Wallbridge Drill Results; More Bullfrog District Activity

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

Today is Tuesday, May 19th.

 

After trading up to as high as $1775 June futures basis during Australian, Asian and European trading hours overnight Monday, gold was ambushed in the paper market starting 20 minutes ahead of the commencement of Comex floor trading hours. The Mining Stock Journal confirms that a 2-sigma surge in volume starting a 8 a.m. EST representing a massive unloading of paper contracts into the Globex system caused a fishing line formation on the chart. The newsletter commented that, with the banks still in a large money-losing net short position in Comex paper, they had no choice but to try and force the price lower after Fed Chairman Jay Powell admitted on Sunday night the Fed was willing to go Weimar with the money supply to prevent a market collapse. The Mining stock Journal expects gold to bounce quickly from this paper attack. Conversely, silver continued to surge in price, jumping over 2% on Monday, with silver mining stocks generically popping  8-10%. The gold silver ratio, which has been gapping down in step function, dropped below 100 for the first time since mid-March. Finally, per GDX the larger cap mining stocks were down only 1.75%, indicating that mining stock investors understand the decline in gold was artificial. Plus most junior exploration stocks were green on the day. The editor of the Mining Stock Journal, Dave Kranzler, commented that the mining stocks are so undervalued right now that it makes his head hurt thinking about it.

 

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... Rio2. 

Rio2 is advancing the Fenix Gold Project in Chile, the largest undeveloped gold heap leach project in the Americas. Fenix consists of 5 million ounces in the measured and indicated resource category and 1.4 million ounces in the inferred resource category. With a robust PFS in place, Fenix is set up for fast-tracked construction and production. You can find a robust list of project and company information on their website, rio2.com.

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

Wallbridge Mining shared results from definition drilling outlining high-grade shoots at shallow depths adjacent to the existing mine workings within the Main Gabbro area on its Fenelon Gold Property. Results announced today include 70.84 g/t gold over 5.35 meters and 32.26 g/t gold over 7.05 meters. The Fenelon Gold Property is located along the Detour-Fenelon Gold Trend, an emerging gold belt in northwestern Quebec related to the Sunday Lake Deformation Zone. Wallbridge trades on the TSX with WM and on the OTC with WLBMF. News Release

Amex Exploration reported multiple drill results this morning from two of its zones on the Perron property in northwestern Quebec. One of those results was the widest intercept drilled to date, returning 5.36 g/t gold over 19.65 meters including a .7 meter interval of 97.62 g/t gold. A full list of results can be found on this morning’s news release, which can be accessed through the Junior Mining Network newsroom. Amex Exploration trades on the Toronto Venture with AMX and on the OTCQX with AMXEF. News Release

Velocity Minerals has received results from 26 drill holes for the Sedefche gold project in Bulgaria. Results included 3.24 g/t gold over 27.2 meters and 1.31 g/t gold over 45.4 meters. Velocity is currently completing due diligence on the Sedefche project and all of the drill results have now been returned in order for in-house resource estimation to be completed. The drill results broadly confirm the size and tenor of the mineralization previously identified by Gorubso and reported to the Bulgarian government as part of Gorubso’s permitting process. Velocity Minerals trades on the TSX Venture with VLC. News Release

Kincora Copper says its first drill hole at the Trundle project has intersected multiple mineralized skarn zones and has confirmed the targeted setting of an adjacent porphyry system to a near surface skarn. The average depth of prior drilling at the Trundle Park target is only 28 metres, and a high priority follow up hole is planned post assay results from this first hole. The Trundle project is located 30km west of the China Molybdenum Company operated Northparkes copper-gold project in Lachlan Fold Best of Australia. Kincora trades on the TSX Venture with KCC. News Release

Corvus Gold says it has initiated geophysical surveys throughout the Mother Lode trend to integrate district scale data into its belt-wide exploration models.  The greatly expanded survey as well as other ongoing regional studies and data compilations are designed to effectively and efficiently unlock the significant potential for new discoveries across the belt and throughout the greater Bullfrog Gold District.  In addition, Corvus has expanded its land position east of AngloGold Ashanti’s new Silicon discovery and north of a new large claim block recently staked by Kinross Gold.  Activity in the belt and the Bullfrog District in general is rapidly expanding with new claim staking and new Plan of Operations permits filed for large drilling programs by Corvus, AngloGold Ashanti and Coeur Mining. Corvus trades on the TSX with KOR and on the OTCQX with CORVF. News Release

Fiore Gold has shared an updated mineral resource estimate for its Golden Eagle Project in Ferry County, Washington. The company says Golden Eagle hosts 2 million ounces of a measured and indicated resource. The updated Golden Eagle mineral resource estimate is based solely on the available historical data and is intended to provide a baseline from which to continue developing the project. The Republic/Eureka Mining District has produced nearly 4 million ounces of gold at an average grade of 19.89 grams per tonne gold over the last 130 years, principally from high grade underground narrow vein deposits. The last operating gold mine in the district was Kinross' Buckhorn/Kettle River operation which closed in 2017. Fiore Gold trades on the TSX Venture with F and on the OTCQB with FIOGF. News Release

Contact Gold announced this morning they have began trading on the OTCQB Venture Market. The company will still be using the symbol CGOL. Contact Gold believes this OTCQB listing will increase the company’s visibility to U.S. investors, improve liquidity for shareholders, and provide the company with improved access to capital. Shares on the Toronto Venture Exchange will continue to trade using the symbol C.

That’s it from me this morning. We’ll be back throughout the rest of the day today and tomorrow with more commentary. Be sure to hit that subscribe button if you have not done so already. 

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