Morning Briefing: Collective Mining Confirms New Discovery of Olympus Deeps

Welcome to Mining Stock Daily. I’m Trevor Hall. 

Today is Wednesday, January 31st

Yesterday gold once again moved higher during the eastern hemisphere physical market trading followed by a price decline going into and after the London a.m. price. But unexpectedly the paper gold price spiked $16 to $2066 (April contract basis)  between the Comex open and NYSE open. However, the price was slammed 30 minutes into NYSE trading and was jammed back down to $2050 before bouncing to settle at $2,055. Silver was flat overnight but followed gold lower into the a.m. London fix. It spiked up to $23.42 before getting punched back down to $23.05 before re-bouncing and settling at $23.28. The Mining Stock Journal said that it believes the weird spike and plunge in gold was engineered by the Comex banks in an effort to coerce selling of the February gold contract ahead of yesterday evening's commencement of the notice to deliver period. The newsletter added that the open interest in February gold was over 30,000 contracts representing 1/3 of the amount gold in Comex vaults that is available for delivery. The mining stocks opened weak out of the gate and spent the day in negative territory, with GDX closing down 0.74%.

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… Vizsla Silver.

Vizsla Silver is focused on becoming one of the world’s largest single-asset silver producers through the exploration and development of the 100% owned Panuco-Copala silver-gold district in Sinaloa, Mexico. The company consolidated this historic district in 2019 and has now completed over 325,000 meters of drilling. The company has the world's largest, undeveloped high-grade silver resource, which will grow with a resource update in early 2024. Learn more at ⁠https://vizslasilvercorp.com/⁠

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

Collective Mining announced the discovery of a significant new gold system named Olympus Deeps at the company’s Guayabales project in Colombia. Drill hole PAC88-DI cut two significant intercepts over its almost 100m length, including 497m of 1.8 g/t AuEq starting at 85m at depth. After exiting Apollo and passing through a poorly mineralized zone, drill hole APC88-D1 entered a new gold rich brecciated porphyry intrusion at depth below the Olympus target area (north of Apollo) for the final 202.35 metres of the hole before being lost while still in mineralization due to a fault. That last 200m returned 2.16 g/t AuEq with the final 15.6m grading 20.34 g/t AuEq. Hole D2 extended the porphyry body to the northeast with 548.9m of 1.91 g/t AuEq. (TSX: CNL, OTCQX: CNLMF) News Release

NiCAN reported assay results from its Phase III drilling on the Wine Property in Snow Lake area of Manitoba. HOle 29 intersected multiple zones of mineralization including 31.5m of 1.9% Ni and 1.9% Cu for a 2.31% NiEq. In the upper zone, the drillhole intersected 9.6m of 2.11% NiEq. The company says this phase of drilling at the Wine Occurrence indicates that the main mineralized zone likely extends to sub-surface further to the north and plunges moderately to the southwest. A sub-cropping upper zone to the east, intersected at the top of hole Wine 23-29, has also been further defined, and after additional analysis and interpretation indicates a dip to the east and plunge to the southwest. This Upper Zone is significant and further work is required to determine the full extent of the zone. (TSXV: NICN) News Release

Dakota Gold says they have discovered Rare Earth Elements in the new TD Zone through the exploration drilling program on its Richmond Hill Gold Project in South Dakota. Their preliminary evaluation has identified high-grade REE in and around the Twin Tunnels Breccia Pipe near surface and at depth, and within the gold resource areas being defined in its upcoming S-K 1300 compliant maiden resource, scheduled for completion in Q1 2024. Cerium and lanthanum anomalies were identified  and confirmed, with rare earths oxides grading 12.9% over 4.9 ft. Significant concentrations of neodymium and praseodymium (maximum values over 1% combined) are present and could be primary economic drivers for beneficiation of the material. Next steps will be to conduct additional REE sampling using more sensitive REE analyses, conduct comprehensive mineralogical studies and refine the geometry and quantity of the various REO at Richmond Hill. (NYSE American: DC) News Release

Aya Gold and Silver shared new silver drill results from its at-depth drill program at the Zgounder Silver Mine in Morocco. Results included 1,846 g/t silver over 7m from surface and 15m of 683 g/t silver from surface. In the Central Zone, the company drilled 2,430 g/t silver over 4.5m at the 1950 level. And from the 2100 level, they drilled 1,005 g/t over 30m. These initial results outline significant down-plunge extensions of the deposit. Four underground rigs are now mobilized with the objective of expanding mineral resources at depth. (TSX: AYA) (OTCQX: AYASF) News Release

Sigma Lithium announced an updated Mineral Resource for the Grota do Cirilo lithium complex in Brazil. That resource now sits at 109 million tonnes of measured, indicated and inferred, composed of 94.3Mt of measured & indicated ("M&I") resource at an average grade of 1.40% Li2O, together with additional 14.6Mt of inferred resource at 1.37% Li2O. This represents a 27% increase from its previous report in January of last year. Sigma believes the increased mineral resources can be seamlessly incorporated into its current open pit mineral reserves, validated by the Pre-Feasibility Study due to a significant portion of the incremental resource is located within the vicinity of existing mining pits. (NASDAQ: SGML, TSXV: SGML) News Release

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