal. With the release of an updated Resource Report based on two more years of drilling and and a better understanding of the geology,, the Goldstorm deposit has gotten even bigger. Thanks to a higher cut-off, the AuEq grade has risen by 53% while the total number of AuEq ounces increased by 20% from the last Resource Report.
The Indicated Mineral Resource is now 642Mt containing 23.37M oz AuEq @ 1.13 g/t AuEq, comprised of 18.75M oz Au @ 0.91 g/t, 112M oz Ag @ 5.45 g/t, and 2.18B lb Cu @ 0.15%, while the Inferred Resource is now 234Mt containing 7.35M oz AuEq @ 0.98 g/t AuEq, comprised of 5.54M oz Au @ 0.74 g/t, 45.08M oz Ag @ 5.99 g/t, and 848M lb Cu at 0.16%.
On top of the PMs, Goldstone has now become a monster Cu deposit, with over 3B lb, and since the higher copper grades have only come along lately with that better understanding of the geology, I expect that number to grow considerably with further drilling. And remember that Goldstone remains open to the south, north, northeast, and at depth. This year's drilling programme will concentrate on extending it to the north.
I wonder when we will get an economic study.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34231342
Speaking of the Golden Triangle, there has been an interesting development involving Goliath Resources aka GOT, who are developing a gold/silver deposit on their Golddigger property in the area. They and a number of other similar companies in the area have signed an MOI to develop a hub-and-spoke mill complex at Kitsault, where BC Moly is studying the revival of a part-producing molybdenum mine. The site has grid power and is located on tidewater, within easy access to SE Alaska as well as NW BC. The partners are working with the local First Nations and the provincial government to develop the project, and if they can pull it off it is likely to materially improve the economics of all the partner's deposits.
https://ca.finance.yahoo.com/news/goliath-resources-signs-mou-five-121500204.html
Capitan Mining aka CAPT announced they are changing their name to Caitan Silver. As they are keeping the same symbol, this is not consequential, but the reason I draw your attention to this PR is that it contains an excellent summary of what they have found to date at their Cruz de Plata prospect in Durango, Mexico. I look forward to see what they find when they drill the undrilled portion of the strike length.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34230095
Kodiak Copper aka KDK announced they have begun this year's exploration programme at their MPD prospect in south central BC. They have already defined several large copper/gold porphyries of the type being mined not far away, and their aim this year to define at least one more among the 18 target areas they have identified. There will be a special focus on expanding the newly discovered Beyer zone which contains high grade Au and Ag.
Preparatory geophysics will be followed up by 25km of drilling as well as an extensive programme of mapping and sampling.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34231366
West African gold miner Endeavour Mining aka EDV announced they have again begun repruchasing shares. This year's NCIB allows them to buy up to 5% of the current issued and outstanding shares, which amounts to 12,387,688 shares. Under last year's NCIB EDV purchased 3,864,238 shares at an average price of $C27.56.
https://ca.finance.yahoo.com/news/endeavour-announces-renewal-normal-course-112000421.html
FWIW, in the wake of last week's annual report from Centamin aka CEE, BMO released a new analyst report. Citing in line results and newly achieved financial flexibility, they saw the impact as Neutral and kept CEE at Market Perform with a Target $C2.01.
Saville is currently of the opinion that PMs will retrace all or part of the last week's gain, as we are seeing today and that both oil and the commodity complex are fairly close to a low, but will require a multi-moth bottoming process before the cyclical bull resumes later this year.
IAU, CEE, EDV
i-80 Gold aka IAU released its Q4 and annual results. When reading them you have to keep in mind that they are currently building four mines in Nevada while their only income comes from residual heap leach production at Lon Tree and Ruby Hill. Mind you, they did well on that front in Q4, producing 6769 oz Au at a cash cost of $1037/oz Au. This meant that in spite of all the money they are spending on exploration and development plus buying new properties, they still have $81M on hand, albeit $33 of that is currently restricted. Another source of funding will be the refractory development ore they are sending to NGM's facility for processing. Bottom line -- they won't need cash for a while, though if they keep on getting favourable financing offers they might take advantage.
I won't review in detail their plans for 2023 as I have discussed them before, but trust me that there will be constant newsflow through the year.
I took advantage of the current dip to add to my stash of IAU shares. And I forgot to mention I added a bunch more HMLO to my holdings last week.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34223992
Centamin aka CEE released their Q4 and annual results. It was generally a good year for the company, as new management continued to implement changes aimed at restoring production at their Sukari gold mine in Egypt to 500k oz Au per year by 2024. With mining now back in house, a new more robust mine plan, a reinstated exploration programme, and a new solar plant which is already reducing energy costs, management thinks they have Sukari ready to resume being the robust cash spinner it used to be.
2023 production at Sukari in 2023 increased 6% to 440974 oz Au, allowing them to end the year with a cash stash of $157M, plus a new $150M credit line that remains undrawn, i.e they remain debt-free. They also reaffirmed 2023 guidance of 450-480K oz Au at a cosh cost of $840-990/oz, and that the PFBS for their Doporo Au project in Cote d-Ivoire will be completed mid-2023.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34225395
Endeavour Mining aka EDV released their annual report. I won't say much because it doesn't contain any new information, but it is worth a look because it is presented in more detail and in a much more readable format than we get in new releases.
https://www.endeavourmining.com/sites/endeavour-mining-v2/files/2023-03/Annual%20Report/Endeavour%20Mining%20Annual%20Report%202022.pdf
Saville tells us to keep an eye on the closing price of the Gold Miners ETF GDX this week. If it can close above resistance at $30, that will be a good sign that the cyclical bull in gold stocks has resumed. If not, we'll have to wait a little longer, perhaps until the price of gold has retraced all or part of its gains this week and started back up.
Are you familiar with BC Moly aka BM.V? I've been keeping an eye on them but haven't pulled the trigger.
https://ca.finance.yahoo.com/news/bc-moly-provides-storie-molybdenum-120000598.html
LC
Look who found Stuhini
Our own Chen Lin
Dave O’Brien of Stuhini Exploration Ltd. talks to Chen Lin at the March 2023 Metals Investor Forum
There was a lot of interest at the Stuhini booth at PDAC Financing upsized 2 times to let in some key players. Shares trading in the .60s now
IAU, WM, EDV, RIO
You may see some odd trading in i-80 Gold aka IAU in about four months. That's because EQX is yet again running out of money, a specialty of theirs, so they have sold a package of over $32M worth of IAU shares and half warrants they acquired in the transactions that created IAU in the first place. The only information we are given is that the sale was to ' a team of underwriters' and has a four month hold. Similar transactions will probably occur again, as EQX still owns 19.7% of the shares of IAU, 17.6% fully diluted.
https://ca.finance.yahoo.com/news/equinox-gold-announces-bought-deal-212600414.html
Wallbridge Mining aka WM continued its recent flurry of news by releasing its 3rd PR in 5 days, this one announcing the beginning of exploration drilling around their flagship Fenelon gold deposit in Quebec, We get more detail on the six targets defined by geophysics they are chasing. These targets reflect a new understanding of how the Jeremie fault is a key control for the gold minerlaization, which is mostly found within the quartz in the Jeremie Diorite.
If the new interpretation is correct, the drilling should come up with significant mieralization to add to the overall resource.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34215419
You'd never know it from how the shares have been trading of late, but west African gold producer Endeavour Mining aka EDV released a bang-up annual report. The numbers are impressive, meeting the top end of guidance by producing 1.4M oz Au in 2022 while also meeting cost guidance in spite of inflationary pressures, making 2022 the 11th straight year they have met or exceeded guidance. For the first time they exceeded $1B in cash flow for a calendar year, allowing them to return $299M t shareholders, which amounts to $212 per oz Au produced.
This coming year they will be putting a strong focus on exploration, perhaps because even as they managed to keep M&I Resources at 27.3M oz Au after mining depletion, P&P Reserves fell by 1M oz to 16,8M oz Au. They can certainly afford it. During 2022 they were able to increase their cash stash by $45M to $951M while maintaining long term debt at $830M. Now we'll need to watch out for cost escalation on their two major expenditures for 2023: $170M for the Sabodala-Massawa BIOX Expansion project and $230M for the Lafigué project.
EDV is targeting 2023 production of between 1.33-million and 1.43-million ounces with AISC guidance of $1 315/oz to $1 400/oz,
https://www.siliconinvestor.com/readmsg.aspx?msgid=34216895
As befits such an energetic management group, the folks who run Rio2 aka RIO have not been sitting still since an environmental permit for their Fenix gold project in northern Chile was denied, seemingly under the orders of a Chile's then newly-elected government. Today we hear what they been up to.
First off, they are restructuring the financial arrangements already in place by bringing in a new financial advisor, talking to WPM about revising their streaming agreement, and engaging with other potential lenders. Second, they are taking advantage of the delay by beginning a new FBS. (So far they have completed a PFBS and then revised it.) And they continue to engage in the mandated review process in the hopes of receiving the permit they were denied, while continuing to carry out environmental studies on the site. It should be noted that the current Chilean government continues to soften its former anti-mining stance.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34216922
Saville is worried that gold testing its recent low so quickly increases the possibility of a quick spike below that low before it makes a substantial move up, meaning we have traded higher short term risk for less long term risk for gold prices. He also points out that gold has already taken off in currencies such as the $A and the $C.
NIM.V HUSIF Nicola Mining PDAC Notes What a great little company. 50M Market Cap My take after a visit to the booth and a talk with Peter Espig. 750k to $1m per month positive cash flow including the new Osisko tolling deal. 2 other company tolling deals being negotiated. Lots of high grade 50k oz Au projects in the area with no where to go . Nicolas Craigmont mill is the only permitted mill in all of BC for tolling ore. This leaves them with the upper hand.
This company is not going to last long before they get bought out. All they need to do is prove Proof of concept at the Craigmont copper project and a major is going to come in fast. Along a major highway, connected to a hydro power grid(cheap) , water permits already there.
Low risk and undervalued by any metric. Its only recently they got the permits to toll local Au Ag high grade feed. Going to be easy to monetize this. Then sink the cash into proof of concept for the Craigmont Cu project.
The recently consolidated 10,000-hectare property contains the former Craigmont Mine, which produced 34 million tonnes, grading 1.3% copper between 1961 and 1982 from underground and open pit operations. It ranked as one of North America’s highest grade copper mines and sits next to Techs Highland Valley Copper District.
Tudor gold. It is quite apparent that the market sees through this. Great charting. Please keep posting so that this thread does not become a self regurgitating morass.
GQC, ARK, WM
If you go back a few years, it looked like Goldquest Mining aka GQC was a good spot, steadily advancing their Romero Au/Ag/Cu/Zn project in the Domincan Republic toward a production decision. But then they ran into local protests against the project, in the wake of which no more permits were granted, leaving them stuck in the water. The election of the most recent government, led by someone known to be pro-mining, was supposed to help, but so far there has been no progress. GQC recently brought in a CEO who is a DR national, and now they have fired a shot across the bows of the regulatory authorities and politicians with the publication of an official Gallup poll which they say means that 2/3 of the local community now supports them.
My quibble is that according to the PR those people were supporting continuing the environmental approval process rather than supporting the mine. We'll see what if any effect this poll has.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34213085
Up till now, I have mentioned Arras Minerals aka ARK, recently spun out from SVB, only in passing because they were exploring large Cu porphyries with a gold kicker in Kazakhstan. But now they can be included in these round-ups, at least as long as they are talking about gold discoveries of the type mentioned in this PR.
The results come from holes drilled 3.2km south of the main Cu/Au prospect on the Beskauga South prospect. The intercepts are long but low grade, e.g. 877.4m of 0.27 g/tvAu (0.24 g/t Au, & 0.24 g/t Ag), but within them are higher grade segments like 17.0m grading 2.53 g/t AuEq (2.49 g/t Au & 0.41 g/t Ag). Mind you, those higher grade intercepts deep, over 600m down, so they will need to find a lot more such intercepts to define anything worth mining.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34213115
Wallbridge Mining aka WM released more drilling results from its Fenelon gold project in Quebec. They have already proved up a large resource, more than 5M oz Au if you combine Measured and Inferred, but with these results from the the Area 51, Tabasco and Contact zones, they continue intersect strong minerlaization beyond the resource envelope, mineralization that remains open in multiple directions.
There are few remaining assays from this most recent drill programme to be reported, but for now Wm has turned their attention to proving up satellite deposits around Fenelon, at which three wills are working, plus two more drills are working at the nearby Martiniere property to expand its resources.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34213141
Well, maybe not THE GREATEST yet? but ranked as one of the worlds' top 10
Thanks for the info. We seem to be of similar minds and get into similar small companies a year (a few even) early. I like to follow what metals are forecasted to be in short supply but the wait can be very long. Same way with oil in the orange basin off of Namibia.
SVB, KRR
Silver Bull Mines aka SVB has one physical asset -- the Sieera Mojada Ag/Zn/Pb/Cu project in Coahuilla, Mexico, but they have not been able to access the site since September 2009, when a local group of malcontents first blockaded it. Attempts to get the Mexican authorities to intervene have been useless, so I had written off Sierra Mojada as worthless.
Well, maybe not. Today SVB announced they have commenced legal action against Mexico under NAFTA, claiming a minimum of $178M in damages. I am no lawyer, but it appears to me like they may have a good case. No doubt this will take years to be resolved, but maybe it will finally spur Mexico to take action so they can get back to work at Sieera Mojada.
In the meantime, SVB's management has been busy amassing Cu/Au prospects in Kazakhstan, which has since been spun out to a company called Arras Minerlas, which trades as ARK on the TSXV.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34209988
In these inflationary times, all producing miners are focusing on costs, Today Karora Resources aka KRR released good news on this front, announcing that the second decline for their Beta Hunt Au/Ni mine in Australia had been completed, on budget and ahead of schedule. This has already allowed more efficient haulage of ore from the mine, and along with new ventilation raises, one complete, one underway, and another to come later this year, along with new equipment will allow them to greatly increase production toward their target of 2Mtpa during 2024.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34210007
I've been an owner of shares of FWZ for several years now. As usual I was too early in making my move so I am currently underwater, but I have noticed lots of big money getting on board of late so am contemplating averaging down.
During the last zinc boom, maybe a dozen years ago, I accumulated a bunch of shares in a now gone company called Selwyn Resources. Similarly to FWZ, they had acquired a large zinc prospect in the Yukon, but alas, that didn't make me any money in the end due to various factors. I think this time it will work out better.
BTW, I think of MacTung as a tungsten prospect rather than moly, but given present prices I will take both!
LC
Don't know about others on this board but I really appreciate your comments about PMs and also any comments about other base metals like Moly & Tungsten. Ever look at Fireweed they started as a Zn explorer and recently picked up a Mo explorer.
WM, MIRL, NRN, RRI, ORS
After a two-month break, Wallbridge Mining aka WM has resumed drilling on their Fenelon gold project in Quebec. But this time the focus is not on the main Fenelon deposit, but on the satellite Ripley zone, located to the south along a different fault that is also part of the Sunday Lake Deformation Zone (SLDZ). With the latest drilling, Ripley has been extended to a length of over 750m and and 500M in depth, and remains open in both directions and at depth. They have also come up with indications of other gold-bearing pathways along the SLDZ which will be followed up along with more drilling at Ripley. If they can prove up more gold resources near the main Fenelon deposit and nearby Martiniere, it will obviously enhance the value of WM's entire property package in the Detour-Fenelon Gold Trend. Meanwhile, we also await a PEA for Fenelon due in Q2.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34206170
Minera IRL aka MIRL announced that with the revising mining plan at their Corihuarmi gold mine in Peru, in January they were able to ship 1787 oz Au, a 10% increase over December in spite of mining almost 20% less material. However, once again there was no word on the major issues the company is facing: the looming debt crisis that will strip them of their main asset, the Ollachea project; and replacing larcenous management focused on enrich themselves and their friends and family.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34207322
Goliath Resources aka GOT released the results of metallurgical testing on materials from the Surebet Au/Ag/Pb/Zn zone on their Golldigger prospect in B.C.'s Golden Triangle. Some of the recoveries seemed a little low to me, but management seems pretty happy with what they were able to achieve on a coarse grind using a cheaper combination of graviry and flotation. As well, arsenic levels in the resulting concentrate were low enough to avoid smelter penalties. Next up is more testing to see if magnetic separation can be used to remove barren material.
As well, GOT extended the terms of almost $4M in warrants that were due to expire out of the money in a few weeks. The strike price is 86 cents, so there is hope that they might come into the money and be exercised before they expire in September.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34207357
Northern Shield Resources aka NRN released partial results from their ongoing IP survey on the Root & Cellar Au/Ag/Cu prospect on the Burin Peninsula in Newfoundland.As ever, they are encouraged by what they are finding, in this case that the anomalies they are finding coincide with prospects identified in previous geophysics. Once the current survey is finished and drilling gets underway, we'll find out if these positive indications amount to anything.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34207382
Prospect generator Riverside Resources aka RRI took a big step forward with respect to its La Union prospect in Sonora, Mexico, filling the hole in the donut by buying a property in the middle of their previous holdings that includes two past-producing Au/Ag/Zn mines that extracted CRD-style mantos and chimneys of the style found in this part of the world. RRI'sy geologists believe there is strong potential for finding more deposits on the type on the property.
To that end, RRI will shortly carry out geophysics to further define targets before a drilling campaign later this year. RRI has declared that the consolidated La Union property is one of their lead assets, so expect exploration to proceed apace.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34207440
Orestone Mining aka ORS released an update on their Captain prospect in north central BC, where they are exploring for giant gold/copper porphyries similar to the ones that have generated multiple producing mines in the area. The latest geophysics defined three targets along a 5-km trend, each where a cross-cutting faults intersect. These are deep targets so ORS is planning two 1000m holes later in the summer. Previous holes have intersected the outer fringes of what appears to be a porphyry with a huge alteration halo. As I said, these are large targets, in this case covering a cubic kilometre and open in multiple directions.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34208762
Saville continues that PMs still need to test the recent lows, and that the ultimate low before a big rise will likely occur in April. He sees what is going on with PMs right now as very similar what happened in Q4 2018, just before their prices took off.
Now I am wondering , if they define a monster CRD district across Ruby Hill and the land they just purchased like they expect, whether IAU will spin out or sell off the CRD portion of the property so they can focus on their original idea of being just a gold producer..
You got me thinking about my moly exposure.
I have a large holding in MAI for their gold mines, but also they are going to spin out a Mexican moly/tungsten property, probably later this year.
Almonty Industries aka AII is bringing a giant tungsten mine in Korea back into production, with mining about to begin, but underneath the tungsten deposit there is also a huge moly deposit which they are starting to make noises about.
But my main moly exposure is though a good sized position in Amerigo aka ARG. Those roundups I post here concentrate om PMs, but I hope you guys are famailiar with this company. They process two sets of tailings in Chile, one historucal, one fresh, primarily for copper but also for moly. Their dividend yield is currently over 10% and is secure down to $3.40 copper, and anytime it gets much higher they get busy buying back shares, plus if copper holds above $4 there will also be special dividends. A core holding IMO.
Thanks for the heads up on Fortitude Gold. I will take a closer look.
LC
ATHA.CN (AHNR-OTC) has been hitting very good gold grades near surface in Nevada at their Excelsior Springs project-
trading around .07 cents cad-
-they will be advancing this project soon for sure, looking for a near surface gold oxide resource
Here is the project overview
Excelsior Springs Project
Thanks checkmate. Lots to like about FTCO. Looking forward to their cc today.
FTCO FORTITUDE GOLD 2022 NET INCOME OF $14.7 MILLION, $725 AISC, $45M Cash
This makes the EV about $105 Million On 41K OZ produced, they paid $11.5m in dividends, spent $11.6M on exploration, added $5M cash, pushed forward new increased production at multiple properties where they've pre bought long lead time equipment previous to inflation cost bumps and will build out new high grade mine production with no debt or dilution. Their solid in the high grade Pearl zone this year with much of this years production already on surface so should be good year. Banks wont like Fortitude but I feel vary safe.
LC This is the poor GORO mgt aka Jason Reid you just called out?? Remember this FTCO was a free spinoff for GORO share holders about 2 years ago before GORO shrs took the drop. As to new GORO with new CEO Allen Palmier Im not excited other than to watch for green lights at the Michigan property. Thats a big project if it goes.
COLORADO SPRINGS – February 28, 2023 - Fortitude Gold Corporation (OTCQB: FTCO) (the “Company”) today reported its year-end 2022 results including net income of $14.7 million, or $0.61 per share, and increased its cash balance by $5 million year-over-year to $45.1 million. The Company confirmed both its previously announced 2022 annual production of 41,231 gold ounces, which exceeded the initial 2022 gold production target by 3%, and announced its 2023 Production Outlook of 40,000 ounces of gold (a range of 36,000 to 40,000 ounces). The Company also filed its year-end 2022 S-K 1300 Technical Report Summary (“TRS”) of Isabella Pearl Mine Reserves and Resources. In addition to the updated Reserves and Resources, the Company has an estimated 51,900 recoverable gold ounces on the Isabella Pearl heap leach pad at December 31, 2022. The Company also filed an Initial Assessment TRS for the County Line Property located in Mineral and Nye counties, Nevada. Fortitude Gold is a gold producer, developer, and explorer with operations in Nevada, U.S.A. offering investors exposure to both gold production and substantial dividend yield.
“Fortitude Gold once again delivered strong operational results in 2022 which exceeded our annual gold production outlook, delivered strong financial results including increasing our cash by $5 million year-over-year to $45.1 million and delivered strong shareholder value with our continued and substantial monthly cash dividend distributions,” stated Fortitude Gold CEO and President, Mr. Jason Reid. “The Company exceeded its 2022 gold production outlook by 3% as operations delivered over 41,000 gold ounces at a low all-in sustaining cost of $725 per ounce. With $74.4 million in net sales, $14.7 million in net income, and a cash balance that grew to $45.1 million, the Company is in a very strong financial position with no debt.”
Mr. Reid stated, “Our Isabella Pearl operation continues to deliver strong cashflows and margins in which to invest and build our next Nevada mining operations. In January of this year, we announced an initial resource for our County Line property located just 19 miles northeast of our Isabella Pearl operations. We believe this property has the ability to deliver gold resources to our Isabella Pearl process facilities, extending the potential life of the Isabella Pearl operation into 2026 and perhaps beyond. We also continue to invest in our Golden Mile property with continued exploration drilling and mine equipment and materials purchases in anticipation of a potential mine development decision. We are aggressively moving both the County Line and Golden Mile properties forward in the permitting process with the Bureau of Land Management and State of Nevada with the goal of becoming a near-term, multi-mine operator.”
Mr. Reid continued, “For 2023 we expect to continue our significant investment in exploration and development activities across our exciting portfolio of Nevada properties. With a strong treasury, we believe we can develop and construct both the County Line and Golden Mile mine operations using our own cash without shareholder dilution. Fortitude Gold remains a unique investment in the precious metal space offering investors exposure to gold production, a very attractive dividend yield at over 7.5% and district scale exploration potential in arguably the premier mining jurisdiction in the world, Nevada, U.S.A.”
2022 Overview
For the year ended December 31, 2022, the Company sold 41,464 gold ounces at a total cash cost after by-product credit of $621 per gold ounce, and a realized 2022 average sales price for gold of $1,802 per ounce. The Company recorded revenues of $74.4 million, and net income of $14.7 million, or $0.61 per share.
The calculation of our cash cost per ounce contained in this press release is a non-GAAP financial measure. Please see "Management's Discussion and Analysis and Results of Operations" contained in the Company’s recently filed Form 10-K for a complete discussion and reconciliation of the non-GAAP measures.
Quote from CEO.ca
@kingtut So todays news says we add more benches below Pearl while having added three years initial at Golden mile and one year at County line initial with lots of upside known at both latter two. Not hard to imagine that ceo is right re mining the area for a very long time. It’s playing out and this sustained dividend for our debt free ultra low share count stock
LC Also just want to say thanks, I much appreciate your updated briefings here. Over the years this board has provided a lot of good information.
Interesting Batch here. I like you, was watching both companies and looking for a buyout of CORE at a much later date. I was surprised. I-80 has 3 CRD's with one pushing to the south towards Paycore's adjoining property where there working on proving up their own CRD.
Together the consolidation forms a monster high grade CRD. Paycore doesn't have to build and are taking advantage of I80's mining permits/auto clave for their sulfides as you said
GORO ? Might have been me involved in some of that GORO friction :) Lets be fair here. The current GORO is not the same mgt you are speaking of. The original GORO 1.0 was the Mexican assets when MX was a better jurisdiction. GORO did go from $1 to $31 under that mgt and dropped back during the dark years in the space. During those dark years, GORO did however pick up some 1st rate assets in Nevada, got them permitted and built the processing plant including ADR very efficiently. GORO spun this out into FCO Fortitude Gold which tripled in price to the current $6.30 shr while paying a sector leading divy yield of 7% and as high as 9% recently. Those shareholders own FCO now for free which left GORO with only the MX assets. The kicker! That old GORO mgt has left and now runs Fortitude Gold where they are making efficient Cash Flow while organically growing a number of other high grade pit projects that will be helping them to grow more CF and higher production numbers which should help bump the share price to record levels while paying the large divy. Their next development will be paid 100% from organic CF that allows them to keep their minuscule 24m OS. Like Minera Alamos Santana prj which I own as well, FTO will build organically their next project to production. The new GORO 2.0 bought a property in Michigan (over 1M high grade resource, I think with $60M sunk costs) that is struggling with a permitting issue they thought they could solve. The 1st Nations have their ancient burial grounds, you know the story. Thats 1 reason their in the tank
STU Stuhini .49 today and for good reason. You should go to the Stuhini website, get Daves number and have a chat, or look him up at the PDAC booth. Hes a good friend of mine, easy to talk to, straight honest. Tell him I said to call. You need to hear the story from Dave. PP's going to be done. They have cash and warrants are in the money. When the story gets out, mkt will have to buy from the 38M OS pool most locked up with Sprott, insiders and friends.
Remember $26Billion in the ground, Molly tripled last year. Demand is real, Future Supply is tight. Full historic Feasibility w/ historic $800 M funding pkg. Their way ahead of the pack, Dave will get the job Done. Just ask Eric Sprott
https://www.northernminer.com/news/exclusive-video-stuhini-ceo-on-molybdenums-dramatic-price-move-and-the-ruby-creek-project/1003851736/
IAU, GORO
I could have looked so smart...
As I was watching i-80 Gold aka IAU's webinar on their Ruby Hill property in Nevada last week, I remember them noting that the high grade CRD corridor they are exploring extends south on an adjoining property owned by Paycore aka CORE, and thought to myself that they just might buy out CORE.
However, I did not include that thought in my report on the webinar write-up. Too bad, because today IAU did announce they are buying out CORE in an all-share transaction. CORE's property is essentially a bolt-on to Ruby Hill, increasing its size by one third and extending the length of the important Jackson-Holley fault under their control to 4.3 km.
The deal has the support of CORE's board and large shareholders controlling 25% of the company, so given the good premium to market being offered I expect the deal to go through without a hitch. I also suspect this pretty well confirms that the Ruby Hill mill will be modified to produce Pb and Zn concentrates with PM kickers rather than being refurbished it as a PM mill.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34204826
I remember Gold Resource Corporation aka GORO was a favourite among some who posted here. I could never understand why, given their history of poor management, and I opined that the dividend policy management hyped so much was unsustainable. Well, it took a little longer than I expected but my prediction has come true. In spite of the high gold price, GORO's dividend has been suspended.
I sure hope my former debating partners saw the writing on the wall and got out in time. GORO's share price is now about a third of what it was a year ago, and less than 15% of what it was five years ago when our debate was omgoing.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34204975
Saville is now of the opinion that the POG will likely retest the low just above $1800 it set last week rather completing a V bottom, but he remains firmly convinced that after the bottoming process is complete there will be a good run, likely to a new ATH, later in the year.
CKG, HMLO, MAI
Chesapeake Gold aka CKG released a new resource estimate for its Metates Au/Ag project in Durango, Mexico. We have known for years that this is a very large but low grade set of deposits, so the trick has been to find a way to justify the extremely large capex required to get the mines and mill running. There have been a number of approaches over the years -- I remember at one point they were emphasizing Zn, which has since pretty well dropped out of the equation -- and judging the way this Resource Estimate is presented, they are trying to zero in on higher grade starter areas with good metallurgy.
Make no mistake, there is a lot of metal at Metates -- 6.77M oz Au at 0.57 g/t and 423.2M oz Ag at 14.3 g/t in M&I, plus 2.13M oz Au at 0.47 g/t and 59.0M oz Ag at 13.2 g/t Inferred. When you are dealing with grades that low, the other key is the metallurgy, i.e. how much it will cost to get the metals out, so that is what they are concentrating on in the wake of this Resource Report. The Resource Report and metallurgy results will feed into a new PFBS which CKG hopes will generate enough interest to lead to a buyout.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34202167
Hemlo Explorers aka HMLO released an update of its JV with Barrick Gold on the Plc gold project in Ontario. ABX has an option to earn up to 80% ownership over 6 years, and judging by their activity so far, they are keen on Plc. ABX was required to spend $800k in exploration in the first year of the option, but just in the first four months they have already greatly exceeded that requirement through exploration involving geophysics, re-assaying old samples, and taking new ones. So far they have been able to establish several areas of interest, but most assays are still pending. Barrick is not known for copious newsflow from exploration projects and they are the operator, so it is my guess that further updates will rare but full of information.
Meanwhile, HMLO is continuing exploration on the adjoining Project Idaho, where they are defining mineralization similar to the nearby Marathon Pd/Cu mine being developed by GENM.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34202182
Now that Minera ALamos aka MAI has production running fairly smoothly at its Santana gold mine in Sinaloa, Mexico, they are resuming exploration to define new resources to extend the life of the mine. They plan to drill up to 10KM of holes on three exploration targets, Benjamin, Benjamin West, and Zeta. For the latter two, this will be the initial drilling.
As befits this highly competent management team, they have designed a programme to minimize costs while maximizing output, including using their own drill which will be rotated among the targets to allow the receipts of assays to inform ongoing drilling.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34202209
TUO, OGC, IAU, BTO
Teuton Resources aka TUO reported on exploration being carries out by HV partner OPV on the Harry prospect in BC's Golden Triangle.
OPV used a new technique I had not heard of, backpack drilling, to explore two new zones, dubbed Sheeted Vein and Saw Cut. These small man-portable drill are useful in areas swept clean by glaciation to drill reconnaissance holes 1m deep which can be followed up by conventional drilling if warranted. The result core revealed very promising levels of Cu/Zn/Pb/Au/Ag minerlaization, the best being 0.37% Cu, 39.74% Pb, 22.95% Zn, 0.477 g/t Au, & 970 g/t Ag. As a result, there was follow-up conventional drilling, from which assays are still pending.
Thus far OPV has been very gung ho for this property, so I expect that in due course an extensive 2023 exploration programme will be announced.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34199594
FWIW, in the wake of yesterday's release of Oceanagold aka OGC's annual report, BMO released an updated analyst report. As did I, they liked the company's 2022 performance, particularly in Q4, as well as the reinstatement of a dividend, but they also picked up on something I missed, various decrease in the three year guidance going ahead. They kept OGC at Outperform but dropped their target from $3.75 to $3.50
i-80 Gold aka IAU this morning released a great lead-in to their webinar on their Ruby Hill property (see below for more) in Nevada, from which they are already producing some gold via a heap leach, to be supplemented by new production sites on which they will begin construction once permits are received later this year.
They announced the discovery of three new high grade CRD deposits they have dubbed the Upper, Lower and East Hilltop Zones. Once again the headline intercepts are impressive, e.g. 1.7 g/t Au, 421.3 g/t Ag, 6.9% Zn, & 19.8% Pb over 15.2 m and 25.3 g/t Au, 848.0 g/t Ag, & 7.9 Pb over 7.6m in the Upper Hilltop Zone, as well as.2 g/t Au, 433.6 g/t Ag, 20.7% Zn, & 12.4% Pb over 3.1m in the Lower Hilltop Zone.
All three newly discovered zones are located near existing infrastructure, marking an easy path to production. Even better, preliminary exploration has already identified a number of other potential CRD and other prospects in the undrilled portion of the Hilltop Corridor.
Although during the webinar IAu stated they still have not decided whether to renovate the Ruby Hill mill to process oxide gold or to turn it to the production of BM concentrates (with high PM kickers), I am thinking they will choose the latter, especially after they revealed they are talking to Nevada Gold Mines about processing IAU's oxides at their mill. (IAU already has an agreement with NGM to process sulfide ore until IAU has finished renovating their autoclave.)
https://www.siliconinvestor.com/readmsg.aspx?msgid=34201136
IAU also announced that they had closed their PP, which has been upsized to $85M of convertible debentures, some of which were taken up by IAU insiders. They now have plenty of cash to follow up on their many plans.
https://ca.finance.yahoo.com/news/80-gold-announces-closing-upsized-203900232.html
I also watched IAU's hour long presentation on Ruby Hill, and it was remarkable. It's quite the property they have their hands on, bristling with different types of large high grade deposits. The most exciting thing I learned today was that they just spudded a drill hole looking for a giant underlying porphyry I hadn't heard about before, but that will be for the future. They plan to start underground construction at Ruby Hill later this year, construction that will allow them to reach both PM and BM deposits, all high grade.
IAU is definitely getting noticed. Beside the people in the room for the presentation, there were also about 150 on line participants.
B2Gold aka BTO released its annual results yesterday. We already knew the production numbers, so this release was all about the money, and the news was mixed. The cash costs for Q4 production were roughly as expected at $468/oz Au. They did manage to match full guidance both with respect to production and costs, and Q4 cash flow looked good, but Q4 net profit was below expectations at 15 cents per share. They did manage to add $102M to their cash stash, which stood at $802M at year end. Much of that will be eaten up by the SBB purchase but if they can continue to generate strong cash flow that will not become a problem.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34201199
FWIW, in response TD issued a new analyst report on BTO. They called the impact Neutral, noting that costs were in line but earning were below expectations. They maintained BTO at Buy with a target of $8.50.
Saville acknowledges the possibility that gold set a multi-week low last Friday, but considers it more likely that there will be a 1-2 week rebound followed by a decline to the ultimate correction low. He also comments that gold stocks are very oversold but opines that we will probably have to wait a while for a rebound to get underway.
I've had half an eye on Stuhini for some time now, with my interest always constrained by the very difficult moly market, opaquely controlled by majors generating it as a byproduct of other metal production. Maybe it's time to take another look.
LC
Stuhini Exploration STU.V STXPF. Eric just threw another $1M Today There going to spin out the Ruby Creek Moly Project, bring in a JV Partner and move it forward as one of the few pure ready to build permitted Moly projects on the planet. Moly made another big move up. Their 480 M lbs of pit constrained Molly now has over a $25 Billion in ground value.
Announces up to $1,600,000 Private Placement with Lead Order from Eric Sprott
VANCOUVER, BC, Feb. 23, 2023 /CNW/ - Stuhini Exploration Ltd. (the "Company" or "Stuhini") (TSXV: STU) (OTCPK: STXPF) is pleased to announce a non-brokered private placement ("Private Placement") of up to 4,000,000 units of the Company ("Units") at a price of $0.40 per Unit (the "Issue Price") for gross proceeds to the Company of up to $1,600,000 The Company is pleased to advise that Eric Sprott has agreed to purchase $1,000,000 of Units under the Private Placement.
Dave O'Brien, Company President and CEO, stated: "We are very pleased with Mr. Sprott's continued support as a key shareholder. His investment is a strong endorsement for the Ruby Creek Molybdenum deposit as well as the outlook for molybdenum going forward. The price of molybdenum has tripled since the summer of 2021, and we believe the Ruby Creek Project is a world class deposit." See news release dated March 15, 2022 announcing the molybdenum mineral resource estimate and technical report dated April 22, 2022 filed on SEDAR.
Each Unit will consist of one common share (each a "Common Share") of the Company and one half of one Common Share purchase warrant (each whole warrant, a "Warrant"). Each whole Warrant is exercisable into one Common Share at a price of $0.50 per Common Share for a period of two years following the closing of the Private Placement.
The net proceeds of the Private Placement will be used: (i) to fund the final cash payment of $640,000 under the option agreement pursuant to which the Company was granted a right to acquire a 100% interest in the Ruby Creek Property; and (ii) for general exploration, corporate and administrative expenses.
The Private Placement is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals including the approval of the TSXV. All securities to be issued pursuant to the Private Placement will have a hold period of four months and one day from the closing of the Private Placement.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
OGC, IAU, MIRL, NRN
Oceanagold aka OGC reported their 2022 financial results and it is safe to say it was a good year for the company. They generated enough free cash flow to pay down debt by $70M and are now reinstating their dividend after meeting annual guidance. This was achieved largely on the basis of a strong year at the Haile gold mine in South Carolina and bringing the Didipio Au/Cu mine in the Philippines back to full production ahead of schedule after permit problems.
Q4 production was 121k oz Au, resulting in annual production of 427k oz Au. 2023 guidance is for production of 460-510k oz Au and 12-14kt Cu at a cash cost of $800-900 per oz Au, and they are aiming for 600k oz Au by 2025 as they increase production at Haile and Didpio as well as their gold mines in New Zealand. in 2022 they generated a net profit of $133M, a third of that in Q4, and at year end their cash stash had grown to $83M while their debt had declined to $170M.
If they can keep costs in line while growing production as expected over the next few years, the should be able to pay off that debt and become an obvious M&A candidate, either as buyer or target.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34198360
I-80 Gold aka IAU is going to hold what they are calling a 'Ruby Hill technical teach-in' this Thursday at 12:00pm EST, Ruby Hill in Arizona, which they will be bringing into production in the next few years, with its multiple styles of minerlaization is such an intriguing property I plan to watch this myself. Details can be found at this link.
https://ca.finance.yahoo.com/news/80-gold-announces-ruby-hill-110000123.html
Minera IRL aka MIRL announced 2022 gold production from their Corihuarmi gold mine in Peru. However, there is no mention of finding a way not to go bankrupt or lose their main asset in the face of an enormous looming debt, or getting rid of the corrupt CEO busy enriching himself and his friends and family.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34198423
Northern Shield Resources aka NRN released an unintentionally funny (to me) PR today regarding their exploration at the Root & Cellar Au/Ag/Cu prospect in Newfoundland. These guys are the masters of finding promising leads that amount to nothing, so it is kind of funny when they say that this is third time they have found visible gold in the area without the previous two instances amounting to anything. They go on to say that there has been so much rain and snow they have to temporarily abandon on sire examination. Welcome to midwinter on the Burin Peninsula, which juts out into the North Atlantic.
One presume the weather will in time allow them to resume proper exploration. In the meantime they are running some geophysics.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34198440
STU.V STXPF .46 Stuhini Exploration. Invited to The Metals Investment Forum March 3-4 Toronto just before PDAC Someone else sees what I see plus Eric Sprott took part in every financing. You have to be invited by one of these writers {link below) There's a good reason Stuhini got invited. I brought this here at .35 in January. Now .46 with only a only $17M MC - 38M OS - VERY Low G & A
Readers digest story. 3 years age Stuhini optioned the Ruby Creek project mostly for is gold and silver prospects. It included the mothballed Adanac Moly project. 480Million reconfirmed lbs of Molybdenum, drilled off, went through full feasibility in 07, fully permitted and was funded for $800M. They spent $80m including $22M on the current Ruby Creek access road, then crashed and burned in 09 due to the banking crisis crash. Moly price never recovered until now. Adanac traded at $3/shr and a $300M MC off just the Ruby Creek Moly project. Fast forward, with Molly moving from $10 -$15 last 15 years to current $37/lb this project is worth $22B in the ground and Stuhini is focused on moving this forward. The CPM Group recently highlighted that demand is high and supply short for at least 4-5 years since up and coming Moly projects are scarce.
https://metalsinvestorforum.com/newsletter-writers/
https://metalsinvestorforum.com/exhibitors/exhibitors/
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=170948380
Commodities consulting CPM Group u tube link
Molybdenum producers do not listen to the market, with CPM Group
https://www.northernminer.com/news/exclusive-video-stuhini-ceo-on-molybdenums-dramatic-price-move-and-the-ruby-creek-project/1003851736/
Stuhini Exploration Ltd. is a Vancouver based mineral exploration company that focuses on the exploration and development of precious and base metals properties in western Canada. The Company’s portfolio of exploration properties includes the Ruby Creek Property, Que Property, South Thompson Nickel Project and Big Ledge Property. The flagship Ruby Creek Property with the 433 million lb. M&I molybdenum resource is located approximately 35 km east of Atlin, BC. The Que Project is located approximately 110 km east of the city of Whitehorse, Yukon. The project is road accessible by way of the Alaska Highway and Canol Road from Whitehorse approximately 180 km. The South Thompson Nickel Project is located approximately 35 km northwest of Grand Rapids, Manitoba. The Big Ledge Zinc Property is located approximately 57 km south of Revelstoke, BC.
Thanks, u two - understand your thoughts, and nothing is absolutely for sure, except we get born and we die at some point. Many agree with you, that is why we have the ultra-low share price (for good and bad).
Doing risk analysis is to gather as many facts as possible - and then examine if they are all real facts, some can be opinions, a big difference when evaluating.
When we can verify from an independent source, one feels more comfortable.
The risk-reward ratio is crazy - about 0,06 (CAD) - while yesterday's article from analysts was 3.000 CAD as the target price for this year (see board)
Fantastic if it comes true - though I am VERY happy if we hit 60 cents, 10X!
GLTU and all on the board
NRN, EDV, IPT
Northern Shield Resourcesaka NRN issued a nothingburger of a PR to tell us that are starting exploration at their Root &Cellar Au/Ag/Cu prospect in Newfoundland. It contains nothing new, so don't waste your time reading it.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34191762
I am still deciding what to think about news out of Burkina Faso concerning Endeavour Mining aka EDV. I found several news items concerning the sale of 200 kg of gold produced at EDV's Mana mine to the government under laws designed to serve 'public necessity'. It is reassuring that an EDV spokesman was quoted as saying that the sale was at market prices, but more worrying is the government's use of the word 'comandeered' to describe its actions. Apparently the gold will be sold to gain foreign currency desperately need to fight the Islamist insurgency inside Burkina Faso, but I don't see how the government actually gains unless they are making incremental profits with exchange rates and the such.
Maybe someone else can explain this better than I can. EDV's share price dropped over a dollar yesterday as the news came out, but has since regained about half that in today's trading, albeit on a positive day for gold itself.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34193048
We get further proof that Impact Silver aka IPT has changed under new management with its second PR in a week, something unheard of under the old regime. A week ago we heard they are buying a producing Mexican zinc mine. Today we hear about drill results from the Aurora 2 deposit, located 13 km south of the Capire mill on its Zacualpan property in Zacatecas, Mexico. The results themselves were decent rather than spectacular, with the Ag/Au/Pb/Zn assays probably needing higher metal prices to be profitable to mine.
My favourite phrase from this PR is "Plans are being made for a large drill program in 2023". Yes, things have changed at IPT.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34193330
Thank you for your thorough reply. I am still not completely convinced -- after all, the resistance to Euro Sun's was worldwide news -- but I will start keeping a closer eye on it.
GLTY
LC
I own shares in RG.V trading at .04 cents (RMIOF-OTCQB) -
-here is an excellent video with their CEO Stephen Burega done 5 days ago:
RG.V video with CEO Steven Burega
-Romios Gold Resources president and CEO Stephen Burega shares some exciting developments on its assets in British Columbia’s Golden Triangle, including recent discovery of high-grade gold and silver veins and the project’s potential for partnerships.
Yes, I am so sure one can be (highest probability) - for several reasons. New management team (partly) old CEO no longer CEO - a big change for the ESM.
The majority of locals benefit big time, new jobs, and energy to a small town and surroundings - with experienced miners, as Romania has a mining tradition.
I just give one more example, possibly the most important. Authorities on all levels and the government have openly supported the project for several years now.
The power of the resistance is simply not strong enough - on all levels. At the end of the day; the massive environmental program ESM is committed to, is so over the top that it will probably be the most environmentally friendly of all large mine developers
KRR, BTO, CKG
Karora Resources aka KRR released an updated Resource Report for the gold in its Bent Hunt mine in Australia. (There is also a significant nickel resource at Beta Hunt.)
Although the market didn't agree, I thought this was a positive update, with M&I increasing by 20% to 1.35M oz Au and Inferred increasing by 34% to 1.05M oz Au, while the P&P Reserve increased by 12% to 535k oz Au. Maybe the punters didn't like that much of the increase was to Inferred resources, but given the history of Beta Hunt, these will soon be upgraded as exploration continues, plus KRR has already identified new areas of mineralization to be drilled up at Western Flanks Deeps and other zones. (Note also that the P&P and M&I numbers are net of what has already been mined.)
2023 exploration at Beta Hunt will have several focuses. First, they will continue to upgrade the existing resource by upgrading Inferred to M&I, and M&I to P&P. Second, they will focus on defining new resources at a number of targets including at the Fletcher, Cowell, and Mason zones. Bottom line; just at Beta Hunt, KRR remains set for years of production even as the mining and milling rates increase as planned.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34189649
The market surprised me again by reacting negatively to B2Gold aka BTO's announcement that they will be carrying out a friendly takeover of Sabina Silver & Gold to obtain its shovel-ready fully permitted Back River gold project in Nunavut. I think this is a good fit for BTO, reducing their country risk by getting them production outside Africa and the Philippines. If I was part of BTO management, at this point my main worry would be that a competitor might come in with a bid higher than BTO's $1.1B. Note that BTO's offer is all shares, so another company might not have to go too much higher if some cash was included.
Assuming this goes through, I think it will go well, as BTO has a strong background in developing new mines. In addition BTO has extensive tax pools which will be useful with respect to the financial requirements for building the mine in Nunavut.
https://www.siliconinvestor.com/readmsg.aspx?msgid=34189675
FWIW, TD issued a new analyst report on BTO which called the purchase Positive, while keeping them at Action List Buy (their highest rating) with a target of $8.50.
The IKN newsletter this weekend covered a webinar from Chesapeake Gold aka CKG concerning its large but low grade Metates gold deposit in Mexico. We will get an Updated Resource Report this quarter, and undated PEA by the end of the year. Metallurgical testing is ongoing.
For those of you interested in platinum, Saville's newsletter on the weekend pointed out that the charts indicate that its price may be bottoming, at the same time as a shortage is developing due to problems with the power supply in South Africa which are probably going to continue for at least the next two years. Add in growing demand from Evs...
As well, Saville is maintaining the low $1800 as the target for a correction in the price of gold and $21.50 as the analogous target for silver, along with 215-225 for HUI and $27-28 for GDX. He expects that reaching these targets will set the stage for a big rally in all four.
This board is for discussing junior miners in both base and precious metals. The commodities boom appears to be a longer term issue so these stocks should become more important as investors try to find small companies that are discovering new deposits.
The typical scenario is that the big companies have such high overhead that they can only look for huge deposits. However as commodities rise in price and all producers max out production, the larger players struggle to replace reserves. The junior miners typically fill that role by finding deposits and then selling out to the cash rich bigger players.
My normal investing strategy is to look for profitable stocks with low p/e's. That strategy is difficult with mining stocks because most are not in production or are losing money.
My alternative strategy is to look for miners with near term potential to begin production. Those are the stocks that I will attempt to focus on along with any stocks that are actually profitable.
Bobwins
FAVORITE JUNIOR NICKEL MINERS:
FAVORITE JUNIOR ZINC MINERS:
Zinc prices have underperformed relative to other base metal prices during the commodity boom of 2010-11. There is supposed to be a surplus in supply in the near term but significant shortages could develop over the next few years. Several large zinc mines are slated to run out of reserves during this time period and demand is expected to continue to increase.
FAVORITE JUNIOR COPPER MINERS:
China remains the most important barometer of base metal fortunes. If their economy continues to grow, copper usage and prices will continue to be supported at the current high levels.
Capstone Mining Corp CS.to/CSFFF.pk
F.D. 82.1M, The company is buying back 10% its shares from mid 07-mid 08. Holding ~20m shares of SST.v plus warrants.
Cash cost about 40c copper net byproduct credit, going lower as smelter charges drop in 08 and lead price jumps.
Recently increased its mill output by 120% under budget. Guiding 26 M lb of copper, 11.3M lb of zinc and 4.1M lb of Lead in 08.
New resource update by sep 07.
http://www.capstonemining.com/
QUADRA MINING QUA.to/QADMF.pk
S.O. 38.1M + 3.9M (InterMoly) + 12M (PP, fully allocated)=54M
F.D. 42.6M + 3.9M (InterMoly) + 24M (PP, fully allocated)=70.8M
2007 guidance: 125 M lb copper and 60 K oz gold
Q1 2007 production: 36.6 M lb copper and 31 K oz gold. Cost: ~$1.5/lb
http://www.quadramining.com
Taseko Mines Ltd. (TGB)
S.O. 113.6 M
F.D. 126.4 M
2007 guidance: 60-70M lb copper and 1 M lb of moly. Cost: ~$1.5/lb
Production set to increase to 120 M lb copper and 1.4 M lb of moly in late 2008 and cost will go down to close to US$1.1/lb area.
http://www.tasekomines.com
FAVORITE JUNIOR GOLD MINERS:
FAVORITE JUNIOR SILVER MINERS:
AURCANA AUN.v AUNFF.pk
S.O. 90.4M
F.D. 105.5M
http://www.aurcana.com/
FORTUNA FVI.to FVITF.pk
Profitable mine in Peru has financed much of the development of their new mine in Mexico. Producing over 2million oz of silver now, targeting 5million+ oz in 2013 when new San Jose mine should be at full production capacity.
http://www.fortunasilver.com
SCORPIO MINING SPM.to SMNPF.PK
http://www.scorpiomining.com/
SILVER WHEATON SLW
http://www.silverwheaton.com
Silver Wheaton is the biggest silver streamer. They finance many junior miners by buying future production of silver at fixed prices. The typical price they pay is 3.90/oz. The miner gets needed financing to bring mines into production and SLW gets all or a percentage of their future silver production. Silver Wheaton has financing power that many juniors lack. Now that they have been in business for several years, their initial investment projects are coming into production and raising SLW's production levels. Lower risk way to play silver because of diversification and lack of mining risk. SLW is relatively low overhead. They have a small office staff of finance experts who continue to add deals to the portfolio and production without significantly adding to overhead now and in the future.
FAVORITE JUNIOR URANIUM MINERS:
Worldwide, there are hundreds of nuclear powerplants on the drawing board. The current mining supply is well below current usage. The deficit is being supplied by Russia from deactivated nuclear warheads. That program is going to end in 2013 and Russia has indicated they will retain whatever is remaining of their inventory for their own nuclear powerplant use. As that deadline approaches, there is more and more likelihood that uranium will increase in price.
Strathmore Minerals STM.v STHJF.pk
http://www.strathmoreminerals.com
Near term producer, with two projects being advanced towards production. Strathmore has a JV with Sumitomo to develop Roca Honda in New Mexico and is pursuing licensing for the Gas Hills Project in Wyoming. Strathmore has a large acreage position in the US of prospects that it intends to JV or sell to concentrate on it's core products. These properties were acquired many years ago at very low prices.
Uranerz Energy URZ
http://www.uranerz.com
FAVORITE JUNIOR MOLYBDENUM MINERS:
FAVORITE JUNIOR TUNGSTEN MINERS:
DYNACOR MINES DYN.to MSDRF.PK
http://www.dynacor.com/
FAVORITE JUNIOR LEAD MINERS:
MontyHigh's blog, quite informative: http://montyhigh.typepad.com/world_of_wallstreet/
A Good web site for juniors: http://miningpedia.com/
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