Morning Briefing: Gold and Silver Rally on the FOMC Announcement

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

Today is Thursday February 2nd.

The intra-day gold chart tells us all we need to know about the message conveyed by Jay Powell at the post-FOMC policy meeting press conference. The yellow dog gyrated between $1938 and $1948 overnight and most of the day Wednesday.  But gold fired up its rocket engines when the FOMC policy statement was released and did a moon-shot during Jay Powell's presser, soaring from $1940 to $1970. Silver similarly shot up from $23.60 to $24.20. The Mining Stock Journal said that if it is reading the tea leaves correctly, gold will be over $2000 by the end of February, if not before, and silver should finally hold above $24 and move higher from there. Unless the Fed's talking heads rev up the hawkish message in the coming weeks, it's clear the Fed has shifted its stance on monetary policy in an effort to prevent an economic collapse. In this asset bubble reflation scenario., the precious metals sector will outperform all other asset classes, as evidenced by the fact that GDX outperformed the Dow and SPX by a country mile during and after the FOMC and Jay Powell circus. The Mining Stock Journal noted that, in an asset bubble reflation scenario, silver will outperform gold, the mining stocks will outperform silver and the junior micro-cap exploration stocks will outperform the entire sector.

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…Arizona Sonoran Metals.

ASCU is an early-stage copper developer and explorer of the Cactus Mine and its satellite project, Parks/Salyer, both situated on a 4km mine trend on private land in Arizona’s porphyry copper district. Opportunity for significant growth and scale exist along the mine trend, while future capex requirements outlined in the Cactus PEA benefit from significant onsite and nearby access to infrastructure. The Company is led by an executive management team and Board which have a long-standing track record of successful project delivery in North America. For more information, please visit www.arizonasonoran.com.

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

Goldshore Resources announced assay results from its ongoing 100,000-meter drill program at the Moss Lake Project in Northwest Ontario, Canada. Hole MMD-22-063 has confirmed the presence of high-grade mineralization within the previously perceived low grade and low tonnage Southwest Zone and shown the zone to be almost 300 meters wide. Results from Hole 63 included 1.6 g/t gold over 57.5m, which included a 7.45m interval at 234m depth of 9.46 g/t Au. Results for thirteen holes drilled to explore the northern and southern flanks of the mineralized shear zone system in the Main Zone have expanded the cumulative width of multiple, close-spaced, high-grade gold shears by 150-200 meters to over 550 meters at the Main Zone with best intercepts of .93 g/t gold over 126m and 3.67 g/t over 13.65m. The company says these results once again support our thesis that the size and scale of the Moss Lake Gold Project will be large enough to support a material and meaningful update to the mineral resource estimate in April. Goldshore Resources trades on the TSXV with GSHR and on the OTCQB with GSHRF. News Release

TinOne Resources announced it has completed its Phase 1 drill program at the Great Pyramid Tin project in Tasmania. A total of 4,687 metres completed and data compilation and modelling are underway. The program has been successful in continuing to define significant tin mineralization near surface, at depth and adjacent to historical drilling. The 2022 program was designed to Obtain grade and continuity data utilising modern drill and analytical techniques and to test a large-scale IP chargeability anomaly adjacent to the historic resource. In addition, the program successfully defined significant mineralization at depth below the historical resource estimate in the area of sparse historical drilling. TinOne trades on the TSXV with TORC and on the OTCQB with TORCF. News Release

Alamos Gold reported new results from ongoing surface exploration drilling at Puerto Del Aire, or PDA, further extending high-grade gold mineralization outside of Mineral Reserves and Resources. PDA is a higher-grade underground deposit, adjacent to the main Mulatos pit, and is comprised of five zones. Results included 33.4 g/t gold over 25.95m, 67.58 g/t over 3.25m and 18.33 g/t over 6.2m. These drill results have extended gold mineralization within a 200m gap between the mineral reserves and resources at PDA zones 1 and 2. The company says they expect these results to drive a significant increase i mineral reserves in their year end update to be released later this month. Alamos Gold trades on the TSX and the NYSE with AGI. News Release

Minto Metals reported new drill results from its recently completed 2022 exploration drilling program at Minto North, part of the Minto Mine located in Yukon. Results reported today included 1.91% copper over 34.59m, which also had a 10m interval of 4.8% Cu. Another hole returned 1.71% Cu over 20.14m and included an 11.14m interval of 2.43% Cu. The Company completed 28,438 m from 53 drill holes of Exploration drilling in 2022. Currently, the Company is awaiting the QA/QC reports and final assay results from the assay lab for portions of 28 additional holes. The Company is planning an aggressive resource growth and discovery drill program for 2023 and will provide guidance following Board approval in the coming weeks. Minto Metals trades on the TSXV with MNTO. News Release

Western Copper and Gold shared the results of an updated study on the potential economic impact of the development of its wholly owned Casino Copper-Gold Project on the Yukon and Canada. Highlighted in the report, the Casino project is estimated to contribute $44.3 billion to Canada's Gross Domestic Product ("GDP"), create 132,280 full-time equivalent positions ("FTE"), and generate $12.8 billion in wages and salaries over the entire life of the Project. During each of its 27 years of operation, the Casino Project is expected to contribute $1.3 billion to Yukon's economy. Operation of the mine is estimated to contribute $1.5 billion to Canada's GDP annually while creating 3,880 FTEs and generating $391 million in wages and salaries across Canada. The Casino Project is also expected to generate $11.2 billion in taxes and royalties to various governments during the life of mine. Western Copper and Gold trades on the TSX and the NYSE American with WRN. News Release

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