Barksdale Resources Corp. (TSXV: BRO) (OTCQX: BRKCF) ("Barksdale" or the "Company") is pleased to announce an initial resource estimate at Cerro Verde as part of the San Javier copper-gold project ("San Javier" or the "Project"), located within two hours of Hermosillo in the state of Sonora, Mexico. The resource is pit-constrained and uses a base case of US$4.00lb copper and various cut-off grades according to metallurgical characteristics of the mineralization. The estimate was prepared by Independent Mining Consultants, of Tucson, Arizona ("IMC") based on historic drilling at Cerro Verde between 2006 to 2021 and is effective as of October 31, 2022.
Barksdale Resources (TSXV:BRO,OTCQX:BRKCF),OTCQX:BRKCF) focuses on the acquisition and exploration of highly prospective mineral properties in Arizona and Mexico. Barksdale resources' assets are located in high-value mining districts. The company spent years developing a loyal following, including key shareholders such as Teck Resources (TSX:TECK.A,NYSE:TECK) and Osisko Development Corp (TSX:ODV).
The company's flagship Sunnyside project in the Patagonia mining district of southern Arizona has seen a significant mineral discovery as well as US$1.6 billion of M&A since 2018. Barksdale is now the second largest mineral claim holder in the area behind South32 (ASX:S32), and controls five projects including Sunnyside, San Antonio, Four Metals, Goat Canyon and Canelo. Barksdale has received the exploration permit for San Antonio, and is actively advancing exploration drill permits so that it can fully explore its Sunnyside project, where the company hosts a large copper porphyry and the extension of South32’s Taylor deposit.
Company Highlights
- Barksdale Resources CEO Rick Trotman has successfully acquired and integrated world-class properties; his integral experience and reputation has allowed him to recruit industry leaders and partners.
- Barksdale currently operates five key projects: Sunnyside, San Antonio, Goat Canyon, Canelo and the Four Metals projects in the Patagonia district, Arizona, as well as the San Javier project in Sonora, Mexico.
- Arizona is the heart of copper production in the US – 68 percent of all copper mined in America comes from Arizona. Most notable are the significant porphyry copper deposits found in Southern Arizona.
- Barksdale is actively permitting the Sunnyside project for exploration. The plan is to drill Sunnyside and San Antonio in tandem in Q1 2023.
- Teck Resources, US Global and Osisko Development Corp are key shareholders, with approximately 25 percent combined ownership
- Barksdale is actively reviewing and qualifying other properties as an ongoing strategy to increase shareholder value.
This Barksdale Resources Corp. profile is part of a paid investor education campaign.*
BRO:CA
Barksdale Resources Corp.
Overview
Barksdale Resources (TSXV:BRO,OTCQX:BRKCF) is a Canadian exploration company focused on the acquisition and exploration of highly prospective mineral properties in Arizona and Mexico. The company’s assets are centered in high-value mining districts where discovery and future consolidation potential is strong. Barksdale has spent years developing a loyal following, including key shareholders such as Teck Resources (TSX:TECK.A,NYSE:TECK) and Osisko Development Corp (TSX:ODV).
Barksdale’s flagship asset is the Sunnyside project, within a portfolio of five projects located in the Patagonia mining district of southern Arizona, which has seen a significant mineral discovery as well as US$1.6 billion of M&A since 2018. Following years of consolidation, Barksdale is now the second largest mineral claim holder in the area behind South32 (ASX:S32), and controls five projects including Sunnyside, San Antonio, Four Metals, Goat Canyon and Canelo. Barksdale has received the exploration permit for San Antonio, and is actively advancing exploration drill permits so that it can fully explore its Sunnyside project, where the company hosts a large copper porphyry and the extension of South32’s Taylor deposit.
Barksdale has completed its first drilling campaign at San Javier, an advanced copper-gold project in central Sonora, Mexico. The project is located within a kilometer of both the national highway and power grid and is less than a two-hour drive from the state capital of Hermosillo. With over $10 million of historical work including 30,000 meters of drilling conducted, Barksdale is now in the process of updating the resource estimate and a subsequent PEA to fast-track their San Javier project.
Copper is a key element in the manufacturing of many electrical products used across the world today. With increasing interest in renewable resources, which heavily depend on copper for the transmission of electricity, the demand for this resource only stands to increase. Barksdale’s portfolio of assets deliver investors catalysts at every stage of the copper mining life cycle from discovery, exploration and near term production.
Company Highlights
- Barksdale Resources CEO Rick Trotman has successfully acquired and integrated world-class properties; his integral experience and reputation has allowed him to recruit industry leaders and partners.
- Barksdale currently operates five key projects: Sunnyside, San Antonio, Goat Canyon, Canelo and the Four Metals projects in the Patagonia district, Arizona, as well as the San Javier project in Sonora, Mexico.
- Arizona is the heart of copper production in the US – 68 percent of all copper mined in America comes from Arizona. Most notable are the significant porphyry copper deposits found in Southern Arizona.
- Barksdale is actively permitting the Sunnyside project for exploration. The plan is to drill Sunnyside and San Antonio in tandem in Q1 2023.
- Teck Resources, US Global and Osisko Development Corp are key shareholders, with approximately 25 percent combined ownership
- Barksdale is actively reviewing and qualifying other properties as an ongoing strategy to increase shareholder value.
Key Projects
Sunnyside Project
The Sunnyside project is located in the Patagonia district of southern Arizona and is adjacent to South32’s development stage Hermosa project. The highly accessible project site covers approximately 21 square kilometers and hosts a large intrusive complex at its core. Historic drilling has indicated the presence of a large copper porphyry system at Sunnyside that also hosts associated skarn and manto mineralization that are rich in copper, lead, zinc and silver. Planned exploration of the project is expected to commence once exploration permits are obtained.
The Sunnyside project will likely prove to be one of the most exciting assets in Barksdale’s portfolio. The Sunnyside Porphyry was discovered by ASARCO in the 1970s and while looking for the edge of the porphyry the high-grade skarn system was discovered. Before Arizona Mining was purchased by South32, their drill rigs were systematically marching towards the property boundary where the high-grade discovery holes reside on the Sunnyside property. The Sunnyside porphyry itself sits entirely within the Barksdale claim position and is an incredible asset. Sunnyside is a site to watch for when the permit is granted.
Not only does the Sunnyside porphyry contain copper, it is also a major source of lead, zinc and silver. Seen in the above photograph are increasing levels of silver, copper and especially zinc, from TCH -1 and TCH -2 drill holes next to the property boundary. South32’s Hermosa project hosts one of the largest zinc deposits in the world, which sits next to Barksdale’s property.
San Javier Project
The San Javier project is located in Sonora, Mexico, approximately 125 kilometers east of the capital city of Hermosillo. The property consists of 12 distinct mineral concessions covering about 1,184 hectares of land. To date, multiple zones of copper mineralization have been identified. Due to the San Javier property’s lack of mining activities since 2008, Barksdale has a significant first-mover advantage for exploring the project and consolidating the district.
In addition to the oxide copper mineralization, highly prospective gold-dominant oxide and copper-gold sulfide mineralization at San Javier require additional investigation. Barksdale has completed a 5,000 m drill campaign at the project.
The San Javier project has shown mining and investor interest as multiple companies have previously explored the property, including Servicios Industriales Peñoles, Phelps Dodge, Outokumpu Oyj and Constellation Copper.
Historically, there has been roughly 30,000 meters of drilling completed in three separate zones, two of which are historically producing and contain high-grade copper and other precious metals. With these discoveries, San Javier has shown the potential to mimic the success of other high-profile copper mines in the area – the Sonora region is home to Cananea (Grupo Mexico, BMV: GMEXICOB), the largest copper mine in all of Mexico, and one of the largest in the world.
Barksdale’s objectives are clearly defined, and they are actively working on preparing an updated resource and subsequent PEA.
San Antonio Project
The San Antonio project is located in the Patagonia Mountains of southern Arizona. The company’s primary exploration focus at San Antonio is an untested, near-surface, blind porphyry copper target. Extensive geophysical research, including magnetics, IP, gravity and passive seismic have outlined a geophysical anomaly that has the hallmark signature of a porphyry copper deposit sitting beneath shallow, non-mineralized cover.
Barksdale has successfully obtained a drill permit on the San Antonio project, and intends to test the target in 2023.
With land for exploration spanning over 25.5 square kilometers, the project is favorably positioned in Patagonia’s rich mineral region and easily accessible to experienced workforces and necessary infrastructure.
The company owns 100 percent of the project, which was acquired from Teck Resources (TSX:TECK.A, NYSE:TECK).
Four Metals Project
The Four Metals project is situated on a 760-acre property surrounded by federal mineral claims held by South32. Like Barksdale’s other projects, this site is positioned in the Patagonia district of southern Arizona, approximately 4 kilometers south of the Sunnyside property.
The Four Metals property area covers the former Four Metals copper mine that has been past-producing and historically explored by several mining companies since the 1960s.
The mineralization also consists of supergene enriched chalcocite at the near-surface level, with a broad foundation of primary pyrite, chalcopyrite and molybdenite. Barksdale plans to test the Four Metals property further.
The company currently has an option to acquire a 100 percent interest in Four Metals from Minquest Ltd. and Allegiant Gold Corp.
Management Team
Rick Trotman - President & CEO
Rick Trotman is a professional geologist with a broad range of experience within the mining industry, having worked in both buy-side and sell-side positions and technically focused responsibilities with major mining companies. Trotman was previously with Resource Capital Funds, a leading mining-focused private equity firm. He was involved in executing a broad range of investments spanning the precious, base and minor metal spaces. Before Resource Capital Funds, Trotman worked as a mining industry equity research analyst in New York City and was an exploration geologist with leading gold producers such as Barrick Gold Corp, Meridian Gold Inc. and Yamana Gold Inc. in both the USA and Mexico. He holds a Master of Science in Economic Geology from the University of Nevada Reno and a Bachelor of Science in Geology from Washington State University.
Michael N. Waldkirch - CFO
Michael N. Waldkirch is a senior partner with the Public Accounting firm Michael Waldkirch and Company, Certified Public Accountants in Vancouver, BC. He has extensive experience in providing a wide variety of financial and business consultancy services to public and private companies. Waldkirch currently serves as the chief financial officer of TSX-listed Gold Standard Ventures. Waldkirch holds a Bachelor of Arts in Economics from the University of British Columbia and has been a certified public accountant since 1998.
Andrew Pooler - Senior Vice-President of Project Development
Andrew Pooler has more than 30 years of experience as a mining engineer and operations executive with numerous companies throughout the Americas. Pooler has had a tremendous track record of success that includes executive roles at Pan American Silver Corp, Esperanza Resources, Amax Gold Inc., Maritime Resources Corp, Abacus Mining and Exploration Corp, among others. He has extensive US and Latin American experience and has overseen the successful construction, expansion and/or operation of more than 16 mines, as well as completion of numerous technical and development studies. Pooler is also a current board member of the Colville Tribal Federal Corporation, a diversified company owned by the Confederated Tribes of the Colville Reservation in Washington state, a business that has more than 500 employees and over US$100 million in annual revenue.
Thomas Simpson – Senior Vice-President of Exploration
Thomas Simpson has more than 40 years of extensive mineral exploration and mining experience with base and precious metals in the US, Canada, Chile and Peru. Simpson has a strong track record of discovery, having successfully identified precious and base metal deposits in Canada and the US. His prior roles include Principal Geologist with Rio Tinto Exploration, Geology District Manager for Newmont Mining, and Exploration Manager for ASARCO, where he spent significant time exploring for copper porphyries in Arizona, including the Patagonia district where Barksdale’s key projects are located.
Terri Anne Welyki - Vice-President of Corporate Communications
Terri Anne Welyki has more than 15 years of experience working with public and private mining companies, including Calico Resources and EMC Green Group S.A. She has a broad knowledge of the mining industry, including financing, permitting and stakeholder management, and has worked across the United States, Peru and Canada.
Nancy Heiser - Director of External Relations
Nancy Heiser has many years of experience working in community and government relations in Southern Arizona. Heiser has extensive knowledge of stakeholder and constituent management as well as communications and public relations strategies. Before joining Barksdale, Heiser worked for Hudbay Minerals Inc. and led the community relations team for Congresswoman Martha McSally. Heiser’s background is in education with undergraduate and graduate programs in elementary and special education from Northern Arizona University.
Lewis Teal - Senior Consultant & QP
Lewis Teal is a certified professional geologist with more than 35 years of experience in minerals exploration spanning both North and South America. Lewis worked with Newmont Mining Corporation in various senior positions, including group executive at South American Exploration/Development from 2011 to 2015, director at South America Generative Exploration from 2006 to 2011, and exploration manager, Newmont – Minera Yanacocha from 2002 to 2006. Lewis holds a Master of Science in Economic Geology and a Bachelor of Science in Geology, both from the University of Texas at El Paso.
Peter Megaw - Senior Technical Advisor
Peter Megaw is a co-founder and chief exploration officer of Mag Silver Corp with more than 30 years of relevant experience focused on silver and gold exploration in Mexico. He has a Ph.D. in geology from the University of Arizona, and he is a registered certified professional geologist by the American Institute of Professional Geologists as well as an Arizona registered geologist. Megaw has been instrumental in several mineral discoveries in Mexico, including new ore bodies at existing mines such as Excellon Resources’ Platosa mine and MAG Silver’s Juanicipio and Cinco de Mayo properties. Megaw is the author of numerous scientific publications on ore deposits and is a frequent speaker at academic and international exploration conferences. He is also the 2017 recipient of the prestigious Thayer Lindsley Award for mine finding from the Prospectors and Developers Association of Canada.
Barksdale Reports Initial Resource for San Javier
Press Release Highlights
- Approximately 419 million pounds of contained copper within measured and indicated categories, strategically located near existing infrastructure in the mining-friendly state of Sonora.
- Nearly 93% of resources are in higher confidence measured and indicated categories with an additional 31 million pounds of contained copper within inferred resources.
- Resource is open in most directions and does not include other prospects where historic drilling has confirmed the presence of additional copper mineralization.
- Very low waste to mineralized material ratio of 0.25 with excellent leaching characteristics, including low acid consumption and high recoveries, will be the foundation to a preliminary economic assessment.
- The San Javier project is in an active mining district with gold and metallurgical coal mines with great access, infrastructure, and availability of skilled workers.
"The initial resource for Cerro Verde has greatly advanced the San Javier project and will form the foundation for an upcoming preliminary economic assessment," states Rick Trotman, President and CEO of Barksdale. "Given the very limited amount of waste rock and the low acid consumption rates on the oxide material, we are very encouraged that Cerro Verde could be a quality low-cost development project in the very near future that has considerable resource upside. Our next steps will be to complete an economic study that envisions an open pit, solvent-extraction electro-winning operation producing copper cathodes on site."
Tom Simpson, SVP of Exploration for Barksdale stated: "The new resource calculation not only shows a significant copper resource but also increases our confidence in the continuity and the potential for expansion of the San Javier mineralization. I am confident that future drilling will continue to add resources at Cerro Verde and the other district targets such as Mesa Grande and La Trinidad. In the last month our team has secured drilling permits to that would allow the company to test all the known target areas on the property."
Table 1. Mineral Resource Estimate - Effective Date October 31, 2022
| Tonnes | Tcu | As + Cn Cu | AsCu | CnCu | Total Contained Cu | Soluble Contained Cu | |
| x1000 | % | % | % | % | Lbs x 1000 | Lbs x 1000 | |
| Measured | 12,485 | 0.278% | 0.203% | 0.172% | 0.032% | 76,573 | 55,938 |
| Indicated | 57,664 | 0.270% | 0.184% | 0.148% | 0.037% | 342,669 | 233,504 |
| Total M&I | 70,149 | 0.271% | 0.187% | 0.152% | 0.036% | 419,242 | 289,442 |
| Inferred | 5,965 | 0.240% | 0.152% | 0.114% | 0.038% | 31,563 | 19,923 |
Mineral Resource Notes:
- TCu = total copper grade; AsCu = acid soluble copper; CnCu = cyanide soluble copper
- AsCu + CnCu cutoffs vary by oxidation type: leach cap & oxide = 0.04%, mixed = 0.07%, sulfide = 0.08%
- Contained pounds = ktonnes x TCu x 22.04
Soluble pounds = ktonnes x AsCu + CnCu x 22.04
- Mineral Resource tonnage and grades are restricted to the Cerro Verde Deposit
- Total pit shell tonnage = 95,175 ktonnes; ratio of ktonnes below cutoff to above cutoff = 0.25
- Grade capping was applied to reduce the influence of outlier samples; 2.5% Cu was used for the oxide and mixed zones and 1.5% Cu was used for the sulfide zones
- The economic parameters used to define mineral resources is US$4.00 per pound copper
- Recovery estimates were 85% for leach cap and oxide, 75% for mixed, and 60% for sulfide.
- Numbers may not add due to rounding
Table 2. Sensitivity to Copper Price
| Copper Price | Cutoff Range | Measured | Indicated | Sum Measured + indicated | Inferred | Total Ktonnes | ||||||||
| US$ | Soluble Cu, % | ktonnes | Soluble Cu,% | TCu, % | ktonnes | Soluble Cu,% | TCu, % | ktonnes | Soluble Cu,% | TCu, % | ktonnes | Soluble Cu,% | TCu, % | |
| 4.50 | .03-.07 | 13,581 | 0.185 | 0.265 | 69,228 | 0.166 | 0.252 | 82,809 | 0.169 | 0.254 | 7,393 | 0.139 | 0.227 | 109,341 |
| 4.25 | .03-.08 | 13,425 | 0.193 | 0.265 | 66,032 | 0.170 | 0.254 | 79,457 | 0.174 | 0.256 | 6,548 | 0.146 | 0.234 | 103,911 |
| 4.00 | .04-.08 | 12,485 | 0.203 | 0.278 | 57,664 | 0.184 | 0.270 | 70,149 | 0.187 | 0.271 | 5,965 | 0.152 | 0.240 | 95,175 |
| 3.75 | .04-.09 | 12,315 | 0.205 | 0.279 | 55,155 | 0.187 | 0.272 | 67,470 | 0.190 | 0.274 | 5,537 | 0.154 | 0.243 | 91,068 |
| 3.50 | .04-.10 | 12,093 | 0.206 | 0.280 | 52,149 | 0.192 | 0.276 | 64,242 | 0.195 | 0.276 | 5,291 | 0.158 | 0.247 | 86,753 |
| 3.25 | .04-.11 | 11,782 | 0.209 | 0.281 | 48,805 | 0.198 | 0.280 | 60,587 | 0.200 | 0.280 | 4,211 | 0.169 | 0.265 | 80,859 |
| 3.00 | .05-.12 | 10,772 | 0.222 | 0.295 | 41,968 | 0.214 | 0.297 | 52,740 | 0.215 | 0.296 | 3,335 | 0.190 | 0.298 | 73,295 |
| 2.50 | .06-.14 | 9,218 | 0.238 | 0.312 | 32,598 | 0.238 | 0.317 | 41,816 | 0.238 | 0.316 | 2,593 | 0.207 | 0.324 | 61,228 |
Mineral Resource Notes:
- Soluble Cu = AsCu + CnCu
- TCu = total copper grade
- Total Ktonnes = both above and below cut-off tonnes within the pit shell
Mineral resources that are not mineral reserves do not have demonstrated economic viability. There is no guarantee that any part of the mineral resources discussed herein will be converted into a mineral reserve in the future. Further, due to the uncertainty that may be attached to Inferred Mineral Resources, it cannot be assumed that all or any part of an Inferred Mineral Resource will be upgraded to an Indicated or Measured Mineral Resource as a result of continued exploration. Confidence in the estimate is insufficient to allow the meaningful application of technical and economic parameters or to enable an evaluation of economic viability worthy of public disclosure. Inferred Mineral Resources must be excluded from estimates forming the basis of feasibility or other economic studies.
Potential for Additional Mineral Resources at Cerro Verde and Beyond
The San Javier project is located within a well-endowed mineral district that includes Osisko Development Corp's San Antonio gold-copper project, immediately adjacent to Barksdale's concessions, which hosts significant gold resources and is being advanced towards production. ODV is one of Barksdale's largest shareholders. The San Javier project consists of three known zones of mineralization extending over five kilometers, including the Cerro Verde, Mesa Grande, and La Trinidad. The initial resource estimate covers only Cerro Verde and incorporates new geologic interpretations, advanced metallurgical recovery parameters established by recent column test work, and inclusion of approximately 5,000 meters of additional drilling completed by Barksdale during 2021. Cerro Verde remains open for expansion in most directions and the Mesa Grande and La Trinidad prospects both have historic drilling that indicates the presence of copper mineralization.
Future Work
The mineral resource estimate at Cerro Verde is the first step towards advancing the asset. The technical work completed as part of the estimation process was useful for indicating areas for further expansion drilling at Cerro Verde, especially on the east and northeast. The Company will now initiate a preliminary economic study at Cerro Verde that envisions a low-strip copper heap lead style operation that produces cathode copper on site.
For readers to fully understand the information in this news release they should read the National Instrument 43-101 technical report dated November 21, 2022 and titled "San Javier Copper Project, Sonora, Mexico, Mineral Resource Estimate (the "San Javier Resource Report") prepared by IMC in its entirety, a copy of which is available for review under the Company's profile on SEDAR. The report includes, among other things, a description of IMC's data verification procedures, key assumptions, qualifications, parameters and methods used to estimate the mineral resources and known legal, political, environmental and other risks that could materially affect the potential development of such resources. The San Javier Resource Report is intended to be read as a whole and sections should not be read or relied upon out of context.
Scientific and technical information in this news release has been reviewed and approved by Lew Teal, a senior technical consultant to the Company and a 'Qualified Person' as defined under Canadian National Instrument 43-101.
Barksdale Resources Corp. is a base metal exploration company headquartered in Vancouver, B.C., that is focused on the acquisition, exploration and advancement of highly prospective base metal projects in North America. Barksdale is currently advancing the Sunnyside copper-zinc-lead-silver and San Antonio copper projects, both of which are in the Patagonia mining district of southern Arizona, as well as the San Javier copper-gold project in central Sonora, Mexico.
ON BEHALF OF Barksdale Resources Corp
Rick Trotman
President, CEO and Director
Rick@barksdaleresources.com
Terri Anne Welyki
Vice President of Communications
778-238-2333
TerriAnne@barksdaleresources.com
For more information please phone 778-238-2333, email info@barksdaleresources.com or visit www.BarksdaleResources.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 news release.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release includes "forward-looking information" under applicable securities legislation including, but not limited to, the estimated mineral resources at San Javier, the quantity and grade, quality and characteristics of each category of resources including the estimated low waste to mineralized material ratio and leaching characteristics thereof, the ability of Barksdale to achieve metallurgical recoveries of copper and gold at San Javier, the potential development of San Javier as a quality low-cost development project with considerable resource upside potential and the Company's plans for completing an economic study thereof. Such forward-looking information reflects management's current beliefs and is based on a number of estimates and assumptions made by and information currently available to the Company that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Readers are cautioned that such forward-looking information is neither a promise nor guarantee, and is subject to known and unknown risks and uncertainties including, but not limited to, delays in obtaining governmental or third party approvals and permits, actual results of exploration activities, unanticipated geologic formations, structures and characteristics and changes to geological interpretations including the size, shape and distribution of interpreted mineralization and lithology domains, changes to or variations in metallurgical recovery, geotechnical, hydrogeological and mining assumptions, environmental risks, future prices of base and other metals, operating risks, accidents, labor issues, social licenses issues and other risks in the mining industry as well as general business, economic, competitive, political and social uncertainties, uncertain and volatile equity and capital markets and lack of available capital. There are no assurances that future economic studies will support further exploration and/or development of San Javier as a heap leach style operation or otherwise. Further, mineral resources that are not mineral reserves do not have demonstrated economic viability. There is no guarantee that any part of the mineral resources discussed in this news release will be converted into a mineral reserve in the future. In addition, there has been insufficient exploration to allow for the classification of the inferred mineral resource at San Javier as an indicated or measured mineral resource and it cannot be assumed that all or any part of the inferred mineral resource will be upgraded to an indicated or measured mineral resource as a result of continued exploration. At present, there are no mineral reserves at San Javier. There is also uncertainty about the continue spread and severity of COVID-19, the ongoing war in Ukraine and rising inflation and interest rates and the impact they will have on the Company's operations, supply chains, ability to access mineral properties, conduct operations or procure equipment, contractors and other personnel on a timely basis or at all and economic activity in general. All forward-looking information contained in this news release is qualified by these cautionary statements and those in our continuous disclosure filings available on SEDAR at www.sedar.com. Accordingly, readers should not place undue reliance on forward-looking information. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/145980
News Provided by Newsfile via QuoteMedia
Barksdale Clarifies Exchange Halt
Barksdale Resources Corp. (TSXV: BRO) (OTCQX: BRKCF) ("Barksdale" or the "Company") would like to clarify today's market halt, which was due to an inaccurate bulletin published by the TSX Venture Exchange ("TSXV"). In the bulletin, the TSXV accepted the filing documentation related to the extension of the Delbrook convertible debentures (press release dated October 21, 2022) and mistakenly quoted the warrant exercise price as $0.072 per warrant rather than the correct $0.72 per warrant.
Barksdale Resources Corp. is a base metal exploration company headquartered in Vancouver, BC, that is focused on the acquisition, exploration and advancement of highly prospective base metal projects in North America. Barksdale is currently advancing the Sunnyside copper-zinc-lead-silver and San Antonio copper projects, both of which are in the Patagonia mining district of southern Arizona, as well as the San Javier copper-gold project in central Sonora, Mexico.
ON BEHALF OF Barksdale Resources Corp
Rick Trotman
President, CEO and Director
Rick@barksdaleresources.com
Terri Anne Welyki
Vice President of Communications
778-238-2333
TerriAnne@barksdaleresources.com
For more information please phone 778-558-7145, email info@barksdaleresources.com or visit www.BarksdaleResources.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 news release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/141467
News Provided by Newsfile via QuoteMedia
Barksdale Closes Financing and Completes Extension of Financial Instrument
Barksdale Resources Corp. (TSXV: BRO) (OTCQX: BRKCF) ("Barksdale" or the "Company") is pleased to announce that further to its news releases dated September 6, September 21 and October 3, 2022, it has now closed the final tranche of its non-brokered private placement financing ("Financing") with Teck Resources Limited ("Teck"), with respect to Teck's pro-rata equity participation right.
In the Financing, Teck subscribed for 550,000 units (the "Units") for gross proceeds of $264,000. The Units have identical terms to the Units issued in the first tranche of the Financing that closed on September 21, 2022 (see News Release dated September 21, 2022). Each Unit consists of one common share of Barksdale (each a "Common Share") and one-half (½) of one transferable share purchase warrant (each whole warrant, a "Warrant"), with each Warrant entitling the holder thereof to purchase one additional Common Share at $0.72 for a period of three years. Teck now holds approximately 9.9% of Barksdale's current equity on a partially diluted basis.
The net proceeds from the entire Financing will be used to advance the Company's mineral projects and for general corporate and working capital purposes. All shares issued to Teck under the Financing are subject to a four month hold period expiring February 6, 2023. No fees or commissions were paid with respect to Teck's participation in the Financing.
Further to its news releases dated September 6 and October 14, 2022, the Company has now received TSX Venture Exchange acceptance to the extension of the maturity date of the secured convertible debentures ("Debentures") administered by Delbrook Capital Advisors Inc. by one year until December 31, 2023 ("Debenture Extension"). The Debentures have a remaining principal amount of $1,500,000 and all other terms of the Debentures remain unchanged except for the conversion price, which has increased to $0.55 per share from $0.45 per share.
Incidental to the Debenture Extension, the Company issued 206,595 units of the Company (the "InterestUnits") in settlement of $99,166 of accrued interest payable on the Debentures. Each Interest Unit consists of one Common Share and one-half (½) of one share purchase warrant (each whole warrant, an "InterestWarrant"). Each Interest Warrant entitles the holder to acquire one Common Share at a price of $0.72 for a period of three years from the date of issuance. Any subsequent interest accrued under the Debentures is payable in cash in accordance with the terms and conditions of the Debentures.
In exchange for extending the Debentures, the Company has also issued an extension fee of 2,777,777 share purchase warrants, exercisable into 2,777,777 Common Shares at a price of $0.72, for a period lasting up to December 31, 2023 ("ExtensionWarrants").
Should any part of the Debentures be repaid or converted prior to the maturity date, a pro-rata portion of the Extension Warrants will have their maturity date accelerated to the later of (i) one year from closing of the Debenture Extension, and (ii) 30 days after the date of repayment or conversion.
All securities issued with respect to the Interest Units, Interest Warrants and Extension Warrants and underlying Common Shares are subject to a four month hold period expiring February 22, 2023.
Barksdale Resources Corp. is a base metal exploration company headquartered in Vancouver, BC, that is focused on the acquisition, exploration and advancement of highly prospective base metal projects in North America. Barksdale is currently advancing the Sunnyside copper-zinc-lead-silver and San Antonio copper projects, both of which are in the Patagonia mining district of southern Arizona, as well as the San Javier copper-gold project in central Sonora, Mexico.
ON BEHALF OF Barksdale Resources Corp
Rick Trotman
President, CEO and Director
Rick@barksdaleresources.com
Terri Anne Welyki
Vice President of Communications
778-238-2333
TerriAnne@barksdaleresources.com
For more information please phone 778-558-7145, email info@barksdaleresources.com or visit www.BarksdaleResources.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 news release.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release contains "forward-looking information" under applicable Canadian securities legislation including, but not limited to the Company's proposed use of proceeds from the Financing. Such forward-looking information reflects management's current beliefs and are based on a number of estimates and assumptions made by and information currently available to the Company that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Readers are cautioned that such forward-looking information is neither a promise nor guarantee, and is subject to known and unknown risks and uncertainties including, but not limited to, delays in obtaining governmental, regulatory or third party approvals as well as general business, economic, competitive, political and social uncertainties, uncertain and volatile equity and capital markets and lack of available capital. In addition, there is uncertainty about the continued spread and severity of COVID-19, the ongoing war in Ukraine and rising inflation and interest rates and the impact they will have on the Company's operations, supply chains, ability to access mineral properties, conduct due diligence or procure equipment, contractors and other personnel on a timely basis or at all and economic activity in general. All forward-looking information contained in this news release is qualified by these cautionary statements and those in our continuous disclosure filings available on SEDAR at www.sedar.com. Accordingly, readers should not place undue reliance on forward-looking information. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
THIS NEWS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER TO SELL SECURITIES AND THE COMPANY IS NOT SOLICITING AN OFFER TO BUY THE SECURITIES DESCRIBED HEREIN. THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.
THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/141362
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Barksdale Provides Update on Debenture Extension
Barksdale Resources Corp. (TSXV: BRO) (OTCQX: BRKCF) ("Barksdale" or the "Company") has finalized the extension of the maturity date of the secured convertible debentures ("Debentures") administered by Delbrook Capital Advisors Inc. (see new release dated September 6, 2022) by one year until December 31, 2023 ("Debenture Extension"). The Debentures have a remaining principal amount of $1,500,000 and all other terms of the Debentures remain unchanged except for the conversion price, which has increased to $0.55 per share from $0.45 per share.
Additionally, Delbrook and the Company have agreed to a debt for equity plan whereby approximately $99,166 of accrued interest will be exchanged for 206,595 units of the Company (the "Units"). Each Unit will consist of one common share of Barksdale (each a "Common Share") and one-half of one common share purchase warrant (each whole warrant, a "Warrant"). Each Warrant shall entitle the holder to acquire one Common Share at a price of $0.72 for a period of three years from the date of issuance. Any subsequent interest accrued under the Debentures shall be payable in cash in accordance with the terms and conditions of the Debentures.
In exchange for extending the Debentures, the Company has agreed to an extension fee of 2,777,777 common share purchase warrants, exercisable at a price of $0.72 for a period lasting up to December 31, 2023 ("ExtensionWarrants"). Should any part of the Debentures be repaid or converted prior to the maturity date, a pro-rata portion of the Extension Warrants will have their maturity date accelerated to the later of (i) one year from closing of the Debenture Extension, and (ii) 30 days after the date of repayment or conversion. The number of warrants issued as an extension fee has been increased from the original announcement, but the expiry date has been shortened to conform with TSX Venture Exchange ("Exchange") policy. The Company expects to close the Debenture Extension and debt for equity plan within the next seven days, subject to approval of the Exchange.
Barksdale Resources Corp. is a base metal exploration company headquartered in Vancouver, B.C., that is focused on the acquisition, exploration and advancement of highly prospective base metal projects in North America. Barksdale is currently advancing the Sunnyside copper-zinc-lead-silver and San Antonio copper projects, both of which are in the Patagonia mining district of southern Arizona, as well as the San Javier copper-gold project in central Sonora, Mexico.
ON BEHALF OF Barksdale Resources Corp
Rick Trotman
President, CEO and Director
Rick@barksdaleresources.com
Terri Anne Welyki
Vice President of Communications
778-238-2333
TerriAnne@barksdaleresources.com
For more information please phone 778-238-2333, email info@barksdaleresources.com or visit www.BarksdaleResources.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 news release.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release includes "forward-looking information" under applicable securities legislation including, but not limited to, the final terms and conditions of the Debenture Extension and debt for equity plan including the total number of Units and Extension Warrants to be issued and the terms thereof and the estimated completion date therefor. Such forward-looking information reflects management's current beliefs and is based on a number of estimates and assumptions made by and information currently available to the Company that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Readers are cautioned that such forward-looking information is neither a promise nor guarantee, and is subject to known and unknown risks and uncertainties including, but not limited to, delays in obtaining governmental, regulatory or third party approvals as well as general business, economic, competitive, political and social uncertainties, uncertain and volatile equity and capital markets and lack of available capital. There are no assurances that the Exchange will approve the Debenture Extension and debt for equity plan on the terms contemplated herein or at all. In addition, there is uncertainty about the continued spread of COVID-19, the ongoing war in Ukraine and rising inflation and interest rates and the impact they will have on the Company's operations, supply chains, ability to access mineral properties, conduct due diligence or procure equipment, contractors and other personnel on a timely basis or at all and economic activity in general. All forward-looking information contained in this news release is qualified by these cautionary statements and those in our continuous disclosure filings available on SEDAR at www.sedar.com. Accordingly, readers should not place undue reliance on forward-looking information. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/140509
News Provided by Newsfile via QuoteMedia
Strategic Shareholder Maintains Equity Ownership in Barksdale
Barksdale Resources Corp. (TSXV: BRO) ("Barksdale" or the "Company") is pleased to announce that Teck Resources Limited ("Teck"), a large shareholder of the Company and one of Canada's leading mining companies, has elected to exercise its pro-rata equity participation rights and will subscribe for 550,000 units (the "Units") for gross proceeds of $264,000 ("Financing"). The Units have identical terms to the financing that closed on September 21, 2022. Each Unit consists of one share and one-half (12) of one transferable share purchase warrant, with each whole warrant entitling the holder thereof to purchase one common share at $0.72 for a period of three years. Following the Financing, Teck will hold approximately 9.9% of Barksdale's equity on a partially diluted basis.
The net proceeds from the Financing will be used to advance the Company's mineral projects and for general corporate and working capital purposes. The Company anticipates closing will occur on or around October 5, 2022 and all shares issued from the Financing are subject to a four month hold period from the closing date. The Financing is subject to approval of the TSX Venture Exchange. No fees were paid in connection with Teck's investment. Teck will maintain its pro-rata ownership participation rights for as long as it owns more than 5% of the outstanding common shares of Barksdale.
The Company also announces that further to its news release of September 6, 2022, it has received TSX Venture Exchange acceptance to the extension by a further four (4) months, the expiry date of a total of 7,597,836 share purchase warrants, issued September 29, 2020 and 690,790 share purchase warrants issued October 1, 2020 (collectively, the "Warrants") in connection with a non-brokered private placement. These aggregate 8,288,826 Warrants are exercisable into 8,288,826 common shares. They will remain at an exercise price of $0.55 per share and will expire on January 31, 2023.
Barksdale Resources Corp. is a base metal exploration company headquartered in Vancouver, BC, that is focused on the acquisition, exploration and advancement of highly prospective base metal projects in North America. Barksdale is currently advancing the Sunnyside copper-zinc-lead-silver and San Antonio copper projects, both of which are in the Patagonia mining district of southern Arizona, as well as the San Javier copper-gold project in central Sonora, Mexico.
ON BEHALF OF Barksdale Resources Corp
Rick Trotman
President, CEO and Director
Rick@barksdaleresources.com
Terri Anne Welyki
Vice President of Communications
778-238-2333
TerriAnne@barksdaleresources.com
For more information please phone 778-558-7145, email info@barksdaleresources.com or visit www.BarksdaleResources.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 news release.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release contains "forward-looking information" under applicable Canadian securities legislation including, but not limited to the Company's proposed use of proceeds from the Offering. Such forward-looking information reflects management's current beliefs and are based on a number of estimates and assumptions made by and information currently available to the Company that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Readers are cautioned that such forward-looking information are neither promises nor guarantees, and are subject to known and unknown risks and uncertainties including, but not limited to, general business, economic, competitive, political and social uncertainties, uncertain and volatile equity and capital markets, lack of available capital, actual results of exploration activities, environmental risks, future prices of base and other metals, operating risks, accidents, labor issues, delays in obtaining governmental approvals and permits, and other risks in the mining industry. In addition, there is uncertainty about the continued spread of COVID-19, the ongoing war in Ukraine, rising inflation and interest rates and the impact they will have on the Company's operations, supply chains, ability to access mineral properties, conduct due diligence or procure equipment, contractors and other personnel on a timely basis or at all and economic activity in general. All forward-looking information contained in this news release is qualified by these cautionary statements and those in our continuous disclosure filings available on SEDAR at www.sedar.com. Accordingly, readers should not place undue reliance on forward-looking information. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
THIS NEWS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER TO SELL SECURITIES AND THE COMPANY IS NOT SOLICITING AN OFFER TO BUY THE SECURITIES DESCRIBED HEREIN. THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.
THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/139206
News Provided by Newsfile via QuoteMedia
Gold Price 2022 Year-End Review
By Q3, seasonal weakness paired with a surging US dollar had forced gold to a 30 month low of US$1,691.
Gold price in Q1: Russia-Ukraine war adds early tailwinds
As economies around the world continued to recover from the pandemic in early 2022, Russia’s attack on Ukraine created global uncertainty, which worked in gold’s favor during the first quarter of the year.
Philip Newman, managing director at Metals Focus, explained that gold’s performance in 2022 was the result of two major factors.
“Obviously, the first one is the war, where we saw prices spike for a range of precious metals. You had that flight to safe havens that obviously dominated everything as you would expect ... then dissipated.”
As the gold price stabilized after the initial shock, long-term drivers began to emerge. “What came to the fore, and is still the most important, is really the macro backdrop, and drilling down further, the actions and expectations of the Fed," explained Newman.
Interestingly, although the war had a transitory effect on the gold price, production felt a deeper impact.
“Russia’s invasion of Ukraine and the subsequent sanctions have meant that miners operating in Russia have had issues getting financing and equipment from western sources,” said Adam Webb, director of mine supply at Metals Focus.
Higher overhead costs related to energy and transport are also weighing on gold miners globally and in the Russian region. “This has impeded Russian gold production, and we expect a 30 tonne (9 percent) year-on-year drop in output this year," he said.
The decline in supply out of Russia will be offset by a significant rise in output from another region.
“We expect global mined gold production to rise by 1 percent year-on-year,” Webb said. “The biggest contributor to this will be a rise in output from China, which we forecast to increase by 39 tonnes year-on-year, surpassing the fall in Russian production.”
The uptick in Chinese supply stems from a recovery in production following safety work stoppages in 2021.
Gold price in Q2: Inflation hedge status kicks in
In June, US inflation reached a four decade high of 9.1 percent as gold began its H2 descent below US$1,800.
Gold's weakness in the face of inflation prompted some market participants to question its value as a hedge. But other experts said the yellow metal was doing its job.
“Actually, gold has performed much better than many of the traditional inflation hedges that investors hold,” said Juan Carlos Artigas, global head of research at the World Gold Council (WGC).
While gold is impacted by higher opportunity costs, Artigas said it has largely maintained its value in the face of rampant inflation.
“Gold has outperformed TIPS (Treasury inflation-protected securities) and, more generally, global inflation-linked bonds, because higher opportunity costs are not something that is impacting only the gold market.”
Gold's price performance year-to-date.
Chart via TradingEconomics.
For Joe Cavatoni, chief market strategist of the Americas at the WGC, gold’s inflationary hedge upside is still to be seen.
“Nobody hedges inflation for three weeks; nobody hedges inflation for three months,” he said. “They hedge inflation long term … and it's the right way to think about why gold fits in your portfolio as a strategic hedge."
By early November, the Fed had implemented its fourth 75 basis point rate hike and sixth consecutive increase, pushing the federal funds rate to 3.75 to 4 percent, a 14 year high.
This environment has made gold’s ability to hedge particularly alluring for investors.
“We have had a year where investors have had to manage risk, whether it is coming from high inflation or from geopolitics; combined (those) have supported demand for gold,” Artigas said.
By mid-November, the Fed’s inflation targeting blitz had seen some success, with the consumer price index rising 7.7 percent year-on-year in October, the smallest 12 month increase since January.
As Newman explained, the better-than-expected annual inflation numbers resulted in optimism that the Fed may be able to slow its course or even pivot sooner than expected.
“You also saw a bit of a short-covering rally; we saw that in gold, and silver for that matter,” he said. “From our point of view, that felt perhaps a little bit overdone. And we saw that when prices came off fairly quickly thereafter.”
Gold price in Q3 and Q4: Bar and coin demand takes flight
Gold's more than two year price low in Q3 came as output hit a year-to-date high, a factor Webb associated with seasonality.
“Q3 is traditionally a strong month for production as mining and processing is not impacted by cold weather at operations located in Russia, China, Canada and the US,” he said. “It also falls outside of the wet season in other gold-producing countries.”
For the three month period, mine production rose to nearly 950 metric tons, a 2 percent year-over-year move.
Even though miners have benefited from these mild conditions, the effects of inflation have been inescapable.
“Inflation is pushing costs up for miners and reducing margins,” Webb explained. “The average all-in sustaining cost reached a record high of US$1,289 per ounce in Q2, and this is likely to rise again in Q3. Meanwhile, higher interest rates are making debt financing for projects and expansion more expensive.”
In terms of demand, the September quarter saw a 28 percent year-over-year improvement despite a steep decline in investment demand. Although bar and coin purchases continued to gain strength, rising 36 percent, exchange-traded funds (ETFs) grappled with more outflows. The discrepancy highlights the differences in the two segments, explained Newman.
“The gold ETF space really is dominated by larger investors, not necessarily retail,” he said, pointing out that these investors are motivated by Fed expectations and real yields. “I think you've seen liquidations of ETFs, which is in broad measure echoing some of the activity you see on the (Chicago Mercantile Exchange)."
On the flip side, demand for bars and coins has already surpassed 880 metric tons for 2022, the highest level since 2013. Newman attributed the steady increase in bar and coin demand to retail investors responding to inflation.
“But from an institutional point of view, because rates have been so low, that rising inflation signals to them that all the rates are going to continue to rise,” he explained. "That's why you see (institutional investors) taking a negative view of gold, whereas retail investors tend to react in a more traditional sense to inflation, and are therefore buying gold as a hedge against inflation."
By December 6, the price of gold was holding above US$1,750 at US$1,771.
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Securities Disclosure: I, Georgia Williams, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
