Categories
Base Metals Energy Precious Metals

GROUP TEN METALS Announces Discovery of Hybrid Zone as One of 14 Multi-Kilometer-Scale PGE-Ni-Cu Target Areas Identified at Stillwater West

VANCOUVER, British Columbia, Dec. 17, 2018 (GLOBE NEWSWIRE) — Group Ten Metals Inc. (TSX.V: PGE; OTC: PGEZF, FSE: 5D32) (the “Company” or “Group Ten”) provides an update on the Company’s flagship Stillwater West PGE-Ni-Cu project (“Stillwater West” or the “Project”) in the Stillwater district of Montana, USA, including a summary of 2018 field work which resulted in the recognition of the new Hybrid Zone PGE-Ni-Cu-Cr target that is one of 14 multi-kilometer priority target areas identified by field and data analysis activities to date.

Dr. Craig Bow, Chief Geologist, stated, “We are excited about the discovery of a fundamentally new type of platinum and palladium mineralization within the Stillwater Complex. Termed “Hybrid Zone” due to the complex mixtures of rock types and textures, this zone within the Chrome Mountain target area is characterized by broad intervals (10 to 150 meters) of highly anomalous PGE levels associated with chromite and base metal sulfide often in pegmatoidal Ultramafic Series lithologies. To date, mineralization has seen scout drilling only and remains open in all directions, emphasizing the underexplored nature of the ultramafic portion of the Stillwater Complex. We are committed to further exploration of this iconic mining district and believe in its potential to host significant new deposits.”

Including the new Hybrid Zone in the Chrome Mountain target area, Group Ten has identified a total of 14 multi-kilometer-scale target areas along the approximate 25-km strike length of the property (see Figure 1). These 3- to 8-km-long target areas have been defined by major high-level electro-magnetic conductors with broad coincident soil geochemical anomalies, and are further divided into eight ‘Platreef-style’ bulk tonnage PGE-Ni-Cu sulphide target areas (blue ellipses) and six ‘Reef-type’ higher-grade PGE target areas (red ellipses) including the Picket Pin PGE reef deposit.

The eight ‘Platreef-style’ bulk tonnage PGE-Ni-Cu target areas occur within the ultramafic and basal part of the Stillwater Complex and are highlighted by strong electro-magnetic conductive signatures that are characteristic of large bodies of massive to extensively disseminated sulphides. These geophysical targets have overlapping highly elevated palladium, platinum, gold, nickel, copper, and chromium values in soils and rock sampling. Individual target areas have from a few drill holes to as many as 30 wide-spaced holes that have intercepted significant levels of platinum, palladium and gold along with nickel, copper, cobalt, rhodium, vanadium and chromium.

The higher-grade ‘Reef-type’ PGE target areas at Stillwater West, occur both above and below Sibanye-Stillwater’s J-M Reef deposit, which hosts a Measured and Indicated resource of 31 million ounces at a grade of 17.0 grams per tonne (g/t) Pt+Pd, plus an additional 49 million ounces at 16.6 g/t Pt+Pd in Inferred resources1, plus past production of 10 million ounces at similar grades2 from three active mines. Less work has been completed on these Reef-type targets by Group Ten to date however surface sampling and drilling has reported significant mineralization that will be assessed in future work.

2018 Exploration Programs

The 2018 exploration program, the Company’s first at Stillwater West, confirmed the potential of the Project to host multiple large-scale, disseminated, polymetallic bulk tonnage deposits across the 25-km length of the claim blocks. Work was focused on exploration of the lower Stillwater Complex where the Company sees the potential for much larger mineralized systems than has been previously recognized in the district based on geological similarities with the northern limb of South Africa’s Bushveld Complex, a region which hosts Anglo American’s world-leading Mogalakwena PGE-Ni-Cu Mine, and Ivanhoe’s Platreef PGE-Ni-Cu project, which is currently under construction.

Work was conducted in the following key areas at Stillwater West in 2018:

  • Significant mineralized intervals from over 11,000 meters of core inventory were re-logged for assay and the application of new geologic models from the Platreef. Re-logging is now complete, with assays pending;
  • Surface prospecting and rock sampling of mineralized outcrops along approximately 20 km of the 25-km strike of the project was completed. Assay results are expected shortly;
  • Detailed surface mapping of the Basal and Ultramafic Series covering an approximate 7 km2 area was completed to augment the historical database and better define the stratigraphy of this underexplored portion of the Stillwater Complex;
  • Physical rock property measurements were completed on representative core and grab samples including magnetic susceptibility, conductivity/resistivity, IP (Induced Polarization) chargeability, and density. Rock property analysis is expected to be instrumental in developing new geologic and 3-D models for the different types of mineralization at Stillwater West;
  • Entry of all core data into the first property-wide 3D geologic database for modeling and target refinement. This effort is ongoing, with results expected in 2019;
  • Development of a predictive geologic model to drive future exploration efforts and follow-up drilling (ongoing); and prioritization of all targets along the 25-km-long strike length of the Project (now underway).

Next Steps

Results of the 2018 field program will be released in the coming weeks, with results of the greater modeling and mapping efforts expected to be on-going through Q1 of 2019. Group Ten will attend both the Vancouver Resource Investment Conference and AME Round Up trade shows in January, including core display at the latter.

About Stillwater West

The Stillwater West PGE-Ni-Cu project positions Group Ten as the second largest landholder in the Stillwater Complex, adjoining and adjacent to Sibanye-Stillwater’s world-leading Stillwater, East Boulder, and Blitz platinum group elements (PGE) mines in south central Montana, USA. With more than 41 million ounces of past production2and current M&I resources1, plus another 49 million ounces of Inferred resources1, the Stillwater Complex is recognized as one of the top regions in the world for PGE-Ni-Cu mineralization, alongside the Bushveld Complex and Great Dyke in southern Africa, which are similar layered intrusions. The J-M Reef, and other PGE-enriched sulphide horizons in the Stillwater Complex, share many similarities with the highly prolific Merensky and UG2 Reefs in the Bushveld Complex, while the lower part of the Stillwater Complex also shows the potential for much larger scale disseminated and high-sulphide PGE-nickel-copper type deposits, possibly similar to Platreef in the Bushveld Complex3. Group Ten’s Stillwater West property covers the lower part of the Stillwater Complex along with the Picket Pin PGE Reef-type deposit in the upper portion, and includes extensive historic data, including soil and rock geochemistry, geophysical surveys, geologic mapping, and historic drilling.
Note 1: Report on Montana Platinum Group Metal Mineral Assets of Sibanye-Stillwater, November 2017, Measured and Indicated Resources of 57.2 million tonnes grading 17.0 g/t Pt+Pd containing 31.3 million ounces and 92.5 million tonnes grading 16.6 g/t containing 49.4 million ounces.
Note 2: Public production records from Stillwater Mining Company from 1992 to present.
Note 3: Magmatic Ore Deposits in Layered Intrusions—Descriptive Model for Reef-Type PGE and Contact-Type Cu-Ni-PGE Deposits, Michael Zientek, USGS Open-File Report 2012–1010.

About Group Ten Metals Inc.

Group Ten Metals Inc. is a TSX-V-listed Canadian mineral exploration company focused on the development of high-quality platinum, palladium, nickel, copper, cobalt and gold exploration assets in top North American mining jurisdictions. The Company’s core asset is the Stillwater West PGE-Ni-Cu project adjacent to Sibanye-Stillwater’s high-grade PGE mines in Montana, USA.  Group Ten also holds the highly prospective Kluane PGE-Ni-Cu project on trend with Nickel Creek Platinum‘s Wellgreen deposit in Canada‘s Yukon Territory, and the high-grade Black Lake-Drayton Gold project in the Rainy River district of northwest Ontario.

About the Metallic Group of Companies

The Metallic Group is a collaboration of leading precious and base metals exploration companies, with a portfolio of large, brownfields assets in established mining districts adjacent to some of the industry’s highest-grade producers of platinum & palladium, silver and copper. Member companies include Group Ten Metals (PGE.V) in the Stillwater PGM-Ni-Cu district of Montana, Metallic Minerals (MMG.V) in the Yukon’s Keno Hill silver district, and Granite Creek Copper (GCX-H.V) in the Yukon’s Carmacks copper district. Highly experienced management and technical teams at the Metallic Group have expertise across the spectrum of resource exploration and project development from initial discoveries to advanced development, including strong project finance and capital markets experience and have demonstrated a commitment to community engagement and environmental best practices. The founders and team members of the Metallic Group include highly successful explorationists formerly with some of the industry’s leading explorer/developers and major producers and are undertaking a systematic approach to exploration using new models and technologies to facilitate discoveries in these proven historic mining districts. The Metallic Group is headquartered in Vancouver, BC, Canada and its member companies are listed on the Toronto Venture, US OTC, and Frankfurt stock exchanges.

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/62600ad4-0f29-4832-9016-13f5b7e830c1

FOR FURTHER INFORMATION, PLEASE CONTACT:
Michael Rowley, President, CEO & Director

Email: info@grouptenmetals.com Phone: (604) 357 4790
Web: http://grouptenmetals.com Toll Free: (888) 432 0075

Quality Control and Quality Assurance

Mr. Mike Ostenson, P.Geo., is the qualified person for the purposes of National Instrument 43-101, and he has reviewed and approved the technical disclosure contained in this news release.

Forward-Looking Statements

Forward Looking Statements: This news release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts including, without limitation, statements regarding potential mineralization, historic production, estimation of mineral resources, the realization of mineral resource estimates, interpretation of prior exploration and potential exploration results, the timing and success of exploration activities generally, the timing and results of future resource estimates, permitting time lines, metal prices and currency exchange rates, availability of capital, government regulation of exploration operations, environmental risks, reclamation, title, and future plans and objectives of the company are forward-looking statements that involve various risks and uncertainties. Although Group Ten believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Forward-looking statements are based on a number of material factors and assumptions. Factors that could cause actual results to differ materially from those in forward-looking statements include failure to obtain necessary approvals, unsuccessful exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, risks associated with regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, uninsured risks, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the companies with securities regulators. Readers are cautioned that mineral resources that are not mineral reserves do not have demonstrated economic viability. Mineral exploration and development of mines is an inherently risky business. Accordingly, the actual events may differ materially from those projected in the forward-looking statements. For more information on Group Ten and the risks and challenges of their businesses, investors should review their annual filings that are available at www.sedar.com.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Categories
Energy

DNI Update – Environmental Licenses, Resource Study and Financing

TORONTO, ON / ACCESSWIRE / December 14, 2018 / DNI Metals Inc. (CSE: DNI; OTC PINK: DMNKF) (“DNI” or the “Company”),

Environmental Licenses

DNI and the Office National pour l’Environnement Madagascar, (”ONE”), completed two days of technical reviews at Vohitsara and Marofody properties on December 6 and 7.

As per DNI’s press releases on November 8 and 20, 2018 the ONE must complete two site visits, a Technical review, and a Public consultation.

The ONE group comprised of a panel of four people, from the following government offices;

  1. ONE coordinator
  2. Ministry of Mines
  3. Ministry of Environment
  4. Bureau des Directions Régionales de la Population (DRPPSPF)

As part of the technical review, the ONE will send an official letter to DNI, asking for clarity on certain items. DNI will respond quickly and complete this process before year end or early in 2019.

The Public consultation will be a two-day process, and will include three local community meetings comprised of one district meeting, one Vohitsara community meeting, and one Marofody community meeting. These meetings will be scheduled for mid-January.

As part of the technical review, DNI and the ONE met with the Mayor of the district, and the presidents of Vohitsara and Marofody.

DNI has entered into property purchase negotiations with selected Vohitsara land stakeholders required for mine development. Ninety-Nine percent of the people in the area want to see DNI develop a mine.

Resource Estimate

DNI has engaged Micon to complete its maiden resource estimate for the Vohitsara Graphite property. A site visit is being scheduled for early January, with a resource estimate completed around the end of January to mid-February.

Financing

A non‑brokered private placement financing to secure up to $1,000,000 of financing for its projects and operations by placement of up 1,000 convertible debentures (”Convertible Debentures”) with a face value of $1,000 per Convertible Debenture pursuant to a subscription agreement (the “Subscription Agreement“)

Each Convertible Debenture shall have the following terms:

  1. Face value $1,000
  2. Coupon 12%
  3. Term 365 days
  4. Conversion price $.08 (each $1,000 face value debentures converts to 12,500 units (”Units”))
  5. Each Unit shall consist of one common share of the Company (a ”Common Share”) and a ½ warrant to purchase a common share of the Company (each full warrant, a ”Warrant”)
  6. If the debenture holder converts prior to maturity, the coupon payment will be forfeited.
  7. Upon Maturity, debenture holders have the following options:

Warrant Terms

Each Warrant entitles the bearer to purchase one common share of the Company ( a ”Warrant Common Share”) at an exercise price of C$.20 per share until July 27, 2022. If the closing market price of the common shares of the Company on the Canadian Securities Exchange is equal to or greater than, $0.30 per common share for a period of 30 consecutive trading days, or upon the public announcement of a decision by the Company’s board of directors to build a commercial processing plant capable of producing at least 10,000 metric tonnes per year of graphite, then the Company may accelerate the expiry date of the Warrants by delivering a notice (the “Acceleration Notice“) to the Warrant holder notifying such Warrant holder that the Warrants must be exercised within thirty (30) calendar days from the date of the Acceleration Notice, otherwise the Warrants will expire at 4:00 p.m. (Toronto time) on the thirtieth (30th) calendar day after the date of Acceleration Notice.

Annual Meeting

DNI has set its annual and special meeting date for December 20, 2018.

The Record date was November 19, 2018.

Resolutions will include:

  1. Election of Directors
  2. Appointment of Auditors
  3. Changing Financial Year End to December 31, to match the Malagasy and Mauritian subsidiary companies.
  4. Continuing DNI as a Canadian company under the Canada Business Corporations Act, from its current domicile as a Quebec company.

Debt Settlement

DNI has issued 1,400,000 shares to settle debts of $70,000

DNI – CSE

DMNKF – OTC

Issued: 122,098,403

For further information, contact:

DNI Metals Inc. – Dan Weir, CEO 416-595-1195

DanWeir@dnimetals.com

Also visit www.dnimetals.com

Forward-looking Statements

This press release contains forward-looking statements, including statements that relate to, among other things, the following: (i) the geological characteristics of the projects; (ii) the potential to discover additional mineralization and to extend the area of mineralization; (iii) the potential to raise additional financing; and (iv) the potential to expand and upgrade the resource estimate of the projects. Forward-looking information is subject to the risks, uncertainties and other important factors that could cause the Company’s actual performance to differ materially from that expressed in or implied by such statements. Such factors include, but are not limited to volatility and sensitivity to market metal prices, impact of change in foreign exchange rates, interest rates, imprecision in resource estimates, imprecision in opinions on geology, environmental risks including increased regulatory burdens, unexpected geological conditions, adverse mining conditions, changes in government regulations and policies, including laws and policies; and failure to obtain necessary permits and approvals from government authorities, and other development and operating risks, and can generally be identified by the use of words such as ”may”, ”will”, ”could”, ”should”, ”would”, ”likely”, “possible”, ”expect”, ”intend”, ”estimate”, ”anticipate”, ”believe”, ”plan”, ”objective”, ”hope” and ”continue” (or the negative thereof) and words and expressions of similar import. Although DNI believes that the expectations reflected in such forward-looking statements are reasonable, such statements involve risks and uncertainties, and undue reliance should not be placed on such statements. Certain material factors or assumptions are applied in making forward-looking statements, and actual results may differ materially from those expressed or implied in such statements. Additional information about material factors that could cause actual results to differ materially from expectations and about material factors or assumptions applied in making forward-looking statements may be found in the Company’s most recent annual and interim Management’s Discussion and Analysis under ”Risk and Uncertainties” as well as in other public disclosure documents filed with Canadian securities regulatory authorities. Forward-looking statements are provided for the purpose of providing information about management’s current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes. The Company does not undertake any obligation to update publicly or to revise any of the forward-looking statements contained in this document, whether as a result of new information, future events or otherwise, except as required by law.

SOURCE: DNI Metals

Categories
Base Metals Energy Precious Metals Project Generators

EMX ROYALTY Executes Agreement to Sell Four Polymetallic Projects in Norway and Sweden to OK2 Minerals

Vancouver, British Columbia–(Newsfile Corp. – December 13, 2018) – EMX Royalty Corporation (TSXV: EMX) (NYSE American: EMX) (the “Company” or “EMX”) is pleased to announce the execution of a purchase agreement (the “Agreement”) for the sale of the Bleikvassli, Sagvoll, and Meråker polymetallic projects in Norway, and the Bastuträsk polymetallic project in Sweden to OK2 Minerals Ltd. (“OK2”) (TSX Venture: OK). The Agreement provides EMX with a 9.9% equity interest in OK2, advance royalty payments, and a 3% net smelter return (“NSR”) royalty interest in the projects, as well as a 1% NSR royalty on OK2’s Pyramid project in British Columbia.

The four Scandinavian projects (the “Properties”) provide OK2 with a portfolio of prospective properties for its newly created European Business Unit, and will provide OK2’s shareholders, including EMX, with substantial value creation upside. The Properties contain historic mining areas and/or historic, drill-defined zones of polymetallic base metal mineralization (zinc-lead-copper) with variable levels of precious metal enrichments (silver ± gold). There is significant exploration potential, as little to no modern work has taken place on the projects, with the exception of Bastuträsk. Please see the attached map and www.EMXroyalty.com for more information.

Commercial Terms Overview (dollar amounts in USD, unless otherwise noted):

  • EMX will transfer to OK2 the Bleikvassli, Sagvoll, and Meråker exploration licenses in Norway, and its Bastuträsk exploration permits in Sweden at closing.
  • Upon the closing of this transaction, OK2 will undergo a corporate restructuring by share consolidation and change its name to Norra Metals Corp.
  • OK2 will issue to EMX that number of common shares of OK2 that represents a 9.9% equity ownership in OK2 at closing. OK2 will have the continuing obligation to issue additional shares of OK2 to EMX to maintain its 9.9% interest in OK2, at no additional cost to EMX (subject to a maximum of 13,398,958 post-consolidation common shares), until OK2 has raised CDN $5,000,000 in equity to fund exploration and development on the Properties, or until five years after closing, whichever occurs first. Thereafter, EMX will have the right to participate pro-rata in future financings at its own cost to maintain its 9.9% interest in OK2.
  • Further, there is an additional provision that requires OK2 to raise and spend CDN $2,000,000 on the Properties within two years of the closing date, otherwise EMX’s 9.9% equity ownership shall be increased to a 14.9% continuing equity interest (subject to a maximum of 21,350,956 post-consolidation common shares).
  • EMX will retain an uncapped 3% NSR royalty interest on each of the Properties. Within six years of the closing date, OK2 has the right to buy down up to 1% of the royalty retained by EMX on any given project (leaving EMX with a 2% NSR royalty) by paying EMX $2,500,000. Such a buy down is project specific.
  • EMX will receive annual advance royalty (“AAR”) payments of $20,000 for each of the Properties commencing on the second anniversary of the closing, with each AAR payment increasing by $5,000 per year until reaching $60,000 per year, except that OK2 may skip AAR payments on two of the four Properties in years two and three provided payments are made on the other two Properties in years two and three. Once reaching $60,000, AAR payments will be adjusted each year according to the Consumer Price Index (as published by the U.S. Department of Labor, Bureau of Labor Statistics).
  • EMX will receive a 0.5% NSR royalty on any new mineral exploration projects generated by OK2 in Sweden or Norway, excluding projects acquired from a third party containing a mineral resource or reserve or an existing mining operation. These royalties are not capped and not subject to a buy down.
  • EMX will also receive a 1% NSR royalty on OK2’s Pyramid project in British Columbia at closing.
  • EMX will have the right to nominate one seat on the Board of Directors of OK2.
  • Closing is subject to approval by the TSX Venture Exchange.

Properties Overview

The Scandinavian Properties contain a combination of Volcanogenic Massive Sulfide (“VMS”) and sedimentary exhalative (“SEDEX”) polymetallic deposits. Magmatic sulfide type nickel-copper-cobalt mineralization is also present on portions of the Sagvoll project in Norway.

Bleikvassli. The 6,000 hectare (“Ha”) Bleikvassli licenses are located near the Norwegian city of Mo-i-Rana, and contain the historic Bleikvassli mine area, which saw production of lead, zinc and silver mineralization from 1914-1997[1]. The mine was one of the last metal mines to operate in Norway, and was closed only when flooded in the late 1990’s. The styles of mineralization at Bleikvassli have been the subject of debate, with some authors favoring a VMS origin for the deposit, while others have favored a sedimentary exhalative (“SEDEX”) model. In either case, the deposit consists of stratiform/stratibound lenses of lead-zinc-silver massive sulfide mineralization, which locally grades into more copper and gold-rich compositions. The lenses mined at Bleikvassli constitute a portion of an extensive zone of sulfide mineralization that extends well beyond the mine area, as indicated by historic exploration drilling and extensive surface mapping.

Sagvoll. The 11,000 Ha Sagvoll project is located northeast of the Norwegian city of Trondheim. The Sagvoll licenses contain multiple areas of historic mining, where copper and other metals were mined in the 19th and early 20th centuries. VMS style mineralization is developed throughout the areas of historic mine workings, and along extensive geophysical anomalies that extend for over 25 kilometers along strike of the mine workings. Also present in the southeastern portion of the license area are historic nickel-copper sulfide mines and prospects.

Meråker. Like Sagvoll, the 18,600 Ha Meråker project is located near the Norwegian city of Trondheim, and contains multiple historic mines and prospects developed on trends of polymetallic VMS style mineralization. Copper was the chief product from many of the historic mines, but significant zinc mineralization is seen in the mine dumps and outcrops in the area. There are several parallel trends of mineralization within the project area, extending for nearly 30 kilometers along strike. Little modern exploration has taken place at Meråker.

Bastuträsk. The 4,700 Ha Bastuträsk exploration permits are located in the Skellefteå district, which is one of Sweden’s most prolific mining districts. VMS style sulfide mineralization was discovered at Bastuträsk by Boliden AB in the 1960’s, and was drilled intermittently in various programs through the early 2000’s. The mineralization is hosted by a folded sequence of volcanic and volcanoclastic sedimentary rocks. The mineralization does not outcrop in the area, and is only known through drilling and as projected from geophysical data. Drill defined zones of mineralization are developed over an area of several kilometers near the apparent nose of a prominent fold hinge.

Pyramid Project Overview

OK2’s 12,700 Ha Pyramid project is located along the Dease River at the northern edge of British Columbia’s “Golden Triangle” region. The project contains extensive zones of both porphyry gold-copper and epithermal style mineralization developed in Quesnel Terrane host rocks, one of the key hosts for porphyry deposits in British Columbia. The property has undergone extensive surface mapping, sampling and geophysical surveys, along with recent reconnaissance drilling (2016 and 2017). More information about the project, including drill results, are available on the OK2 website.

About EMX. EMX leverages asset ownership and exploration insight into partnerships that advance our mineral properties, with EMX receiving pre-production payments and retaining royalty interests. EMX complements its royalty generation initiatives with royalty acquisitions and strategic investments.

The sale of the Properties in Norway and Sweden to OK2 is another example of EMX’s execution of its royalty generation business model, and provides additional organic royalty property growth for EMX, as well as establishing a substantial equity position in the partner company. These interests provide EMX and its shareholders immediate exposure to equity upside, while the royalty interests provide longer term exposure to the optionality of continued exploration success and the potential for future mineral production revenues.

Dr. Eric P. Jensen, CPG, a Qualified Person as defined by National Instrument 43-101 and employee of the Company, has reviewed, verified and approved the disclosure of the technical information contained in this news release.

-30-

For further information contact:

David M. Cole
President and Chief Executive Officer
Phone: (303) 979-6666
Email: Dave@EMXroyalty.com

Scott Close
Director of Investor Relations
Phone: (303) 973-8585
Email: SClose@EMXroyalty.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

This news release may contain forward looking statements that reflect the Company’s current expectations and projections about its future results. These forward-looking statements may include statements regarding perceived merits of properties, exploration results and budgets, mineral reserves and resource estimates, work programs, capital expenditures, timelines, strategic plans, market prices for precious and base metal, or other statements that are not statements of fact. When used in this news release, words such as estimate, intend, expect, anticipate, will“, “believe”,“potential” and similar expressions are intended to identify forward-looking statements, which, by their very nature, are not guarantees of the Company’s future operational or financial performance, and are subject to risks and uncertainties and other factors that could cause the Company‘s actual results, performance, prospects or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. These risks, uncertainties and factors may include, but are not limited to: unavailability of financing, failure to identify commercially viable mineral reserves, fluctuations in the market valuation for commodities, difficulties in obtaining required approvals for the development of a mineral project, increased regulatory compliance costs, expectations of project funding by joint venture partners and other factors.

Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this news release or as of the date otherwise specifically indicated herein. Due to risks and uncertainties, including the risks and uncertainties identified in this news release, and other risk factors and forward-looking statements listed in the Company’s MD&A for the quarter ended onSeptember 30, 2018 (the “MD&A”), and the most recently filed Form 20-F for the year that ended on December 31, 2017, actual events may differ materially from current expectations. More information about the Company, including the MD&A, the 20-F and financial statements of the Company, is available on SEDAR at www.sedar.com and on the SEC’s EDGAR website at www.sec.gov.

Cannot view this image? Visit: http://media.zenfs.com/en-US/homerun/newsfile_64/c957666d8d323b019347528d8004e6c9
Cannot view this image? Visit: http://media.zenfs.com/en-US/homerun/newsfile_64/c957666d8d323b019347528d8004e6c9

Figure 1. Properties in Norway and Sweden sold by EMX to OK2.

To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/1508/41619_80f3f742c4c07bfe_002full.jpg

[1] Geological Survey of Norway Ore Database, Deposit Area 1832-012.

Categories
Base Metals Energy Exclusive Interviews Precious Metals

BOB MORIARTY’s Outlook On 2019

In a wide-ranging conversation, Bob Moriarty of 321 Gold discusses with Maurice Jackson of Proven and Probable geopolitics, economics, Bitcoin, precious metals and more.

VIDEO

AUDIO

TRANSCRIPT

Bob Moriarty’s Outlook on 2019 
Contributed Opinion

Source: Maurice Jackson for Streetwise Reports  (12/11/18)

Bob MoriartyMaurice Jackson

In a wide-ranging conversation, Bob Moriarty of 321 Gold discusses with Maurice Jackson of Proven and Probable geopolitics, economics, Bitcoin, precious metals and more.

2019
Maurice Jackson: Joining us for conversation is Bob Moriarty, the founder of 321 Gold and 321 Energy.com, and also the author of two of my personal favorite books, “The Art of Peace,” and “Nobody Knows Anything.” Mr. Moriarty, welcome to the show, sir.
Bob Moriarty: It’s very good to talk to you today, and it’s very funny because those are two of my favorite books, too.
Maurice: Sir, it’s always an honor to have you on our show. I would like to begin our discussion on your outlook for 2019. What are some topics of interest that we should focus on beginning with the political and economic landscape of the United States?
Bob: You’ve got to separate those, and we can do that, from an economic point of view. The trade war is a total disaster. It can only do damage. It already has done substantial damage. I think the everything bubble has popped, and we could see some real fireworks in 2019! The stock market has either topped or will top soon. Gold and silver appear to be bottoming. Platinum is the lowest relative to gold it has ever been. So, I’m literally buying platinum and I’m buying silver right now. I think that we may have a few more weeks of tax loss silly selling in the gold shares. But, I think that resources look good for next year, and everything else looks bad.
Politically, there’s just no predicting what Trump will do. Every day I get up, I look, I shudder. I’m not sure Trump knows what he’s doing. But, you and I were talking off mic, and one of the things that I said was, everybody needs to own some gold, they need to have some liquid cash, and they need to have a passport. The world is very precarious. Certainly you can see from the riots in France how swiftly things can go bad, and that all has to do with government spending money it doesn’t have and increasing taxes to pay for it.
Now, the problem is, governments across the globe have spent so much money that they can never tax the people enough, and the people are getting very tired of the cost of living go up and taxes going up, and they know the government is at fault, and they’re going to start hanging politicians here, very soon, and 2019 could be a lot worse than 2008 ever dreamed of.
Maurice: Speaking of that, let’s shift the focus here a little bit and talk about it on a global context here. Regarding geopolitics and the world economy, you somewhat reference it here, but what has you concerned the most?
Bob: Trump.
Maurice: Which will suffice in and of itself.
Bob: Trump is not dealing with a full deck, now to the extent that I’m glad he was elected president, because Hillary Clinton was far worse. But, Donald Trump is not dealing with a full deck. We have a coup d’état in progress. It’s been going on for several years where the FBI, and the DOJ, and the CIA, and the NSA are all trying to over throw Trump, and that’s a very bad thing. That’s not a good thing. It’s a bad thing. Have you ever been in a riot?
Maurice: No, sir, I have not.
Bob: Well, for 20 years, I flew small airplanes all over the world, and there were a couple of times that I got caught up in riots because things just started getting crazy. I was in Pakistan, and the locals decided they would start breaking up all the places that sold liquor, and when a mob forms, you see people at that very worst. When the banks close, when people can no longer cash checks, when their plastic money doesn’t work, Americans are three meals away from chaos, and it’s going to be bad, and I’m serious as a heart attack. Everybody should have a plan for getting out of dodge.
Maurice: And again, that plan is for our audience, a passport, physical precious metals, and some cash. And with regards to cash, would it be in a particular currency?
Bob: Whatever the local currency is. If you’re Canadian, you need Canadian dollars, and if you’re American, you need American dollars. Here’s the flaw. If the banks close, and the U.S. dollar goes to zero, you still need dollars because that’s what people are used to doing trade in. I’m not saying you need dollars because dollars are going to be more valuable. You need dollars because that’s how you conduct trade. I’m quite serious everybody needs a plan B. When everything goes to shit, I’m going to get out of dodge.
Maurice: Moving on to resource companies. Who has your attention now and going forward into 2019?
Bob: Miramont Resources Corp. (MONT:CSE; MRRMF:OTC) is absolutely one. They’ve just received a drill permit. It’s a Quinton Hennigh company. They have two world-class projects in Peru. They will start drilling in January. I expect to start seeing results in February or March. I think they will be world-class results. I think the market will recognize it. The company has gone from 13 cents, 10 days ago, to 26 cents (CAD) now, and that gives a market cap of about CA$13 million. Could they be CA$150 million in six months or a year? Absolutely. They’ve got plenty of money. They’ve got CA$6 million in the bank, so there’s no risk whatsoever with them going out, doing a big financing; and I expect to see solid, good results in the next two to three months.
The second company would be Irving Resources Inc. (IRV:CSE; IRVRF:OTCBB). Same story there. You and I were at Irving. We looked at CA$25,000/ton rock. We looked at the sinter. They will start drilling the sinter in January, and you can expect to see results six weeks, two months later. And, when you drill through $25,000 rock, you get a meter or two, and you’re going to have a stock that’s explosive. Irving was $1.10 a share two weeks ago, and it’s $1.80 right now, and it’s still cheap.
Maurice: How about Novo Resources Corp. (NVO:TSX.V; NSRPF:OTCQX). That’s one of our favorites as well.
Bob: Who?
Maurice: Novo Resources.
Bob: I’ve never heard of them. I’m going to be a little bit cagey here. I mean, that’s a terrible thing for me to say. Novo is, literally, having their AGM as you’re doing this recording, and I don’t want to say anything about Novo, until I hear the results of the AGM. But, I was there a month ago, Nova has an extraordinary future ahead of them, good management, tons of money in the bank. Quinton Hennigh is an absolute genius. Everybody hates the stock now, and how many times do I need to say, “You need to buy things when everybody hates them, and you need to sell them when everybody loves them.” And, you got all these people at the chat boards whining and crying, “Oh my God, Novo’s at a new low,” and I’m thinking, “Why did they not see that as an opportunity?”
Platinum hit $790 an ounce today. Why would you whine about that? That’s an opportunity. My God, it hasn’t been $790 an ounce in many, many years. It is so cheap. Buy stuff when it’s cheap, sell it when it’s expensive. It is not complicated.
Maurice: You’ll learn that in a book written by Bob Moriarty entitled “Nobody Knows Anything.” Bob, we’ll get to that in just a second. Before we leave here, full disclosure, Miramont Resources, Irving Resources, and Novo Resources, all three are sponsors of both 321 Gold and Proven and Probable, and by the way, unbeknownst to you, Bob, I will be interviewing Bill Pincus, CEO for Miramont Resources, this coming Friday.
Bob: Good. That’s going to be a must listen to. I talked to him a few days ago. I was nibbling at the shares at 13 and 14 cents, and, obviously, word was getting out because the stock, literally, has doubled in 10 days. They have a brilliant future ahead of them. Peru can be a difficult country to deal with. Bill Pincus has it totally under control. They should have been drilling six months ago, and they didn’t, and it’s no big deal, and they will be drilling shortly.
Maurice: Moving on to physical precious metals. You wrote a piece, recently, which is a must read, entitled “These 113 Analyst Believe Gold Will Go Parabolic to Three Thousand or More.” What compelled you to write this piece, and why now?
Bob: Well, here’s what’s very funny. I didn’t write the piece. The piece came out in 2011, okay. Now, I had been contacted in 2011, and the woman who wrote the piece wanted to know my prediction for gold, and I said, “Well, I’ll be happy to give you a prediction for gold.” “Tell me what the dollars going to be.” And she said, “Well, I have no idea what it’s going to be.” And I said, “Well, how can I tell you what gold’s going to be if you can’t tell me what the dollar’s going to be, because gold is the inverse of the dollar now.” We forget this, and we shouldn’t because it’s so basic. Anytime you’re talking about the price of any commodity, you’re talking about the commodity, and you’re talking about the currency it’s quoted in. Now, the funny thing is, gold had been up 12 years in a row, and everybody in the industry wanted to come out with an outrageous price.
Do you happen to know what the price of copper is today?
Maurice: $2.85 per pound.
Bob: From a mathematical point of view, if you wanted to predict the price of copper six months from now, from a mathematical point of view, what price should you predict? Because everything has to do with probability and permutations. If you know the price of copper, it’s $2.85 today, and you want to predict the price from six months from now, mathematically speaking, ignore your opinion, what price should you predict? $2.85.
Maurice: And that being because?
Bob: Everything goes up. We know that. And, everything goes down. And that fact of the matter is, all prices wobble up and down, and we forget that because we think, “I really like gold. I really like silver. I really like platinum. Therefore, it should go up every single day.” Well, markets don’t work that way. “Well, if it doesn’t go up every single day, it’s proof somebody’s manipulating it.” Well, actually, everything’s manipulated, so it’s not proof of anything.
What we forget that all of this variation in price has nothing to do with the commodity, and everything to do with the value of the dollar.When you include inflation, the value of the dollar changes every single day. Between noon today and noon tomorrow, the value of the U.S. dollar will change 10,000 times. Now, that’s actually insane from an economist point of view. If you’re a Martian and you came to earth and you found out the currency changed its value 10,000 times in a day, the Martian would say, “You know, you guys are all nuts down here,” and he would be correct.
But, in 2011 everybody watched gold go up 12 years in a row, so they thought, “well, mathematically, if it’s gone up 12 years in a row, that means it’s going to go up another 12 years in a row.” And they forgot things go up and things go down. It’s very funny because you look at those predictions seven years later, and we’ve got $1,200 and something gold, and you realize that people were being silly in their predictions. There are no experts, and there are no gurus, period.
Maurice: But, Bob, there is a way to navigate and make the value proposition, actually, work better for you, and I want to ask you this here. So, regarding physical precious metals, can you share with us, and you already have, but tell us why? What are you buying right now? You’re not buying gold.
Bob: No, as a matter of fact I sold gold here recently. This goes back to my basic thesis, and it’s the heart of the book, and it’s very important to understand. You buy things when they’re cheap and you sell them when they’re expensive. The ratio of silver and gold has varied from about 16:1, to 101:1 over the last hundred years. For 50 of those years, the price of gold was fixed. And for 50 of those years, the price gold and silver was variable. So, that should give you a good idea of the range. Now, the average over the last 100 years been 54:1; silver has gotten very cheap, else it has, literally in the last week where it was 86:1, and you go back to 2011, it got down to about 32:1 where silver was very expensive.
Everybody makes investing way too complicated because the first mistake they make is they listen to people who feed their fantasies. Okay. Would you vote for an honest politician?
Maurice: My answer is, I would.
Bob: If you voted for an honest politician, how many votes would he get in total?
Maurice: It sounds like probably would just be myself.
Bob: That’s correct, one vote. Politicians, television preachers and most financial analyst make their money, get their power, by feeding people’s fantasies. They tell people what they want to hear, and you’re always comfortable. If you got a certain belief set, if you believe that Catholics are horrible people, you want to go into a Baptist Church and listen to them talk about Catholics. If you think Muslims are horrible people, you want to go into a Catholic church and hear them talk about Muslims. We have prejudices. We have biases, and we listen to those people who feed those biases. I listen to TV preachers, and I’m sitting here thinking, how the hell could anybody listen to that unadulterated horse shit and send their money to these fools. But, the fools are the people in the audience throwing hundred dollar bills at people for telling what they want to hear.
And when you look at the state of politics in the United States, my God, it’s embarrassing. I mean, I can tell you because I spend a lot of time outside the United States, the rest of the world’s looking at the American political system saying, “You know, those people have gone off the deep end. They’re all crazy,” and they would be right.
Maurice: You know, what’s very important for our audience to understand here, is again, you didn’t say that silver is going to a certain numerical value. You just looked at the ratios between that and gold. Completely different perspective. I can share prior to me entering the public domain, I would listen to someone that would feed my paradigm, but silver is being manipulated, at the time, this is me 10 years ago entering the precious metals industry, and that silver’s going to hit this parabolic number of $150 to $200 any day now because of the Federal Reserve. And, that was my reasoning for purchasing physical silver, and then, I had the opportunity to be introduced to the likes of your work, and I shifted that paradigm, and took a more responsible approach, and I appreciate you so much sharing that. It’s a lesson that we all can learn from, and again, to learn more about lessons like that, the book that you’re referring to is “Nobody Know Anything.”
Bob: But, it’s as simple as you should buy what’s cheap, and you should sell what’s dear. Right now, silver’s cheap, gold’s expensive. Now, I’m not predicting $50,0000 silver. I’m not predicting $200 gold. I’m not predicting anything. I’m taking facts. The ratio has been 16:1, to 101:1, over 100 years. That should be the parameters. The average has been 54:1. Silver has spent less than 1% of the time over the last 100 years above 86:1. All investing is based on mathematics at its heart. A mathematical point of view, the chances that you’re profiting by buying silver and selling gold is 99%, and those are good odds.
Now, do I give a damn if silver goes down tomorrow? No. Okay. Same thing with platinum. My God, platinum’s the cheapest relative to gold it’s ever been in history. Yesterday, it was $460 an ounce cheaper than gold, yet for most of history since it was discovered in the 18th century, platinum’s had a premium to gold. So, buy platinum and sit.
Maurice: That’s exactly what we’re doing. We’re purchasing, very aggressively, both of those metals. May I ask you this as well? When you’re looking at buying your silver, are you looking at 100 ounce bars? Do you like government minted coins? Do you like rounds, junk silver? Tell us what you’re buying.
Bob: It’s funny you say that. I am cheap. Okay. Silver is silver is silver, and somebody contacted me and he had a good deal on 100 ounce bars. So, I bought 100 ounce bars. But, I would buy whatever is cheap. It’s all the same silver.
Maurice: Much agreed. I know some people have a certain perspective on getting government minted coins versus rounds, which are private minted coins, and I didn’t know if you had a particular interest in either one of those two.
Bob: It’s probably a good idea to have a variation. You can buy a tank of gas with a one ounce silver coin, but you can’t buy a tank of gas with a 100 ounce silver bar.
Maurice: True indeed. Bob, let’s shift our focus a little bit on something you and I both like to discuss as well, and let’s compare precious metals now with a different type of coin, bitcoin.
Bob: No. No. No. No. No. You mispronounced that word.
Maurice: I certainly did. Please share with the audience. What is the appropriate name for this.
Bob: Bitcon.
Maurice: And how rare is Bitcon, by the way.
Bob: How rare is salt water in the ocean.
Maurice: Well, I would say there’s a number of variations. Could you share with us, how many variations are there of Bitcon?
Bob: 2,513, roughly.
Maurice: And, isn’t that part of one of the big marketing aspects of Bitcon is that it’s supposed to be rare?
Bob: That’s not rare. You can’t have 2,513 variations and be considered rare.
Maurice: A year ago we had you on our show, and I believe at that time, we were looking at a $13,000 to $14,000 in U.S. currency on Bitcon, and today, we’re looking at $3,400. Is that correct? And, your analysis at that time, it was going to go its intrinsic value of zero. So, it appears to be heading that direction.
Bob: Allow me to ask you a question, because actually, we’re lower than $3,400 right now. If people would take the knowledge that they have, and their common sense, and some logic, they wouldn’t need to listen to experts. They wouldn’t need to listen to gurus. What is the value of a 99 cent stuffed toy?
Maurice: At the current market price, then it would be 99 cents.
Bob: Okay. What is the value of a Beanie Baby?
Maurice: Assuming that is the same toy that you’re referring to, then I would say 99 cents.
Bob: Everything, eventually, returns to its real value. Beanie Babies were going for thousands of dollars because, supposedly, they were rare, and it was this everybody wanted to jump in and everybody wanted to collect, and they thought they were valuable because they were rare. They were 99 cent stuffed toys.
Bob’s Wife: And we collected them.
Bob: That’s my wife and Mr. Brown.
Bob’s Wife: We got to them.
Maurice: And, introducing into the conversation, Bob, who do you have there with you?
Bob: Oh, that’s my wife, Mr. Brown, her pet stuffed sheep.
Maurice: And, Mr. Brown, is he valued at 99 cents as well?
Bob: No. He’s valued a lot higher than that. If my wife had the choice to get rid of me or get rid of Mr. Brown, it’s like no choice at all. Let’s go back to Bitcon and Beanie Babies. Which of those have value?
Maurice: Assuming for a child, they have some type of intrinsic value, but to someone purchasing it, I guess the current market price.
Bob: Well, no. Current market price could be absolutely incorrect.
Maurice: That’s correct because the value at one time was significantly higher.
Bob: Correct.
Maurice: Bob, you make a good point there.
Bob: The strange thing is, when Beanie Babies were selling for thousands of dollars, it was because they were mispriced because everybody was chasing the fear of missing out. You’ve must have Beanie Babies was the narrative at the time. The key here is, at the very worst, Beanie Babies still are 79 cent, or 89 cent, or 99 cent toys. So, let’s take that over to Bitcon and the 2,513 variations. What real value did they have? What intrinsic value is there there?
Maurice: I don’t see one.
Bob: Well, yeah. I see one. I know exactly what the real value is.
Maurice: And what is that?
Bob: You can too if you think about it.
Maurice: Alright, please share with us, sir.
Bob: Zero.
Maurice: That was my point.
Bob: You said you didn’t see it.
Maurice: My apologies, I was inferring, zero.
Bob: I went through and I re-read some of what I was saying last December. I did conducted a number of interviews because I was totally convinced Bitcon was at the top. I sought every measure that you would use to call the top of a bubble in December, but there were only 1,300 or 1,400 variations of Bitcon a year ago. That’s almost doubled, yet the price of Bitcon has gone from $20,000 to $3,400. Bitcon gone down over 80%, but is there anything preventing it from going to zero? Actually, the only thing preventing it is the number of fools in the world who still believe there is some value there.
There is no value there. There is nothing now. There was nothing a year ago, and there’s going to be nothing 10 years from now. Bitcon doesn’t have the value of a Beanie Baby, and this electronic Beanie Baby made of bits and bytes of no particular value, and the mere fact that it’s the biggest bubble in world history, okay, should tell you something. But, over $700 billion disappeared into Bitcon heaven.
Maurice: It’s important to note, as you were speaking here, I’m thinking, Bitcon, and a con artist tries to emulate and fool. When I look at every image I ever see of Bitcon, they make it look like a gold coin.
Bob: They make it look like a coin and the funny thing is, there weren’t any coins. There wasn’t anything.
Maurice: Absolutely. And, then they also use mining terms, like you’re mining bitcoin. That’s what imposter does. An imposter, as we’re referencing it appropriately here, Bitcon, the name fits very well.
Bob: But, here’s what really funny. There were two arguments. One is, that it’s some kind of electronic money, which it’s not. And the other is that it’s rare, and it’s certainly not rare, not with 2,513 variations of it. People are starting to wake up. But, it has been fraud from the get go. It was a bubble. The current bubble right now is marijuana. And, I’ll go you one better, and you’re going to have to guess at the answer here. What’s going to be the big bubble in 2019, or 2020, and 2021?
Maurice: Big bubble. You’re putting me on the spot here.
Bob: Damn straight I am.
Maurice: Let me ask you this then. Are we referring to a natural resource here, by chance?
Bob: Yep.
Maurice: For some reason, my initial instinct is saying lithium.
Bob: It’s already been on the bubble.
Maurice: Alright. If not lithium…
Bob: This new bubble is absolutely the equivalent of Bitcon and marijuana. We’re going to have a bubble that’s just going to go sky high. Everybody’s going to jump into, everybody’s going to think it’s the greatest thing in the world, and everybody’s going to buy it, and they’re going to drive the price up right to the root. What is it?
Maurice: Then, if it’s not lithium, then how about vanadium?
Bob: How about gold?
Maurice: Gold. Interesting. I was thinking more of on the base metals side here. Okay.
Bob: Here’s what’s crazy. Can you name a commodity that is incapable of going in a bubble?
Maurice: No, sir.
Bob: We’ve had stock market bubbles. We’ve had real estate market bubbles. We’ve had Bitcon bubbles. We’ve had marijuana bubbles. We had a silver bubble in 1980. Gold is going to have a bubble. Period. But, the purpose for me writing the book “Nobody Knows Anything” was to allow people to learn that they’re capable of thinking for themselves. There is going to come a time when gold’s expensive, silver’s expensive, platinum’s expensive, palladium’s expensive, rhodium’s expensive, and what do you do when they all get expensive?
Maurice: You should sell.
Bob: You better sell.
Maurice: Bob, as always, thank you for sharing your insights. Last question. What did I forget to ask?
Bob: You forgot to ask me about the book, “How to Invest In Natural Resource Companies.”
Maurice: Absolutely. What can you share with us?
Bob: What book?
Wife: What book?
Maurice: The book on “How to Invest In Natural Resource Companies.”
Bob: I think that’s a great idea. I think somebody really needs to dig in, get to work and start writing the book.
Maurice: Can you give us an update on that person who might be writing that book?
Bob: You’re coming in really broken. I’m having a hard time hearing you.
Maurice: Bob, you’ve got fill us in here. You’ve shared with us over a year ago that you’ll be writing a book, and a number of speculators have been waiting.
Bob: I can see your lips move, but I can’t hear anything you’re saying.
Maurice: For audience members, he’s pulling my leg here, and pulling your leg as well.
Bob: I have all the intentions in the world. I’ve started the book. I will do it.
Maurice: And you want to leave it at that? How about for 2019? Is that on the outlook there? Is that something on the horizon that. . .
Bob: Yeah. Yeah. 2019’s good. It give me a lot of time to come up with new excuses.
Maurice: Okay. Well, before we leave here, I reference Bob Moriarty’s two books, “The Art of Peace,” and “Nobody Knows Anything.” You can order your copy under our education tab. Proven and Probable does not receive any financial for selling or advertising. But, we see these books as a must have for your library. We’ve benefited financially from applying the axioms in the book. Bob, for someone listening who wants to get more information on your work, please share the websites.
Bob: 321 Gold, and 321 Energy. They’re free sites, and they are valuable.
Maurice: And, if you’re looking to sell or buy physical precious metals, we welcome a conversation. Please email me at maurice@milesfranklin.com or call me directly at 919-274-5680. And last but not least, please visit our website www.provenandprobable.com where we interview the most respected names in the natural resource space. If you would like to have a discussion regarding precious metals, please contact us at maurice@milesfranklin.com.
Bob Moriarty of 321 Gold, and 321Energy.com, thank you for joining us today on Proven and Probable.
Speaker 4: Thank you for joining us today on Proven and Probable. Remember to like and subscribe for more conversations with the most respected names in the natural resource space. Check out our website at www.provenandprobable.com. The information presented on Proven and Probable is provided for educational and informational purposes only without any expressed or implied warranty of any kind, including warranties of accuracy, completeness, or fitness for any particular purpose. The information is not intended to be and does not constitute financial, investment, or trading advice, or any other advice. You should not make any financial, investment, or trading decision based on any of the information presented without first undertaking independent due diligence and consultation with a professional broker of competent financial advisor.
Bob and Barb Moriarty brought 321gold.com to the Internet almost 16 years ago. They later added 321energy.com to cover oil, natural gas, gasoline, coal, solar, wind and nuclear energy. Both sites feature articles, editorial opinions, pricing figures and updates on current events affecting both sectors. Previously, Moriarty was a Marine F-4B and O-1 pilot with more than 832 missions in Vietnam. He holds 14 international aviation records.
Maurice Jackson is the founder of Proven and Probable, a site that aims to enrich its subscribers through education in precious metals and junior mining companies that will enrich the world.

Disclosure: 

1) Bob Moriarty: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: Miramont Resources, Irving Resources and Novo Resources. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: None. My company has a financial relationship with the following companies mentioned in this article: Miramont Resources, Irving Resources and Novo Resources are sponsors of 321 Gold and/or 321 Energy.
2) Maurice Jackson: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: Irving Resources and Novo Resources. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: None. My company has a financial relationship with the following companies mentioned in this article: Miramont Resources, Irving Resources and Novo Resources are sponsors of Proven and Probable. Proven and Probable disclosures are listed below.
3) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click herefor important disclosures about sponsor fees.
4) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
5) This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
6) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.
Proven and Probable LLC receives financial compensation from its sponsors. The compensation is used is to fund both sponsor-specific activities and general report activities, website, and general and administrative costs. Sponsor-specific activities may include aggregating content and publishing that content on the Proven and Probable website, creating and maintaining company landing pages, interviewing key management, posting a banner/billboard, and/or issuing press releases. The fees also cover the costs for Proven and Probable to publish sector-specific information on our site, and also to create content by interviewing experts in the sector. Monthly sponsorship fees range from $1,000 to $4,000 per month. Proven and Probable LLC does accept stock for payment of sponsorship fees. Sponsor pages may be considered advertising for the purposes of 18 U.S.C. 1734.
The Information presented in Proven and Probable is provided for educational and informational purposes only, without any express or implied warranty of any kind, including warranties of accuracy, completeness, or fitness for any particular purpose. The Information contained in or provided from or through this forum is not intended to be and does not constitute financial advice, investment advice, trading advice or any other advice. The Information on this forum and provided from or through this forum is general in nature and is not specific to you the User or anyone else. You should not make any decision, financial, investments, trading or otherwise, based on any of the information presented on this forum without undertaking independent due diligence and consultation with a professional broker or competent financial advisor. You understand that you are using any and all Information available on or through this forum at your own risk.

Categories
Base Metals Energy Exclusive Interviews

MIRAMONT RESOURCES | On the Search for a Major Copper Porphyry in Peru

Bill Pincus the President, Director, and CEO of Miramont Resources sits down with Maurice Jackson of Proven and Probable to discuss the latest exciting developments at the Cerro Hermoso and Lukkacha Projects. Specifically, we will highlight the recent press release the highly anticipated drilling permits for Cerro Hermoso.

VIDEO

AUDIO

TRANSCRIPT

On the Search for a Major Copper Porphyry in Peru 
Contributed Opinion

Source: Maurice Jackson for Streetwise Reports  (12/10/18)

Maurice JacksonBill Pincus, president and CEO of Miramont Resources, speaks with Maurice Jackson of Proven and Probable about his company’s latest exploration efforts in Peru.

Miramonte Cerro Hermoso

Miramonte Cerro Hermoso
Maurice Jackson: Joining us for a conversation is Bill Pincus, the president, director and CEO of Miramont Resources Corp. (MONT:CSE; MRRMF:OTCQB), which is developing new opportunities in world-class mining districts.
Bill, we have some great news to share with current and prospective shareholders, but before we begin, for first-time listeners, please share who is Miramont Resources, and what is the thesis you’re attempting to prove?
Bill Pincus: Miramont Resources is a junior exploration company. We have two copper gold projects in Peru. Both are relatively early-stage prospects. One (Cerro Hermoso) is ready to drill, and one is getting near ready to drill, so what we’re looking for, what our thesis is, we’re looking for large bulk tonnage that has the potential to be very significant type ore deposits.
Maurice Jackson: Bill, provide us with some historical context on the region in Peru where Miramont has its projects.
Lukkacha
Bill Pincus: We’re working in Southern Peru, which is known as one of the world’s great copper provinces. You have the giant mines of Toquepala, Cuajone, Cerro Verde, and Quellaveco is now being developed. These all produce hundreds of thousands of tons of copper metal annually. Our project, Lukkacha, is located right in this belt. We’re about 10 kilometers from one of the newer porphyry projects, by, I believe it’s Anglo American. But most importantly, we’re in one of the world’s great copper regions, so as an exploration company, we are the hunters, and if you’re going to hunt the elephants that we’re looking for, you want to be in the elephant country, and that’s exactly where we are.
Maurice Jackson: Walk us through both of your projects and the value propositions they present to the market, beginning with Cerro Hermoso.
Two prospects
Bill Pincus: Cerro Hermoso is our most advanced project. This is the one that we will begin drilling early next year. When we first started looking at it, we were looking at it because of some pretty significant gold values we were finding in rock chip and rock channel samples. But as the project has emerged over the past year, with our continued exploration, it’s really turned into a copper polymetallic project, copper-gold-silver, as well as some lead and zinc. But I think copper is the primary metal.
And it has the potential to be a very, very significant, large bulk tonnage deposit. That’s what we’re exploring for, and that’s what we hope to find. So, you know, we hope when we begin our first round of drilling, a discovery round of drilling, to identify significant subsurface mineralization.
Maurice Jackson: Tell us about your second project, Lukkacha.
Bill Pincus: Lukkacha, which is further to the southwest of Cerro Hermoso, is a classic copper porphyry system. We have now concluded a round of both reconnaissance mapping, followed up with detailed mapping, and what’s emerging is the classic picture of a copper porphyry system, in terms of the typical alteration patterns you would expect, the typical mineralization patterns you would expect, and the typical geologic patterns you would expect. So, we would like to do a little bit more work on this. We’ve done detailed geochemical sampling, detailed mapping, but we do want to take it to a round of geophysics.
We have drill targets emerging, but obviously, we want to refine that before we actually drill. So, if all goes according to plan, we think we’re looking at a completely new porphyry system, un-drilled, that is exhibiting many of the characteristics of similar systems nearby.
Maurice Jackson: On the 4th of December, Miramont received some great news for current and prospective shareholders. What can you share with us?
Bill Pincus: We got our drilling permit. This is for the Cerro Hermoso property. To be very honest with you, the process was just a tad longer than we had anticipated, and we had to jump through a few more hoops than we anticipated, but we did get our drilling permits. We’ve been in touch with the driller, and we should have a rig on site, ready to turn, in the second half of January, 2019.
Maurice Jackson: Mr. Pincus, I’m going to have a multilayered question here for you. What is the next unanswered question for Miramont Resources, when can we expect an answer, and what determines success?
Bill Pincus: Well, the next unanswered question is what do we find in the Cerro Hermoso drilling? We’ve done everything we possibly can, and we have great drill targets, but you know, the true test is what’s in the subsurface. So, that’s the next unanswered question. As I said, we should start drilling late January, so I would expect answers probably early March.
Maurice Jackson: And what will determine success, sir?
Bill Pincus: Well, success will be this is the first round of drilling in a project that’s never been drilled. You know, a great lengthy ore section would be huge success, but I think we have to get enough intercept and grade to make us firmly believe that our geologic model is correct, and that we can move forward and predict what will happen in the future from there.
Maurice Jackson: Switching gears, talk to us about the capital structure.
Bill Pincus: Miramont has 50 million shares outstanding. We have warrants priced at 45 cents that expire in Nov.19. We closed yesterday, at 26 cents Canadian. We have no debt, so I would call it a clean, simple capital structure. Most of the shares are fairly tightly held.
Maurice Jackson: What keeps you up at night that we don’t know about?
Bill Pincus: Unanswered questions. You know, this project, Cerro Hermoso, has been really a lot of fun for me, and it’s followed a pattern that I think is characteristic of excellent prospects, which is every time we go there, every time we take another look, every time we investigate something, we find something new that encourages us that there’s significant mineralization in the system. You know, we’ve done all that work. Now, we had to test that with a drill rig, and I guess that’s what keeps me up at night. What are we going to find with that drill rig?
Maurice Jackson: Last question. What did I forget to ask?
Bill Pincus: Well, I’m not sure. I can’t think of anything off the top of my head. I would say that if any readers have any questions, they can get onto our website, where they could book a phone call with either myself or our vice president, Tyson King, 604.398.4493, and we’ll be able to answer any follow-up questions they may have.
Maurice Jackson: And Bill, in regards to that, if investors do want to get more information about Miramont Resources, please do share the website address with us.
Bill Pincus: Quite simple, www.miramontresources.com.
Maurice Jackson: And as a reminder, Miramont Resources trades on the CSE symbol MONT, and on the OTCQB symbol MRRMF. Last but not least, please visit our website www.provenandprobable.com where we interview the most respected names in the natural resource space. You may reach us at contact@provenandprobable.com.
Bill Pincus of Miramont Resources, thank you for joining us today on Proven and Probable.
Maurice Jackson is the founder of Proven and Probable, a site that aims to enrich its subscribers through education in precious metals and junior mining companies that will enrich the world.

Disclosure: 

1) Bill Pincus: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: Miramont. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: Miramont.
2) Maurice Jackson: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: No. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: None. My company has a financial relationship with the following companies mentioned in this article: Miramont is a sponsor of Proven and Probable. Proven and Probable disclosures are listed below.
3) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click herefor important disclosures about sponsor fees.
4) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
5) This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
6) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.
Proven and Probable LLC receives financial compensation from its sponsors. The compensation is used is to fund both sponsor-specific activities and general report activities, website, and general and administrative costs. Sponsor-specific activities may include aggregating content and publishing that content on the Proven and Probable website, creating and maintaining company landing pages, interviewing key management, posting a banner/billboard, and/or issuing press releases. The fees also cover the costs for Proven and Probable to publish sector-specific information on our site, and also to create content by interviewing experts in the sector. Monthly sponsorship fees range from $1,000 to $4,000 per month. Proven and Probable LLC does accept stock for payment of sponsorship fees. Sponsor pages may be considered advertising for the purposes of 18 U.S.C. 1734.
The Information presented in Proven and Probable is provided for educational and informational purposes only, without any express or implied warranty of any kind, including warranties of accuracy, completeness, or fitness for any particular purpose. The Information contained in or provided from or through this forum is not intended to be and does not constitute financial advice, investment advice, trading advice or any other advice. The Information on this forum and provided from or through this forum is general in nature and is not specific to you the User or anyone else. You should not make any decision, financial, investments, trading or otherwise, based on any of the information presented on this forum without undertaking independent due diligence and consultation with a professional broker or competent financial advisor. You understand that you are using any and all Information available on or through this forum at your own risk.

Categories
Energy Oil & Gas

JERICHO OIL Announces 725 BOE per Day STACK Well Targeting Meramec Formation

TULSA, Okla., Dec. 10, 2018 (GLOBE NEWSWIRE) — Jericho Oil Corporation (“Jericho”) (TSX-V: JCO; OTC PINK: JROOF) announces through its Oklahoma STACK Joint Venture (“STACK JV”), that it has brought online a second high-rate single-mile lateral Meramec oil well within its contiguous Blaine County acreage position.

The Valkyrie 19-12-06 1H well is located within the STACK JV’s approximately 16,000 net acre position of the normally-pressured oil window of the STACK play.  The Valkyrie achieved a peak 24-hour rate of 725 oil-equivalent barrels (“BOE”) per day (55% oil).  The 30-day normalized rate (IP30) for this ~4,500 ft perforated lateral well was 625 BOE per day (52% oil).  Initial rates of productivity from the Valkyrie continue to strongly support the Company’s confidence in its multi-zone developments and the overall value of our coveted STACK acreage position.  The Valkyrie, in addition to the STACK JV’s previously announced Wardroom Meramec well, located 2 miles to the southeast, show consistent performance of the STACK resource, crucial to our Company’s long-term net asset value.
Jericho’s STACK JV owns a 24% working interest alongside Staghorn Petroleum II LLC (Staghorn) in the Valkyrie.
As a reminder, the Meramec and Osage formations, the principal targets of the STACK play, represent a combined oil-rich thick column of approximately 700 feet.  Our experience throughout 2018, by way of drilling and participating in both target-zone formation wells, has provided our STACK JV the proper catalysts of data to leverage into the Company’s 2019 development program.
Brian Williamson, CEO of Jericho Oil, stated, “Our focus in participating with best in class operators is working and we are extremely encouraged with the results of the Valkyrie and surrounding Meramec wells, proving the extent, both geographically and geologically, of the formation.  In addition to the Meramec, we continue to execute on successfully proving-up the large resource potential of the regionally deposited Osage formation.  Ultimately, 2018 has been an extremely productive year which has allowed our Company to have ever-increasing confidence in repeatable, multi-zone development of our STACK resource which, over time, should benefit our strong shareholder base.”
About Jericho Oil Corporation
Jericho Oil (www.jerichooil.com) is focused on domestic, liquids-rich unconventional resource plays, located primarily in the Anadarko basin STACK Play of Oklahoma.  Jericho’s primary business objective is driving long-term shareholder value through the growth of oil and gas production, cash flow and reserves.  Jericho has assembled an interest in 55,000 net acres across Oklahoma, including an interest in ~16,000 net acres in the STACK Play. Jericho owns a 26.5% interest in STACK JV.
Jericho’s current operations are focused on the oil-prone Meramec and Osage formations in the STACK.  The Jericho team applies advanced engineering analyses and enhanced geological techniques to under-developed resource areas.
Jericho, with operational headquarters in Tulsa, Oklahoma, trades publicly on the TSX Venture Exchange (JCO) and OTC Markets (JROOF). Jericho owns its net acre position in Oklahoma through, and participates in the STACK JV through, one or more wholly owned subsidiaries.
Cautionary Note Regarding Forward-Looking Statements: This news release includes certain “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and Canadian securities laws. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual events and results to differ materially from Jericho’s expectations include risks related to the exploration stage of Jericho’s project; market fluctuations in prices for securities of exploration stage companies; and uncertainties about the availability of additional financing.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
CONTACT:
Adam Rabiner,
Director, Investor Relations
1.800.750.3520
investorrelations@jerichooil.com

Categories
Base Metals Energy Precious Metals Project Generators

MILLROCK RESOURCES | Financing Opportunity

VIDEO

AUDIO

DISCLAIMER

Proven and Probable LLC receives financial compensation from its sponsors. The compensation is used is to fund both sponsor-specific activities and general report activities, website, and general and administrative costs. Sponsor-specific activities may include aggregating content and publishing that content on the Proven and Probable website, creating and maintaining company landing pages, interviewing key management, posting a banner/billboard, and/or issuing press releases. The fees also cover the costs for Proven and Probable to publish sector-specific information on our site, and also to create content by interviewing experts in the sector. Monthly sponsorship fees range from $1,250 to $4,000 per month. Proven and Probable LLC does accept stock for payment of sponsorship fees. Sponsor pages may be considered advertising for the purposes of 18 U.S.C. 1734.
The Information presented in Proven and Probable is provided for educational and informational purposes only, without any express or implied warranty of any kind, including warranties of accuracy, completeness, or fitness for any particular purpose. The Information contained in or provided from or through this forum is not intended to be and does not constitute financial advice, investment advice, trading advice or any other advice. The Information on this forum and provided from or through this forum is general in nature and is not specific to you the User or anyone else. YOU SHOULD NOT MAKE ANY DECISION, FINANCIAL, INVESTMENTS, TRADING OR OTHERWISE, BASED ON ANY OF THE INFORMATION PRESENTED ON THIS FORUM WITHOUT UNDERTAKING INDEPENDENT DUE DILIGENCE AND CONSULTATION WITH A PROFESSIONAL BROKER OR COMPETENT FINANCIAL ADVISOR. You understand that you are using any and all Information available on or through this forum AT YOUR OWN RISK.”
All Rights Reserved.

 

Categories
Base Metals Energy Precious Metals Project Generators

PROJECT GENERATOR | EMX Royalty Executes Regional Strategic Alliance Agreement with South32 Covering Arizona, New Mexico, and Utah

Vancouver, British Columbia–(Newsfile Corp. – December 6, 2018) – EMX Royalty Corporation (TSXV: EMX) (NYSE American: EMX(the “Company” or “EMX”) is pleased to announce the execution of a Regional Strategic Alliance agreement (the “Agreement”) between its wholly-owned subsidiary Bronco Creek Exploration, Inc. (“BCE”), and South32 USA Exploration Inc. (“South32”), a wholly-owned subsidiary of South32 Limited. The Agreement provides annual funding for generative work and acquisitions over a two year period, as well as a framework to advance projects of interest. Generative work will focus on copper and other base metal projects within the Laramide and Tertiary magmatic arcs of Arizona, New Mexico and Utah. Projects advanced to the drill program stage may be selected as Designated Projects. Designated Projects will advance under separate option agreements providing for work commitments and cash payments to EMX during South32’s earn-in period, and upon earn-in, a 2% net smelter return (“NSR”) royalty interest and pre-production and milestone payments to EMX’s benefit. South32 has initially selected five EMX copper projects in Arizona to begin advancing toward the drill program stage. Please see the attached map and www.EMXroyalty.com for more information.

Alliance and Commercial Terms Overview (all dollar amounts in USD). Under the terms of the Agreement, which has an initial term of two years, South32 will provide annual funding for generative work performed by EMX personnel to identify properties for exploration work (“Alliance Exploration Properties” or “AEPs”) within the Regional Strategic Alliance Area of Interest (“AOI”) that consists of the states of Arizona, New Mexico, and Utah, but excludes South32’s Hermosa project in southern Arizona. EMX personnel will conduct exploration activities on AEPs with additional funding from South32 in order to identify projects suitable for designation as Designated Projects. Each Designated Project will be covered by a separate option agreement pursuant to which South32 can acquire 100% of the project on the terms described below. All generative and AEP exploration activities will be guided by a Technical Committee consisting of two members from each company.

South32 will provide $800,000 per year to cover the generative work and the salaries of EMX personnel involved in AEP exploration work. South32 will also provide a separate annual acquisition fund of $200,000 to pay for the acquisition of new properties as approved by the Technical Committee. AEP exploration work will be funded separately through cash calls to South32 in amounts directed by the Technical Committee.

Designated Project Option Agreement Terms (all dollar amounts in USD). Each option agreement covering a Designated Project will provide that South32 can earn 100% interest in the project by reimbursing EMX’s holding costs upon execution of the option agreement, and making option payments totaling $525,000 and completing $5,000,000 in exploration expenditures during the five-year term of the option agreement.

Upon exercise of the option by South32, EMX will retain an uncapped 2% NSR royalty on the project (not subject to purchase or buy down) and receive annual advance royalty (“AAR”) payments equivalent to 50,000 pounds (“lbs”) of copper commencing on the first anniversary. All AAR payments are set off against 80% of future royalty payments. In addition, South32 will make milestone payments as follows (project milestones are to NI 43-101 reporting requirements):

  • 166,000 lbs of copper (or the cash equivalent) upon the completion of an initial resource estimate,
  • 333,000 lbs of copper (or the cash equivalent) upon completion of a prefeasibility study, and
  • 666,000 lbs of copper (or the cash equivalent) upon completion of a feasibility study.

Initial Alliance Exploration ProjectsFive Arizona porphyry-copper projects have been selected as AEPs by South32, including Midnight Juniper, Jasper Canyon, Sleeping Beauty, Dragons Tail, and Lomitas Negras. EMX and South32 are commencing work programs on the initial AEPs, as well as initiating a generative program to identify new projects for acquisition. Note, in the following project descriptions, although the referenced nearby mines and deposits provide geologic context for EMX’s properties, this is not indicative that the EMX properties host similar endowments of mineralization.

Midnight Juniper. The Midnight Juniper project lies at the north end of the Clifton-Morenci mining district, approximately one kilometer northwest of the Morenci open pit copper mine. The project geology consists of a dissected plateau of Tertiary age volcanic cover rocks overlying a series of Paleozoic sedimentary and Proterozoic metamorphic rocks that are exposed in an arcuate pattern at lower elevations along stream courses. Paleozoic carbonate rocks contain a number of manganese oxide-rich base metal occurrences in northeast oriented vein, replacement, and breccia bodies typical of the distal expression of porphyry copper systems. EMX’s reconnaissance mapping shows that these occurrences appear to vector towards a suspected porphyry source lying under Tertiary cover rocks in the center of the Midnight Juniper land position.

Jasper Canyon and Sleeping Beauty. The Jasper Canyon and Sleeping Beauty projects are located in the Globe-Miami mining district. Both properties lie on the flanks of the Schultz Granite intrusive complex, which is associated with numerous past and current producing copper mines and deposits in the Globe-Miami and Superior mining districts. Porphyry copper deposits in this region have been dismembered by numerous post-mineral faults that displace upper levels of the mineralized systems northeastward. The Jasper Canyon and Sleeping Beauty projects lie at the east end of a northern trend of fault bounded deposits that include Pinto Valley, Diamond H and Copper Cities. The Jasper Canyon project lies along the easternmost portion of this trend and represents a fault-bounded and largely covered portion of the suspected upper levels of a porphyry copper system in a previously unexplored portion of the district. The Sleeping Beauty project lies to the west of Jasper Canyon, and directly north of the Copper Cities open pit copper mine, and is interpreted to contain down-dropped blocks of mineralization north of the Sleeping Beauty fault. Other fault-bounded copper deposits in the district at similar structural levels include Copper Cities, Miami East, Van Dyke, and Old Dominion.

Dragons Tail. The Dragons Tail project is located in the Superior mining district, approximately eight kilometers north of the Resolution copper deposit and five kilometers southwest of Pinto Valley. EMX identified a 1.6 kilometer long zone of quartz-sulfide alteration within Proterozoic sedimentary rocks during reconnaissance work. The outcrops of quartz-sulfide veining lie beneath tilted Tertiary age volcanic and conglomeratic cover rocks. Historic drilling on the east side of the property intercepted transported copper-oxide mineralized clasts within Tertiary conglomerates, which suggests the source of the copper lies to the west of the drilling and likely down dip of the mineralized exposures.

Lomitas Negras. The Lomitas Negras project is located approximately ten kilometers southeast of the town of San Manuel, in a broad area of post-mineral cover rocks. The property is ringed by Laramide-age intrusive rocks and porphyry copper/skarn deposits that include San Manuel-Kalamazoo (~20 kilometers north), Copper Creek (~25 kilometers northeast), and Oracle Ridge (~10 kilometers southwest). Nearby outcrops exhibit alteration and anomalous base metal mineralization that characteristically occurs on the margins of porphyry copper systems. EMX’s recognition of the altered outcrops, combined with a new interpretation of the extensional structural setting of the area, led to the identification of concealed porphyry copper targets beneath the post-mineralization pediment cover.

About EMX. EMX leverages asset ownership and exploration insight into partnerships that advance our mineral properties, with EMX receiving pre-production payments and retaining royalty interests. EMX complements its royalty generation initiatives with royalty acquisitions and strategic investments.

The Regional Strategic Alliance Agreement with South32 is an excellent example of the execution of EMX’s royalty generation business model. The Company’s organically generated porphyry copper projects were acquired on open ground in productive mining districts, with value established through low cost, early-stage exploration work. The Agreement’s provisions for generative funding are coupled with the future upside potential for project work commitments, pre-production payments and retained royalty interests based upon exploration success to EMX’s and South32’s mututal benefit.

Mr. Dean D. Turner, CPG, a Qualified Person as defined by National Instrument 43-101 and consultant to the Company, has reviewed, verified and approved the disclosure of the technical information contained in this news release.

-30-

For further information contact:

David M. Cole
President and Chief Executive Officer
Phone: (303) 979-6666
Email: Dave@EMXroyalty.com

Scott Close
Director of Investor Relations
Phone: (303) 973-8585
Email:SClose@EMXroyalty.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

This news release may contain forward looking statements that reflect the Company’s current expectations and projections about its future results. These forward-looking statements may include statements regarding perceived merit of properties, exploration results and budgets, mineral reserves and resource estimates, work programs, capital expenditures, timelines, strategic plans, market prices for precious and base metal, or other statements that are not statements of fact. When used in this news release, words such as estimate, intend, expect, anticipate, will“, “believe”, “potential” and similar expressions are intended to identify forward-looking statements, which, by their very nature, are not guarantees of the Company’s future operational or financial performance, and are subject to risks and uncertainties and other factors that could cause the Company‘s actual results, performance, prospects or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. These risks, uncertainties and factors may include, but are not limited to: unavailability of financing, failure to identify commercially viable mineral reserves, fluctuations in the market valuation for commodities, difficulties in obtaining required approvals for the development of a mineral project, increased regulatory compliance costs, expectations of project funding by joint venture partners and other factors.

Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this news release or as of the date otherwise specifically indicated herein. Due to risks and uncertainties, including the risks and uncertainties identified in this news release, and other risk factors and forward-looking statements listed in the Company’s MD&A for the quarter ended September 30, 2018 (the“MD&A”), and the most recently filed Form 20-F for the year ended December 31, 2017actual events may differ materially from current expectations. More information about the Company, including the MD&A, the 20-F and financial statements of the Company, is available on SEDAR at www.sedar.com and on the SEC’s EDGAR website at www.sec.gov.

Figure 1: AEP projects and RSA AOI (Arizona, Utah, and New Mexico) with South32.

Cannot view this image? Visit: http://media.zenfs.com/en-US/homerun/newsfile_64/27ed3777461831dca4f03d98f4676ec3
Cannot view this image? Visit: http://media.zenfs.com/en-US/homerun/newsfile_64/27ed3777461831dca4f03d98f4676ec3

To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/1508/41446_figure1new.jpg

Categories
Base Metals Energy

URANIUM | U3O8 Corp. Reports a 23% Improvement in Vanadium Extraction Over the 2014 Preliminary Economic Assessment on its Laguna Salada Uranium-Vanadium Deposit

T

oronto, Ontario–(Newsfile Corp. – December 6, 2018) – U3O8 Corp. (TSX: UWE) (OTCQB: UWEFF) (“U3O8 Corp.” or the “Company“) is pleased to report initial results of test work on the extraction of uranium and vanadium from almost a metric tonne of mineralized gravel from the wholly-owned Laguna Salada deposit in Argentina.

The test work has been designed, and results monitored, by Mr. David Marsh, director of U3O8 Corp. whom, as former General Manager – Technical Project Development at Paladin Energy, was intimately involved in the design, construction and operation of two uranium production plants in Africa. This work represents a complete overhaul of the preliminary economic assessment (“PEA”) carried out by Tenova Mining and Minerals (Australia) Pty Ltd. in 2014. Mr. Marsh, with his vast practical experience, reviewed the PEA and felt that there was room for improvement and simplification of the flowsheet and processing plant design, resulting in potential to reduce estimated capital costs (“capex”) and operating costs (“opex”).

David Marsh commented, “I am delighted with the initial results from our test work on Laguna Salada gravel. The work program was designed to test ways of reducing estimated production costs by simplifying the former PEA process flow sheet. Our first step was to optimize the washing of the fine, uranium-vanadium – bearing material off the barren pebbles. The test results show that “scrubbing” the gravel for 5 minutes produces similar results as scrubbing for the 15 minutes modelled in the PEA. This two-thirds reduction in processing time could potentially reduce the cost of the associated equipment which was estimated at US$6.2 million in the PEA.”

“Our second step aimed to extract more of the uranium and vanadium contained in the gravel, and this proved successful with vanadium recovery increasing by 23%, and uranium marginally by 2%, over the PEA.”

The original Laguna Salada PEA reported life-of-mine cash costs of approximately US$22 per pound of uranium, net of vanadium, and a net present value of US$55 million at a 7.5% discount rate, with a US$136 million capital cost.

A PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the results of the PEA assessment will be realized.

Next Steps:

There are two main components to ongoing metallurgical test work:

  • Continued simplification of the Laguna Salada process flow sheet:
    • The life-of-mine operating cost, including royalties due to the State, were estimated at US$22 per pound of uranium, net of vanadium, in the PEA. Approximately 40% of this cost estimate is related to the management of sulphate (gypsum) that is present in the gravel, that competes with uranium and vanadium for the reagents used to leach the metals. So, finding a more cost-effective way of dealing with the sulphate is a priority in driving down production cost estimates. Alternative ways of controlling sulphate levels were examined and these results will be reported shortly;
    • The PEA modelled the processing of uranium and vanadium that was concentrated in very fine-grained (<0.075 millimetre (“mm”)) powder that proved to be relatively costly to process since excess water had to be squeezed from it in filter presses that are not only expensive, but are costly to operate. The PEA design included six filter presses at a cost of US$2.1 million per unit. The current work tested a much coarser (0.85mm grain size) uranium-vanadium – bearing component of the gravel from which excess water should drain much more readily, thereby likely reducing the number of filter presses required. Results of this work are also expected shortly;
    • Test work is now planned for the uranium/vanadium separation and refining processes where there is further potential to reduce capex and opex. More efficient and proven processes and equipment successfully employed elsewhere on similar types of uranium/vanadium mineralized bodies will be tested and the expectation is that they will prove every bit as efficient with the Laguna Salada material; and
  • Initial metallurgical test work is being done on unconsolidated sand and gravel samples from the relatively high-grade channels discovered beneath the layer of gravel on which the PEA was based. This will provide the first data as to how efficiently uranium and vanadium can be extracted from the channel fill. Results are expected in early January.

Technical Details of Test Work:

1. Bulk Sample

Approximately 950 kilograms of gravel was excavated from within three metres of surface from five locations within the resource footprint in the Guanaco sector of the Laguna Salada Deposit. Guanaco contains 94% of the total Laguna Salada resource tonnage (an Indicated and Inferred resource) and 87% of the contained Uranium. The material was bagged and shipped to Australian Nuclear Science and Technology Organisation (“ANSTO”) in Australia. The sample was homogenized prior to commencing the test work.

2. Test Work Aimed at Simplifying the Process Flow Sheet

Scrubbing at Laguna Salada refers to removal of fine uranium-vanadium – bearing powder that coats barren pebbles in the gravel. The scrubbed material was then screened to separate the pebbles from the fine component into which most of the uranium and vanadium is concentrated.

The flowsheet generated for the PEA involved a gravel-scrubbing process followed by screens and cyclones to separate the extremely fine (0.075mm) material from the gravel, along with two stages of filtration ahead of the uranium/vanadium leach circuit. David Marsh commented, “There is scope to simplify the process flowsheet making the future plant easier to operate.”

The recent work at ANSTO suggests that this circuit can be greatly simplified as follows:

  • Refining of the scrubbing process has reduced the residence time in the scrubbers from 15 minutes to only 5 minutes which will make the equipment smaller, cheaper and easier to operate as well as making the units more mobile;
  • Changing the cut-point after scrubbing to a 0.85mm screen separates the coarse, pebbly component of the gravel that constitutes 77% of its mass, from the <0.85mm material that represents 23% of the gravel’s mass. Although using the <0.85mm material involves processing almost three times the volume of material contemplated in the PEA, the size of the downstream equipment would increase only marginally because of the shorter residence time in each component of the equipment. Subsequent filtration and dewatering processes are likely to be simpler and should result in an overall cost reduction and improved process efficiencies (filtration results will be reported on shortly);
  • The <0.85mm material contains 89% of the original gravel’s uranium compared with 85% in the <0.075mm material modelled in the PEA. Alkaline leach extracted 94% of the contained uranium versus a marginally better 95% in the test work incorporated in the PEA. Overall, 84.5% of the gravel’s uranium was extracted from the 0.85mm material, compared with 82.5% in the PEA – an increase of 2%.
  • 46% of the gravel’s vanadium was concentrated into the <0.85mm component against 29% in the 0.075mm component used in the PEA model. Alkaline leach at ANSTO extracted 55% of the vanadium, lower than the 71% extraction used in the PEA. However, processing of the coarser 0.85mm material still led to a better vanadium recovery: 25% of the gravel’s vanadium was recovered from the 0.85mm material against 21% for the 0.075mm material used in the PEA – an increase of 23%;

Table 1. Summary of beneficiation and alkaline leach tests on <0.85mm material from a bulk sample of gravel from the Guanaco sector of the Laguna Salada Deposit.

Study % of gravel’s mass in fine-screened component Uranium Vanadium
% of metal in fine-grained component of gravel % of metal extracted by alkaline leach % overall extraction % of metal in fine-grained component of gravel % of metal extracted by alkaline leach % overall extraction
PEA 9% 85% 95% 82.5% 29% 71% 21%
Bulk sample 23% 89% 94% 84.5% 46% 55% 25%
Difference 260% 2% 23%

  

3. Alkaline Leach

The alkaline leach was done at a temperature of 80 degrees Celsius (175 degrees Fahrenheit) for 8 hours and maximum extraction of 94% was achieved after 6 hours.

Technical Information & Cautionary Note

The technical report referred to in this press release is entitled:

September 18, 2014 technical report: “Preliminary Economic Assessment of the Laguna Salada Uranium Vanadium Deposit, Chubut Province, Argentina.” The report is available on www.sedar.com and www.u3o8corp.com.

Dr. Richard Spencer, P.Geo., CGeol., President and CEO of U3O8 Corp. and a Qualified Person as defined by National Instrument 43-101, has approved the technical information in this news release relating to the Laguna Salada Deposit and the related PEA.

About U3O8 Corp.

U3O8 Corp. is focused on exploration and development of deposits of uranium and battery commodities in South America. Battery commodities that occur with uranium resources include vanadium, nickel, zinc and phosphate. The Company’s mineral resources estimates were made in accordance with National Instrument 43-101, and are contained in the following deposits:

  • Laguna Salada Deposit, Argentina – a PEA shows that this near surface, free-digging uranium-vanadium deposit has low production-cost potential; and
  • Berlin Deposit, Colombia – a PEA shows that Berlin also has low-cost uranium production potential due to revenue that would be generated from by-products of phosphate, vanadium, nickel, rare earths (yttrium and neodymium) and other metals that occur within the deposit.

Additional Information

Information on U3O8 Corp., its resources and technical reports are available at www.u3o8corp.com and on SEDAR at www.sedar.com. Follow U3O8 Corp. on Facebook: www.facebook.com/u3o8corp, Twitter: www.twitter.com/u3o8corp and YouTube: www.youtube.com/u3o8corp.

For further information, please contact:

Carolina Diaz at carolina@u3o8corp.com or phone (416) 868-1491 or Richard Spencer, President & CEO, U3O8 Corp., Tel: (647) 292-0225 richard@u3o8corp.com

Forward-Looking Statements

This news release includes certain “forward looking statements” related with the development plans, economic potential and growth targets of U3O8 Corp’s projects. Forward-looking statements consist of statements that are not purely historical, including statements regarding beliefs, plans, expectations or intensions for the future, and include, but not limited to, statements with respect to: (a) the low-cost and near-term development of Laguna Salada, (b) the Laguna Salada and Berlin PEAs, (c) the potential of the Kurupung district in Guyana and (d) the price and market for uranium. These statements are based on assumptions, including that: (i) actual results of our exploration, resource goals, metallurgical testing, economic studies and development activities will continue to be positive and proceed as planned, and assumptions in the Laguna Salada and Berlin PEAs prove to be accurate, (ii) requisite regulatory and governmental approvals will be received on a timely basis on terms acceptable to U3O8 Corp., (iii) economic, political and industry market conditions will be favourable, and (iv) financial markets and the market for uranium will improve for junior resource companies in the short-term. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in such statements, including, but not limited to: (1) changes in general economic and financial market conditions, (2) changes in demand and prices for minerals, (3) the Company’s ability to establish appropriate joint venture partnerships, (4) litigation, regulatory, and legislative developments, dependence on regulatory approvals, and changes in environmental compliance requirements, community support and the political and economic climate, (5) the inherent uncertainties and speculative nature associated with exploration results, resource estimates, potential resource growth, future metallurgical test results, changes in project parameters as plans evolve, (6) competitive developments, (7) availability of future financing, (8) exploration risks, and other factors beyond the control of U3O8 Corp. including those factors set out in the “Risk Factors” in our Annual Information Form available on SEDAR at www.sedar.com. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. U3O8 Corp. assumes no obligation to update such information, except as may be required by law. For more information on the above-noted PEAs, refer to the September 18, 2014 technical report titled “Preliminary Economic Assessment of the Laguna Salada Uranium-Vanadium Deposit, Chubut Province, Argentina” and the January 18, 2013 technical report titled “U3O8 Corp. Preliminary Economic Assessment on the Berlin Deposit, Colombia.”

Categories
Base Metals Energy Precious Metals Project Generators

PROJECT GENERATOR | EMX Royalty Provides Additional Disclosure on Discretionary Bonuses

Vancouver, British Columbia–(Newsfile Corp. – November 30, 2018) –  EMX Royalty Corporation (TSXV: EMX) (NYSE American: EMX) (the “Company” or “EMX”)provides additional disclosure regarding the US$3.8 million in bonuses announced in its asset portfolio and corporate update on November 28, 2018. This additional disclosure includes a summary of the rationale, approval process, recipients, and allocations related to the bonus.

Bonus Rationale

The Board awarded the bonuses to EMX’s management and staff in respect of their seven years of effort to monetize the Company’s investment in IG Copper LLC (“IGC”). Their efforts included:

(1) identification of the investment opportunity;
(2) providing significant technical oversight towards the discovery of a world class copper deposit at Malmyzh;
(3) raising the capital necessary to advance Malmyzh despite challenging markets and jurisdictional risks;
(4) coordinating the sales effort for Malmyzh over a period of several years;
(5) managing an exit with Freeport, including arranging an US$18.5 million bridge loan, which led to a greater return for all of IGC’s shareholders, not the least of which was EMX 40% shareholding; and
(6) assisting IGC with the successful sale of Malmyzh to a wholly owned subsidiary of Russian Copper Company (“RCC”) in October for US$200 million.

The transaction with RCC took 10 months to complete and required numerous complicated steps, including obtaining approval from the Russian Federal Anti-Monopoly Service. The successful outcome was due, in large part, to the significant efforts of EMX’s team, IGC’s team, and IGC’s advisors, Scotia Bank Europe plc and the London office of Norton Rose Fulbright LLP. In the opinion of EMX’s Board of Directors, this was sound and proper rationale for the bonuses paid.

Bonus Approval Process

Prior to the Malmyzh sales transaction, EMX’s management had developed a bonus plan for strategic investments whereby 7.5% of the after-tax profits of an individual investment could be paid as a bonus to EMX’s management and staff. As part of the bonus calculation, the Company’s cost basis was increased annually by 10% to reflect the time value of the investment.

The strategic investment bonus calculation, along with management’s recommended allocation of bonuses, was then submitted to the Compensation Committee of EMX’s Board for its review. The Compensation Committee is comprised of three independent directors. The Committee met several times over the past four months, both with management and independently of management, as part of the approval process. The Committee recommended the US$3.8 million bonus pool and allocation to the Company’s Board. The independent members of the Board unanimously approved the bonus pool and allocation with Dave Cole and Michael Winn abstaining from voting.

Bonus Allocation

The Board has awarded the bonuses to EMX’s Chairman and all of EMX’s management and staff (which includes support staff in Vancouver provided by Seabord Services Corp). Bonuses were not paid outside the Company.

The two largest awards were paid to David Cole and Michael Winn as they actively managed the Company’s investment in IGC for the past seven years. The Compensation Committee also felt it was important to award significant bonuses to senior management regardless of time spent on the investment as a win of this type is a team effort. The bonus allocations are as follows:

Name Position
Amount
(US$)
David M. Cole1 President & CEO 1,100,000
Michael Winn1 Chairman of the Board 1,000,000
Eric Jensen1 General Manager – Exploration 400,000
Dave Johnson1 Chief Geologist 400,000
Christina Cepeliauskas Chief Financial Officer 175,000
Jan Steiert Chief Legal Officer 175,000
Other EMX Staff 560,000
TOTAL 3,810,000

1 A portion of the bonuses to be paid to Dave Cole, Michael Winn, Eric Jensen,and Dave Johnson will be paid once the Company receives the final distribution by IGC related to escrowed funds.


About EMX.
 EMX leverages asset ownership and exploration insight into partnerships that advance our mineral properties, with EMX receiving pre-production payments and retaining royalty interests. EMX complements its royalty generation initiatives with royalty acquisitions and strategic investments.

The recent advancements of the Company’s asset portfolio underscore EMX’s focus on steadily increasing global revenue streams from strategic investments, royalties, and other payments. The Company’s goal is to substantially grow our cash flowing royalty portfolio while providing multiple opportunities for exploration and production success.

For further information contact:

David M. Cole
President and Chief Executive Officer
Phone: (303) 979-6666
Email: Dave@EMXroyalty.com

Scott Close
Director of Investor Relations
Phone: (303) 973-8585
Email:SClose@EMXroyalty.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

This news release may contain forward looking statements that reflect the Company’s current expectations and projections about its future results. These forward-looking statements may include statements regarding perceived merit of properties, exploration results and budgets, mineral reserves and resource estimates, work programs, capital expenditures, timelines, strategic plans, market prices for precious and base metal, or other statements that are not statements of fact. When used in this news release, words such as estimate, intend, expect, anticipate, will“, “believe”, “potential” and similar expressions are intended to identify forward-looking statements, which, by their very nature, are not guarantees of the Company’s future operational or financial performance, and are subject to risks and uncertainties and other factors that could cause the Company‘s actual results, performance, prospects or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. These risks, uncertainties and factors may include, but are not limited to: unavailability of financing, failure to identify commercially viable mineral reserves, fluctuations in the market valuation for commodities, difficulties in obtaining required approvals for the development of a mineral project, increased regulatory compliance costs, expectations of project funding by joint venture partners and other factors.

Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this news release or as of the date otherwise specifically indicated herein. Due to risks and uncertainties, including the risks and uncertainties identified in this news release, and other risk factors and forward-looking statements listed in the Company’s MD&A for the quarter ended September 30, 2018 (the“MD&A”), and the most recently filed Form 20-F for the year ended December 31, 2017actual events may differ materially from current expectations. More information about the Company, including the MD&A, the 20-F and financial statements of the Company, is available on SEDAR at www.sedar.com and on the SEC’s EDGAR website at www.sec.gov.