WM x 2, ARK, MAI, EDV
Quebec gold developer Wallbridge Mining aka WM released two PRs in two days.
The first concerns drilling results from the Detour East property in Quebec, where Agnico Eagle (AEM) is earning a 75% ownership by meeting certain requirements, such as paying for and conducting this drilling campaign. AEM has so far spent $5.5M exploring Detour East, with $2M left to earn an initial 50% interest.
WM's CEO thinks that the partners are well on the way to establishing another gold discovery in the region, and based on assays like 9.95 g/t Au over 0.5m, 2.57 g/t Au over 2.1m, and 7.02 g/t Au over 3.5m he may be right. Note that the first two assays were pulled from holes drilled near the boundary with WM's 100%-owned Casault property.
The key moment for Detour East will come after AEM achieves that 50% interest At that point a JV would be formed and AEM can earn a further 25% by investing another $27.5M in the property over 5 years. If they do this, you will know they are certain there is something economic on Detour East. This would help to validate what I hope will be the exit strategy for WM, being bought out entirely by AEM.
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WM's second PR concerns 2025 exploration plans for the Martiniere property, which sits between Detour Lake/Casault and WM's flagship Fenelon deposit to the east and already has an Indicated Resource of 684k oz Au and an Inferred Resource of 632k oz Au. They hope to grow this resource substantially by undertaking 10-15 km of drilling in 2025, particularly following up new discoveries made near the end of last year's drilling.
The PR also also mentions that they will be carrying out 'generative exploration' across WM's 830 sq km of landholdings along the Sunday Lake-Detour Gold Trend.
BTW, WM had previously mentioned there would be a new Resource Report out in Q1 this year but I have a feeling this might have been put off until after this year's drilling.
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Kazakh explorerArras Minerals aka ARK released a PR that is perfect demonstration of what can happen to an exploreco when it makes significant discoveries. Thanks to a share price that has more than tripled this year, more than 10M warrants issued during a financing last year are way in the money and have all been exercised, generating proceeds of more than $4M for ARK, meaning they have no need to raise funds at this point.
The PR also tells us they will be resuming fieldwork next month. I sure hope they can add a few more discoveries to the pile as work continues so they can do the next PP at a much higher share price.
finance.yahoo.com
The IKN newsletter did a multi-page analysis of the Copperstone PEA released by Minera Alamos aka MAI last week, but to get the details you'll have to subscribe. I will mention that IKN is sure that MAI can raise the capex strictly through debt financing, that they will correct the errors in ore processing made by the precious operator, and that we can expect there to be revenue from copper and silver byproducts as things move forward. As well, after a long series of calculations, IKN comes up with a new target price of MAI based on Copperstone and Cerro de Oror and Fortuna coming into operation and production increasing at Santana one the permit logjam in Mexico breaks.He values the sum of the parts at 80 cents a share but arrives at a target of 70 cents.
FWIW, TD put out a new analyst report on West African gold miner Endeavour Mining aka EDV under the title Europe Best Ideas. Citing EDV's coming growth in FCF, and noting that EDV has the lowest country risk among its peers due to its history plus where its assets are located, plus compelling undervaluation relative to peers, TD kept EDV at Buy with a target of $38.
Saville opines that given the weekly close above $2975, the bull in the PoG has resumed, though short term upside potential appears limited. He expects silver to play catch-up, with gold stocks remaining range bound. |
