Morning Briefing: New Drill Results from Arizona Sonoran, Meridian Mining and F3 Uranium

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

Today is Monday March 27th.

Last week gold traded over $2000 per ounce on Monday, Thursday and Friday but the price management team managed to keep the weekly close below $2000. And after a bloodbath in the gold price on Tuesday, when the yellow metal had $30 sheared off its price down to $1950, gold managed to close out the week at $1983. The Mining Stock Journal commented that the official intervention in the gold price was aimed at suppressing the warning signal about the banking system that would be emitted by gold if it closed well above $2000 and also about keeping the technical trading systems subdued by holding the weekly close below $2k. The newsletter added that it does not believe gold will remain below $2,000 much longer. Silver was harder for the manipulators to hold back, as it ran up and over $23 oer ounce from Tuesday's close of $22.29 to close at $23.34, up 84 cents up 3.7% for the week. Silver is up $3.39 or 17% from its close of $19.95 on March 9th. 

The Mining Stock Journal said that the evolving banking crisis is waking up the public to the benefits of owning physical gold and silver. Big coin dealers are reporting a massive jump in sales volume. The mining stocks also rallied last week despite the sluggishness in the general stock market. The GDX rose 2.3% on the week. It's up 18.7% since March 8th. The Mining Stock Journal said that the precious metals sector is technically overbought after the big run higher this month. It is expecting a possible brief pullback that will set up another big move higher.

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…Fireweed Metals

Fireweed Metals is advancing 3 different projects within the Yukon and Northwest Territories, including the flagship Macmillan Pass Project, a large zinc-lead-silver deposit and the Mactung Project, one of the largest and highest-grade tungsten deposits in the world. Fireweed plans to advance these projects through exploration, resource definition, metallurgy, engineering, economic studies and collaboration with indigenous people on the path to production. For more information please visit fireweedmetals.com.

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

Arizona Sonoran Copper said infill drilling at its Parks/Salyer copper Project in Arizona continues to demonstrate grades and thicknesses supportive of an underground operation within the planned Prefeasibility Study, due next year. It released an additional 9 drill hole assays infill program, with Highlights of 166.6 m @ 1.14% Cu in hole 122 including 53.8 m @ 2.03% Cu. A total of 45 infill drill holes are now complete, from the 46-hole, 32,000 m planned program. The program will be complete this week and by end of May, the company expects to have all assays in hand for use in declaring initial reserves in the PFS. Once the infill drilling is complete the drills will continue infill drilling to upgrade resources to the measured category. Arizona Sonoran Copper (TSX:ASCU | OTCQX:ASCUF) News release

Meridian Mining drilled its highest-grade copper interval ever at Cabaçal in  Mato Grosso, Brazil with an intercept of 34.5m @ 4% Cu, 1.7g/t Au & 22.4g/t Ag, or 5.3% CuEq in hole 240., with the core of the high-grade feeder zone returning 12.8m @ 12.7% CuEq. This featured multiple copper assays grading greater than 17% Cu. This feeder zone is considered open, with further drill results from Cabaçal to be released in the near future. The company said this trend has the potential to enhance the existing resource base and extends below the current open pit design and deliver a positive contribution to the next phase of economic studies. Meridian Mining (TSX:MNO)(OTCQB:MRRDF) news release

Palladium One reported the discovery of a new nickel-copper zone, called the Ember Zone, located 3.5 kilometers southwest of the Smoke Lake Zone on the Tyko nickel - copper project, in Ontario, Canada. Drilling in the new zone returned 6.9m of 1.1% Ni and .3% Cu and 5.3m of .7% Ni and .8% Cu. The geometry of the Ember Zone is not fully delineated, drilling to date was focused on defining the zone at shallow depths as the conductor's orientation was poorly defined by the airborne VTEM survey. Thus far, the zone appears to form a southwest plunging body toward the interpreted Chonolith / Feeder Dyke structure located to the South. Palladium One trades on the TSXV with PDM and on the OTCQB with NKORF. News Release

F3 Uranium announced results from the nine holes of the winter drill program at the JR Zone on the Patterson Lake North Property. Drill hole 60 collared on line 060S intersected the strongest radioactivity to date at the JR Zone. It was collared up dip of hole 52 and intersected radioactivity over 17.5m, including 3.82m of continuous off-scale radioactivity >65,535 cps. Hole 61 stepped out further to line 075S and resulted in 14.0m of mineralization, including 2.81m of composite off-scale radioactivity within 5.08m of composite radioactivity >10,000 cps. An additional drill hole was added to the program stepping out further along strike on line 090S, where hole 62 intersected 6m of composite radioactivity. These holes expanded the strike length of the JR Zone by another 30m, to 105m. F3 Uranium trades on the TSXV with FUU and on the OTCQB with FUUFF. News Release

Allkem has increased the resources of the Olaroz lithium deposit in Jujuy, Argentina by 27% to 20.7Mt lithium carbonate equivalent (LCE), comprising 7.6 Mt of Measured, 7.1 Mt of Indicated and 6 Mt of Inferred Resources. Total resources in the Olaroz-Cauchari basin are now 27 Mt LCE in all resource categories, confirming the basin’s status as hosting one of the largest lithium resources in the world. The lithium grade of the Olaroz Measured Resource is 657 mg/l lithium. The increased Olaroz resource, together with the Cauchari Resource, support expansion from Stage 1 and 2 lithium carbonate production capacity to a combined 42,500 tpy and will form the basis for the Olaroz Stage 3/Cauchari expansion studies. Allkem (ASX|TSX: AKE) News release

Cameco says the Canada Revenue Agency has issued revised reassessments for the 2007 through 2013 tax years that will result in the company being refunded a total of approximately C$300 million, consisting of $89 million in cash and $211 million in letters of credit, which were previously remitted to the Government of Canada based on prior reassessments CRA had issued in its long-standing tax dispute. A series of court decisions that were completely and unequivocally in Cameco’s favour for the 2003, 2005 and 2006 tax years determined that the income earned by Cameco’s foreign subsidiary from the sale of non-Canadian produced uranium was not taxable in Canada. Cameco says although the news is positive, CRA continues to hold a further $480 million, consisting of $206 million in cash and $274 million in letters of credit, that Cameco has remitted or secured to date, tying up a significant portion of its financial capacity. Cameco trades on the TSX with CCO and on the NYSE with CCJ. News Release

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