Minera Alamos Drill Results Show Potential Expansion at Santana
Welcome to Mining Stock Daily. This is your host, Trevor Hall
Today is Thursday, April 30th.
The price of gold was held down all day on Wednesday starting with the ritualistic paper price attack at the start of Comex floor trading. It's customary for gold to be pushed lower before the release of every FOMC meeting policy announcement. But have no fear, Fed head Jay Powell assured the market that Fed is willing to print what it takes to keep the banks from collapsing and the stock market elevated. That was music to gold's ears, as gold soared $16 after Powell's presser was done. Currently as this is being written, gold is $18 above the post-Comex opening price attack low. Silver rallied to as high as $15.44 on Wednesday. The Mining Stock Journal said that silver is getting closer to an upside price explosion, the concept of which was reflected in the big percentage moves of some of the silver stocks on Wednesday. In general the mining stocks closed higher, despite the attempted downside volatility imposed on the gold price. The Mining Stock Journal believes a big upside move in the sector is percolating.
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... Rio2.
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And here’s what you need to know this morning …
Minera Alamos reported new drill results from its Phase 2 drill program at the Santana gold project, Sonora, Mexico. The new holes were intended primarily to evaluate the southwest and southerly extensions of the Nicho main zone as the Company works to fully define the outer limits of the proposed Nicho pit. A deeper hole was also drilled to test the geological structures at vertical depths below most of the previous drilling completed at Nicho. Highlights included .5 g/t gold over 143.7 meters and .6 g/t gold over 247.9 meters, which also ended in mineralization. CEO Darren Koningen said Rather than closing off the limits of the deposit in this area we have demonstrated significant potential for further expansion to the south and southwest. He continues by saying The fact the hole remained in mineralization when it was stopped and has yet to encounter the deep gold-bearing intrusive material that Minera believes is the source of the gold is an extremely exciting development for the project. Minera Alamos trades on the TSX Venture with MAI and on the OTC markets with MAIFF. News Release
1911 Gold Corp also shared new drill results this morning from the Phase 1 drilling program on its Rice Lake gold properties in Manitoba. Today’s results come from the Tinney and Bidou projects. At Tinney, results included 26.42 g/t gold over 2 meters. Bidou drilling retoured 2.17 g/t gold ove 12.22 meters. Field crews have begun mobilizing for the 2020 field exploration program, with plans to further advance five projects from the 2019 program, and initiate fieldwork on three new, high-priority, greenfield projects located along the crustal-scale Wanipigow fault. 1911 Gold trades on the Toronto Venture Exchange with the symbol AUMB. News Release
Monarch Gold reported assay results from the first of seven geotechnical holes in the 2019-2020 diamond drilling program at its wholly owned Fayolle gold project, located 25 kilometres northeast of Rouyn-Noranda, near Monarch's Camflo mill. The drilling program started in December 2019 and was completed in mid-January 2020, with a total of 1,166 metres drilled in the seven holes. Eight shallow overburden/rock mechanics holes totalling 133 metres were also drilled in the area. The primary purpose of the drilling program was to collect geotechnical data in preparation for an upcoming feasibility study on the Fayolle deposit. Results included 3.33 g/t gold over 109 meters. Monarch says the ower portion of the interval assayed 3.33 g/t Au over 32.9 metres immediately below the current planned constrained pit outline and could potentially increase the in-pit gold resource. Monarch Gold trades on the TSX with MQR and on the OTC markets with MRQRF. News Release
HighGold Mining announced its first NI 43-101 mineral resource estimate for the Johnson Tract Deposit at the company’s Johnson Tract Gold property in Alaska. The the resource report shares an indicated resource of 2.14 million tonnes grading 10.93 grams per tonne gold equivalent for 750,000 ounces gold equivalent. It also reports an additional inferred resource of .58 million tonnes grading 7.16 g/t gold equivalent for 134,000 ounces. The resource is open to expansion through multiple high-priority targets located nearby. HighGold trades on the TSX Venture with HIGH and on the OTCQB with HGGOF. News Release
Yesterday, Newcrest Mining announced it had acquired the project financing package to Lundin Gold’s Fruta Del Norte mine in Ecuador, originally provided by Orion Mine Finance and managed by Blackstone Tactical Opportunities. The deal is in the total of $460 million. The terms of the gold prepay and stream credit facilities and the offtake agreement have not changed as a result of this transaction and is comprised of a gold prepay credit facility for $150 million, a stream loan credit facility of $150 million and an offtake agreement for 50% of gold production from Fruta del Norte, up to a maximum of 2.5 million ounces.
Orezone Gold announced it has commenced trading on the OTCQX Best Market with the symbol ORZCF effective today. The OTCQX is considered the top tier of OTC markets in the United States and allows investors to find real-time level 2 quotes for the company. The company is also traded on the TSX Venture with ORE. News Release
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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