Category: Junior Mining

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Energy Junior Mining Precious Metals

Emperor Advances Open-Pit Model at Duquesne West Gold Project

Vancouver, British Columbia–(Newsfile Corp. – January 10, 2024) – Emperor Metals Inc. (CSE: AUOZ) (OTCQB: EMAUF) (FSE: 9NH) (“Emperor“) is pleased to announce additional assay results from the summer 2023 drilling campaign at the Duquesne West Gold Project. Using Artificial Intelligence (A.I.) to model the deposit and plan our drill program, a total of 14 diamond drillholes have been completed which represents 8,579 meters.

Full results for DQ23-02 extension and DQ23-07 have been released from SGS Laboratories (see Table 1 intercept highlights). These results indicate the potential for resource expansion within and outside the open pit concept. Emperor is targeting a multi-million-ounce resource in a combination of conceptual open pit and underground mining scenarios.

Highlights

  • DQ23-07 intersects 15.7 metres (m) of 0.8 grams per tonne (g/t) gold (Au) (including 7.0 m of 1.08 g/t Au) and 7.2 m of 2.8 g/t Au within the open pit concept (see Figure 1).
  • Drilling adds incremental ounces outside known high-grade areas in the open pit scenario. These intercepts will reduce the stripping ratio; due to gold endowment in areas that were overlooked and historically unsampled.
  • DQ23-02 intersected 3.65 m of 6.25 g/t Au (including 1.2 m of 12.2 g/t Au). Expanded mineralization in footwall zone.

CEO John Florek commented:

” Emperor is the first company to sample all intervals in our drilling to evaluate the additional potential for bulk tonnage open-pit mining at Duquesne West. We’re excited to see positive assay results for rocks within a conceptual open-pit domain that were not sampled by previous explorers who lacked an open-pit strategy on this property and did not examine the additional lower-grade bulk tonnage opportunity.

Historical sampling focused on the extensive underground potential for high-grade gold, so only 30% of the core from historical drilling was sampled by previous operators. Our discovery of these lower grade bulk tonnage ounces within our open-pit conceptual model is very significant for reducing strip ratio and for improving overall economics in a combination type open-pit and under-ground mining scenario.

Our vision to develop a multimillion-ounce deposit with multiple mining scenarios on the Duquesne West property continues to grow. Our use of A.I has enabled us to quickly process extensive historical data and integrate it with new information to model exploration targets with a high degree of confidence and success. The proximity to multiple mills and infrastructure in a Tier 1 mining district makes the production potential of this project highly valuable within the global junior mining space. The current price of gold certainly helps promote this vision.”

Image 1: Figure showing DQ23-07 intercept within the conceptual open pit model. Broad scale mineralization confirming incremental grade outside existing high-grade lenses in areas previously unsampled by historical workers. These intercepts may add ounces to the deposit.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/8461/193768_ff2b77dc9406f97d_001full.jpg

Summary of Drill Results:

DQ23-02 was a step-out hole and originally drilled to test the eastern margin of a mineralized zone, with an intersection of 10.65 m of 3.97 g/t Au (see press release dated September 12, 2023) that is expected to extend the footprint of mineralization. The grades and thickness intersected were as expected. However, the hole was extended due to assays identifying a broad thickness of mineralization at the bottom of the hole; 25.0 m of 1.69 g/t Au (see press release dated September 12, 2023). This extension of DQ23-02 tested further into the footwall because of indications of mineralization by Emperor’s AI modeling; this extension encountered gold values and expanded the mineralized footprint of the deposit (3.65 m of 6.25 g/t Au); see Figure 2

DQ23-07 was designed to intersect mineralization in both the near-surface ultimate pit scenario and the underground mining scenario. Intersection within the open pit scenario contained 15.7 Metres of 0.8 g/t Au (including 7.0 m of 1.80 g/t Au) and 7.2 m of 2.8 g/t Au; additional broad scale mineralization was seen as well (21.5 m of 0.40 g/t Au). Mineralization deeper in the footwall and within the underground mining scenario intercepted a footwall zone containing 2.0 m of 2.42 g/t Au.

The open pit concept in Figure 1 shows an ultimate pit with a depth extent of 400 meters; the footprint is 1.8 km by 0.8 km. Initial exploration in 2024 will strategically focus on the area of the phase 1 pit design. This will allow us to determine the potential economics as we progress through the phases having the necessary assay results for resource evaluation and eventually for economic evaluations. Currently, Emperor is also sampling near-surface core from the historical core library that was not assayed by previous explorers. Up to 70% of this core has not been assayed. So far, over 3,000 meters have been sampled and will be sent to the laboratory for analysis.

In General, mineralization is within and proximal to a fertile, gold endowed, quartz-feldspar porphyry intrusion (QFP), which appears to enrich the greenstone belt along this structural corridor that hosts the Duquesne West Gold Deposit. Apophyses of this intrusion are more endowed and are close to the most highly replacement type mineralization. Competency contrasts between rock types within this mineralized corridor are good sites for additional mineralization.

High and low-grade mineralization are important in Open Pit Mining:

  1. Highest grade intercepts are within mafic (+/- ultramafic) breccia zone carapaces mantling the QFPs or highly deformed replacement style structural zones (in the mafic volcanics) that are highly strained and completely replaced by ankerite, sericite, and quartz.
  2. The broadest low-grade zones are located within the QFPs.
  3. Some lower-grade broad zones mantle higher-grade intercepts in the mafic volcanics. This usually occurs at the margin between mafic volcanics and QFP (low grade in both units surrounding a high-grade intercept.)

This mineralizing system is significantly large in length, width and depth. These broad zones will aid in lowering strip ratios when Emperor has enough data to support a new resource estimate for both open pit and underground conceptual mining scenarios.

Approximately 75% of the assays have been returned from the laboratory, Emperor is awaiting additional assays results.

Samples were sent to SGS Laboratories in Lakefield, ON.

Image 2: DQ23-02 intercept of 3.65 m of 6.25 g/t Au. Intercept expands footprint of the minable stope model in footwall zone; potential adding ounces to the deposit.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/8461/193768_ff2b77dc9406f97d_002full.jpg

Quality Assurance and Control

The Quality Assurance and Quality Control (QAQC) was conducted by Technominex, a geological contractor hired by Emperor Metals, which adheres to CIM Best Practices Guidelines for exploration related activities conducted at its facility in Rouyn Noranda, Quebec. The QA/QC procedures are overseen by a Qualified Person on site.

Emperor Metals QA/QC protocols are maintained through the insertion of certified reference material (standards), blanks and lab duplicates within the sample stream totaling approximately one QA/QC sample per 7 samples. Drill core is cut in-half with a diamond saw, with one-half placed in sealed bags with appropriate tags and shipped to the SGS Lakefield laboratory and the other half retained on site in the original core box. A dispatch list consists of 88 or 176 samples along with their corresponding QA/QC samples for a single batch. This allows complete batches (88 samples) for fire assay. A file for sample tracking records tags used and weights of sample bags shipped to the SGS Lakefield. Shipment is done by Manitoulin Transport and coordination by Technominex staff in Rouyn-Noranda.

The third-party laboratory, SGS prep laboratory in Lakefield Ontario, processes the shipment of samples using standard sample preparation (code PRP91) and produces pulps from the specified samples. The pulps are then sent off to SGS Burnaby for analysis. Chain of custody is maintained from the drill to the submittal into the laboratory preparation facility all the way to analysis at the SGS Burnaby B.C. laboratory.

Analytical testing is performed by SGS laboratories in Burnaby, British Columbia. The entire sample is crushed to 75% passing 2mm, with a split of 500g pulverized to 85% passing 75 microns. Samples are then analyzed using Au – ore grade 50g Fire Assay, ICP-AES with reporting limits of 0.01 -100 part per million (ppm). High grade gold analysis based on the presence of visible gold or a fire assay result exceeding 100 ppm, are analyzed by Au – metallic screening, 1kg screened to 106μm, 50g fire assay, gravimetric, AAS or ICP-AES of entire plus fraction and duplicate analysis of minus fraction. Reporting limit 0.01ppm.

About the Duquesne West Gold Project

The Duquesne West Gold Property is located 32 km northwest of the city of Rouyn-Noranda and 10 km east of the town of Duparquet. The property lies within the historic Duparquet gold mining camp in the southern portion of the Abitibi Greenstone Belt in the Superior Province.

Under an Option Agreement, Emperor agreed to acquire a one hundred percent (100%) interest in a mineral claim package comprising 38 claims covering approximately 1,389 ha, located in the Duparquet Township of Quebec (the “Duquesne West Property”) from Duparquet Assets Ltd., a 50% owned subsidiary of Globex Mining Enterprises Inc. (GMX-TSX). For further information on the Duquesne West Property and Option Agreement, see Emperor’s press release dated October 12, 2022, available on SEDAR.

The Property hosts a historical inferred mineral resource estimate of 727,000 ounces of gold at a grade of 5.42 g/t Au.1,2 The mineral resource estimate predates modern CIM guidelines and a Qualified Person on behalf of Emperor has not reviewed or verified the mineral resource estimate, therefore it is considered historical in nature and is reported solely to provide an indication of the magnitude of mineralization that could be present on the property. The gold system remains open for resource identification and expansion.

Reinterpretation of the existing geological model was created using Artificial Intelligence (A.I) and Machine Learning. This model shows the opportunity for additional discovery of ounces by revealing gold trends unknown to previous workers and the potential to expand the resource along significant gold-endowed structural zones.

Multiple scenarios exist to expand additional resources which include:

  1. Underground High-Grade Gold
  2. Open Pit Bulk Tonnage Gold
  3. Underground Bulk Tonnage Gold.

1 Watts, Griffis, and McOuat Consulting Geologists and Engineers, Oct 20, 2011, Technical Report and Mineral Resource Estimate Update for the Duquesne-Ottoman Property, Quebec, Canada for XMet Inc.

2 Power-Fardy and Breede, 2011. The Mineral Resource Estimate (MRE) constructed in 2011 is considered historical in nature as it was constructed prior to the most recent Canadian Institute of Mining and Metallurgy (CIM) standards (2014) and guidelines (2019) for mineral resources. In addition, the economic factors used to demonstrate reasonable prospects of eventual economic extraction for the MRE have changed since 2011. A qualified person has not done sufficient work to consider the MRE as a current MRE. Emperor is not treating the historical MRE as a current mineral resource. The reader is cautioned not to treat it, or any part of it, as a current mineral resource.

Table of Significant Drilling Intercepts

Hole No.From (m)To (m)Interval (m)Au (g/t Au)
1DQ23-02909.35910.51.1512.17
910.59132.53.52
Wt. Avg.3.656.25
Including:1.1512.17
  
  
1DQ23-07545510.76
555610.17
565710.02
575810.87
58.058.80.750.35
58.7559.30.550.84
59.3600.71.23
606110.75
616211.17
626310.48
636412.16
646510.57
656611.09
666711.05
676811.01
686910.55
6969.70.71.00
Wt. Avg.15.70.82
Including:71.08
  
228.1229.113.33
229.1230.116.33
230.1231.21.15.70
231.2232.41.22.74
232.4233.851.450.26
233.85235.31.450.38
Wt. Avg.7.22.80
Including:4.34.47
Including:2.16.00
  
343.5344.510.78
344.53461.50.5
34634710.78
34734810.18
34834910.13
34935010.39
35035110.47
35135210.36
35235310.19
35335410.02
35435510.23
35535610.32
35635710.09
35735810.01
35835910.03
35936010.13
36036110.05
36136210.04
36236312.93
36336410.005
36436510.77
Wt. Avg.21.50.40
  
563.6564.613.35
564.6565.611.48
Wt. Avg.22.42
  
1Host Structures are interpreted to be steeply dipping and true widths are generally estimated to 90%.

QP Disclosure

The technical content for the Duquesne West Project in this news release has been reviewed and approved by John Florek, M.Sc., P.Geol., a Qualified Person pursuant to CIM guidelines.

About Emperor Metals Inc.

Emperor Metals Inc. is an innovative Canadian mineral exploration company focused on developing high-quality gold properties situated in the Canadian Shield. For more information, please refer to SEDAR (www.sedarplus.ca), under the Company’s profile.

ON BEHALF OF THE BOARD OF DIRECTORS

s/ “John Florek”
John Florek, M.Sc., P.Geol
President, CEO and Director
Emperor Metals Inc.

For further information, please contact:
Mr. Alex Horsley, Director
Phone: 778-323-3058
Email: alexh@emperormetals.com
Website:www.emperormetals.com

THE CANADIAN SECURITIES EXCHANGE HAS NOT APPROVED NOR DISAPPROVED THE CONTENT OF THIS PRESS RELEASE

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

CERTAIN STATEMENTS MADE AND INFORMATION CONTAINED HEREIN MAY CONSTITUTE “FORWARD-LOOKING INFORMATION” AND “FORWARD-LOOKING STATEMENTS” WITHIN THE MEANING OF APPLICABLE CANADIAN AND UNITED STATES SECURITIES LEGISLATION. THESE STATEMENTS AND INFORMATION ARE BASED ON FACTS CURRENTLY AVAILABLE TO THE COMPANY AND THERE IS NO ASSURANCE THAT ACTUAL RESULTS WILL MEET MANAGEMENT’S EXPECTATIONS. FORWARD-LOOKING STATEMENTS AND INFORMATION MAY BE IDENTIFIED BY SUCH TERMS AS “ANTICIPATES”, “BELIEVES”, “TARGETS”, “ESTIMATES”, “PLANS”, “EXPECTS”, “MAY”, “WILL”, “COULD” OR “WOULD”.

FORWARD-LOOKING STATEMENTS AND INFORMATION CONTAINED HEREIN ARE BASED ON CERTAIN FACTORS AND ASSUMPTIONS REGARDING, AMONG OTHER THINGS, THE ESTIMATION OF MINERAL RESOURCES AND RESERVES, THE REALIZATION OF RESOURCE AND RESERVE ESTIMATES, METAL PRICES, TAXATION, THE ESTIMATION, TIMING AND AMOUNT OF FUTURE EXPLORATION AND DEVELOPMENT, CAPITAL AND OPERATING COSTS, THE AVAILABILITY OF FINANCING, THE RECEIPT OF REGULATORY APPROVALS, ENVIRONMENTAL RISKS, TITLE DISPUTES AND OTHER MATTERS. WHILE THE COMPANY CONSIDERS ITS ASSUMPTIONS TO BE REASONABLE AS OF THE DATE HEREOF, FORWARD-LOOKING STATEMENTS AND INFORMATION ARE NOT GUARANTEES OF FUTURE PERFORMANCE AND READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON SUCH STATEMENTS AS ACTUAL EVENTS AND RESULTS MAY DIFFER MATERIALLY FROM THOSE DESCRIBED HEREIN. THE COMPANY DOES NOT UNDERTAKE TO UPDATE ANY FORWARD-LOOKING STATEMENTS OR INFORMATION EXCEPT AS MAY BE REQUIRED BY APPLICABLE SECURITIES LAWS.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/193768

Categories
Diamcor Mining Energy Junior Mining Precious Metals

Diamcor Update on the Diamond Industry and Company Focus for 2024 Forward

KELOWNA, BC / ACCESSWIRE / January 10, 2024 / 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 is pleased to provide a brief overview of the significant events which shaped the diamond industry in 2023, their implications for the sector, and the actions taken to allow the industry to move forward in 2024 with a sense of optimism. Additionally, we are pleased to provide an overview of the Company’s main operational focus for the coming year.

2023 Diamond Industry Overview
The year 2023 proved to be a year of adaptation and strategic realignment for the diamond industry as the world continued to emerge from the global COVID-19 pandemic. The significant events which shaped the year included:

  • Changes in consumer spending habits and their allocation of funds as countries began to open up and the world entered a post-COVID 19 environment.
  • The continued purchasing of rough diamonds at the previously elevated levels of 2022 by many in the industry despite changes in consumer spending, resulting in the short-term creation of excess rough diamond inventories and downward pressure on pricing.
  • Significant reductions of new rough diamond sales by the world’s largest producers in the second half of 2023 to aid in rebalancing the above excess inventories and support price recovery.
  • The decision by the world’s largest cutting and polishing country, India, to temporarily suspend the import of rough diamonds from October 15, 2023 to December 15, 2023.
  • Continued geopolitical concerns surrounding the ongoing Russia/Ukraine conflict and recent Israeli-Palestinian conflict.
  • Economic uncertainties which continued in the industry’s most important market of the USA, as well as slower than expected post-COVID-19 economic recovery in China.
  • The initial G7 sanctions on rough diamonds originating in Russia proved largely ineffective throughout the year, however several revisions by the G7 to increase the effectiveness of these sanctions came into effect on January 1, 2024.
  • Additional sanctions on rough diamonds originating in Russia were also announced by the European Union on January 3, 2024.

The industry demonstrated its ability to implement proactive changes in 2023 to strengthen itself for 2024, and the Company reaffirms its belief in the unique value proposition of its Krone-Endora at Venetia project given its ability to provide non-conflict natural rough diamonds to the world market moving forward. Unlike their lab-grown counterparts, natural diamonds are treasured for their rarity, provenance, and the timeless allure they hold, and with limited supplies of natural diamonds remaining, the revised sanctions on Russia (~30% of annual global production), many mines reaching the end of their lives, the general sentiment in the industry is that yearly production levels are expected to continue to drop in the years to come. The adjustments made by the industry in 2023 appear to have been effective, with price recoveries in various categories becoming apparent later in the year. The Company believes this trend of increasing prices will continue into 2024 and moving forward, with the level of increases ultimately being driven by combined elements such as: consumer spending, increased shortages due to revised sanctions on Russia, potential reductions in yearly production from existing mines, and increased demand due to the recovery and growth of emerging markets such as China and India.

2024 Operational Focus
After successfully navigating its way through various complex global and industry issues of recent years, the Company sees 2024 as a year of significant opportunity in which it can return its primary focus back to the advancement and growth of its Krone-Endora at Venetia project (the “Project”). The Project has always presented a compelling opportunity given its direct relationship with De Beers’ Venetia diamond mine, which is widely accepted as one of the most prolific diamond mines in the world. The Company’s primary areas of focus for 2024 will be:

  • The continuation of trial-mining exercises and optimization of operational efficiencies, with ancillary diamond recoveries and sales revenue which will assist in supporting the advancement of the Project’s recommended work programs and continued advancement.
  • The concurrent advancement of additional bulk sampling on key areas of interest within the remaining 85% of the property to determine the potential extent and location of the known displacement of material from Venetia into these areas.
  • The finalization of planned additions to the Project’s processing plant and final recovery systems, as well as additional heavy equipment assets to support significant increases in processing volumes and the potential for increased ancillary revenues while reducing operating costs at the Project for the long-term.
  • The continued identification and evaluation of opportunities which demonstrate the potential for additional near-term production of natural gem quality rough diamonds from non-conflict areas to support the Company’s future growth and shareholder value.

The Company has successfully advanced the Project from its inception into the fully permitted Project with significant infrastructure and the growth potential it represents today. We believe with the recent events of the past few years now largely behind us, we are well-positioned in 2024 to now take advantage of the compelling opportunity that companies such as Diamcor have with the ability to provide gem quality natural rough diamonds from non-conflict areas moving forward.

Results of the Annual General Meeting
The Company also announces that shareholders passed each of the resolutions described in the Company’s proxy materials by the required majority of voting at the Company’s Annual General Meeting (the “AGM”) held on December 20, 2023.

The total number of votes cast for each resolution is set out in the table below.

MOTIONSNUMBER OF SHARESPERCENTAGE OF VOTES CAST
FORAGAINSTWITHHELD/ ABSTAINSPOILEDNON VOTEFORAGAINSTWITHHELD/ ABSTAIN
Number of Directors70,372,3381,503,28600097.91%2.09%0.00%
Dean H. Taylor60,540,8490198,100011,136,67599.67%0.00%0.33%
Darren Vucurevich60,498,6300240,319011,136,67599.60%0.00%0.40%
Sheldon Nelson60,716,049022,900011,136,67599.96%0.00%0.04%
Dr. Stephen Haggerty60,716,349022,600011,136,67599.96%0.00%0.04%
Appointment of Auditors71,875,6240000100.0%0.00%0.00%

TOTAL SHAREHOLDERS VOTED BY PROXY: 56

TOTAL SHARES ISSUED & OUTSTANDING: 128,512,937

TOTAL SHARES VOTED: 71,875,624

TOTAL % OF SHARES VOTED: 55.93%

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 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.

On behalf of the Board of Directors:
Mr. Dean H. Taylor
President & CEO
Diamcor Mining Inc.
www.diamcormining.com

For further information contact:
Mr. Dean H. Taylor
Diamcor Mining Inc
DeanT@Diamcor.com
+1 250 862-3212

For Investor Relations contact:
Mr. Rich Matthews
Integrous Communications
rmatthews@integcom.us
+1 (604) 355-7179 +1 (647) 258-3310

Mr. Neil Simon
Investor Cubed Inc
nsimon@investor3.ca
+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.

SOURCE: Diamcor Mining Inc.



View the original press release on accesswire.com

Categories
Base Metals Energy Junior Mining Precious Metals

Metallic Minerals Drills 46 Meters of 256 g/t Ag Eq including 3.3 Meters at 1,413 g/t Ag Eq at the Formo Target, Keno Silver Project in Yukon, Canada

VANCOUVER, BC / ACCESSWIRE / January 10, 2024 / Metallic Minerals Corp. (TSXV:MMG)(OTCQB:MMNGF) (“Metallic Minerals” or the “Company”) is pleased to announce results from its fall 2023 exploration drilling campaign at the Company’s 100%-owned, 171 square kilometer (“km2″) Keno Silver project, adjacent to Hecla Mining (“Hecla”) in the high-grade Keno Hill silver district of Canada’s Yukon Territory. The 2023 exploration program included 1,112 meters (“m”) in four diamond drill holes focused on expansion of the Formo target in the West Keno area, which is on trend with the 100 million-ounce (“Moz”) historic Hector-Calumet mine controlled by Hecla.

Drill hole FOR23-03 represents one of the best intercepts to date for the Keno Silver project, returning grades of 256 grams per tonne (g/t) silver equivalent recovered (“Ag Eq”) over 46 m. This is also the deepest intercept to date on the Formo vein structure (only 275 m vertically from surface) and mineralization remains fully open down dip and along strike. Formo is anticipated to be one of the highest grade and largest contributors to the forthcoming inaugural NI-43-101 mineral resource estimate for the Keno Silver project, currently nearing completion by SGS Geological Services.

2023 West Keno Exploration Highlights

  • High-grade silver (“Ag”), lead (“Pb”), zinc, (“Zn”) and significant gold (“Au”) mineralization was encountered in all four 2023 drill holes (See Table 1) which will contribute to the pending NI 43-101 Mineral Resource Estimate for the project.
  • Both high-grade Ag-Au-Pb-Zn vein-style mineralization and broader zones of bulk tonnage Ag-Au-Pb-Zn mineralization comprised of high-grade vein intervals and associated stringers and stockwork veining were encountered.
  • FOR23-03 returned 256.8 g/t Ag Eq (99.1 g/t Ag, 0.52 g/t Au, 0.65% Pb, 2.62% Zn) over 46.05 m with multiple internal higher-grade zones including, 3.3 m of 1,413.45 g/t Ag Eq (562.4 g/t Ag, 0.20 g/t Au, 2.35% Pb and 20.3% Zn). The bulk tonnage interval of this hole represents one of the highest gram-meter (g/t Ag Eq x interval thickness) intervals on the Keno Silver project to date, and extended mineralization by 140 m from the nearest 2022 and historic drill holes.
  • FOR23-04, a large step-out hole, drilled nearly 250 m west of the nearest Formo vein drilling, returned four separate silver-dominant vein structures of considerable width providing additional confirmation of the potential for on-strike expansion of the Formo target.
  • The Formo target remains open to further expansion, down-dip and on-trend, and shows potential for new discoveries within the Formo property footprint.

Metallic Minerals President, Scott Petsel, stated, “The Formo target is an exciting, advanced exploration stage “resource-ready” target with significant room to grow featuring both high-grade and bulk mineable widths that make it amenable to lower-cost mining methods. The Formo target is ideally located near infrastructure as it is adjacent to the Silver Trail highway (Highway 11) and power lines that feed the central Keno Hill mill. It also directly adjoins Hecla’s Keno Hill property, where Hecla is actively mining the nearby Bermingham mine. We are excited to be able to include these new drill results in our upcoming inaugural resource for the Keno Silver project as these results at Formo continue to demonstrate our ability to build a significant resource base for the project. The resource estimate is expected to be complete in Q1 2024.”

“In addition, the Company looks forward to meeting with interested investors at the upcoming Vancouver Resource Investment Conference, AMEBC Mineral Roundup and Prospectors and Developers annual conferences where Metallic Minerals has been invited to display drill core from its 2023 exploration programs at La Plata and Keno Silver. We anticipate reporting additional results from the Keno Silver project and La Plata projects over the next few weeks.”

Upcoming Events

Vancouver Resource Investment Conference (VRIC)
Metallic Minerals and fellow Metallic Group members, Granite Creek Copper and Stillwater Critical Minerals, in Booth #112 at the 2024 VRIC event, January 21 and 22, 2024. For more information click here.

AMEBC Mineral Roundup Core Shack
Metallic Minerals will be displaying core from the 2023 drill season at the upcoming AMEBC Mineral Roundup event held in Vancouver, BC January 22 to 25, 2024. For more information click here.

Prospectors and Developers Association of Canada Annual Convention (PDAC)
Metallic Minerals will be displaying core from the 2023 drill season at the La Plata project during the PDAC convention held in Toronto, March 3 to 6, 2024. For more information click here.

Table 1 – Highlights of 2023 Drill Results from the West Keno – Formo Target Area

DDH Hole IDFrom (m)To (m)Length (M)Recovered Ag Eq (g/t)Ag (g/t)Au (g/t)Pb (%)Zn (%)
FOR23-001148.74149.430.69499.233.66.200.000.01
and196.9521518.05234.45121.40.051.222.06
including196.95198.91.95513.39300.30.072.713.74
also incl208.42145.6478.25241.00.102.414.43
with208.4211.22.8687.57367.90.184.025.37
FOR23-002172.3173.351.0567.043.50.790.010.01
and2182213131.4251.90.380.351.07
incl218.75219.751277.81137.00.000.963.08
FOR23-003239.9528646.05256.8299.10.520.652.62
including239.35263.6523.7462.37176.01.01.134.67
with239.35245.55.5406.5746.64.070.490.60
and with255.8263.657.85899.27392.40.132.0611.68
including260.35263.653.31,413.45562.40.202.3520.30
with260.75261.50.751,411.76994.00.033.017.36
and with262.05263.651.61,769.44416.00.392.6432.32
and2842862302.55116.50.031.074.07
FOR23-004122124.462.4676.6243.70.110.330.43
and153.5154.10.6284.52154.00.091.672.14
and177.51835.572.9561.20.000.280.18
including179180.751.76144.67130.00.000.460.21
and300.33010.783.265.60.970.010.00

Notes to reported values:

  1. Ag equivalent is presented for comparative purposes using conservative long-term metal prices (all USD): $22.0/oz silver (Ag), $1,850/oz gold (Au), $1.00/lb lead (Pb), $1.40/lb zinc (Zn).
  2. Recovered Silver Equivalent in Table 1 is determined as follows: Ag Eq g/t = [Ag g/t x recovery] + [Au g/t x recovery x Au price/ Ag price] + [Pb % x 10,000 x recovery x Pb price / Ag price] + [Zn% x 10,000 x recovery x Zn price / Ag price].
  3. In the above calculations: 1% = 10,000 ppm = 10,000 g/t.
  4. The following recoveries have been assumed for purposes of the above equivalent calculations: 95% for precious metals (Ag/Au) and 90% for all other listed metals, based on recoveries at similar nearby operations.
  5. Intervals are reported as measured drill intersect lengths and do not represent true width.

Figure 1. Keno Silver District Geology and Deposits

West Keno and the Formo Target Area
The Western Keno Hill district is host to the largest historic production and current resources in the prolific Keno Hill silver district. The Formo target is located at the intersection of a north-easterly structural zone extending from the Hector-Calumet mine, which was the largest producer in the district producing nearly 100 million ounces of silver and the Elsa structural trend, which was the second largest silver producer in the district (see Figure 2).

The Formo property, which includes the historic Formo Mine, was acquired by Metallic Minerals in 2017. The historic Formo mine produced high-grade silver at various times since the 1930s from high-grade vein structures that graded over 1,000 g/t silver1. Significant underground exploration drifts were developed in the 1950s with most of the historic production from an open pit located alongside of the Silver Trail highway between the Elsa townsite and Keno City and last mined in the 1980s.

The primary Formo vein structure is exposed at surface in an open cut. Multiple veins have been encountered in the target area that demonstrate an association with Triassic greenstones in the Earn group schist, similar to the Sadie Ladue deposit which produced 12.7 Moz silver at a grade of 1,620 g/t Ag1. In addition to the mineralization at the known Formo target, two new surface targets have been identified through soil and rock sampling along the same structural corridors that show potential to host high-grade and bulk tonnage Keno-style Ag-Au-Pb-Zn veins on the Formo property (Figure 2).

Since 2020, Metallic Minerals has drilled 26 holes (4,419 m) at the Formo target building on the six core holes and 54 percussion holes drilled by previous owners between 1980 and 1981. The Formo target is open to significant expansion down dip and along trend with several newly identified targets for drill testing (Figure 2 and 3 below).

Figure 2 – West Keno and Formo Target Plan Map

Figure 3 – Formo Target Cross Section (Looking East)

Pending 43-101 Mineral Resource Estimate for Keno Silver Project
The upcoming inaugural independent 43-101 mineral resource estimate is focused on four initial deposits across the Keno Silver project, including: Formo, Caribou, Fox and Homestake. These four deposits are the most advanced of over 40 identified target areas, each of which is characterized by a kilometric scale Ag in soil anomaly, exposed outcropping high-grade veins, and varying levels of exploration activity or historic production. Metallic Minerals has completed 165 drill holes totalling 18,983 m of combined reverse circulation and diamond core drilling at the Keno Silver project since 2017 on a total of 11 targets, all of which have returned encouraging results. The four most advanced “resource-ready” targets will be part of the upcoming mineral resource estimate being completed by SGS Geological Services and include:

  • Formo Target – In the West Keno District, it demonstrates potential for lower-cost bulk tonnage mining or high-grade selective methods with drill highlights including:
    • Hole FOR22-04 – 20.87 m @ 220.5 g/t Ag Eq (144.6 g/t Ag, 0.70% Pb, 1.59% Zn), and 1.63 m @ 1,487.19 g/t Ag Eq (1,049 g/t Ag, 4.21% Pb, 9.45% Zn)
    • Hole FOR21-05 – 19.8 m @ 216.26 g/t Ag Eq (70 g/t Ag, 0.41 g/t Au, 0.30% Pb, 2.07% Zn) and 0.7 m @ 1,405 g/t Ag Eq (421.0 g/t Ag, 0.15 g/t Au, 1.53% Pb, 24.2% Zn)
    • Hole FOR20-003 – 3.0 m @ 2,954.52 g/t Ag (1,568 g/t Ag, 29.45% Pb, 1.35% Zn)
  • Caribou Target – In the Central Keno target area the Caribou target historically produced very high-grade material from a shallow surface pit grading more than 6,000 g/t silver.
  • Fox Target – Discovered by Metallic Minerals in 2020 in the East Keno target area, the Fox target is characterized as a newly recognized bulk tonnage style of mineralization with shallow-dipping sheeted vein sets up to 177 m in width. Drilling since 2020, has defined a bulk-tonnage mineralized block over 300 m along strike and 150 m down-dip from surface which is open in all directions.
  • Homestake Target – A historic producer, the Homestake target in the Central Keno area is fractally spatial with the districts’ giant past producers and current resources (Silver King, Elsa, Bermingham, Hector Calumet, Flame & Moth and Bellekeno) near the contact of the Keno Hill Quartzite and Sourdough Hill formations. With only 88 drill holes (slightly over 5000 m of drilling), and a strike length over 2 km the Homestake target represents considerable resource opportunity and exploration potential.

Metallic Minerals sees considerable opportunity for resource growth from target expansion and new discovery with the further systematic application of exploration, including the expansion of detailed soil geochemical grids, “resource-ready” target expansion through drilling and reconnaissance drilling of early-stage targets.

About Metallic Minerals
Metallic Minerals Corp. is focused on copper, silver, gold, and other critical minerals in the La Plata mining district in Colorado, and silver and gold in the high-grade Keno Hill and Klondike districts of the Yukon. Our objective is to create shareholder value through a systematic, entrepreneurial approach to making exploration discoveries, growing resources, and advancing projects toward development.

At the Company’s La Plata project in southwestern Colorado, the new 2023 NI 43-101 mineral resource estimate identifies a significant porphyry copper-silver resource containing 1.21 Blbs copper and 17.6 Moz of silver3. The 2022 expansion drilling provided the basis for the updated resource, including the longest and highest-grade interval ever encountered at La Plata and one of the top intersections for any North American copper project in the past several years. In May 2023, the Company announced a 9.5% strategic investment by Newcrest Mining Limited (acquired by Newmont Mining in 2023) to accelerate the advancement of the Company’s La Plata project. In the 2023 Fraser Institute’s Annual Survey of Mining Companies, Colorado ranked 5th globally for investment attractiveness and 2nd in the USA.

In Canada’s Yukon Territory, Metallic Minerals has consolidated the second-largest land position in the historic high-grade Keno Hill silver district, directly adjacent to Hecla Mining Company’s (“Hecla”) operations, with more than 300 Moz of high-grade silver in past production and current M&I resources. Hecla, the largest primary silver producer in the USA and third largest in the world, is anticipating full production at its Keno Hill operations by the end of 2023. An inaugural mineral resource estimate on the project is expected in early 2024, with an 1,112-meter expansion drill program completed at the Formo target during fall of 2023.

The Company is also one of the largest holders of alluvial gold claims in the Yukon and is building a production royalty business by partnering with experienced mining operators, including Parker Schnabel of Little Flake Mining from the Discovery Channel television show, Gold Rush.

All of the districts in which Metallic Minerals operates have seen significant mineral production and have existing infrastructure, including power and road access. The Company is led by a team with a track record of discovery and exploration success on several major precious and base metal deposits in the region, as well as having large-scale development, permitting and project financing expertise. The Metallic Minerals team has been recognized for its environmental stewardship practices and is committed to responsible and sustainable resource development.

Footnotes:

  1. Cathro, R. J., Great Mining Camps of Canada 1. The History and Geology of the Keno Hill Silver Camp, Yukon Territory. Geoscience Canada, Sept. 2006. ISSN 1911-4850.
  2. Alexco Resource Corp Technical Report, titled “NI 43-101 Technical Report on Updated Mineral Resource and Reserve Estimate of the Keno Hill Silver District” with an effective date of April 1, 2021, and issue date of May 26, 2021.
  3. See news release dated July 31, 2023. The Mineral Resource has been estimated in conformity with CIM Estimation of Mineral Resource and Mineral Reserve Best Practices Guidelines (2019) and current CIM Definition Standards. The constrained Mineral Resources are reported at a base case cut-off grade of 0.25% Cu Eq, based on metal prices of $3.75/lb Cu and $22.50/oz Ag, assumed metal recoveries of 90% for Cu and 65% for Ag, a mining cost of US$5.30/t rock and processing and G&A cost of US$11.50/t mineralized material. The current Mineral Resources are not Mineral Reserves as they do not have demonstrated economic viability. The quantity and grade of reported Inferred Resources in this Mineral Resource Estimate are uncertain in nature and there has been insufficient exploration to define these Inferred Resources as Indicated or Measured. However, based on the current knowledge of the deposits, it is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.

FOR FURTHER INFORMATION, PLEASE CONTACT:
Website: www.mmgsilver.com Phone: 604-629-7800

Email: cackerman@mmgsilver.com Toll Free: 1-888-570-4420

Qualified Person
The disclosure in this news release of scientific and technical information regarding exploration projects on Metallic Minerals’ mineral properties has been reviewed and approved by Taylor Haid, P. Geo, Project Manager for TruePoint Exploration, who is a Qualified Person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”).

Quality Assurance / Quality Control
All samples were prepared by Bureau Veritas’ (BV) Whitehorse, Yukon facility and geochemically analyzed at the BV laboratory in Vancouver, British Columbia. All samples were prepared using BV code PRP70-250, which crushed, split, and pulverized 250 grams of core to 200 mesh pulps. These pulps were then analyzed by 37 Element 1:1:1 Aqua Regia Digestion followed by Inductively Coupled Plasma Mass Spectrometry (ICP-ES/MS) analyses (BV Code AQ202). Over-limit silver, lead, and zinc samples were further analyzed with multi-acid digestion and atomic absorption spectrometry (BV Code MA404). Samples with over-limit gold (and silver when over-limit was reached via multi-acid) were re-analyzed using a 30-gram fire assay fusion with gravimetric finish (BV Code FA530).

All results have passed the QAQC screening by the lab and the company utilizes a quality control and quality assurance protocol for the project, including insertion of blanks, duplicates, and certified reference materials approximately every tenth sample. Certified reference materials were acquired from OREAS North America Inc. of Sudbury, Ontario, and CDN Resource Laboratories Ltd. Of Langley, British Columbia for the 2023 drill program at the Keno Silver project.

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, statements about expected results of operations, royalties, cash flows, financial position and future dividends as well as financial position, prospects, and future plans and objectives of the Company are forward-looking statements that involve various risks and uncertainties. Although Metallic Minerals 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, unsuccessful operations, 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 Company with securities regulators. Readers are cautioned that mineral resources that are not mineral reserves do not have demonstrated economic viability. Mineral exploration, development of mines and mining operations is an inherently risky business. Accordingly, the actual events may differ materially from those projected in the forward-looking statements. For more information on Metallic Minerals 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.

SOURCE: Metallic Minerals Corp.



View the original press release on accesswire.com

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Base Metals Exclusive Interviews Junior Mining

The “Structure” of India

In the post-Christian world, the assumption is that prosperity and education must automatically lead to enlightenment. The results have, however, been quite the opposite, as these factors have instead provided leverage to the underlying irrational, amoral “system.” A foundation of rational, moral fabric must first be laid to have any hope of building a civilization. That is where attempts to enlighten the Third World have failed:

Here is a discussion on how Canada (and the rest of the West) did hara-kiri by bringing in so many Third World immigrants:

On Investments

92 Energy (ASX.92E; A$0.495) is being acquired. It owns uranium projects in the Athabasca region of Canada. The arbitrage is 30% based on a recent financing that the acquiree did. Based on the current share price of the acquiree, the upside is 60%. The merged entity will trade only in Canada. I understand some Australian shareholders are getting out because their brokers likely do not offer trading in Canada. The ideal choice to trade such stocks is brokers that offer trading on ASX and Canadian exchanges. I prefer Interactive Brokers. (This is a referal link).

Jayant Bhandari

Disclaimer: All information found here, including any ideas, opinions, views, predictions, forecasts, commentaries, suggestions, or stock picks, expressed or implied herein, are for informational, entertainment, or educational purposes only and should not be construed as personal investment advice. While the information provided is believed to be accurate, it may include errors or inaccuracies. The sole purpose of these musings is to show my thinking process when analyzing a stock, not to provide any recommendations. I will not and cannot be held liable for any actions you take resulting from anything you read here. Conduct your due diligence, or consult a licensed financial advisor or broker before making any investment decisions. Any investments, trades, speculations, or decisions made based on any information found on this site, expressed or implied herein, are committed at your own risk, financial or otherwise.

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Base Metals Junior Mining Precious Metals

Announcing: Rick Rule’s Development Stage & Pre-Production Mining Bootcamp

A Virtual Event | JAN 6, 2024 – 8:00 AM – 4:00 PM (PST)

YOU WON’T FIND IT ANYWHERE ELSE

And certainly not at this price.

Right now, you can attend this exclusive event for 50% off the retail price, for just $99USD ($199 after January 6, 2024)

Dear Investor,

SOMETIMES BORING PAYS BIG BUCKS

A quiz for any of you football fans. Which position group in the National Football League earns the highest salary on average?

That’s easy you say — quarterback? Nope.

Wide receiver? Try again.

Running back? Not even close.

The answer is left tackle (one of the big boring guys up front). Surprised? It’s true. According to Spotrac, the average salary for an NFL left tackle in 2023 was $8,137,061. Quarterbacks, receivers, and running backs (the so-called skill positions) on average earned $5,767,724, $3,244,312, and $2,151,733, respectively.

It’s hard to believe but despite the headline-grabbing sums paid to quarterbacks such as Justin Herbert ($52.5 million per year), when all players, including back-ups and third stringers, are considered, the league paid more on average to left tackles than to quarterbacks. There’s a good reason for this.

Offensive tackles play a vital role; they protect the team’s quarterback from opposing attackers. One missed assignment can result in a negative play or worse — a season- or career-ending injury to a $50 million quarterback.

The risk is too high, so teams gladly pay up. Laremy Tunsil, the highest paid offensive tackle, takes home $20 million per year, which is more than most quarterbacks — and he rarely, if ever, touches the ball.

Sometimes, real value appears where you least expect it.

THE UNSUNG HEROES: FROM DISCOVERY TO MINE 

A lot happens between mineral discovery and the first extraction of valuable ore (and the long-awaited cash flow). During this lengthy process, a number of factors, including changing risk factors and capital flows, alter the market value of the project.

Franco-Nevada co-founder Pierre Lassonde captured the general trend in his widely referenced Lassonde Curve.

 Mining speculators are naturally drawn to the first hump of the Lassonde Curve, the discovery period, where exploration pays off and excitement reaches its peak. No doubt the profits here can be mind blowing, but speculators face another big opportunity to profit (the second hump), and that is the development / pre-production period.

Like our indispensable left tackle, development-stage companies are the unsung heroes of the game. They engage in what some dismiss as the “boring engineering phase” of development to production (the blocking and tackling, if you will): namely, the financing, engineering, permitting, and construction.

Are you still awake? Yes, it’s boring, yet critical. A misstep at this stage can nullify a decade or more of investment and hard work.

The good news is that at each successive stage, the odds of success improve. Only a small fraction of exploration companies make it this far. The end is in sight!

SURPRISINGLY REWARDING

While many early speculators prefer to cash out following the initial discovery boom, other investors join in. The maturing project, with risk and reward now clearly defined, attracts a different class of investor, including institutions.

These investors aim to profit from the difference between the market value and the net asset value (NAV) of the company. In the optimal case, the market value converges to near 100% of the NAV.

One might think that at this stage of the mineral discovery lifecycle, the prospect for large gains is slim. But that’s not the case according to Lobo Tiggre, founder of The Independent Speculator, and whose firm studied 124 cases going back to the 1980s.

According to Tiggre, these investments often double in value and in some cases deliver 600% returns or higher. Furthermore, 75.4% of all cases delivered positive gains.

At the same time, he is quick to point out that averages are just that — averages. They tell you little about the performance of individual companies. Despite the encouraging numbers, some companies still fail miserably.

His conclusion: Due diligence still matters.

DON’T GO AT IT ALONE — LET RICK BE YOUR GUIDE

Investing in development stage and pre-production companies can be extraordinarily rewarding, but there are risks.

That’s why I created the Rule Bootcamp Series with my partner, renowned natural resource investor Rick Rule.

When it comes to junior resource investing, Rick is the real deal with over 40 years of experience and hundreds of privately placed debt and equity deals under his belt. He has researched and funded companies around the world, including those domiciled in Australia, Canada, Chile, Great Britain, New Zealand, Switzerland, and the United States.

This bootcamp is your opportunity to capitalize on the lifetime’s worth of experience of a celebrated professional.

Among the topics we’ll discuss are:

  • An overview of developers and pre-production companies
  • Red flags to watch out for when evaluating potential investments
  • How to read an NI 43-101 report on a developer or pre-producer
  • The ‘ten disciplines’ that every investor must understand and review prior to investing
  • How you can make impressive returns without taking excessive risk
  • The questions you must ask development-stage mining CEOs before you invest
  • How Rick Rule selects his own development-stage and pre-production investments

About your host, Rick Rule, and his company, Rule Investment Media.

Rick Rule is a highly experienced investor and speculator who began his career in the securities business in 1974 and has been principally involved in natural resource security investments ever since.

He has structured, led, and participated in hundreds of privately placed debt and equity issuances for resource companies operating globally.

Rule Investment Media strives to produce the highest quality and most reliable market news and commentary in the natural resources sector. The goal: to connect scarce knowledge with the people who seek it and inspire intelligent investing decisions with insightful analysis and thought-provoking interviews.

MEET OUR DISTINGUISHED SPEAKER LINEUP


Douglas Silver
CEO, Balfour Holdings, LLC

Douglas has had a diverse career in the mining industry ranging from prospecting geologists to being a founder and portfolio manager for the largest mining private equity fund. He is especially known for his work in mining royalties, having sold his company, International Royalty Corp, for C$745 million as well as a mineral royalty portfolio to Osisko Gold for C$1.1 billion. Mr. Silver is one of only three people to be inducted into both the U.S. and Canadian Mining Halls of Fame.

Nick Michael
VP Technical Services (retired), Orion Resource Partners

Recently retired from Orion Resource Partners where he held the position of VP Technical Services, Nick was involved in the design/construction process as well as technical diligence and independent engineer (for investors) of many mines throughout the globe. He has a working understanding in all disciplines related to mining, proficient in mining, metallurgy, and engineering. This skillset, developed over years of experience and provided insight to efficiently evaluate, engineer, and manage greenfield, brownfield, and operating mines.

Lobo Tiggre
Founder, Louis James, LLC

Lobo Tiggre is the founder, CEO, and principal analyst and editor of Louis James, LLC. He researched and recommended speculative opportunities in Casey Research publications from 2004 to 2018, writing under the name “Louis James” for privacy reasons. While at Casey Research, he learned about the newsletter business from Casey co-founder David Galland, and resource speculation from the legendary speculator Doug Casey himself.

Prior to his work at Casey Research, Mr. Tiggre was a writer and publisher involved in numerous ventures. In 1998, he published his first novel, Y2K: The Millennium Bug. In 2012, he co-authored Doug Casey’s first book in almost two decades, Totally Incorrect. This was followed by another book co-authored with Doug Casey in 2014, Right on the Money. Tiggre has plans for several new books going forward, both fiction and non-fiction.

Louis-Pierre Gignac
President & CEO, G Mining Ventures Corp.

Mr. Gignac has more than 20 years of experience in the mining industry. His expertise includes managing project development studies, providing open-pit expertise, financial modeling, and economic evaluation of projects. He has coordinated many mandates with numerous major mining companies ranging from early exploration evaluations to operations optimization involving all fields of mining and geology. He is a member of the Ordre des Ingénieurs du Québec (“OIQ”) and the Canadian Institute of Mining (“CIM”). He holds a Bachelor of Mining Engineering from McGill University and a Master’s degree of Applied Science in Industrial Engineering from the École Polytechnique de Montréal and is a CFA Charterholder. Mr. Gignac also serves as a director of Major Drilling Group International.

YOU WON’T FIND IT ANYWHERE ELSE

And certainly not at this price.

Right now, you can attend this exclusive event for 50% off the retail price, for just $99USD ($199 after January 6, 2024)

Categories
Junior Mining Precious Metals

Lion One Strengthens Exploration and Operations Teams in Fiji

North Vancouver, British Columbia–(Newsfile Corp. – January 3, 2024) – Lion One Metals Limited (TSXV: LIO) (OTCQX: LOMLF) (ASX: LLO) (“Lion One” or the “Company”) is pleased to announce the appointment of Mr. Alex Nichol as Vice President Geology and Exploration and Mr. David Towle as Mill Manager, as well as the hiring of Mr. Melvyn Levrel as Senior Exploration Geologist in Fiji. The Company also announces the retirement of Mr. Sergio Cattalani as Senior Vice President Exploration. Mr Cattalani will remain with Lion One as a Senior Geology Advisor.

Lion One Chairman and CEO Walter Berukoff commented: “As we continue to advance the Tuvatu Gold Project from development towards commercial production we are excited to add key individuals with specialized skill sets to our technical team in Fiji. Together, Alex, David and Melvyn bring over 70 years of experience to the Lion One Team. They are all accomplished veterans with superior leadership skills and extensive experience in their respective fields of expertise; Alex in underground geology and mining, David in mill operations and commissioning, and Melvyn in mineral exploration. We are very fortunate to have them on our team.”

“We are also very fortunate to have benefitted from the leadership and expertise of Sergio Cattalani over the past three years while he led the geology and exploration teams at Tuvatu. Sergio has been instrumental in the success of the project and we look forward to continuing to work with him as he transitions into a new role as Senior Geology Advisor with Lion One.”

Alex Nichol, MAIG – Biography

Mr. Nichol is a mining professional with over 20 years of progressive experience in underground gold, copper, and zinc mining. He has extensive senior operational experience in underground geology, production, and exploration, specializing in mine start-ups and geology systems development and implementation. Prior to joining Lion One, Mr. Nichol was the Geology Superintendent at the Mt. Colin copper-gold mine in Queensland, and before that he was a Senior Underground Mine Geologist at Barrick Gold’s Porgera Joint Venture in Papua New Guinea – an analogue deposit for Tuvatu. He has also held Senior Underground Mine Geologist positions at the Dugald River Mine and the Fossey Mine, as well as a Senior Mine Geologist position at Glencore’s George Fisher Mine near Mount Isa, Queensland. Mr Nichol’s role with Lion One will be to oversee all aspects of the underground development, production, and exploration at Tuvatu, as well as to oversee regional exploration throughout the Navilawa Caldera.

Mr. Nichol holds a Bachelor of Science in Geology from the University of Otago and is a Member of the Australian Institute of Geoscientists (MAIG).

David Towle – Biography

Mr. Towle has over 35 years of experience in mill operations and production, specializing in mill commissioning. He recently worked with IAMGOLD as a Commissioning Specialist responsible for the planning and execution of all commissioning activities at the Cote Gold Project in Ontario. He has managed all aspects of mill construction and start-up from first ore to nameplate production at numerous mines, including Pure Gold Mining’s Madsen Project, Atlantic Gold’s (now St. Barbara’s) Touquay Mine, and Pretium Resources Brucejack Mine. He has held the roles of Mill Manager and Mill Operations Superintendent on multiple occasions and spent 18 years in mill operations at Goldcorp’s (now Newmont’s) Musselwhite Mine.

Mr. Towle has also completed extensive managerial and technical training programs throughout his career, including Goldcorp’s Supervisory Leadership Program, Harvard Management and Mentorship Program, Refinery Leadership Partners Program, and Placer Dome’s Project Management Program. Mr. Towle is an expert in mill start-up and operations and that will be his focus at Lion One.

Melvyn Levrel, MAIG – Biography

Mr. Levrel is an accomplished exploration geologist with 15 years of experience in mineral exploration and mining. He is an expert in Fijian geology and in exploration management in the South Pacific, having spent three years as the Fiji Country Director and Exploration Manager for Alice Queen Limited, and an additional four years managing mineral exploration and geophysics projects throughout Fiji as a Consulting Geologist. He also has six years of experience in exploration and mining in New Caledonia. Mr. Levrel has a wide range of experience in field geology, geophysics, and resource modelling, as well as a unique knowledge of the exploration techniques, history, and regulations in Fiji. As a Senior Exploration Geologist with Lion One, Mr. Levrel will be focused on the advancement of Lion One’s regional exploration targets and prospects throughout the Navilawa Caldera.

Mr. Levrel holds a Masters Degree in Georesources from the Polytechnic Institute of Bordeaux (Bordeaux INP) and a Bachelors Degree in Geology from the University of Brest. He is also a Member of the Australian Institute of Geoscientists (MAIG).

About Lion One Metals Limited
Lion One Metals is an emerging Canadian gold producer based in North Vancouver BC, with new operations established in late 2023 at its 100% owned Tuvatu Alkaline Gold Project in Fiji. The Project comprises the high-grade Tuvatu Gold Deposit, Gold Mine, Pilot Plant, and Assay Lab, with an extensive exploration license area hosting multiple mineralized zones in the surrounding Navilawa Caldera.

As disclosed in its “Technical Report and PEA Update for the Tuvatu Gold Project”, dated April 29, 2022, the 2018 Tuvatu resource estimate comprises 1,007,000 tonnes indicated at 8.50 g/t Au (274,600 oz. Au) and 1,325,000 tonnes inferred at 9.0 g/t Au (384,000 oz. Au) at a cut-off grade of 3.0 g/t Au. The technical report is available on the Lion One website at www.liononemetals.com and under the Lion One profile on the SEDAR+ website at www.sedarplus.ca.

On behalf of the board of Lion One Metals Limited,
Walter Berukoff, Chairman & CEO
Patrick Hickey, Chief Operating Officer

Contact Information
Investor inquiries: info@liononemetals.com
Phone: 1-855-805-1250 (toll free North America)
Website: www.liononemetals.com

Neither the TSX-V nor its Regulation Service Provider accepts responsibility or the adequacy or accuracy of this release

This press release may contain statements that may be deemed to be “forward-looking statements” within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward-looking information. Generally, forward-looking information may be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “proposed”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. This forward-looking information reflects Lion One Metals Limited’s current beliefs and is based on information currently available to Lion One Metals Limited and on assumptions Lion One Metals Limited believes are reasonable. These assumptions include, but are not limited to, the actual results of exploration projects being equivalent to or better than estimated results in technical reports, assessment reports, and other geological reports or prior exploration results. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Lion One Metals Limited or its subsidiaries to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the stage development of Lion One Metals Limited, general business, economic, competitive, political and social uncertainties; the actual results of current research and development or operational activities; competition; uncertainty as to patent applications and intellectual property rights; product liability and lack of insurance; delay or failure to receive board or regulatory approvals; changes in legislation, including environmental legislation, affecting mining, timing and availability of external financing on acceptable terms; not realizing on the potential benefits of technology; conclusions of economic evaluations; and lack of qualified, skilled labour or loss of key individuals. Although Lion One Metals Limited has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. Lion One Metals Limited does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/193000

Categories
Junior Mining Precious Metals

Lion One Announces USD $8 Million Tranche 2 Draw Down on Nebari Financing Facility

North Vancouver, British Columbia–(Newsfile Corp. – January 2, 2024) – Lion One Metals Limited (TSXV: LIO) (OTCQX: LOMLF) (ASX: LLO) (“Lion One” or the “Company”) announces that the Company has entered into an agreement to amend certain terms and drawn down a further USD $8 million of its Senior Secured Financing Facility provided by Nebari Gold Fund 1, LP, Nebari Natural Resources Credit Fund I, LP, and Nebari Natural Resources Credit Fund II, LP (collectively, “Nebari”), previously announced on Jan. 13, 2023. Proceeds from the Financing Facility have facilitated the completion of construction and recent commissioning of the Company’s 100% owned Tuvatu Gold Mine operations in Fiji.

The Company has now drawn down a total of USD $31 million out of USD $35 million available in the Financing Facility. Concurrently with drawing down Tranche 2 under the Financing Facility, the Company amended certain reporting covenants under the facility agreement and agreed to re-price the 15,333,087 warrants (the “Warrants”) issued at a price of CAD $1.49 to CAD $1.15 with the expiry date extended from August 9, 2026 to February 9, 2027. The amendments to the Warrant terms are subject to the approval of the TSX Venture Exchange.

Interest on the first USD $23 million drawn in Tranche 1 of the Facility is 8% (plus three-month SOFR), and amortization is on the Maturity Date 42 months from the original closing date, with no closing fees payable. Tranches 2 (and 3) funding is subject to an 8% original issue discount and interest is 10% plus SOFR, with progressive amortization over 42 months from the Tranche 2 funding date, with closing fees equal to 2% of the amounts funded.

About Lion One Metals Limited
Lion One Metals is an emerging Canadian gold producer based in North Vancouver BC, with new operations established in late 2023 at its 100% owned Tuvatu Alkaline Gold Project in Fiji. The Project comprises the high-grade Tuvatu Gold Deposit, Gold Mine, Pilot Plant, and Assay Lab, with an extensive exploration license area hosting multiple mineralized zones in the surrounding Navilawa Caldera.

As disclosed in its “Technical Report and PEA Update for the Tuvatu Gold Project” dated April 29, 2022, the 2018 Tuvatu resource estimate comprises 1,007,000 tonnes indicated at 8.50 g/t Au (274,600 oz. Au) and 1,325,000 tonnes inferred at 9.0 g/t Au (384,000 oz. Au) at a cut-off grade of 3.0 g/t Au. The technical report is available on the Lion One website at www.liononemetals.com and under the Lion One profile on the SEDAR+ website at www.sedarplus.ca.

On behalf of the Board of Directors of
Lion One Metals Limited
“Walter Berukoff“, Chairman and CEO

Contact Investor Relations
Toll Free (North America) Tel: 1-855-805-1250
Email: info@liononemetals.com
Website: www.liononemetals.com

Neither the TSX-V nor its Regulation Service Provider accepts responsibility for the adequacy or accuracy of this release

This press release may contain statements that may be deemed to be “forward-looking statements” within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward-looking information. Generally, forward-looking information may be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “proposed”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. This forward-looking information reflects Lion One Metals Limited’s current beliefs and is based on information currently available to Lion One Metals Limited and on assumptions Lion One Metals Limited believes are reasonable. These assumptions include, but are not limited to, the actual results of exploration projects being equivalent to or better than estimated results in technical reports, assessment reports, and other geological reports or prior exploration results. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Lion One Metals Limited or its subsidiaries to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the stage development of Lion One Metals Limited, general business, economic, competitive, political and social uncertainties; the actual results of current research and development or operational activities; competition; uncertainty as to patent applications and intellectual property rights; product liability and lack of insurance; delay or failure to receive board or regulatory approvals; changes in legislation, including environmental legislation, affecting mining, timing and availability of external financing on acceptable terms; not realizing on the potential benefits of technology; conclusions of economic evaluations; and lack of qualified, skilled labour or loss of key individuals. Although Lion One Metals Limited has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. Lion One Metals Limited does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/192995

Categories
Base Metals Junior Mining Precious Metals

Goldshore Resources Provides Corporate Update and Equity Grant

Vancouver, British Columbia–(Newsfile Corp. – December 28, 2023) – Goldshore Resources Inc. (TSXV: GSHR) (OTCQB: GSHRF) (FSE: 8X00) (“Goldshore” or the “Company“), is pleased to share a corporate update in regards to its ongoing activities.

Corporate Update Highlights:

  • The Company is completing a Mineral Resource Estimate (“MRE”) update and expects the results of the study to be completed in January 2024.
  • Goldshore continues to work with its metallurgical consultants on test work for heap leaching the low-grade material from the Moss Gold deposit, using various composites of ore size and grade. The result of the heap leach testing should be completed by the end of H1 2024.
  • Once the new model, MRE and metallurgical testing are completed, the Company will commence Phase Two of the preliminary economic assessment (“PEA”), in scoping a project (size and scale) that deliver optimum economic results, appreciating the market’s discontent for large scale Cap-Ex projects. Completion of the PEA will be done by the end of August 2024.
  • The Company hosted a Year in Review conference call with questions and answers from investors and can be viewed on: Media | Goldshore Resources.

Equity Grant to Management and Directors

Goldshore’s Board of Directors (“Board”) granted 3,569,333 incentive stock options (“Options”) and 2,095,332 restricted share units (“RSU”) to the directors, management, officers and consultants of the Company as part of its annual compensation plan. The Options are exercisable at $0.15 per share for a period of five (5) years and vest as follows: 1/3 on May 22, 2024, 1/3 on May 22, 2025 and 1/3 on May 22, 2026. The RSU’s vest 12 months from the date of grant as follows: 1,536,665 on December 11, 2024 and 558,667 on December 22, 2024.

About Goldshore

Goldshore is an emerging junior gold development company and owns 100% of the Moss Gold Project located in Ontario. The Company is well-financed and supported by an industry-leading management group and board of directors, and is well positioned to advance the Moss Gold Project through the next stages of exploration and development.

For More Information – Please Contact:

Brett A. Richards
President, Chief Executive Officer and Director
Goldshore Resources Inc.

P. +1 604 288 4416 M. +1 905 449 1500
E. brichards@goldshoreresources.com
W. www.goldshoreresources.com

Facebook: GoldShoreRes | Twitter: GoldShoreRes | LinkedIn: goldshoreres

This press release is not an offer to sell or the solicitation of an offer to buy the securities in the United States or in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to qualification or registration under the securities laws of such jurisdiction. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act“) or any U.S. state securities laws, and such securities may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from registration requirements of the U.S. Securities Act and applicable U.S. state securities laws.

THIS PRESS RELEASE, PROVIDED PURSUANT TO APPLICABLE CANADIAN REQUIREMENTS, IS NOT FOR DISTRIBUTION TO UNITED STATES NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN. THE OFFERING IN QUESTION HAS NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND THE SECURITIES SOLD IN SUCH OFFERING MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS ABSENT REGISTRATION OR APPLICABLE EXEMPTION FROM REGISTRATION REQUIREMENTS.

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

Cautionary Note Regarding Forward-Looking Statements

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 the Company’s actual results, performance or achievements, or developments 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.

Forward-looking statements in this news release include, among others, statements relating to expectations regarding the exploration and development of the Moss Gold Project, the release of an updated mineral resource estimate and preliminary economic assessment, and other statements that are not historical facts. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors and risks include, among others: the Company may require additional financing from time to time in order to continue its operations which may not be available when needed or on acceptable terms and conditions acceptable; compliance with extensive government regulation; domestic and foreign laws and regulations could adversely affect the Company’s business and results of operations; the stock markets have experienced volatility that often has been unrelated to the performance of companies and these fluctuations may adversely affect the price of the Company’s securities, regardless of its operating performance; and the impact of COVID-19.

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. The Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/192532

Categories
Base Metals Diamcor Mining Energy Exclusive Interviews Junior Mining Precious Metals

Diamcor Mining | Diamond Sector Set to Surge 💎

💎 Diamcor Mining 💎: TSX.V: DMI
Website: https://diamcormining.com/
Corporate Deck: https://diamcormining.com/_resources/…
Contact:
Mr. Rich Matthews
rmatthews@integcom.us
+1 (604) 757-7179

Mr. Dean H. Taylor
deant@diamcor.com
1.250.864.3326

About Diamcor 💎: Diamcor Mining Inc. is a publicly traded Canadian company with a proven history of supplying rough diamonds to the world market. Diamcor has established a long-term strategic alliance with world famous luxury retailer Tiffany & Co. and is now in the final stages of developing the Krone-Endora at Venetia Project co-located with De Beer’s flagship Venetia mine.

Categories
Base Metals Energy Junior Mining

Uranium & Nuclear Get Boost from COP28

Key Takeaways

  • The U3O8 uranium spot price broke through $80 per pound, gaining 8.39% in November and is up 67.10% YTD; uranium stocks followed suit.
  • Uranium continues to outperform other commodities and demonstrate its strong fundamentals.
  • Both Western and Eastern nations made important geopolitical maneuvers in November to secure uranium supplies.
  • Competition for uranium supply is rapidly intensifying, driven by the increasing importance of nuclear energy and the growing awareness of an impending supply-demand gap.
  • COP28 was dubbed the “nuclear COP” as nuclear energy took center stage.

Performance as of November 30, 2023

Asset1 MO*3 MO*YTD*1 YR3 YR5 YR
U3O8 Uranium Spot Price 18.39%33.16%67.10%63.32%39.69%22.87%
Uranium Mining Equities (Northshore Global Uranium Mining Index) 26.31%26.90%54.22%46.74%54.38%27.87%
Uranium Junior Mining Equities (Nasdaq Sprott Junior Uranium Miners Index TR) 37.47%28.70%42.66%30.94%54.22%N/A
Broad Commodities (BCOM Index) 4-2.69%-3.98%-9.75%-12.28%11.04%4.28%
U.S. Equities (S&P 500 TR Index) 59.13%1.74%20.80%13.84%9.76%12.51%

*Performance for periods under one year not annualized.
Sources: Bloomberg and Sprott Asset Management LP. Data as of 11/30/2023. You cannot invest directly in an index. Included for illustrative purposes only. Past performance is no guarantee of future results. 

Uranium’s Resurgence to a 16-Year High

The U3O8 uranium spot price gained 8.39% in November, increasing from US$74.48 to $80.73 per pound as of November 30, 2023.1 Uranium has posted a stellar 67.10% year-to-date return as of November 30, 2023, and continued to show strength and diversification relative to other commodities, which declined 9.75% (as measured by the BCOM Index).

Breaking through the $80 per pound level represents a high price for the current uranium bull market and a price level not seen in almost 16 years. Uranium’s all time high of $136 was reached in 2007 at the end of the last commodity supercycle which ended due to the 2008 Global Financial Crisis. Following the GFC, the uranium price was in a state of decline through 2016, when it reached a month-end low of $17.75 on November 30, 2016. Although November was characterized by lower inflation and favorable 2024 interest rate change expectations, which provided many asset classes with a boost, energy and metals commodity markets were largely negative, with the notable exception of uranium. This trend continues to showcase the uranium market’s economic insensitivity and diversification to major asset classes.

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 November 30, 2023, the U3O8 spot price has risen a cumulative 180.07% compared to 23.31% for the broader commodities index (BCOM), as shown in Figure 1.

Figure 1. Physical Uranium & Uranium Stocks Have Outperformed Other Asset Classes Over the Past Five Years (11/30/2018-11/30/2023)

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 Urgency of the Uranium Supply Race

Geopolitical uncertainty and concerns about the security of uranium supply continue to be the driving forces behind the ongoing uranium rally. Notably, French President Emmanuel Macron’s November visit to Kazakhstan marked a pivotal event. During this visit, a significant joint declaration was made to enhance trade and cooperation in the fields of nuclear energy and strategic minerals. Additionally, a crucial agreement was signed, focusing on collaboration in the nuclear fuel cycle.6 These strengthened ties between France and Kazakhstan come at a critical juncture for France, especially in light of deteriorating relations with Niger following the July coup. Niger’s military junta has publicly accused France of attempting to destabilize the country, leading to the closure of borders and heightened uncertainty surrounding France’s uranium supply from Niger. It’s worth noting that France shares a deep historical connection with Niger, having maintained control until Niger gained independence in 1960. Over the past decade, France has relied heavily on Niger for almost 20% of its uranium imports, a substantial proportion considering that Niger’s contribution to global production stands at just 4%.7,8

France & the West Move to Secure Supply…

Kazakhstan and France play pivotal roles in the uranium markets, each contributing substantially to the industry. Kazakhstan, as the world’s leading uranium producer, accounts for an impressive 43% of the global mine production in 2022. On the other hand, France stands out not only as the world’s third-largest consumer of uranium, as illustrated in Figure 2, but also boasts a significant reliance on nuclear energy, which accounts for 63% of its total electricity generation. Given these vital positions, the evolving situation in Niger, coupled with an inherent supply-demand gap in the broader uranium market, has heightened the imperative for ensuring the security of supply, not just for France but for all nations reliant on uranium resources.

Western nations are particularly vulnerable due to their shift away from Russia for nuclear fuel supply services. While Russia contributed only 5% to the global uranium mine supply in 2022, it plays a more substantial role in uranium conversion and enrichment services. Consequently, Western utilities are still accepting deliveries of Russian-enriched uranium, but they are implementing self-sanctions by refraining from entering into new contracts. Moreover, legislative efforts are gaining momentum, aiming to restrict uranium imports into the United States. The Prohibiting Russian Uranium Imports Act has recently garnered approval in the U.S. House and now awaits consideration in the Senate (was passed on 12/11/2023 by U.S. House of Representatives). Time is limited for its passage within the current year. If the act is ratified, it will lead to a ban on Russian uranium imports 90 days after its enactment, while allowing for temporary waivers until 2028.9

…Along with Russia and China

Eastern nations are also actively pursuing the assurance of a stable uranium supply. While Russia does engage in uranium mining, its domestic production falls short of meeting its extensive demands to fuel both domestic and Russian-built reactors in various countries. Consequently, Russia also uses its southern neighbor, Kazakhstan, for access to uranium resources. In a reciprocal effort, following French President Emmanuel Macron’s visit to Kazakhstan, Russian President Vladimir Putin embarked on a visit to further strengthen Russian-Kazakh relations just one week later.10 These diplomatic overtures align with China’s President Xi Jinping’s visit to Kazakhstan in October, where he emphasized the need for increased cooperation.11

China stands out with the second-largest uranium reactor requirements globally and ambitious nuclear expansion plans, currently overseeing the construction and planning of 68 reactors, compared to the 55 already operational. Given the scale of both current and anticipated future demand, China is deeply committed to securing its uranium supply for the long term. Leveraging its historical capability to invest significantly in commodity supply chains well in advance of actual requirements, it is likely that a substantial portion of Kazakh supply, including the announced capacity increases to 100% by 2025, will primarily flow into China. As a notable illustration, the China National Uranium Corporation is presently expanding its storage capacity at its warehouse along the Kazakhstan-China border, increasing it from 3,000 tU to 20,000 tU—almost double China’s anticipated annual reactor requirements for 2023.12

The competition for uranium supply is rapidly intensifying, driven by the increasing importance of nuclear energy and the growing awareness of an impending supply-demand gap. This situation has been exacerbated by the fact that mine supply has consistently lagged behind reactor requirements for more than a decade. To bridge this gap, the industry has been compelled to depend on secondary sources, mainly utility inventories through either direct sales or, more notably, inventory drawdowns. We firmly believe that the era of destocking has come to an end, and the supply-demand deficit appears poised to endure. This scenario is likely to provide ample room for the uranium bull market to flourish.

Figure 2. Uranium Demand for Nuclear Power

Source: World Nuclear Association, November 2023.  Included for illustrative purposes only. Past performance is no guarantee of future results.

The “Nuclear COP”

Nuclear energy sentiment and international collaboration were abundant in the United Nations COP28 (Conference of the Parties). COP28 took place this month, eight years after the signing of the Paris Agreement, and saw world leaders convene to discuss their collective commitments to limit global warming to below 2, preferably to 1.5 degrees, Celsius compared to pre-industrial levels.

During COP28, more than 20 nations, including the United States, France, Japan and the UK, made a significant commitment to triple global nuclear energy generation by 2050.13 COP28 was held in the United Arab Emirates, and amidst reports of geopolitical disagreements affecting discussions on fossil fuels, nuclear energy took center stage as a pivotal point of collaboration during the conference. Some even referred to this event as the “nuclear COP,” underscoring its newfound prominence on the international stage. This represents a substantial acceleration in the global sentiment towards nuclear energy. In contrast, at COP27 the previous year, the most concrete nuclear-related developments were limited to altering the agreement’s language to prioritize “low-emission” energy sources rather than solely “renewables.” Additionally, it marked the first time nuclear energy was even considered in the conversation, a significant shift from its exclusion at COP26.

Nuclear energy has undeniably experienced a boost in favor, as governments worldwide come to recognize the imperative of dependable baseload power to counterbalance the intermittent nature of renewable energy sources. A noteworthy advantage of nuclear energy lies in its capacity factor, which stands at an impressive 93%. This metric represents the ratio of the total energy generated over a specific period to what the plant would have produced at full capacity. By comparison, renewables like solar and wind lag behind, with capacity factors of 25% and 36%, respectively.

Moreover, the growing investment in solar energy by numerous nations has underscored the critical importance of reliable power supply. This need becomes even more pronounced when considering that peak electricity demand frequently occurs after sunset when solar power becomes unavailable. This phenomenon is exemplified by California’s duck curve, a graph depicting the growing gap between electricity supply and demand as the sun sets, emphasizing the urgency of securing stable energy sources.

Figure 3. California’s Duck Curve Is Getting Deeper

Source: EIA. As solar capacity grows, duck curves are getting deeper in California.  Included for illustrative purposes only. Past performance is no guarantee of future results.

Uranium Miners Developments

Uranium miners ascended in tandem with the U3O8 uranium spot price, with the broad sector of uranium miners rising by 6.31%2 and junior uranium miners gaining 7.47%.3

As the price of uranium has increased significantly, uranium mine projects are starting to come online. Restarts, projects that had been producing uranium and then stopped and put on care and maintenance, have been the logical start to a supply response.

In November, enCore Energy Corp. (enCore) announced the successful startup of uranium production at its Rosita plant.14 enCore also plans to restart its Alta Mesa plant in early 2024. These restarts are both located in Texas and should help to start the revival of the U.S.’s domestic uranium production.

Though restarts such as enCore’s and Boss Energy Ltd.’s Honeymoon project (see last month’s commentary) are critical to helping address the uranium market’s supply-demand deficit, new builds will also be needed for this endeavor. New builds take many years to both develop and go through the permitting process, and total lead times can take 10 to 15 years.15

NexGen Energy Ltd. (Nexgen) is a uranium developer focused on the Rook 1 Project located in the Athabasca Basin of Saskatchewan, Canada. In November, Nexgen announced it had received a major milestone with Saskatchewan’s environmental approval for its Rook 1 project.16 The 98,739 tU indicated mineral resources Rook 1 Project next step in the permitting process is for federal approval. This marks a further significant development as even though the Athabasca Basin is a large source of high-grade uranium, this Rook 1 environmental approval is the first in more than 20 years.

Global Atomic Corporation (Global Atomic) released an update on its Dasa project in Niger. In August, the coup d’état in Niger forced Global Atomic to announce delays of 6-12 months in the first production at Dasa to end of 2025.17 In November, their update on the situation in Niger seemed to help soothe investor concerns as the stock jumped and outperformed peers. In this update, the Global Atomic President and CEO noted, “Further to our Q2 2023 update regarding the Republic of Niger, a transition government is in place and includes a new Prime Minister and Cabinet, as well as the previous experienced staff in the Government Ministries. The Government of Niger is a 20% owner of the Dasa Project and recognizes that the Dasa Mine will benefit the Republic of Niger by generating royalty and tax revenue, creating new jobs and opportunities for local business and revitalize the northern region of the country. The Government has offered its positive support for the development of the Dasa Project.” 18

A Concerning Supply Deficit

As global uranium mine production consistently falls short of the world’s burgeoning uranium reactor demands, a concerning supply deficit is projected to materialize over the next decade. This deficit is further exacerbated by a decade of insufficient investment in supply infrastructure. Additionally, the prospects for future supply are hindered by extended lead times and substantial capital requirements. Consequently, we deem the reactivation of dormant mines and the development of new ones as absolutely critical. The uranium price target as an incentive for reviving existing mines and initiating greenfield projects is a moving target. Our assessment suggests that achieving higher uranium prices will be necessary to stimulate sufficient production and bridge the forecasted deficits. Looking ahead, the persistent growth in demand amid an uncertain uranium supply landscape is expected to bolster a sustained bullish market trend, as depicted in Figure 4.

Figure 4. Uranium Bull Market Continues (1968-2023)

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 11/30/2023. TradeTech is the leading independent provider of uranium prices and nuclear fuel market information. The uranium prices in this chart dating back to 1968 is sourced exclusively from TradeTech; visit https://www.uranium.info/.  Included for illustrative purposes only. Past performance is no guarantee of future results.

Footnotes

1The U3O8 uranium spot price is measured by a proprietary composite of U3O8 spot prices from UxC, S&P Platts and Numerco.
2The 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”).
3The 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.
4The 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.
5The S&P 500 or Standard & Poor’s 500 Index is a market-capitalization-weighted index of the 500 largest U.S. publicly traded companies.
6Source: World Nuclear News. Agreements, declarations mark Macron visits to Kazakhstan, Uzbekistan.
7Source: Le Monde. How dependent is France on Niger’s uranium?
8Source: World Nuclear Association. World Uranium Mining Production (Updated August 2023)
9Source: BNN Bloomberg. US House Approves Russian Uranium Import Ban.
10Source: CNBC. As the West courts Russia’s neighbors, Putin shows he won’t give up its backyard without a fight.
11Source: Reuters. China’s Xi meets Kazakhstan president, pushes for more cooperation.
12Source: World Nuclear Association. China’s Nuclear Fuel Cycle (Updated November 2023).
13Source: Canary Media. 20-plus countries pledge to triple the world’s nuclear energy by 2050.
14Source: Cision. enCore Energy Commences Uranium Production at the South Texas Rosita ISR Uranium Central Processing Plant.
15Source: IAEA. URAM-2018: Ebb and Flow — the Economics of Uranium Mining.
16Source: WNN. Ministerial approval for NexGen uranium project.
17Source: Bloomberg. Orano Halts Uranium Treatment in Niger Because of Sanctions on Junta.
18Source: Global Atomic Corporation. Global Atomic Announces Q3 2023 Results, Provides Corporate Update and Re-engagement by Development Banks.

Important Disclosure

Past performance is no guarantee of future results. You cannot invest directly in an index. Investments, commentary and statements are that of the author and may not be reflective of investments and commentary in other strategies managed by Sprott Asset Management USA, Inc., Sprott Asset Management LP, Sprott Inc., or any other Sprott entity or affiliate. Opinions expressed in this commentary are those of the author and may vary widely from opinions of other Sprott affiliated Portfolio Managers or investment professionals.

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