Meridian Mining Confirm a 2nd Gold Structure at Cabaçal

Welcome to Mining Stock Daily. I am Trevor Hall. And I’m Paul Harris.

Today is Tuesday, April 26th

The sell-off in gold continued on Monday, with the yellow metal falling from $1,933 per ounce Sunday evening to as low as $1,892. It bounced to close the day just above $1900. Silver was pounded from $24.23 down to $23.42, before it bounced to settle at $23.69. While the mainstream propagandists' narrative is that the precious metals are responding negatively to higher interest rates and the strong dollar, the Mining Stock Journal said that the sell-off is attributable to the extreme overbought technical condition of the sector after the big rally that began in late January. As notable commentator John Brimelow stated in his daily gold market update newsletter Monday, "Generally Monday saw a continuation of Fed Groupie triumphalism. To anyone who remembers or has studied the great gold market of 1976-80 the idea that noisy increases in interest rates reliably quench gold or inflation is risible."  

The Mining Stock Journal said that the decline in gold seems to have woken up India, which has been largely dormant for the past 4-6 weeks, as data showed that importation of dore bars likely picked up on Monday. The Mining Stock Journal added that the latest sell-off in the sector is short term aggravation that will set up a big move in the coming months.

We will get to the news from the miners and explorers in a moment, but first a word about today’s sponsor.

This episode of Mining Stock Daily is brought to you by… Rio2.

Rio2 is advancing the Fenix Gold Project in Chile, the largest undeveloped gold heap leach project in the Americas. Fenix consists of 5 million ounces in the measured and indicated resource category and 1.4 million ounces in the inferred resource category. With a robust PFS in place, Fenix is set up for fast-tracked construction and production. You can find a list of project and company information on their website, rio2.com.

And here’s what you need to know this morning….

Meridian Mining announced that multiple holes have confirmed a 2nd structure hosting high grade gold overprinting the copper-gold VMS layers, drilled on the southwestern side of Cabaçal's Northwest Extension ("CNWE"). Assays within this structure returned 32.4 meters of 1.3% copper equivalent and 64.1 meters of .8% copper equivalent. This 2nd parallel gold trend is ~70m to the southwest of the first structure defined by Meridian. Infill drilling at the CNWE returned 50.8 meters of 1% copper equivalent. As the CNWE's infill drill program is ongoing, there is a potential for further overprinting high-grade gold structures extending out from the mine to be intersected. These first two high-grade gold structures (and any future ones delineated) were never identified within the CNWE's historical vertical drilling nor included in Cabaçal's historical resource. A further 10,000m remain to be drilled and further assay results are pending. Meridian Mining trades on the TSX with MNO and on the OTCQB with MRRDF. News Release

NGEx Minerals reported initial assay results from its 2022 drill campaign at the Los Helados copper-gold project in Region III, Chile. Three holes have been completed with three others underway with highlights of 876m grading 0.74% copper equivalent in hole 73 which also included intervals of 696m grading 0.80% and 210m grading 1.06% CuEq. The company said that hole 73 successfully demonstrated the continuity of strong mineralization on the eastern side of the high-grade core. The data generated from this drill program will form the basis for a revised geological model and samples for additional detailed metallurgical test work to allow for optimization of process flowsheets and a better understanding of variability within the orebody. NGEx Minerals trades on the TSXV under NGEX. News release

Great Panther Mining reported an updated resource and reserve estimate for its Tucano gold Mine in Brazil which showed a 24% increase to Reserves and 65% increase to open pit Measured and Indicated Resources. The estimate reflects results of an additional 58,837m of drilling up to the end of July 2021, an increased gold price of $1,650/oz for reserves and $1,900/oz for resources, and an exchange rate of BRL 5: USD. The estimate is focused on the open pit ore zones, while the underground will be updated in a future estimate on completion of engineering studies. Total Proven and Probable Reserves are now 681,873oz, of which 371,541oz are open pit reserves. Measured and Indicated Resources, inclusive of Reserves, now total 1.3Moz, of which 928,000oz are open pit. The company said it successfully replaced 2021 mining depletion and added another 1.5 years to the open pit mine life at Tucano. Great Panther Mining trades on the TSX under GPR and on the NYSE American under GPL. News release

Electra Battery Materials says the Nasdaq Stock Market has approved the listing of its stock and it will commence trading on the Nasdaq tomorrow, under the ticker "ELBM". Electra's common shares will continue to trade on the TSX Venture Exchange, also under the ticker "ELBM". Phase 1 of Electra's Battery Materials Park involves the commissioning of North America's first battery grade cobalt refinery in December this year. Funding was secured in 2021 to take the hydrometallurgical refinery through construction and into commissioning.

TDG Gold reported a drill intercept of 13.5m grading 2.55 grams per tonne gold and 115 g/t silver for 3.99g/t gold equivalent in hole 43 in the JM Zone at its Shasta project in the Toodoggone District in British Columbia, Canada. The company said the six holes released complete the publication of the preliminary results from all 51 diamond holes drilled at Shasta in 2021 and demonstrate the presence of halo-style mineralization at medium to lower-grades surrounding the higher-grade pods which are associated with the structural conduits at Shasta. TDG Gold trades on the TSXV under TDG. News release

Arizona Metals received permit approval from the Bureau of Land Management for a drill pad about 200m west of the Kay Mine deposit which will allow for testing of the Central Target, a target defined based on coincident structural, geochemical, and geophysical anomalies. The Company has planned an initial program up to 20 holes totaling 11,000m. The company also raised C$14.7 million through the exercise of 4.9M warrants at an exercise price of $3 bringing its working capital position to $65 million. Arizona Metals trades on the TSXV under AMC and on the OTCQX under AZMCF. News release

That concludes today’s morning briefing.

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