TUO, GOT, CCW, IAU, KRR
Teuton Resources aka TUO and its JV partners on the TReaty Creek gold/copper/silver project in BC's Golden Triangle released another strong set of drilling results. Drilling is now complete for the year, but we can expect another set of assay results from the final drill holes once the labs are done with them.
Two of the holes targeted the already enormous Goldstorm deposit. An infill hole delivered more copper rich intervals like 592.5m averaging 1.16 g/t AuEQ (0.73 g/t Au, 3.17 g/t Ag, 0.34% Cu), while another extended mineralization 250m north of the current resource envelope. Mineralization remains open in multiple directions.
Two holes were 100m step-outs at the Copper Belle deposit, one to the SE, one to the NW. Both extended the minerlaization, which remains open in multiple directions.
Fianlly, a hole was drilled in the Konkin zone to follow up some promising samples at surface. It found intervals of 6.5m of 0.53 g/t AuEQ (0.51 g/t Au, 1.36 g/t Ag, 0.01% Cu) as well as a significant gold interval over 9.0m of 3.60 g/t AuEQ (3.54 g/t Au, 5.32 g/t Ag). It is unclear whether this mineralization is associated with the Goldstorm porphyiries or a separate mineralization event.
Message 34069715
Hallelujah! At long last, Goliath Resources aka GOT finally released drill results from its summer long drill programme from the Surebet zone on their Golddigger Au/Ag prospect in BC's Golden Triangle. Did their bizarre strategy of holding back until they could release a large number of holes at once actually work? It's hard to say. The share price has indeed been working its way upward all summer as they released assay-free PR after assay-free PR, but although there was an initial pop on release, the stock has now traded back to level on the day.
But regardless of whether it worked, it was frustrating as hell!
On to the results. Today we hear about 28 of the 71 holes drilled this summer, 27 of which found 'broad high-grade intervals of high-grade gold-silver mineralization'. The results were indeed mostly high grade (and often included minor copper/lead/zinc values), but the intervals were not long, often as little as 1m and occasionally ranging as high as 10m. Still, overall the numbers are impressive. It will be most interesting to see the rest of the assays once they deign to release them.
I still think one of the keys will be expanding the higher grade Goldswarm zone, the discovery of which was the primary catalyst for doubling their land holdings in the area.
More assays please!
Message 34069747
Canada Silver Cobalt Works aka CCW released another set of 5 holes from its completed drill campaign on the past-producing Castle mine in Ontario. Once again the assays included some very high grade intervals -- 3,680 g/t Ag over 1.01m and 1.34% Co over 0.47m -- but they were narrow, under a metre in length. In a promising development, some of the results were much shallower than usual, occurring just under 300m from surface as compared to the usual just under 500m.
Message 34069796
i-80 Gold aka IAU released the results of a scoping study for its processing facilities at the Ruby Hill property in Nevada. The study examined two scenarios: 1) given the unexpectedly large amount of oxide ore being discovered at both Ruby Hill and nearby Granite Creek, bring Ruby Hill back into operation to process oxides; or 2) convert it to a mill with two processing circuits, one producing a Pb/Ag concentrate and the other a Zn concentrate. Capital costs for the former are estimated at under $10M, while the latter would cost almost $60M. Given all the moving parts, with four mines and multiple processing facilities being built or renovated, there are a lot of moving parts and decisions to be made, and further study will be required.
Message 34069818
We already knew that Karora Resources aka KRR had produced a record amount of gold from its Australian mines and mill in Q3; the question was what had happened with costs, a question that was answered mostly in the positive with the release of their Q3 financials. Although cash costs were still up over $100/oz Au from Q3 last year, they were down about $100/oz from Q2 and $200 from Q1. This was primarily due to tonnage milled being well up, more than offsetting a decrease in grades due to mine sequencing.
Thanks to decreasing costs, KRR was able to increase profits and cash flow. Even though they invested heavily in Q3, primarily in buying a new mill and extending the second decline at Beta Hunt, their cash position remains strong at $56.1M. It is also notable that they have been stockpiling nickel ore from Beta Hunt, which will be useful for lowering costs in the future.
Message 34069861
Saville pointed out that last week gold successfully tested in its September low in the $1620s and then rebounded strongly as part of a risk-on bounce across all commodities. It is now just below resistance around $1680. If it can break through that resistance it should kick off a meaningful rise which takes PM stocks with it.
The INK folks, who track insider transactions, report that insider buying has been strong across the board in mining stocks, and particularly in PM stocks. It looks like insiders are getting ready to cash in when interest rates stop rising and a meaningful run in PM stocks gets underway. |
