KTYI, WRLG
Most of Kootenay Resources aka KTRI's properties across southern BC are optioned out, but what they call their flagship asset is the Moyle Anticline, a large tract of land which runs from a past-producing mine run by Teck south to the US border. It is notable that they keep on referring to its potential as a Tier One asset, i.e. really big with lots of metal that can be mines economically.
To that end, KTRI has completed both geophysics and mapping and sampling to identify prospecrs, and now they are going to further that process with a ZTEM geophysical survey, which along with more prospecting will allow them to select initial drill targets.
Message 34868070
West Red Lake Gold aka WRLG announced the financing package for restarting production at the Madsen gold mine in Ontario. It was originally announced as including $48M in debt and $20M in equity, with the latter later upsized to $25M. We also get more details on the plans to restart production. They intend to start processing already extracted ore stockpiles once the PTBS is released, which is expected before the end of the year. After the stockpiles are processed they will switch to normal production mode.
Overall, I think this is a decent financing package, with the majority being debt and the equity units priced near the current WRLG share price. What is not good is the inclusion of a full rather than half warrant in each unit.
It will take a few days to see how the market evaluates the financing,
ca.finance.yahoo.com
FWIW, TD has raised their gold price deck by an average of ~9%, including to $2,397/oz in 2024 (from $2,290/oz), $2,725/oz in 2025 (from $2,400/oz) and $2,200/oz LT (from $2,000). As a result, they have increased the target price for PM equities by an average of 13% (but made no rating changes). |
