Expanded Mineralization at Moss Mine & Warintza; Ivanhoe Begins Concentrate Production
Welcome to Mining Stock Daily. This is your host, Trevor Hall
Today is Wednesday, May 26th.
Tuesday was a good yet unusual day for gold. It was options expiration for the June gold Comex futures contract. Historically, the Comex banks use options expiration for front-month contract delivery months to push the price quite a bit lower in order to induce open interest liquidation and minimize the amount of contracts standing for delivery. But this did not happen Tuesday. Instead gold rose $13.50 from Monday and, as this recap is being written, June gold is trading at $1902. The Mining Stock Journal said that an unusually large number of contracts remain open ahead of Thursday's First Notice Day and it will be interesting to see how the next couple of days will unfold in terms of price action and open interest liquidation in the June contract. Silver was up 15 cents on Tuesday and managed to close over $28. The mining stocks were hit hard when the NYSE opened, with the HUI index down as much as 5 points, or 1.3%, before clawing back to unchanged by the end of the day. The Mining Stock Journal suggests that, barring unforeseen events, the precious metals sector appears poised to continue its current bull move higher.
We’ll get to the news out of the miners and explorers here in just a 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 is advancing the past-producing DeLamar Project in southwestern Idaho. The Company has continued to demonstrate resource growth and conversion through greenfield and brownfield exploration and plans on delivering a pre-feasibility study in Q4 2021 to further de-risk and advance the project towards permitting. Integra Resources trades on the TSX-V under ITR and the NYSE American under ITRG.
And here’s what you need to know this morning.
Northern Vertex reported recent results from its multi-phase infill and resource expansion drilling program at the Moss Mine in NW Arizona. Today’s results for this release are focused along strike to the East of the producing Moss Mine. Drilling returned 21.34 meters of 1.98 g/t gold and 23.75 g/t silver and 22.86 meters of 1.32 g/t gold and 17.43 g/t silver. With these results, mineralization extends at least 140 meters from mining operations and remains open. Northern Vertex trades on the TSX Venture with NEE. News Release
Solaris Resources reported report assay results from a series of additional holes from the ongoing resource growth and discovery drilling programs at its Warintza Project in Euador. Three additional holes at Warintza Central, as detailed below, have extended the drill defined envelope of mineralization to the east and west over a strike length of over 1,100m and open and to a depth up to 1,200m, with the highest-grade mineralization starting at surface. Results included 1,029 meters of .74% copper equivalent, with the hole terminating prematurely in mineralized porphyry. Maiden drilling is set to commence at Warintza East, which is one of the five main targets within the 5km x 5km cluster of copper porphyries identified on the property and has a similar geochemical and geophysical expression as Warintza Central. Solaris Resources trades on the TSX with SLS and on the OTCQB with SLSSF. News Release
Maple Gold Mines reported results from the second hole of the recently completed 10,270-metre winter drill campaign at the Douay Gold Project in Quebec, Canada. Drilling at the Nika Zone intersected 195 meters of 1.28 g/t gold. Results are expected to expand existing resources at the Nika Zone, both in-pit in the area up-dip of this hole and below-pit as approximately 35% of the intersection is located below the 2019 Resource Estimate conceptual pit floor. Maple Gold Mines trades on the TSX Venture with MGM and on the OTCQB with MGMLF. News Release
Benchmark Metals announced it has mobilized a crew to its Lawyers Gold-Silver Project in preparation for the 2021 work program. Benchmark is preparing drilling, engineering, geotechnical, environmental baseline studies, regional new targets drilling, and definition drilling to advance its flagship gold-silver project. All 2021 work plans are fully funded with its ~$32 million treasury. Benchmark's Lawyers Gold-Silver Project is road accessible and located within the Golden Horseshoe area of north-central British Columbia, Canada. Benchmark trades on the TSX Venture with BNCH and on the OTCQX with BNCHF. News Release
Elemental Royalties shared news from royalty partner, Austral Gold. Elemental holds a 2.25% NSR royalty at Amancaya, which generated US$1.9 million of revenue in 2020, and expects approximately 50,000 gold equivalent ounces sold in 2021. Elemental noted Austral’s recent discovery of another new mineralized zone at the mine property with the start of defining two new veins parallel to, and on either side of the Main Vein. Elemental Royalties trades on the TSX Venture with ELE and on the OTCQX with ELEMF. News Release
Vizsla Silver announced it has entered into an agreement with Canaccord Genuity Corp. on behalf of a syndicate of underwriters, pursuant to which the Underwriters have agreed to purchase, on a "bought deal" basis, 24,000,000 units of the Company , at a price of $2.50 per Unit for gross proceeds of $60,000,000. Each Unit will consist of one common share of the Company and one-half of one common share purchase warrant. Each Warrant will entitle the holder to acquire one common share of the Company for 18 months from the closing of the Offering at a price of $3.25. Vizsla Silver trades on the TSX Venture with VZLA and on the OTCQB with VIZSF. News Release
Ivanhoe Mines announced the start of copper concentrate production at the Phase 1, 3.8 million-tonne-per-annum Kamoa-Kakula Mine, on May 25th, several months ahead of schedule. First ore was introduced into the concentrator plant on May 20th to perform initial hot commissioning tests on the ball mills and other processing equipment. The initial mill feed grade reached approximately 4% copper shortly after start-up. As of May 25th, 5% to 6% copper ore is being conveyed directly from Kakula's underground mining operations to the run-of-mine stockpile and the concentrator. Based on extensive testwork, the concentrator is expected to produce a very high-grade, clean concentrate grading approximately 57% copper, with extremely low arsenic levels. Ivanhoe trades on the TSX with IVN and on the OTCQX with IVPAF. News Release
That’s it for the news briefing this morning. We’ll be back later today with more news and interviews.
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