Gold and Silver Consolidation Underway
[00:00:00] Underway this morning, gold dropping below that $1500 spot price once again. But the movement appears to be a healthy one. We'll chat this and more news from the miners today here on Mining Stock Daily.
[00:00:18] And a good day to you. Welcome to Morning Stock Daily. This is Trevor Hall, your host. Today is Monday August 20th. The gold price took a $10 beating on Friday when optimism over the U.S. economy somehow herded hedge funds out of flight to safety assets and into the stock market. Silver was taken down for a quick test of the $17 mark, which it passed with gold stars as it were to close at $17.12. The Mining Stock Journal said that it expects a possible long overdue price correction going into the last two weeks before Labor Day weekend. But it advises using mini selloffs in the precious metals sector to add to or start positions in gold, silver and mining stocks. As autumn ushers in India's largest seasonal gold buying period of the year, gold was down more than $19 this morning at time of recording.
[00:01:12] Today's briefing is sponsored by Integra Resources. Integra Resources trades on the TSX Venture under ITR and on the OTCQX under IRRZF. Integra Resources is advancing its past producing Delamar Gold-Silver Project in southwest 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. A made in PEA is expected in the second half of this year. The management of Integra successfully sold its previous Brownfields Project for $590 million Canadian in the summer of 2017.
[00:01:52] Last week Integra announced that it has closed a non-brokered equity financing at an issue price of $0.86 per special warrant for gross proceeds of $12.5 Canadian. The net proceeds from the offering will be used to fund exploration including an additional 15,000m to 20,000m of drilling as well as engineering expenditures and general corporate purposes. The Mining Stock Journal which has a strong buy in Integra noted the fact that company was able to place a non-brokered deal without warrants and increased the deal size by 50% reflects the growing awareness of institutional investors that the company's Delamar Gold-Silver Project is considerably undervalued. Integra shares trade under IRR ZDF in the U.S. and ITR on the TSX Venture Exchange. You can read more about the company and its successful management team at integraresources.com.
[00:02:50] Here's what you need to know today out of the Junior Resource Sector. Last week Minera Alamos announced the company has commenced its Phase 2 drilling program at the Santana project in Mexico. This comes just days after receiving the permit for development of the project. Drilling is expected to continue through late this year and will have a dual focus including resource expansion drilling at the main Nicho deposit, as well as follow up drilling on several new discoveries made during Phase 1 which happened in late last year. In addition while the company was advancing the project permitting its exploration teams made a number of new discoveries that also warrant drill testing and will be included in the upcoming drill plans. Minera Alamos trades on the TSX Venture with MAI and on the US OTC markets with MAIFF.
[00:03:40] Ivanhoe Mines this morning says drilling at the company's Kamoa North Bonanza Zone on the Kamoa-Kakula Project in the Democratic Republic of Congo, has hit the highest grade intersection ever drilled for the project. Despite official assays of the whole pending final results of the core, a Niton XRF analysis on the core returned an estimated copper grade of 18% over 18.86m. Observers of today's news release were cautioned by Ivanhoe that these readings are not the same as laboratory assays and are not an estimate of resource grades prepared in accordance with National Instrument 43-101. The company also stated that Kamoa North Bonanza Zone represents a new style of copper mineralization at the Kamoa-Kakula Project. Ivanhoe Mines trades on the TSX with IVN and on the OTC markets in the U.S. with IVPAF.
[00:04:36] Troilus Gold says the company has discovered a new area of gold mineralization extending over 300m southwest of the main Zone 87 and the Greenstone Belt of Quebec. Highlights from the drill results which lead to the extension of mineralization include 5.06 g/t gold equivalent over 6m and 3.85 g/t gold over 2m. Management says the new Z87 South area has now become a major focus of the program. It is located directly adjacent to the former open pit mine. Troilus Gold trades on the Toronto Stock Exchange with the symbol TLG and on the OTC markets in the U.S. with CHXMF.
[00:05:18] SSR Mining has closed its private placement financing with SilverCrest. SSR purchased 780,000 shares of SilverCrest at a price of $5.85 Canadian per share, for a total of just over $4.5 million. Upon closing, SSR Mining now holds over 9 million shares of SilverCrest at an average cost of $3.91.
[00:05:46] That concludes today's briefing. Please be sure to take a moment and provide a review of the show on the network or service you utilize to catch the daily rundown of mining news. Your feedback is always greatly appreciated. And if you wish to reach out to me feel free to drop me an email using the address Trevor@clearcreekditigal.com. You can also find me on Twitter LinkedIn and Instagram. That's it for me today. Have a wonderful day. I'll be back again tomorrow. Be well.
[00:06:15] Mining Stock Daily and its affiliates are not responsible for any loss arising from any investment decision in connection with the material presented herein.