Morning Briefing: Heliostar Acquires Argonaut Assets in Mexico

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

Today is Wednesday, July 17th. 

Gold began to rally Monday night when the eastern hemisphere physical markets were in full-swing. After the requisite quick price-hit when the retail sales report hit the tape 10 mins after the Comex opened, gold took off like a scalded and closed at all-time highs both on a Comex closing basis and an afternoon closing Globex trading basis. John Maynard Keynes' barbarous relic closed up $44 from Monday's Globex close. The Mining Stock Journal said that both monetary metals, along with the stock market, reacted hugely to Powell's comments about inflation Monday evening, which the markets interpreted to mean the Fed would start cutting rates in September. Poor man's gold slightly outperformed gold and closed at $31.48 up 54 cents from the previous day. The mining stocks joined the fun with GDX up 1.3%. The Mining Stock Journal commented emphatically that the gold rush is on.

We’ll get to the news from the miners and explorers here in a moment, but first a quick 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. Learn more at ⁠https://vizslasilvercorp.com/⁠

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

Heliostar Metals has entered into an agreement with Florida Canyon Gold to acquire all of their mining assets in Mexico for total consideration of US$5 million. These projects were former Argonaut Gold assets which were previously spun out. Heliostar will then own the La Colorada Mine, the San Agustin Mine, Cerro del Gallo and San Anotnio. As a condition to closing of the Transaction, Heliostar and FCGI will enter into an agreement eliminating (a) up to US$20 million in contingent payments, which become payable to FCGI pursuant to the agreement under which Heliostar acquired the Ana Paula Project, and (b) up to US$150 million in conditional option payments and the issuance of a 2% net smelter returns royalty on the San Antonio Project, which might have become payable pursuant to the agreement under which Heliostar acquired an option on the San Antonio Project. Acquisition cost of measured and indicated resources is less than US$1.80 per ounce of gold in this transaction and adds two producing mines and two advanced development projects to Heliostar’s portfolio. (TSXV: HSTR) (OTCQX: HSTXF) News Release

G2 Goldfields announced a non-brokered private placement of just under 29 million common shares at a price of $1.45 for total proceeds of C$42M. A single European investor has agreed to purchase 20 million common shares and AngloGold Ashanti has agreed to purchase 8,965,365 common shares. Upon closing, based on AGA’s current declared holdings, Anglo Gold Ashanti will own approximately 15% of the common shares of G2, increasing its position from approximately 12.8%. (TSXV:GTWO, OTCQX:GUYGF) News Release’

Collective Mining says its common shares have been approved for listing and trading on the NYSE American. The Company expects that its Common Shares will commence trading at market open on the NYSE American on July 22, 2024 under the symbol "CNL". Upon effectiveness of the listing on the NYSE American, trading of the Common Shares on the OTCQX will cease. The Company will remain listed on the Toronto Stock Exchange  and the Frankfurt Stock Exchange. News Release

Liberty Gold has commenced a 20,000m drill program at its Black Pine Oxide Gold Project in Idaho. This strategic campaign, focused on seven new high-priority targets, aims to significantly enhance the Project’s resource base and unlock new areas of oxide gold mineralization within the recently expanded exploration permit area. A recent amendment to the existing exploration permit from the United States Forest Service has expanded the permitted exploration area by 51%, bringing it to a total of 37.3 square kilometres. The Expanded Permit Area opens up access to previously unexplored regions with high potential for the discovery of oxide gold mineralization. (TSX:LGD; OTCQX:LGDTF) News Release

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