Gold's Short-lived Dip
Welcome to Mining Stock Daily. I’m Trevor Hall. And I’m Paul Harris.
Today is Thursday November 18th.
Gold started to run higher on Wednesday shortly after midnight, rising from $1854 to $1870 until the price pulled back $5 going into the last 30 minutes of Comex trading. The price settled at $1869 up $16 from the previous day.
The Mining Stock Journal was unable to tag a specific news or market event to explain the price rise, especially since import data from India showed that the country was not buying on Wednesday. In addition US interest rates were largely unchanged and the US dollar index was only marginally lower on the day.
Similarly, silver ran from $24.85 to as high as $25.28. It settled at $25.14 after a pullback that tested the $25 level. Silver right now seems to be capped at the 200 day moving average, which is currently at $25.40.
The Mining Stock Journal said that silver has been trapped below the 200 dma since mid-July but believes that, if silver can close above that key moving average, an explosive move higher will ensue.
The mining stocks were green again on Wednesday, with the GDX posting a 0.79% gain despite a sell-off in the broad stock market. While the Mining Stock Journal believes a jaw-dropping move higher is coming in the precious metals sector, the Hulbert Gold Newsletter Sentiment Index is at a level that historically has preceded a pullback.
We’ll get to the news out of the miners and explorers in a moment, but first a quick mention of today’s sponsor.
This episode of Mining Stock Daily is brought to you by… Corvus Gold.
Corvus Gold Inc. is a North American gold exploration and development company, focused on its near-term gold-silver mining projects in southwestern Nevada. The Company holds a commanding land position within the Bullfrog Mining District. Neighbouring, adjacent projects controlled by AngloGold Ashanti, Kinross Gold and Coeur Mining highlight this active District. The two 100% owned North Bullfrog & Mother Lode projects have a combined nearly 4M oz gold of in-pit resource and continues to grow with an on-going, successful, resource expansion drill program.
And here’s what you need to know this morning.
Thor Explorations announced a maiden resource estimate for the Makosa deposit at its Douta gold project in Senegal of 15.3 million tonnes grading 1.5 grams per tonne for 730,000 ounces, based on 35,728m of drilling and covering the Makosa, Makosa North and Makosa Tail zones. Thor also said that exploration drilling at the Mansa prospect, some 5km along strike from Makosa, returned assays of 4m grading 3.11g/t. The company said it will now focus on expanding the resource along the prospective corridor that runs along the full 30km length of its exploration licence with a priority on extensional drilling at Makosa North. Thor Explorations trades on the TSXV and AIM under THX. News release
Chakana Copper announced the results from the remaining twelve resource definition holes drilled in the Bx 5 breccia pipe at its Soledad copper-gold project in Ancash, Peru as part of a 2021 26,000m exploration and resource drilling program. Highlights included 10m grading 15.48 grams per tonne gold, 1.27% copper and 82.4g/t silver within 237m grading 1.74g/t gold, 0.59% copper and 25.2g/t silver from surface in hole 256. The company said mineralization is now confirmed to a depth of 485m at Bx5, with an initial resource estimate due by the end of the year. Chakana Copper trades on the TSXV under PERU and on the OTCQB under CHKKF. News release
Liberty Gold announced additional results from its 2021 reverse circulation drill program targeting the Main Zone, including the Hassayampa Pit and Hamburg Pit areas at its Goldstrike gold oxide project in Utah, USA. Highlights included 15.2m grading 1.14 grams per tonne gold in hole 794 in the Hassayampa Pit in an area currently modelled as waste rock. The company said this represents another avenue to improve the economics of the project as, together with its Black Pine project in Idaho where earlier this week, Liberty announced the discovery of a major new mineralized zone, it seeks to advance a portfolio of run-of-mine heap leach oxide gold deposits in the Great Basin. 2021 drilling at Goldstrike is focussed on converting inferred resources to measured and indicated resources as it works to a resource update. Liberty Gold trades on the TSX under LGD and on the OTCQX under LGDTF. News release
Galway Metals reported full and partial assay results from numerous drill holes in the center of, and along either side of, the remaining 400m gap between the Richard and George Murphy Zones (GMZ) at its Clarence Stream gold project in southwest New Brunswick, Canada. Highlights included 41.15m grading 1.3 grams per tonne gold in hole 189 including 1m grading 9.3g/t. The company said drilling has essentially connected 3km of mineralization comprising the Adrian, GMZ, Richard and Jubilee Zones., which together with the South and North Zones, will be included in the upcoming resource estimate update due in December. Galway Metals trades on the TSXV under GWM and on the OTCQB under GAYMF. News release
Tier One Silver has reported a drill intercept of 1m grading 1,480 grams per tonne silver equivalent in hole 6 at its Curibaya project in southern Peru within a broader interval of 3.5m grading 442.5g/t. The hole targeted the 1.4km long Madre structure, which has emerged as the primary target structure on the project so far. Hole 6 represents the first plus-kilogram intercept at Curibaya on what the company thinks may be a feeder vein. So far, Tier One has drilled 12 holes for 4,473m into four of the five precious metal feeder structures, with results pending for six holes. It plans to drill an additional 1,000m in three holes along the Madre structure before the rainy season begins in mid-December. Tier One Silver trades on the TSXV under TSLV and on the OTCQB under TSLVF. News release
Capitan Mining reported results for five reverse-circulation (RC) drill holes from the Capitan oxide-gold deposit, at its 100%-owned Peñoles project in Durango, Mexico. All drill holes successfully intersected both the main Capitan zone and the Hanging Wall zone, with results highlighted by 76.2 meters of .4 g/t gold equivalent, including 18.3m of .7 g/t gold equivalent. The Capitan gold zone remains open both down-dip and on-strike in the southeast portion of the deposit. Capitan Mining trades on the TSX Venture with CAPT. News Release
That concludes today’s morning briefing. Quiet day here on the podcast, but we’ll be teeing up a long form discussion with mining mogul Ross Beaty for tomorrow morning, along with an introduction to the newly listed Arizona Sonoran Copper Company. That will be tomorrow, right here on Mining Stock Daily.
The Mining Stock Daily morning briefing is produced by Clear Creek Digital and Investment Research Dynamic’s Mining Stock Journal. It is distributed throughout the world through your podcast network of choice, and by our friends at the Junior Mining Network.