Porgera Mine News in Papau New Guinnea Moves K92 Shares
[00:00:00] Consolidation of gold and silver prices pushed many mining stocks lower as well yesterday but exploration news from around the world piled in this morning. We will share some of those reports with you here on Mining Stock Daily.
[00:00:17] And a good day to you everybody. Welcome to Mining Stock Daily, today is Tuesday August 21st. This is Trevor Hall, your host, and the gold price was whacked for $15 on Monday and silver was ripped down below $17 where it finished down 18 cents from Friday. The sell off started just after the Eastern Hemisphere physical gold markets closed for the day and the paper gold market in London opened. The Mining Stock Journal, as was noted yesterday, is expecting a healthy corrective technical pullback in the precious metals sector the last two weeks of the summer.
[00:00:52] Today's briefing is sponsored by Western Copper and Gold. Western Copper and Gold is focused on developing the World Class Casino Project in Canada's Yukon Territory. The Casino Project consists of an impressive 10 billion pounds of copper and 18 million ounces of gold in an overall resource. Western Copper and Gold trades on the TSX and the NYSE American with the symbol WRN. Be sure to follow the company via their Web site at westerncopperandgold.com.
[00:01:21] Here's what you need to know today at the Junior Resource Sector this morning K92 Mining provided a shareholder update in response to the recent market activity on the company's shares. Various news reports were released relating to the renewal of the special mining lease for the Porgera Mine, a joint venture operation between Barrick [00:01:39]and Zijin. [0.4s] News from Papua New Guinea says the Government is aiming to take a larger share of the operation. K92 shares indirectly fell close to 20% on the day prompting a response to shareholders this morning restating that K92's mining lease and license for mining purpose are not subject to any renewal discussion and are not due for renewal until June of 2024. The company reiterated the government of Papua New Guinea has not approached nor discussed amendments to their current mining leases. K92 trades on the TSX Venture with KNT and on the OTC markets in the US with KNTNF.
[00:02:21] The share consolidation of Equinox Gold is complete with a ratio of five pre-consolidation common shares for one post-consolidation common share. Common shares of the company will begin trading on a consolidated basis under the existing trading symbol app market opened today. As a result of the consolidation, shares issuable pursuant to the company's outstanding options, warrants, restricted share units and other convertible securities will be proportionately adjusted on the same basis. Equinox Gold completed the consolidation in order to pursue a dual listing on the US stock exchange. The consolidation reduced the number of Equinox Gold's outstanding common shares from over 566 million shares to approximately 113 million common shares. Currently Equinox Gold trades on the TSX Venture with EQX and on the OTC with EQXFF.
[00:03:18] Barkerville Gold released a preliminary economic assessment for its Cariboo Gold Project in British Columbia. The PEA shows a mine operation that throws off a 28% after tax IRR with an after tax NPV of $304 million (US) with upfront CapEx of $231 million. The prospective mine would produce 185,000oz per year for over 11 year mine life. The Mining Stock Journal has an avoid on the shares of Barkerville, noting that the company will likely have over 1 billion shares issued and outstanding by the time any prospective mine begins operations. The company's shares trade under BGMZF in the US and BGM on the TSX Venture exchange.
[00:04:08] Fireweed Zinc shared drill results from five drill holes in the Tom North open pit target and step out hole at Tom West all on the Macmillan Pass Project in Yukon. Highlights from Tom North included 6.36% zinc and 0.65% lead over 9m. The company says these drill results helped to prove the concept of near-surface Tom North exploration target that has potential to be mined in an open-pit and improve current Preliminary Economic Assessment economics. Drilling has now finished on the property and additional assays from multiple zones are pending. Fireweed Zinc trades on the Toronto Venture Exchange with FWZ and on the OTC markets in the United States with FWEDF.
[00:04:54] McEwen Mining shared an update on exploration activity from the company's Gold Bar Mine property. A program of 125 drill holes were recently completed. The company says 25% of the new drill intersections were higher grade than the current resource average of 1 g/t. In addition, several drill holes encountered noteworthy mineralization outside the existing resource, including 54.9m of 2.13 g/t gold and 24.4m of 6.66 g/t gold. McEwen says these results suggest that there is potential to increase the size of the Gold Bar South resource beyond the current indicated estimate of 100,000oz. McEwen Mining trades on the NYSE and TSX with the symbol MUX.
[00:05:41] Corvus Gold announced it has completed a private placement financing with AngloGold Ashanti. AngloGold was issued a 500,000 common shares at a price of $2.60 Canadian, for gross proceeds of $1.3 million. No warrants were issued and no commission paid in conjunction with the deal. AngloGold Ashanti now owns 19.9% of the issued and outstanding shares of Corvus Gold. Proceeds of the financing will fund ongoing discovery and mineral resource expansion programs at both the Mother Lode and the North Bullfrog projects in Nevada. Corvus Gold trades on the TSX with the symbol KOR and on the OTC markets with CORVF.
[00:06:27] That wrap things up here today on Mining Stock Daily we'll connect again tomorrow. Remember you can find Mining Stock Daily on a dozen different networks including iTunes, Spotify and Google Play. For Amazon Alexa users, be sure to enable the Mining Stock Daily Flash Brief on your user app Or within the Amazon website. And having a little fun as well. I've been going live on these recordings on Instagram every morning while recording. So if you are on Instagram, you can look me up there and watch the show live. So that's it for me today. Have a great day. I'll be back again tomorrow. Be well.
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