Substantial Increase in Casino's Resource Estimate

Welcome to Mining Stock Daily. This is your host, Trevor Hall

Today is Tuesday July 14th

The precious metals sector entered what the Mining Stock Journal believes will be some type of corrective pullback on Monday. Though gold settled up $12 from Friday's close, while silver was up 74 cents, both gold and silver ended the U.S. day well off their  highs for the day. Meanwhile, the mining stocks - per the GDX ETF - closed down 3.3% after opening up well above Friday's close. At this point, the Mining Stock Journal believes the pullback will take GDX back to its 50 day moving average at $34.86 as of Monday's close. The newsletter added that it expects the sector pullback to affect the mining stocks to a much greater degree than gold and silver. This is because, based on Monday's data from India, the Indian public's appetite for gold imports, which the newsletter characterizes as "hungrily robust," will put a sturdy floor beneath the gold price.

We’ll get to the news out of the miners and explorers here in just a quick moment, but first a quick mention of today’s sponsor. 

This episode of Mining Stock Daily is brought to you by… Corvus Gold.

Corvus is an advanced gold-silver exploration and development company focused on the North Bullfrog and Mother Lode Projects in Nevada. The company has been named a Top Five TSX gold equity performer Four of the last Seven years & a multi time top 50 OTCQX performer. Corvus Gold trades on the Toronto Stock Exchange with the symbol KOR and on the OTCQX with CORVF. Follow all the news form Corvus and its two-mine projects with fast-tracked potential via the company's website, corvusgold.com. 

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

Western Copper and Gold Corporation announces an updated resource estimate for its wholly owned Casino Copper-Gold Project in Yukon, Canada. This new resource estimate is the first estimate since 2010 and includes results from the 2019 drilling campaign, and drilling performed from 2010 through 2012 that was not available when the 2010 model was developed.  It also incorporates an updated geologic model.

The Mill Resource, consisting of the supergene oxide, supergene sulfide, and hypogene zones, increased significantly from the December 2010 estimate.  Measured and indicated Mill Resource tonnes increased 106% from the prior estimate to 2.2 billion tonnes, primarily due to the upgrade of inferred resource to indicated. Gold resources increased to 14.5 Million Ounces Measured & Indicated + 6.6 Million Ounces Inferred. Copper increased to 7.6 Billion Pounds Measured & Indicated + 3.3 Billion Pounds Inferred. We should be connecting with CEO Paul West-Sells later today for some follow up on this news. So stay tuned for that. Western Copper and Gold trades on the TSX and the NYSE with WRN. News Release

Paramount Gold Nevada announced this morning the the Oregon Water Resource Department (“OWRD”) has reviewed and approved the plans and specifications for the tailings dam proposed for the Grassy Mountain mine and stated that from a safety perspective, the plans are construction-ready. The OWRD reviewed the data within the Consolidated Permit Application which Paramount submitted in November 2019 and which included all tailings design drawings, safety analysis, field data collected and laboratory testing. Considering the project’s remote geographic location, low population density, arid nature with no rivers or permanent streams in close proximity, seismic analysis and all other data compiled, OWRD has rated the dam as low hazard, its lowest risk level. The approval for construction is valid for 5 years with extensions possible on request. Paramount trades on the NYSE with PZG. News Release

Endeavour Silver has shared the results of an updated preliminary feasibility study on the Terronera Mine Project in Jalisco state, Mexico. he PFS base case assumes a two-year trailing average silver price of $15.97 per ounce (“oz”) and a gold price of $1,419 per oz with an implied 89:1 silver:gold ratio, and an MXN:USD exchange rate of 20:1. Quick highlights of the PFS include an After-tax Net Present Value (“NPV 5%”) of $137 million, an After-tax Internal Rate of Return (“IRR”) of 30.0%, and Life of Mine (“LOM”) Annual Production averaging 3 million oz silver and 32,800 oz gold for 5.9 million oz silver equivalent (“AgEq”) at an 89:1 silver:gold ratio over an initial 10 year Mine Life. Endeavour Silver trades on NYSE with EXK and on the TSX with EDR. News Release

Liberty Gold Corp. announced additional reverse circulation drill results from the 2020 drill program at its Carlin-style Black Pine oxide gold property in southern Idaho, USA. Eight additional holes have extended mineralization over 400 metres in a north-south direction by 250 m in an east-west direction. This new D-3 remains open for extension in all directions. Drill hole LBP138 lies at the south end of the zone as currently defined, and returned 1.20 grams per tonne gold over 67.1 m, including 2.57 g/t Au over 16.8 m.  The hole bottomed in mineralization, with the last 1.54 m-long interval returning 0.84 g/t Au. Liberty Gold trades on the TSX with LGD. News Release

Victoria Gold announced production guidance for the second half of this year. The Company expects to produce between 85,000 and 100,000 ounces of gold during the 6 month period from July through December 2020 at an all in sustaining cost (“AISC”) of US$950 – US$1,100 per ounce. The range of the production and cost guidance provided herein takes into consideration both the continued material uncertainties caused by the COVID-19 pandemic as well as the final ramp up from commencement of Commercial Production through to full capacity production. The Company achieved Commercial Production at the Eagle Gold Mine on July 1, 2020. Victoria Gold trades on the TSX with VBCX. News Release

FireFox Gold says that following its oversubscribed non-brokered private placement , it has launched a multidisciplinary field program on several of its gold projects in the Central Lapland region of Finland. The majority of the field work will be focused on the Jeesiö and Sarvilehto Projects, which are in a portion of the Central Lapland Greenstone Belt that has been a hotbed of recent activity by fellow explorers, Aurion Resources, Rupert Resources, and others. The primary objective of the program is to define drill targets at both Jeesiö and Sarvi for a fall and winter drill program. FireFox trades on the TSX Venture with FFOX. News Release

That is all from us here at Mining Stock Daily this morning. We’ll be back throughout today and the rest of the week with more news and commentary out of the mining and precious metals sector. Be sure to hit that subscribe button if you have not done so already. And for any follow up questions, please feel free to email me at trevor@clearcreekdigital.com. 

Mining Stock Daily is distributed over a dozen different networks throughout the world and in proud partnership with the Junior Mining Network. It is produced by Clear Creek Digital and Investment Research Dynamic's Mining Stock Journal. 

I’m Trevor Hall. Have a wonderful day. Be well.

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