VANCOUVER, BC / ACCESSWIRE / October 5, 2023 / Rover Metals Corp. (TSXV:ROVR)(OTCQB:ROVMF)(FSE:4XO) (“Rover” or the “Company“) is pleased to announce that it has added 2,400 acres of new claims to its Let’s Go Lithium (“LGL”) project, bringing the total project size to approximately 8,300 acres.
LGL Project Expansion
Management of the Company, working with McGinley and Associates, dba UES (“UES”), identified additional prospective ground contiguous to the existing claim block this summer. Further to the Company’s news release of September 7, 2023, Culter, and Ingraffia prospected and sampled the new claim area as part of this summer’s expanded Phase 1 Exploration Program. Multiple hectorite-like clay outcrops and high-grade lithium surface samples were encountered in the staking area. The Company believes that the project expansion will take advantage of a deeper hydrologic water flow system in the area. Management will be including the new claims into its Plan of Operations submission to the Bureau of Land Management (“BLM”) which it plans to file in short order.
Judson Culter, CEO at Rover Metals, states, “The addition of 2,400 acres to the LGL project gives us the flexibility of abandoning certain existing mining claims that border the ACEC boundary of Ash Meadows. We never intended to mine or develop near to Ash Meadows, and moving the core of the LGL project further away from Ash Meadows sends a clear message that Rover is committed to developing the project in a manner that is sustainable for the surrounding area. UES, are helping Rover to ensure that there will be no impact to the critical water tables in the Amargosa basin. Rover and UES have obtained a copy of the environmental assessment study that the neighbouring mine, operated by Lhoist North America, is operating under. Management at Rover feels confident that sustainable lithium mining can be supported in the Amargosa Valley.”
A Call for Battery Recycling Partnerships and Joint Ventures
The eastern Amargosa Valley has been slated for solar farm energy development by the BLM. Solar energy, in addition to the existing hydro energy infrastructure in the area, allows for new development opportunities like EV raw materials battery recycling. Rover is seeking inbound requests to partner with recycling technology companies. Please contact info@rovermetals.com with inquiries. The LGL project is a one and half hour drive from the city of Las Vegas, one of the fastest growing cities in the U.S.
Rover is a publicly traded junior mining company that trades on the TSXV under symbol ROVR, on the OTCQB under symbol ROVMF, and on the FSE under symbol 4XO. The Company has a diverse portfolio of mining resource development projects with varying exploration timelines. Its critical mineral projects include lithium, zinc, and copper. Its precious metals projects include gold and silver. The Company is exclusive to the mining jurisdictions of the U.S. and Canada.
You can follow Rover on its social media channels:
This news release contains statements that constitute “forward-looking statements.” Such forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause Rover’s actual results, performance, achievements, or developments in the industry to differ materially from the anticipated results, performance, or achievements expressed or implied by such forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects,” “plans,” “anticipates,” “believes,” “intends,” “estimates,” “projects,” “potential” and similar expressions, or that events or conditions “will,” “would,” “may,” “could” or “should” occur. There can be no assurance that such statements prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements, and readers are cautioned not to place undue reliance on these forward-looking statements. Any factor could cause actual results to differ materially from Rover’s expectations. Rover undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates, opinions, or other factors, should change.
THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS NEWS RELEASE REPRESENTS THE EXPECTATIONS OF THE COMPANY AS OF THE DATE OF THIS NEWS RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON FORWARD-LOOKING INFORMATION AND SHOULD NOT RELY UPON THIS INFORMATION AS OF ANY OTHER DATE. WHILE THE COMPANY MAY ELECT TO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE LAWS.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OF THIS RELEASE.
Uranium and uranium mining stocks posted their best monthly results in two years, as the price of U3O8 reached a 12-year high.
The World Nuclear Association (WNA) estimates that uranium demand will double by 2040 and that Small Modular Reactors (SMRs) will add to this increase by as early as 2030.
Long-term uranium contracting is on the rise, with 2023 on track to surpass 2022, coinciding with a decade of underinvestment.
The West continues to make strategic moves to break free of reliance on Russia for uranium supplies and services.
Supply jitters are increasing given geopolitical concerns in Niger and the likelihood that increased production from Kazatomprom may likely cater to China and Russia.
Over the long term, increased demand in the face of a uranium supply crunch may likely support a sustained bull market.
*Performance for periods under one year not annualized. Sources: Bloomberg and Sprott Asset Management LP. Data as of September 30, 2023. You cannot invest directly in an index. Included for illustrative purposes only. Past performance is no guarantee of future results.
Uranium Surges Above $73, Reaching 12-Year Price High
The U3O8 uranium spot price surged 21.03% in September, climbing from US$60.63 to $73.38 per pound.1 This surge marks September as the most impressive month since September 2021. Performance was driven primarily by strong demand from utilities worldwide in the face of threats to supply. The uranium price is now as high as it had been just before the Fukushima Daiichi power plant disaster in 2011, when it was $73 per pound. YTD, U3O8 uranium spot has risen 51.88%.
Uranium mining equities posted even higher gains in September. The broad sector of uranium miners rose by 23.93%2, while junior uranium miners gained 25.43%.3 This outperformance is similar to prior bull market cycles when uranium equities provided leverage to the uranium spot price. YTD uranium miners and junior uranium miners have climbed 50.61% and 39.03%, respectively.
While other commodities suffered in September, largely due to China’s economic weakness, uranium remained insulated from China’s economic cycle and its secular and cyclical challenges (see sidebar). Over the longer term, physical uranium and uranium equities have demonstrated significant outperformance against broad asset classes, particularly other commodities. For the five years ended September 30, 2023, the U3O8 spot price has risen a cumulative 164.56% compared to 23.05% for the broader commodities index (BCOM), as shown in Figure 1.
Figure 1. Physical Uranium and Uranium Stocks Have Outperformed other Asset Classes over the Past Five Years (09/30/2018-09/30/2023) Source: Bloomberg and Sprott Asset Management. Data as of 09/30/2023. Uranium miners are measured by the Northshore Global Uranium Mining Index (URNMX index); U.S. Equities are measured by the S&P 500 TR Index; the U308 spot price is from TradeTech; U.S. Bonds are measured by the Bloomberg Barclays US Aggregate Bond Index (LBUSTRUU); Commodities are measured by the Bloomberg Commodity Index (BCOM); and the U.S. Dollar is measured by DXY Curncy Index. Definitions of the indices are provided in the footnotes. You cannot invest directly in an index. Included for illustrative purposes only. Past performance is no guarantee of future results.
The Key Drivers of Uranium’s Revival
September saw the uranium price soar past its most recent high of $63.77, posted in February 2022 shortly after Russia invaded Ukraine, to reach a 12-year high. This represents the continuation of the bull market that began in 2016 and is supported by long-term structural tailwinds gaining notable momentum in 2023. We also believe these tailwinds have the power to endure for several years to come, and we explore them in more detail below.
1. Higher Uranium Demand Forecasts
The WNA released its biennial Nuclear Fuel Report in September, which industry professionals rely on for critical insights into the market. In this Report, the WNA increased its forecasted demand for uranium to nearly double by 2040.6 One of the key new contributors to this increase in demand was the Report’s inclusion of SMRs for the first time.
2. The Rise of Small Modular Reactors (SMRs)
SMRs represent a cutting-edge evolution in nuclear technology and have the potential to amplify nuclear energy’s role and boost uranium demand. The International Atomic Energy Agency (IAEA) characterizes “small” reactors as those with a capacity of up to 300 MW(e) per unit — roughly a third of conventional nuclear reactors’ size. The modular design of SMRs means components can be prefabricated in factories and transported for on-site assembly, reducing costs and construction time. This adaptability positions SMRs to deliver clean energy to areas previously out of reach for conventional nuclear plants and offers a promising approach to decarbonizing industrial processes.
SMRs represent a burgeoning technology, with various innovative designs in development worldwide. The heightened uranium demand from SMRs is anticipated to manifest toward decade’s end and intensify into the 2030s. The World Nuclear Association (WNA) projects that SMRs might constitute up to 5% of the global nuclear capacity by 2040. However, given the infancy of the SMR industry, predictions differ. For instance, a recent forecast by BMO suggests a potential of 9%.
3. The Uranium Contracting Cycle is Accelerating
Since Russia’s 2022 invasion of Ukraine, procurement strategies have come under sharp focus. While Russia contributes only 5% to global U3O8 production, it dominates with 27% of worldwide uranium conversion capacity and 39% of fuel enrichment. Even without formal sanctions on Russian uranium and with existing contracts still intact, utilities have proactively refrained from establishing new agreements with Russian entities. In 2022, due to Russia’s significant presence in conversion and enrichment, utilities prioritized these areas over U3O8.
Today, the conversion and enrichment markets are still very tight, but some positive developments have occurred. In terms of conversion — when U₃O₈ is converted to UF₆ in preparation for enrichment — the market is nearly evenly divided between Russia’s Rosatom State Nuclear Energy Corporation (ROSATOM), France’s Orano SA, China National Nuclear Corporation (CNNC) and Canada’s Cameco Corporation. A few months ago, ConverDyn restarted in the United States to help address the conversion supply-demand imbalance and is expected to reach 11% of global UF6 production by 2026. In terms of enrichment — when gaseous UF₆ is used to enrich uranium to a U-235 concentration of about 3-5% — the majority of the capacity is split between ROSATOM, Urenco (UK), Orano and CNNC. Urenco and Orano, in particular, serve Western markets that plan to transition away from Russian conversion services. Both companies have also recently announced expansions in enrichment capabilities.
The costs of conversion and enrichment services skyrocketed after Russia invaded Ukraine. We believe these price increases, positive Western conversion and enrichment developments, and a potential shift from underfeeding to overfeeding have helped boost U3O8 prices. Although utilities remain conscious of the tight conversion and enrichment markets, they are expanding their focus to procuring U3O8.
Utilities and uranium producers generally contract in the term market, representing uranium sold under long-term, multi-year contracts with deliveries starting one to three years after the agreement is made. By contrast, a spot market contract is generally for one delivery priced at the time of purchase. Prior to the Russian invasion of Ukraine, uranium term contracting was suppressed for almost a decade. 2022 had the greatest volume of term contracting in a decade at 125 million pounds of U3O8e. 2023 YTD (as of September 30) is set to surpass this, with current term contracting at 121 million pounds of U3O8e.7
This increase in uranium term contracting should be viewed against a decade of underinvestment in uranium supply and decades of mine production that fell below world nuclear reactor requirements. The increased contracting has squeezed the market into a very tight state, and we believe it will continue to push uranium prices higher, incentivizing new production.
Notably, most term contracting YTD has been done by countries outside the U.S. However, U.S. contracting may be a future tailwind as the U.S. needs to replace inventory. Currently, the U.S. depends entirely on sourcing uranium from other countries for what represents the largest reactor requirements in the world, as shown in Figure 2.
Figure 2. Uranium Production, Less Reactor Requirements, by Country
Source: World Nuclear Association. Production for 2022, reactor requirements estimate for 2023.
4. Uranium Supply Jitters Multiply
Although the strengthening uranium price is stimulating a supply response, recent developments underscore the complexities of introducing new supply streams and the importance of securing supply. Historically, uranium from Kazakhstan, the world’s top producer, was chiefly routed through Russia for Western markets. While this transit method persists, potential disruptions loom due to possible sanctions and challenges in shipping and insurance. Given that Kazakhstan accounts for 44% of global U3O8 production, any supply disturbances could profoundly affect the market.
Supply disruptions in this tight contracting market are having a significant impact. The coup d’état in Niger has drawn international sanctions against the military junta that has hampered logistics in the country and forced Orano to halt uranium processing in Niger.8 Though Orano is reported to have enough inventory to satisfy near-term commitments, the situation in Niger is still developing, and the potential for future disruptions in shipments amplifies the need for security of supply. In other supply news, Cameco has announced a 2.7-million-pound uranium shortfall for 2023 from its Cigar Lake and McArthur River miners.9
In response to the rising demand for uranium, NAC Kazatomprom JSC (Kazatomprom), the globe’s largest uranium producer, has declared an uptick in production. By 2025, it aims to fulfill 100% of its subsoil use contracts, marking the conclusion of seven years operating below contract ceilings. This move will boost Kazatomprom’s projected mine output in 2025 to 30,500-31,500 tonnes, up from the 20,500-21,500 tonnes forecasted for 2023.10 Kazatomprom has struggled to meet its production targets in recent years, given an ongoing shortage of sulphuric acid and piping. Given the industry’s current emphasis on diverse supply sources and geopolitical factors, we anticipate that a significant portion of Kazatomprom’s augmented production will cater to China and Russia rather than Western utilities.
In the long run, as existing mines are exhausted, the uranium supply will hinge more on the revival of dormant mines and the establishment of new ones. Recent challenges, such as those faced by Cameco and Peninsula Energy in restarting mines, or the delay in Global Atomic’s Dasa project in Niger, coupled with the lengthy 8- to 15-year timeline from discovery to production, underscore the industry’s struggle to ramp up uranium output.
Inventories have long played a role in balancing the market, but as Uranium Insider founder and publisher Justin Huhn put it, “the only inventory that exists right now in the world is strategic — this is held by nuclear utilities, and their inventories historically speaking are relatively low”.11 Further, secondary supplies generally are forecasted to play a diminishing role by the World Nuclear Association. Current levels at 11-14% of reactor uranium requirements are moving to 4-11%.
The Long-Term Uranium Demand Thesis is Well Supported
Ultimately, the demand for uranium and nuclear energy is rooted in the need for electricity. According to a September International Energy Agency (IEA) report, global electricity demand may grow 164.66% by 2050, relative to 2022.12 Electricity demand is expanding with population growth and as developing nations modernize and urbanize.
Growing Need for Cleaner Electricity
Furthermore, 97 countries representing 79.3% of global greenhouse gas emissions have communicated a 2050 net-zero emissions target.13 In order to fulfill these commitments and decarbonize, committed nations will have to transition their energy supply to low-emissions electricity. This means decarbonizing transport (i.e., transitioning to electric vehicles), heating and industry. Considering other positive factors, like technological advancements, enables us to believe that the demand for electricity will likely be well supported for decades.
The Nuclear Energy Renaissance
Given the positive electricity outlook, nuclear energy’s forecasted prevalence is the next step in uranium’s outlook. Historically, nuclear had significant growth from the 1970s to 1990s but then plateaued since 2000 (Figure 3). Going forward, the nuclear energy industry is forecasted to be ushered back into an era of increasing demand.
Figure 3. Nuclear Energy Generation in Gigawatts (GW) Source: Ember data prior to 2022. Post 2021 from the IEA “Net Zero Roadmap: a Global Pathway to Keep the 1.5 °C Goal in Reach – 2023 Update”.
Other industry participants are even more bullish with a “Net Zero Nuclear” initiative launched in September calling for global nuclear capacity to triple by 2050.14 The case for greater nuclear generation has been building for some time. Nuclear energy is:
Clean: producing similar CO2 equivalent emissions to renewables
Reliable: provides reliable baseload energy to offset intermittency from increasing renewable energy sources
Efficient: high energy density reducing the impact of extraction and transport
Safe: nuclear energy’s impeccable long-term safety track record is gaining acceptance
Nations have been planning to decarbonize and realize they need reliable baseload power, which nuclear is primed to provide (see Figure 4). After the Russian invasion of Ukraine in February 2022, many European countries realized how problematic reliance on Russian natural gas was and that nuclear power offered greater energy security.
Figure 4. Public Acceptance for Nuclear Power, 2011 vs. 2022
Source: Source: TradeTech. Data as of 12/31/2022.
These realizations have resulted in an increased appetite for nuclear reactors, and there now are 60 under construction and another 110 planned globally, relative to 436 operating today.15 Notably, China accounts for a significant portion of these, with 24 under construction and 44 planned. China may be leading the development of new reactors, but significant demand is attributable to other countries due to reactor extensions and restarts.
Extending the Life of Existing Nuclear Plants and Restarts
Most nuclear power plants have an operating lifetime of 25 to 40 years, but many can be extended to 60 years or, in the U.S., 80. For example, the U.S.’s Diablo Canyon nuclear power plant has been in operation since 1985 and was scheduled to close by 2025, but regulators gave an extension to operate for five more years.16 Further, Pacific Gas & Electric is seeking permission to operate for up to 20 additional years. The extensions of planned operating lifetimes incrementally increase the demand for uranium. The Nuclear Fuel Report stated that upward of 140 reactors could be subject to extended operation in the period to 2040.17
Nuclear reactor restarts have also contributed to the increasing demand for uranium. Many countries have now made U-turns in their nuclear energy policies and are restarting reactors that were closed in the decade past. The quintessential example of this is Japan. Japan has restarted 11 nuclear reactors, and another 16 are at various stages in the process of restart approval.18 Japan was not the only example of a country reversing its nuclear energy policy. South Korea fully reversed its nuclear phaseout policy and expanded its program.
Overall, positive sentiment toward nuclear energy has been growing for some time, and we believe it is likely to persist in the decades to come. With support for the nuclear industry increasing, we expect that market participants will have to shift their psychology to contend with higher demand for uranium supporting higher prices. Utilities may not be able to complacently draw down existing inventories in the hope that uranium prices will come down. Over the long term, increased demand in the face of an uncertain uranium supply may likely support a sustained bull market (Figure 5).
Figure 5. Uranium Bull Market Continues (1968-2023) Please click here to see an enlarged chart. Note: A “bull market” refers to a condition of financial markets where prices are generally rising. A “bear market” refers to a condition of financial markets where prices are generally falling. Source: TradeTech. Data as of 09/30/2023. TradeTech is the leading independent provider of uranium prices and nuclear fuel market information. The uranium prices in this chart dating back to 1968 are sourced exclusively from TradeTech; visit https://www.uranium.info/.
Appendix A. The Uranium Fuel Cycle
Source: Sprott Asset Management.
U₃O₈, commonly referred to as “yellowcake,” is a product of the first stage of the nuclear fuel cycle and is derived from mined uranium ore. Before it can be used in nuclear reactors, U₃O₈ undergoes a series of processes:
Conversion to UF₆ (Uranium Hexafluoride): U₃O₈ is typically converted to UF₆ in preparation for enrichment. This is because UF₆ is gaseous at relatively low temperatures, facilitating the isotopic separation process used in enrichment.
Enrichment: The natural concentration of the fissile isotope, U-235, in U3O8 is approximately 0.7%. Most commercial nuclear reactors require uranium to be enriched to a U-235 concentration of about 3-5%. This enrichment is done with gaseous UF₆.
Conversion to UO₂ (Uranium Dioxide): After enrichment, UF₆ is converted to UO₂. This uranium dioxide is then processed and fabricated into fuel pellets, which are subsequently loaded into fuel rods for use in nuclear reactors.
Source: World Nuclear Association.
BY JACOB WHITE | WEDNESDAY, OCTOBER 4, 2023
Footnotes
1
The U3O8 uranium spot price is measured by a proprietary composite of U3O8 spot prices from UxC, S&P Platts and Numerco.
2
The North Shore Global Uranium Mining Index (URNMX) was created by North Shore Indices, Inc. (the “Index Provider”). The Index Provider developed the methodology for determining the securities to be included in the Index and is responsible for the ongoing maintenance of the Index. The Index is calculated by Indxx, LLC, which is not affiliated with the North Shore Global Uranium Miners Fund (“Existing Fund”), ALPS Advisors, Inc. (the “Sub-Adviser”) or Sprott Asset Management LP (the “Adviser”).
3
The Nasdaq Sprott Junior Uranium Miners™ Index (NSURNJ™) was co-developed by Nasdaq® (the “Index Provider”) and Sprott Asset Management LP (the “Adviser”). The Index Provider and Adviser co-developed the methodology for determining the securities to be included in the Index and the Index Provider is responsible for the ongoing maintenance of the Index.
4
The Bloomberg Commodity Index (BCOM) is a broadly diversified commodity price index that tracks prices of futures contracts on physical commodities, and is designed to minimize concentration in any one commodity or sector. It currently has 23 commodity futures in six sectors.
5
The S&P 500 or Standard & Poor’s 500 Index is a market-capitalization-weighted index of the 500 largest U.S. publicly traded companies.
Thirteen months ago at the first of September of 2022 silver hit a DSI (Daily Sentiment Indicator) of 9 for three days in a row. I said it was a bottom for silver. Stocks continued lower the month of September but my call on September 1st was correct. The DSI had correctly timed the bottom of silver to the day.
I’ll say it again. Dolly Varden (DV-V) is silver. Dolly Varden was $.355 at the low at the end of September last year and it went to $1.25 a tiny six months later. Dolly Varden is going to do exactly the same thing again. The crash I predicted nine weeks ago is here. It has started in a different form than I anticipated when on September 20th it was reported that the Fed Funds rate was going to stay higher for longer. This time it is shooting treasury rates and the dollar higher and forcing weak hands to dump silver and gold just like it did back in 2008. Treasury rates are going to continue to climb with the dollar index until the system blows sky high. Soon everyone is going to realize there is no soft landing coming. Investors will be looking for a safe haven and the only safe haven in town is the metals.
Dolly Varden is an interesting company in that it is 93% owned by insiders and large funds leaving a tiny float of only 7%. Fury owns 23% in exchange for Homestake. Hecla maintains a 10% interest as does Eric Sprott. Various institutions own another 50%. The shares are down 50% from a high in April without anything bad happening to the company. I make a point in my books that if nothing else changes and the price goes down of a stock you really like, that’s a good thing.
The company has a resource today of 140 million Ag EQ ounces based on the 43-101 released in 2019. It’s half gold and half silver. Since that now ancient resource, Dolly has drilled another 100,000 meters. Results from 40,000 meters of drilling will be released soon from over 100 holes. Dolly is in both the SIL and SILJ indexes which is why institutions are so heavily invested in the company. If they want to show a silver side, they pretty much have to own Dolly.
The silver intercepts continue to be world class. The last press release showing results from the Wolf Vein show 381 g/t Ag over 29.0 meters. At the surface the Wolf Vein was only 9 meters but 75 meters down it widened to 29 meters. That will add a lot of ounces.
Dolly Varden is an advertiser and I participated in the last private placement. Do your own due diligence, of course I am biased.
VANCOUVER, BC / ACCESSWIRE / October 3, 2023 / Blackwolf Copper and Gold Ltd. (“Blackwolf“, or the “Company“) (TSXV:BWCG),(OTC PINK:BWCGF) is pleased to announce that it has completed its initial drilling program targeting the Swann Zone on the Harry Property, recently acquired as part of the Optimum Ventures transaction. Seven drill holes were completed from two drill pads for a total of 1,740 meters of drilling, with each hole encountering significant mineralization. The sixth drill hole encountered coarse visible gold, including an approximately 10cm long streak at roughly 140 meters depth. This drill hole was approximately 250 meters from a 2021 diamond drill hole completed by Optimum Ventures at the Swann Zone which encountered 15.64 meters of 1437 g/t Silver Equivalent* (3.1 g/t Au, 433.4 g/t Ag, 0.60% Cu, 7.17% pb and 8.74% Zn) beginning at 8.75 meters depth. The Harry Property is located in the Golden Triangle, northwest of Stewart BC; it has road access and is situated between the past-producing Scottie Gold Mine and the historic Premier Gold Project, currently in re-development. Assays are pending and initial results are expected in the coming weeks.
The Swann Zone is a northwest trending structural corridor, typified by multiple, overlapping phases of quartz and sulphide veins. The sixth drill hole encountered coarse, visible gold in one of these vein phases. Based on previous surface sampling and limited drilling by Optimum Ventures, these different vein phases can host significant gold, silver and/or base metal-rich mineralization that can include pyrite, galena, sphalerite, tetrahedrite and other sulphosalt minerals. These multiphase, structurally complex and evolved metallogenic systems have similarities toother high-grade gold-silver deposits in the Golden Triangle such as Brucejack and Premier.
Figure 1. Harry Property, Regional Geology and significant deposits/mines.
Blackwolf’s CEO Morgan Lekstrom states, “The presence and quantity of visible gold in the drill core at the Swann Zone is promising. We eagerly await assay results from the Swann Zone, where drilling has expanded the strike length by an impressive 250 meters and remains open for expansion in all directions.”
*Silver Equivalent values were calculated by Optimum using Au USD/oz $1,977.40, Ag USD/oz $25.82, Cu USD/lb $4.72, Pb USD/lb $1.12, Zn USD/lb $2.05. All values are reported in USD and do not consider metal recoveries (see Optimum press release of April 20, 2022).
QA/QC and Qualified Person Analytical work for the Harry Project drill core samples will be completed by two analytical laboratories: MSA Labs of Langley, BC, and Bureau Veritas of Vancouver, BC, both of whom are certified analytical service providers.
At MSA Labs, samples will be prepared using procedure PRP-910 (dry, crush to 70% passing 2mm, riffle split off 250g, pulverize split to better than 85% passing 75 microns) and analyzed by method FAS-111 (30g fire assay with AAS finish) for gold and IMS-230 (1.0g, 4-acid digestion and ICP-MS analysis, 48 elements). Any samples containing >10g/t Au will be reanalyzed using method FAS-415 (30g Fire Assay with gravimetric finish). Samples containing >100 ppm Ag and/or >1% Cu, Pb, & Zn will be reanalyzed using method ICF-6 (0.2g, 4-acid digest and ore grade ICP-AES analysis). Samples containing >1000 g/t Ag will be reanalyzed using method FAS-418 (30g fire assay with AAS finish) and samples containing >20% Pb will be reanalyzed using method STI-8Pb (volumetric titration).
At Bureau Veritas, samples will be prepared using PRP70-250 (dry, crush to 70% passing 2mm, riffle split off 250g, pulverize split to better than 85% passing 75 microns) and analyzed by method FA-430 (30g fire assay with AAS finish) for gold and MA-200 (0.25, multi-acid digestion and ICP-ES/MS analysis, 45 elements). Any samples containing >10g/t Au will be reanalyzed using method FA530 (30g Fire Assay with gravimetric finish). Samples containing >100 ppm Ag and/or >1% Cu, Pb, & Zn will be reanalyzed using method MA-370 (1.0g, 4-acid digestion and ore grade ICP-AES analysis). Samples containing >1000 g/t Ag will be reanalyzed using method FA-530 (30g fire assay with AAS finish) and samples containing >20% Pb will be reanalyzed using method GC817. Samples with visible gold will be subject to method FS-632, a screen metallics analysis with duplicate minus fractions analyzed, and 30g fire assay for gold.
The 2023 Drilling Program at the Harry Property was completed using industry standard procedures, including a quality assurance/quality control (“QA/QC”) program consisting of the insertion of certified standard, blanks and duplicates into the sample stream. The Qualified Person has reviewed the data and detected no significant QA/QC issues.
Andrew Hamilton, P.Geo., Consultant to the Company, a Qualified Person under NI 43-101, has reviewed and approved the scientific and technical content of this release.
Investor Awareness and Marketing Agreement Blackwolf has retained i2i Marketing Group LLC (“i2i”) to provide ongoing marketing services including online content distribution and advertising. i2i will work to facilitate investor awareness about the Company and its exploration assets. i2i has been paid USD $250,000 to develop required content and for advertising for the two months or until such funds last. After exhaustion of the initial funds the budget may be adjusted monthly based on market conditions and Company requirements. The Company will not issue any securities to i2i in consideration for the marketing services. i2i does not have any prior relationship with the Company and the Company and i2i deal at arm’s length. i2i is based out of Odessa, Florida.
About Blackwolf Copper & Gold Ltd. Blackwolf’s founding vision is to be an industry leader in transparency, inclusion and innovation. Guided by our Vision and through collaboration with local and Indigenous communities and stakeholders, Blackwolf builds shareholder value through our technical expertise in mineral exploration, engineering and permitting. The Company holds a 100% interest in the high-grade Niblack copper-gold-zinc-silver VMS project, located adjacent to tidewater in southeast Alaska as well as six Hyder Area gold-silver and base metal properties in southeast Alaska and northwest British Columbia in the Golden Triangle, including the Cantoo and Harry properties. For more information on Blackwolf, please visit the Company’s website at www.blackwolfcopperandgold.com.
On behalf of the Board of Directors of Blackwolf Copper & Gold Ltd.
“Morgan Lekstrom” CEO and Director
For more information, contact:
Morgan Lekstrom 250-574-7350 (Mobile) 604-343-2997 (Office) MLL@bwcg.ca
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.
Cautionary Statement Regarding Forward-Looking Information This release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements relate to future events or future performance and reflect the expectations or beliefs of management of the Company regarding future events. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as “intends” or “anticipates”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “should”, “would” or “occur”. This information and these statements, referred to herein as “forward‐looking statements”, are not historical facts, are made as of the date of this news release and include without limitation, statements relating to the properties located in the Golden Triangle area and the Company’s future objectives and plans.Forward‐looking statements involve numerous risks and uncertainties and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things, market volatility; the state of the financial markets for the Company’s securities; fluctuations in commodity prices and changes in the Company’s business plans.In making the forward-looking statements in this news release, the Company has applied several material assumptions that the Company believes are reasonable, including without limitation, that the Company will continue with its stated business objectives and its ability to raise additional capital to proceed. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial outlook that are incorporated by reference herein, except in accordance with applicable securities laws. The Company seeks safe harbor.
For more information on the Company, investors should review the Company’s continuous disclosure filings that are available at www.sedarplus.ca.
KELOWNA, BC / ACCESSWIRE / October 2, 2023 / Diamcor Mining Inc. (TSXV:DMI)(OTCQB:DMIFF)(FRA:DC3A), (“Diamcor” or the “Company”), a well-established Canadian diamond mining company with a proven history in the mining, exploration, and sale of rough diamonds announces that the Company intends to complete a term loan financing (the “Financing”) of up to CDN$5,000,000. Term loans under the Financing will be unsecured with a 36-month term and will carry an annual interest rate of 10% with interest only payments required at 12 and 24 months. The principal and remaining interest of the Term Loans will be due and payable on the 36-month anniversary of the closing date. The Company will issue one (1) bonus share in its authorized share capital for every CDN$1.00 of principal advanced, along with one (1) share purchase warrant for every CDN$1.00 of principal advanced under the Financing by participants/lenders pursuant to Policy 5.1 of the TSX Venture Exchange Corporate Finance Manual. Each share purchase warrant will entitle the holder thereof to purchase one (1) Class “A” Voting Common share in its authorized capital at a price of $0.25 per share for a period of 36 months.
The proceeds from the Financing will be used for general corporate purposes, the deployment of additional operational equipment to support increased processing volumes, the continued advancement of the work programmes currently underway at the Company’s Krone-Endora at Venetia Project, and to provide the Company with additional working capital to offset the time frames associated with the tendering and sale of rough diamonds.
The Financing is subject to regulatory approval of the TSX Venture Exchange along with completion of all definitive documentation and filings as required. All securities issued pursuant to the above will be subject to a hold period of four months plus one day following the closing.
About Diamcor Mining Inc.
Diamcor Mining Inc. is a fully reporting publicly traded Canadian diamond mining company with a well-established proven history in the mining, exploration, and sale of rough diamonds. With a long-term strategic alliance with world famous Tiffany & Co, the Company’s primary focus is on the mining and development of its Krone-Endora at Venetia Project which is co-located and directly adjacent to De Beers’ Venetia Diamond Mine in South Africa. The Venetia diamond mine is recognized as one of the world’s top diamond-producing mines, and the deposits which occur on Krone-Endora have been identified as being the result of the shift and subsequent erosion of an estimated 50M tonnes of material from the higher grounds of Venetia to the lower surrounding areas in the direction of Krone and Endora. The Company focuses on the acquisition and development of mid-tier projects with near-term production capabilities and growth potential and uses unique approaches to mining that involves the use of advanced technology and techniques to extract diamonds in a safe, efficient, and environmentally responsible manner. The Company has a strong commitment to social responsibility, including supporting local communities and protecting the environment.
About the Tiffany & Co. Alliance
The Company has established a long-term strategic alliance and first right of refusal with Tiffany & Co. Canada, a subsidiary of world-famous New York based Tiffany & Co., to purchase up to 100% of the future production of rough diamonds from the Krone-Endora at Venetia Project at market prices. In conjunction with this first right of refusal, Tiffany & Co. Canada also provided the Company with financing in an effort to advance the Project as quickly as possible. Tiffany & Co. is now owned by Moet Hennessy Louis Vuitton SE (LVMH), a publicly traded company which is listed on the Paris Stock Exchange (Euronext) under the symbol LVMH and on the OTC under the symbol LVMHF. For additional information on Tiffany & Co., please visit their website at www.tiffany.com.
About the Krone-Endora at Venetia Project
Diamcor acquired the Krone-Endora at Venetia Project from De Beers Consolidated Mines Limited, consisting of the prospecting rights over the farms Krone 104 and Endora 66, which represent a combined surface area of approximately 5,888 hectares directly adjacent to De Beers’ flagship Venetia Diamond Mine in South Africa. The Company subsequently announced that the South African Department of Mineral Resources had granted a Mining Right for the Krone-Endora at Venetia Project encompassing 657.71 hectares of the Project’s total area of 5,888 hectares. The Company has also submitted an application for a mining right over the remaining areas of the Project. The deposits which occur on the properties of Krone and Endora have been identified as a higher-grade “Alluvial” basal deposit which is covered by a lower-grade upper “Eluvial” deposit. These deposits are proposed to be the result of the direct-shift (in respect to the “Eluvial” deposit) and erosion (in respect to the “Alluvial” deposit) of an estimated 1,000 vertical meters of material from the higher grounds of the adjacent Venetia Kimberlite areas. The deposits on Krone-Endora occur with a maximum total depth of approximately 15.0 metres from surface to bedrock, allowing for a very low-cost mining operation to be employed with the potential for near-term diamond production from a known high-quality source. Krone-Endora also benefits from the significant development of infrastructure and services already in place due to its location directly adjacent to the Venetia Mine, which is widely recognised as one of the top producing diamond mines in the world.
Qualified Person Statement:
Mr. James P. Hawkins (B.Sc., P.Geo.), is Manager of Exploration & Special Projects for Diamcor Mining Inc., and the Qualified Person in accordance with National Instrument 43-101 responsible for overseeing the execution of Diamcor’s exploration programmes and a Member of the Association of Professional Engineers and Geoscientists of Alberta (“APEGA”). Mr. Hawkins has reviewed this press release and approved of its contents.
Mr. Dean H. Taylor Diamcor Mining Inc DeanT@Diamcor.com +1 250 862-3212
For Investor Relations contact:
Mr. Rich Matthews
Mr. Neil Simon
Integrous Communications
Investor Cubed Inc
+1 (604) 355-7179
+1 (647) 258-3310
This press release contains certain forward-looking statements. While these forward-looking statements represent our best current judgement, they are subject to a variety of risks and uncertainties that are beyond the Company’s ability to control or predict and which could cause actual events or results to differ materially from those anticipated in such forward-looking statements. Further, the Company expressly disclaims any obligation to update any forward looking statements. Accordingly, readers should not place undue reliance on forward-looking statements.
WE SEEK SAFE HARBOUR
Neither 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.
Vancouver, British Columbia–(Newsfile Corp. – October 2, 2023) – EMX Royalty Corporation (NYSE American: EMX) (TSXV: EMX) (FSE: 6E9) (the “Company” or “EMX”) is pleased to provide an update for EMX’s Hardshell royalty property, which is part of South32 Limited’s (“South32”) Hermosa Project in southeast Arizona. Recent drill results from the Peake prospect, which is partially covered by the Hardshell royalty, include the best intercept to date in hole HDS-813 reported as 139 meters (1302.7-1441.7 m) averaging 1.88% copper, 0.51% lead, 0.34% zinc, and 52 g/t silver, with a subinterval of 58.2 meters averaging 3.1% copper, 0.6% lead, 0.24% zinc, 74g/t silver and 0.015% molybdenum (true width not reported)1. EMX retains a 2% net smelter return (“NSR”) royalty on Hardshell that is not capped nor subject to buy down.
South32’s Hermosa Project is comprised of the a) Taylor polymetallic (Zn-Pb-Ag) development project adjacent to the north of Hardshell with carbonate replacement deposit (“CRD”) mineralization that projects towards EMX’s royalty footprint, b) the Peake Cu-Pb-Zn-Ag skarn prospect, which as currently outlined is mostly covered by EMX’s royalty ground, and c) the Clark manganese manto deposit to the east of the royalty footprint.
In addition to the encouraging drill results at Peake, other recent advances reported by South32 include the designation of Hermosa as the first mining project given FAST-41 status by the US Federal Permitting Improvement Steering Council to facilitate the potential to supply designated critical minerals (i.e., zinc and manganese), and an updated JORC mineral resource estimate for Taylor to support ongoing feasibility work. Although Taylor (and Clark) occur outside of EMX’s royalty property boundary, the Hermosa Project’s overall prospectivity is attracting capitalized exploration of US$23 million to test priority targets, including further drilling at Peake and other prospects2.
EMX’s Hardshell royalty was organically generated by the Company’s wholly-owned subsidiary Bronco Creek Exploration Inc. (“BCE”). BCE recognized the alteration and mineralization zoning patterns within the district, and staked prospective open ground. Hardshell was optioned in 2015 for a 2% NSR retained royalty interest. The Hermosa Project, including Hardshell, was acquired by South32 in 2018. Since then, South32 has steadily advanced Hermosa, which includes the step-out exploration drilling that continues to delineate mineralization at Peake. The recognition of mineralization at Peake highlights the discovery optionality of EMX’s Hardshell royalty property.
Discussion of Drill Results. South32’s drilling at Peake is delineating a series of stacked horizons that have a general north-westerly dip of 30 degrees and host disseminated to semi-massive sulphide mineralization. According to South32 “the upper and lower extents of the horizons tend to have polymetallic mineralisation with the central component dominated by copper sulphides, predominantly chalcopyrite. Mineralisation within the stacked profile is approximately 130 m thick, for an approximate 450 m strike and 300 m width.”
The Peake prospect is currently characterized by 17 diamond drill holes, with intercepts from the most recent four holes summarized in Table 1, and the previous 13 holes reported in EMX’s news release dated June 21, 2022. The recent intercepts in Table 1 have been reported at a 0.2% copper cutoff by South32, reflecting the early-stage nature of exploration and evaluation of the Peake prospect.
Intercepts reported by South32 at a 0.2% Cu cutoff, as summarized by EMX. True widths not reported. CuEq (%) = Cu% + 0.3965*Zn% + 0.2331*Pb% + 0.0068*Ag g/t. Average payable metallurgical recovery assumptions are 90% for Zn, 91% for Pb, 81% for Ag and 80% for Cu. Metals pricing assumptions are South32’s long-term consensus prices as at the April 2023 quarter. See South32 news release dated July 24, 2023.
Figure 1. Peake drilling and mineralized domain with EMX Hardshell royalty boundary as well as Taylor & Clark mineralized domains. Figure modified from figure 5 of South32 news release dated July 24, 2023.
Figure 2. Cross section looking east (2000 m wide) showing South32’s Peake drilling and mineralized domains as well as Taylor and Clark mineralized domains (see Figure 1 for A-A’ cross section line). Figure modified from figure 6 of South32 news release dated July 24, 2023.
Hermosa Project and Hardshell Royalty Property Overview. South32’s Hermosa Project, located in the Patagonia mining district of southeastern Arizona, includes CRD sulfide (i.e., Taylor) and oxide manto (i.e., Clark) deposits (which are not covered by EMX’s Hardshell royalty), as well as the Peake skarn prospect (partially covered by EMX’s Hardshell royalty). EMX’s Hardshell 2% NSR royalty property consists of 16 unpatented federal lode mining claims. South32 has stated that it (refer to FY 2023 Financial Results and Outlook and July 24, 2023 news release) is continuing to follow up on Peake’s exploration potential, which is open in several directions.
The ongoing delineation of the Peake prospect by South32 represents the potential to create significant value for the Company’s Hardshell royalty property. EMX looks forward to South32’s continued exploration success at Hardshell, as well as from the greater Hermosa Project.
Comments on Adjacent and Nearby Projects. The adjacent and nearby projects, which include the Taylor and Clark deposits, provide geological context for the Peake prospect, which is partially covered by EMX’s Hardshell royalty claim block. However, this is not necessarily indicative that the Hardshell royalty claim block represents similar styles or tonnages of mineralization as the Taylor deposit, nor a similar style of mineralization as the Clark deposit.
Qualified Person. Michael P. Sheehan, 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.
About EMX. EMX is a precious, base and battery metals royalty company. EMX’s investors are provided with discovery, development, and commodity price optionality, while limiting exposure to risks inherent to operating companies. The Company’s common shares are listed on the NYSE American Exchange and TSX Venture Exchange under the symbol “EMX”, and also trade on the Frankfurt exchange under the symbol “6E9”. Please see www.EMXroyalty.com for more information.
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 June 30, 2023 (the “MD&A”), and themost recently filed Annual Information Form (“AIF”) for the year ended December 31, 2022, actual events may differ materially from current expectations. More information about the Company, including the MD&A, the AIF and financial statements of the Company, is available on SEDAR at www.sedarplus.ca and on the SEC’s EDGAR website at www.sec.gov.
1 See South32 news release dated July 24, 2023. 2 See South32 “Financial Results and Outlook Year Ended 30 June 2023” dated August 24, 2023.
HALIFAX, Nova Scotia, Sept. 27, 2023 (GLOBE NEWSWIRE) — Morien Resources Corp. (“Morien” or the “Company“) (TSX-V:MOX), today provides an update on the Donkin Coal Mine (“Donkin” or the “Mine”) in Nova Scotia, owned and operated by Kameron Collieries LLC (“Kameron”), upon which Morien has a 2% to 4% royalty interest.
On September 27, 2023, the Nova Scotia Department of Labour, Skills and Immigration (“DOL”), the province’s regulator for the Mine, announced that an independent engineer has been contracted by DOL, via a 30-day contract, to complete a technical review of the Donkin Mine. This review is actively underway.
Morien welcomes this effort by DOL to bring resolution to a 75-day Stop Work Order at Donkin for a roof fall incident that occurred on July 15, 2023, that was subsequently ameliorated by Kameron on July 27 and where no workers were injured, nor any equipment damaged.
As detailed in prior Morien news releases, a roof fall occurred in one of Donkin’s two access tunnels. The access tunnels were installed at Donkin in the late 1980’s by DEVCO, a former federal Crown corporation. In keeping with Kameron’s safety protocols, it made a proactive decision to implement a comprehensive remediation program which included extensive roof bolting over the full length of the 3.5-kilometre-long access tunnel in order to safeguard against future falls. That program commenced on July 19 and ended on July 27.
Morien will provide more information as it becomes available.
About Morien
Morien is a Canada based, mining development company that holds royalty interests in two tidewater accessed projects. The Donkin Coal Mine re-commenced production during the third quarter of 2022 and royalties to Morien have commenced. The Black Point Aggregate Project is permitted, and although production has not begun, Morien is receiving advanced minimum royalty payments on a quarterly basis. Morien’s management team exercises ruthless discipline in managing both the assets and liabilities of the Company. The Company’s management and its Board of Directors consider shareholder returns to be paramount over corporate size, number or scale of assets and industry recognition. The Company has 51,292,000 issued and outstanding common shares and a fully diluted position of 54,192,000. Further information is available at www.MorienRes.com.
Forward-Looking Statements
Some of the statements in this news release may constitute “forward-looking information” as defined under applicable securities laws. These statements reflect Morien’s current expectations of future revenues and business prospects and opportunities and are based on information currently available to Morien. Morien cautions that actual performance will be affected by a number of factors, many of which are beyond its control, and that future events and results may vary substantially from what Morien currently foresees. Factors that could cause actual results to differ materially from those in forward-looking statements include risks and uncertainties described in documents filed by Morien with the Canadian securities regulators on SEDAR (www.sedar.com) from time to time. Morien cautions that its royalty revenue will be based on production by third party property owners and operators who will be responsible for determining the manner and timing for the properties forming part of Morien’s royalty portfolio. These third party owners and operators are also subject to risk factors that could cause actual results to differ materially from those predicted herein including: volatility in financial markets or general economic conditions; capital requirements and the need for additional financing; fluctuations in the rates of exchange for the currencies of Canada and the United States; prices for commodities including coal and aggregate; unanticipated changes in production, mineral reserves and mineral resources, metallurgical recoveries and/or exploration results; changes in regulations and unpredictable political or economic developments; loss of key personnel; labour disputes; and ineffective title to mineral claims or property. There are other business risks and hazards associated with mineral exploration, development and mining. Although Morien believes that the forward-looking information contained herein is based on reasonable assumptions (including assumptions relating to economic, market and political conditions, the Company’s working capital requirements and the accuracy of information supplied by the operators of the properties in which the Company has a royalty interest), readers cannot be assured that actual results will be consistent with such statements. Morien expressly disclaims any intention or obligation to update or revise any forward-looking information in this news release, whether as a result of new information, events or otherwise, except in accordance with applicable securities laws. All dollar values discussed herein are in Canadian dollars. Any financial outlook or future-oriented financial information in this news release, as defined by applicable securities laws, has been approved by management of Morien as of the date of this news release. Such financial outlook or future-oriented financial information is provided for the purpose of providing information about management’s current expectations and plans relating to the future. Readers are cautioned that such outlook or information should not be used for purposes other than for which it is disclosed in this news release.
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.
For more information, please contact:
Dawson Brisco, President & CEO Phone: (902) 403-3149 dbrisco@MorienRes.com or John P.A. Budreski, Executive Chairman Phone: (416) 930-0914 www.MorienRes.com
NOT FOR DISTRIBUTION TO THE U.S. NEWSWIRE OR FOR DISSEMINATION IN THE UNITED STATES
Vancouver, British Columbia, Sept. 25, 2023 (GLOBE NEWSWIRE) — Terra Balcanica Resources Corp. (“Terra” or the “Company”) (CSE:TERA; FRA:UB1) is pleased to announce closing of the final tranche of its non-brokered private placement financing (the “Offering”) of units (the ”Units”) for total gross proceeds of $1,212,778. The Company further announces that it has completed the 2,000 m, Phase II drill program at the flagship, 216 km2 Viogor-Zanik project (the “Project”) in eastern Bosnia and Herzegovina.
Highlights
In total, 17 diamond drill holes were completed during the 2023 Phase II campaign totalling approximately2,000m with a significant number of them macroscopically exhibiting sulphide mineralization. Twelve drill holes were completed at the polymetallic silver-lead-zinc Cumavici target while 5 holes were drilled at the Au-Cu, skarn-porphyry Brezani target (see Figures 1 and 2). All drillholes are at the ALS laboratory in Serbia with assays expected by the beginning of October;
Terra has raised $1,212,778 pursuant to the Offering announced on April 4th, 2023.
Terra Balcanica CEO, Dr. Aleksandar Mišković, commented: “The conclusion of exploration drillingperfectly coincided with the closing of the private placement financing. I am proud of the field efforts made by the entire team Terra Balcanica but equally thankful to all those who helped raise the funds needed to advance our key assets in Bosnia and Serbia. Having finalized an oversubscribed financing of over $1.2M in such a challenging macroeconomic environment is a positive signal and has allowed us to complete a robust, 17-hole 2,000-meterPhase II drill program and materially advance the flagship Viogor-Zanik project. The composite drill core samplesare now awaiting laboratory completionand an internal QA/QC check before being released as a part ofTerra’s steady news flow for months to come.”
Drilling Brezani Target Completed The 2023 diamond drilling at the Brezani target focussed on testing the coincident magnetic-conductivity anomaly at depth below the Au-skarn mineralisation observed on surface. Further shallow drillholes BRE23001-004 aimed to add scale to the initial 88 m at 0.61 g/t AuEq intercepted in drillhole BREDD002 (See Company’s news release dated 24th January 2023), all within a > 800 m NW/SE trending Au in soil anomaly.
Drillhole BREDD002: Continued from a depth of 215 m to 674 m in 2023 commencing in the same chlorite-sericite altered diorite which returned 0.26 g/t Au (214 – 215 m) in 2022 drilling. At a depth of 482.1 m a 9.8 m continuous zone of banded vein and sulphide cemented breccias with characteristics of both low and intermediate sulphidation epithermal deposits was intersected. The margins of the vein host repeating bands of chalcedonic quartz-rhodochrosite-calcite and sulphides/sulphosalts stibnite-pyrite-arsenopyrite-sphalerite-galena-jamesonite. The centre of the structure is dominated by hydrothermal breccia with a sulphide-quartz-carbonate cement. Clasts are banded vein fragments and wall rock hornfels. In the vein footwall the lithology changed to 118.4 m of chlorite-sericite altered diorite porphyry intrusive. Sinuous quartz-pyrite-molybdenite veins, quartz-magnetite, anhydrite-carbonate, pyrite-chlorite, and pyrrhotite-carbonate veining is present alongside disseminated pyrite-pyrrhotite.
Drillhole BRE23001: Located 102 m SW of the initial discovery hole at Brezani, which returned 0.61 g/t AuEq over 88 m from surface BRE23001 intercepted a similar package of calc-silicate mineralisation with a strong chlorite retrograde overprint. Intervals of coarse garnet-pyroxene skarn were also intercepted in contact with dioritic intrusives.
Figure 1. Geological map illustrating the 2022 and 2023 drillholes at the silver-dominated, polymetallic Cumavici Ridge target 12 km northwest from the Brezani target(click here to view image).
Drillhole BRE23002: Located 91 m west of BREDD002 intersected a new style of mineralization for the Brezani target. Commencing at 98 m depth a sulphide-calcite cemented contact breccia between altered diorite and silicic hornfels was encountered. The sulphide matrix was composed of pyrite-sphalerite-galena-pyrrhotite-chalcopyrite with individual sphalerite crystals up to 3 cm. The breccia was semi-continuous until 105.2m where it graded into patchy brecciation and intermediate sulphidation veining to 117.6 m. Detailed observations of BRE23001-004 will be completed and updates released in due course.
Figure 2. Geological map illustrating the 2022 and 2023 drillholes into the Brezani skarn-porphyry target. Note that the 2022 drillhole, BREDD002 was redrilled from 215 – 674 m during the 2023 drilling campaign.(click here to view image).
Final Tranche of Private Placement Financing Closed The Company issued an aggregate of 1,826,470 Units at a price of $0.085 per Unit for gross proceeds of $155,250 pursuant to the Offering announced on April 4th, 2023. Each Unit consists of one common share in the capital of the Company (each, a “Common Share”) and one Common Share purchase warrant (each whole warrant, a “Warrant”). Each Warrant entitles the holder to purchase one Common Share at an exercise price of $0.13 until September 22nd, 2026. Finders’ fees in the amount of $3,570 were paid in the final tranche of the Offering.
In total, the Company has issued 14,267,967 units at a price of $0.085 for gross proceeds of $1,212,778. Terra used the net proceeds of the Offering for working capital and to finance the Phase II drilling of the two target zones in Bosnia and Herzegovina.
Pursuant to applicable Canadian securities laws, all securities issued and issuable in connection with the closing of the fifth tranche of the Private Placement will be subject to a four (4) month hold period ending January 23rd, 2024.
This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws, and may not be offered or sold within the United States, or to or for the account or benefit of any U.S. person or any person in the United States, unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available. “United States” and “U.S. Person” are as defined in Regulation S under the U.S. Securities Act.
About the Company Terra Balcanica is a polymetallic exploration company targeting large-scale mineral systems in the Balkans of southeastern Europe. The Company has 90% interest in the Viogor-Zanik Project in eastern Bosnia and Herzegovina, 100% of the Kaludra and Ceovishte mineral exploration licences in southern Serbia. The Company emphasizes responsible engagement with local communities and stakeholders. It is committed to proactively implementing Good International Industry Practice (GIIP) and sustainable health, safety, and environmental management.
ON BEHALF OF THE BOARD OF DIRECTORS
Terra Balcanica Resources Corp. “Aleksandar Mišković”
This news release contains certain forward-looking information and forward-looking statements within the meaning of applicable securities legislation (collectively “forward-looking statements”). The use of any of the words“will”, “intends” and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Such forward-looking statements should not be unduly relied upon. Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. The Company believes the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct. The Company does not undertake to update these forward-looking statements, except as required by law.
vancouver, British Columbia –News Direct– West Red Lake Gold Mines Ltd.
September 19, 2023 – TheNewswire – Global Stocks News – West Red Lake Gold Mines (TSXV:WRLG) (OTC:WRLGF) CEO Shane Williams has sent part three of seven communications to WRLG shareholders.
CEO Message Part 3: Existing Infrastructure at West Red Lake Gold Mines
By Shane Williams
Thank you for your interest in West Red Lake Gold Mines (WRLG.V). This is the Part 3 of seven messages I am sending to WRLG shareholders. Today I want to discuss the existing infrastructure at the Madsen mine.
In mining circles, “existing infrastructure” can mean a logging road, a plywood core-shack, a rusted ball mill or a capsized Porta-potty.
The West Red Lake Gold Mines’ situation is a bit different. We inherited a modern, fully permitted, virtually-unused mining facility which includes underground equipment, double ramp access, a 1,273-metre-deep shaft, expandable 800+ tonne per day mill, excess tailings capacity and a water treatment plant. [1.}
The mill achieves 95% gold recovery [2}. The tailings pond and water treatment are regularly inspected and pass with flying colours. Last month I was on site with the Ontario Minister of Mines – a former executive at Placer Dome. He is very supportive of the project.
It’s difficult to put an exact price tag (value) on the existing infrastructure. The mill itself cost approximately $100 million. With rampant inflation in construction, the replacement cost would be significantly higher. But the biggest benefit of the permitted existing infrastructure is the effect on production timelines.
The permitting process can take ten years.
We have challenges to overcome, but in my opinion, the modern, debt-free, permitted infrastructure has significantly de-risked this project.
Next in Part 4 of my message to shareholders, I will tell you about the resource expansion potential at Madsen.
Sincerely,
Shane Williams
We invite you to click here to learn more about our West Red Lake Gold Mines
The technical information presented in this news release has been reviewed and approved by Will Robinson, P.Geo., Vice President of Exploration for West Red Lake Gold and the Qualified Person for exploration at the West Red Lake Project, as defined by NI 43-101 “Standards of Disclosure for Mineral Projects”.
Certain statements contained in this news release constitute “forward-looking statements”. When used in this document, the words “anticipated”, “expect”, “estimated”, “forecast”, “planned”, and similar expressions are intended to identify forward-looking statements or information. These statements are based on current expectations of management, however, they are subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from the forward-looking statements in this news release. Readers are cautioned not to place undue reliance on these statements. West Red Lake Gold Mines Ltd. does not undertake any obligation to revise or update any forward- looking statements as a result of new information, future events or otherwise after the date hereof, except as required by securities laws.
References
SRK Consulting. (2021). Independent NI 43-101 Technical Report and Updated Mineral Resource Estimate for the PureGold Mine, Canada (West Red Lake Gold Mines, Ed.) [Review of Independent NI 43-101 Technical Report and Updated Mineral Resource Estimate for the PureGold Mine, Canada]. SRK Consulting. https://westredlakegold.com/wp-content/uploads/2023/07/NI43-101_Madsen_Report_Update_v20230619.pdf
Frank Giustra – who owns about 10% of WRLG was recently on stage at the Precious Metals Summit in Beaver Creek, Colorado.
“Never listen to what a central bank has to say,” Giustra stated on a panel hosted by The Northen Miner. “Watch what they do. And right now, they’re screaming, buy gold. They’re loading up. And it is my belief they’re loading up because there will be a monetary system reset that we don’t know what it looks like yet. But gold will play a role, otherwise they wouldn’t be loading up this way.”
