WRLG, RSG, AUX, ARK
Though West Red Lake Gold aka WRLG is of course concentrating on the Madsen Mine property in Ontario which they are bringing back into production, they have also been exploring the nearby Rowan property, which they hope to turn into another source for ore. There are already a few defined deposits on Rowan, but the geology is extensively folded and hence complex, so WRLG has been relogging old core and carrying out a programme of mapping and sampling to better define the geology, in particular defining some promising new targets.
I expect once Madsen is up and running, we will hear about a more extensive exploration programme including drilling at Rowan.
Message 35104607
Rocky Shore Gold aka RSG released an update on their Gold Anchor project in Newfoundland. Gold Anchor is located south of NFG's Queensway project, and covers extensions of the same faults that control mineralization at Queensway. Reconnaissance has identified a number of targets along these and other faults. The feature target, which will be drilled for the first time this summer after more geophysics and mapping and sampling, is the 6.0 km long Lane Pond, which is located just off the Appleton Fault corridor which hosts a number of known gold deposits, including Queensway.
I am looking forward to the drilling, and contemplating whether to add more RSG in this high gold price environment.
Message 35105940
Golden Cross Resources aka AUX (formerly ZCU) announced they had completed the acquisition of the Providence and Ready Creek gold projects in Victoria, Australia. Expect an exploration programme to be announced shortly.
(Beware of confusion with a different Golden Cross Resources that trades as GCR on the ASX.)
AUX and RSG are the type of 'close-ologist' I like. Unlike the promotionally driven companies who buy and moose pasture in the vicinity of some hot recent discovery, AUX and RSG are run by geologists who have recently acquired large properties which have geology and not just proximity to offer, Note that unlike the promoters, both companies carried out exploration on the properties before buying them.
I am still waiting for all the chips to fall before I decide whether to add to my AUX holdings, but I would say it is likely to happen.
Message 35106216
Arras Resources aka ARK has had one heck of a run this year on the basis of the exploration results from their last campaign in Kazakhstan where they are looking for large Cu/Au porphyries. Now they have announced the start of this year's exploration that they (and I) hope will yield similar results. You can divide the exploration into two parts, one centred on their 100%owned properties and the other on the properties subject to their exploration alliance with Teck.
Their solo efforts will concentrate on the Elmes property, where drilling results from Besshoky are what made the stock run so hard. Geophysics on Elemes will begin shortly and will be used to guide the next drilling at Besshoky Central which will begin in May. The geophysics will also cover another target named Aimandai. If they find what they expect, Aimandai will be drilled later this year..
On the Teck alliance properties, the first target will be Besshoky, where a drill will arrive next week to test both the main target plus others revealed by last year's exploration. Meanwhile, at Bozshakol a geophysics programme will be run to help define targets for later drilling.
So you can expect consistent news flow in the coming moths from ARK. If they can get a few more hits, it would certainly be possible for ARK to more than double its share price again in the rest of the year.
Message 35107347
FWIW, TD issued a new analyst report which, in response to Trumpian chaos, increased their price deck on gold, increasing their 2025 price from $2725 to $3016, their 2026 price from $2700 to $3000, and their long term price from $2200 to $2800. They also increased their target prices for pretty well all the gold miners they cover, including EDV's from $38 to $45 and OGC's from $4.75 to $5.
FWIW, Scotia issued a new analyst report that looked at ROIC -- a measure of capital allocation efficiency -- for 20 gold producers and six gold streamers. Among the select few that have both above average ROIC and high sensitivity of ROIC to the PoG were EDV and OGC. (The others were KGC, TXG, RGLD, and WPM.)
According to Saville, the POG continues to surge due to trade policy chaos and the resulting economic fallout. A blow-off top is likely soon, but the bullish longer-term trend is expected to remain intact. Meanwhile, he still expects HUI to test its recent major upside breakout before continuing upward |
