Contact Gold Given Green Light at Pony Creek
Welcome to Mining Stock Daily. This is your host, Trevor Hall
Today is Thursday June 18th.
Gold was given yet another ride on the down elevator overnight Tuesday as it had $22 removed from its price between 3 a.m. and 5:30 a.m. EST. Gold then bounced off its 50 day moving average and traded back up nearly to its overnight high and a few dollars above Tuesday's day session close. The Mining Stock Journal said that the London a.m. and p.m gold fixings this week and toward the end of last week have featured heavy offerings and this is likely the tactic being used by the bullion bank price control team's effort to prevent gold from moving toward $1800 - for now anyway. This certainly explains the price hit on Tuesday, as the paper gold price rebounded briskly about 20 minutes after the a.m. fix was completed. Silver once again outperformed gold marginally on Wednesday, as the gold/silver ratio declined to below 98 to the mid-97's. The mining stocks also continue to trend sideways, with the smaller cap miners somewhat outperforming the largest cap mining stocks. The GDXJ ETF was up 1.17%. The Mining Stock Journal commented that, with the entire sector trending sideways since late May, it should break one way or the other in a big way and smart money is betting the break will be up.
We’ll get to the news out of the miners and explorers here in just a quick moment, but first a quick mention of today’s sponsor.
This episode of Mining Stock Daily is brought to you by… Integra Resources.
Integra Resources trades on the TSX-V under ITR and the OTCQX under IRRZF. Integra Resource is advancing its past producing DeLamar Gold-Silver project in SW Idaho through aggressive drilling and exploration. The latest Resources Estimate released earlier this summer showed approximately 4 million Gold equivalent ounces in the measured and indicated category.The maiden PEA for the project established a net present value of C$473-million and an IRR of 43%. The management of Integra successfully sold its previous brownfields project for C$590 million in summer 2017. Read more about the company and its successful management team at integraresources.com.
And here’s what you need to know this morning …
Great Bear Resources reported more results today from its ongoing exploration program at its Dixie Project in the Red Lake district of Ontario. The company said targeted regional drilling one kilometer west of the original Hinge Zone discovery of 2018 has intersected three zones of gold mineralization including a 15 meter wide interval continuing visible gold in quartz. This new zone is called the Arrow Zone. The results included 3 g/t gold over 15 meters with a 2.1 meter interval grading 19.32 g/t gold and a .75 meter interval grading 50 g/t gold. This is the same type of geological contact that is highly mineralized at the Hinge and Dixie Limb zones, however the Arrow zone occurs at a different stratigraphic position. Great Bear trades on the TSX Venture with GBR and on the OTCQX with GTBAF. News Release
Discovery Metals announced results from eight diamond drill holes completed at its flagship Cordero project located in Chihuahua State, Mexico. The holes are part of a Phase 1 diamond core drilling program that commenced in September 2019. The goal of this program is to define a high-margin project with scale that retains excellent leverage to rising metal prices. Drill holes for this current release were focused on defining and extending the higher-grade mineralized footprint in the northern corridor along the north-east trend. Results reported today included 2,489 g/t silver equivalent over .7 meters. The initial Phase 1 Cordero drill program was planned for 30,000-35,000 m of core drilling. Forty-eight holes totaling 17,500 m have been completed to date. Based on the strong results thus far, and following the closing of a C$25 million private placement on June 8, 2020, the Company is expanding its Phase 1 drill program to 50,000-55,000 m. Discovery Metals trades on the TSX Venture with DSV and on the OTCQX with DSVMF. News Release
Anaconda Mining announced results from infill drilling at the Argyle Deposit on the Point Rousse Project in Newfoundland. The purpose of the Argyle Infill Program, comprised of both percussion and diamond drilling, was to better define and upgrade all shallow portions of the deposit to the Indicated Resource category in anticipation of mine development in the second half of 2020. Twenty-four diamond drill holes were completed totaling 1,448.4 metres and 61 percussion holes were completed totaling 856.3 metres. Results included a .5 meter interval of 24.7 g/t gold. Anaconda trades on the TSX with ANX and on the OTCQX with ANXGF. News Release
Sierra Metals announced the discovery of a new high-grade silver zone with significant widths of Epithermal Veins. The new high-grade silver vein system was discovered as a consequence of a combination of mine development work in recent months and confirmatory drilling. Drill results reported today included 428 g/t silver over 17.45 meters true width and 1,140 g/t silver over 4.9 meters. The Company has plans to drill an additional 1,000 meters to better understand the extension of the zone at depth and to Northeast. Sierra Metals trades on the TSX with SMT and on NYSE with SMTS. News Release
Contact Gold announced receipt of a key permit for the Pony Creek gold project ("Pony Creek"), allowing the Company to ramp up drilling to test high-priority targets across a broad area of the property. Drilling to date has been limited to 10 acres, leaving a significant footprint of prospective terrain underexplored. Pony Creek is located on the Carlin Trend in Elko County, Nevada, immediately south and east of Gold Standard Venture's Railroad project. Receiving the Plan of Operations means that all the high priority drill targets developed by Contact Gold over the last 2.5 years can now be drilled. Pony Creek can now support exploration activities, including drill pad and road construction of up to 150 acres a significant increase from the 10 acres previously under Notice of Intent permits that facilitated drilling over the past 3 years. Contact Gold trades on the TSX Venture with the symbol C, and on the OTCQB with CGOL. News Release
And in M&A news, it was discovered Shandong Gold Mining out of China is offering to buy Cardinal Resources at a A$.60 per share. The offer price values Cardinal at a A$300 million and it expects the total transaction price to be close to that price plus a A$12 million worth of new shares to be issued by cardinal resources. We’ll share more news from this deal as things progress.
Mining Stock Daily is distributed over a dozen different networks throughout the world and in proud partnership with the Junior Mining Network. It is produced by Clear Creek Digital and Investment Research Dynamic's Mining Stock Journal.
Have a wonderful day. Be well.
Mining stock daily and its affiliates are not responsible for any loss arising from any investment decision in connection with the material presented herein.