Great Bear Royalties Judicial Approval: Oreninc Weekly Update
Welcome to Mining Stock Daily. This is your host, Trevor Hall
Today is Wednesday, April 29th.
The price of gold closed largely unchanged from Monday's closing price level. Keep in mind that this is based on the paper price of gold as it seems that very little if any large quantities of physical gold are actually trading at this price level and at the retail level 1 ozs gold eagles are trading $160 above the alleged spot price. Trading during the day on Tuesday was punctuated with two aggressive attempts to push the front month futures contract below $1700. Both efforts failed and gold snapped back rather quickly. As this is being written, June gold is trading at $1725, up nearly $4 from the close of the daytime session. The Mining Stock Journal commented that, with the May contract open interest growing by the day heading into first notice, which commences Wednesday evening, it's pretty obvious that price attacks this week are an attempt to coerce May contract longs to sell. Through Monday that effort has failed miserably. Silver continues to be stuck in the mud but will likely make a big break one way or the other soon. The smart money is betting on a break to the upside. This view is reinforced by the fact that the Comex banks, which normally run a large net short position in paper silver, have nearly covered their net short position.
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... Western Copper and Gold.
Western Copper and Gold is focused on developing the world-class Casino project in Canada's Yukon Territory. The Casino project consists of an impressive 10 billion pounds of copper and 18 million ounces of gold in an overall resource. Western Copper and Gold trades on the TSX and the NYSE American with WRN. Be sure to follow the company via their website, www.westerncopperandgold.com.
And here’s what you need to know this morning …
Galway Metals shared new drill results this morning from 2 holes at its George Murphy Zone at the Clarence Stream Gold Project in SW New Brunswick. These results included 6.5 g/t gold over 14.05 meters, which was a stepout below and to the west from the deepest previous intersection in the vein. The other results reported today is 11.4 g/t gold over 2 meters, which represents new discoveries of 2 new veins at the GMZ. These 3 zones are not included in the existing Clarence Stream resource, as two of them, the GMZ and Richard, were discovered by Galway after the last resource estimate was released in September 2017. An additional 5,000 metes of drilling in the GMZ and Richard Zones have assays pending. Galway Metals trades on the TSX Venture with GWM and on the OTC markets with GAYMF. News Release
Rockridge Resources has completed 9 diamond drill holes in a 2,070 meter drilling program at its RaneyGold Project located in Timmins, Ontario. The company received assays from the first six holes and included 28 g/t gold over 6 meters at a vertical level of 95 meters. This newly discovered high grade zone is 75 metres west of a historical drill hole that returned 6.5 g/t gold over 8.0 metres. Other results released today included 6.45 g/t gold over 1 meter. The company says a notable disruption in the airborne magnetic data approximately 2 km west of the current drilling and in line with the projected structural corridor provides a compelling target area for future exploration. Rockridge trades on the TSX Venture with ROCK and on the OTCQB with RRRLF. News Release
Arizona Metals shared assay results from the first drill hole completed at the South Zone of its Kay Mine Project located near Black Canyon City in Arizona. A single hole was drilled into the South Zone and intersected mineralization at a vertical depth of 575 meters. That resulted in 7.8 g/t gold equivalent over 6.1 meters. Arizona Metals trades on the TSX Venture with AMC. News Release
Condor Gold announced it has been granted an Environmental Permit for the development and exploitation of gold from the high grade Mestiza open pit . The Mestiza open pit hosts 92 thousand tonnes at a grade of 12.1 g/t gold for 36,000 oz of contained gold in the Indicated Mineral Resource category and 341Kt at a grade of 7.7 g/t gold for 85,000 oz contained gold in the Inferred Mineral Resource category. Following the permitting of the Mestiza open pit Condor has just over 1M oz gold open pit Mineral Resources permitted for extraction inclusive of a Mineral Reserve of 6.9Mt at 3.0g/t gold for 675,000 oz gold. Condor Gold trades on the TSX with the symbol COG. News Release
Great Bear Resources announced it has obtained a final order from the Supreme Court of British Columbia dated April 28, 2020 to implement the Company's previously announced plan of arrangement to reorganize its business, including the spin-off of its wholly-owned subsidiary, Great Bear Royalties Corp. Substantially all of the terms and conditions of the Transaction have been met, including shareholder approval of the Transaction on April 23, 2020. Pursuant to the Transaction, the owners of common shares of Great Bear on May 4, 2020 will receive: one new common share of Great Bear for each common share of Great Bear held on the day before the effective date of the Transaction; and one-fourth of a Royalties Corp share for each common share of Great Bear held on the day before the effective date of the Transaction. Any outstanding options and warrants of Great Bear will be adjusted in accordance with the terms of the plan of arrangement as set forth in greater detail in the Company's management information circular dated March 16, 2020. Existing common shares of Great Bear are expected to be delisted on the TSX Venture Exchange effective on the close of business on May 4, 2020. New common shares of Great Bear are expected to commence trading on the TSX-V at the market opening on May 5, 2020. Great Bear Royalties shares will not be listed on a public stock exchange but will operate as a reporting issuer.
And now lets join Kai Hoffman from Oreninc once again for this week’s Oreninc Weekly Update.
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And speaking of financings in the junior resource market, GFG Resources intends to increase the size of its previously announced non-brokered private placement financing to an aggregate total of approximately C$6.0 million to accommodate demand from existing and new shareholders. As previously disclosed, Alamos Gold Inc. has committed to purchase securities under the Offering to obtain a 9.9% interest in the Company upon completion of the Offering.
That’s it from me this morning. We’ll be back throughout the rest of the day today and tomorrow with more commentary. Be sure to hit that subscribe button if you have not done so already.
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