Brunswick Exploration Inc.(TSX-V:BRW; “BRW” or the “Company”) is pleased to announce it has expanded its recently signed option agreement with Osisko Development Corp. (TSX-V: ODV) to also acquire a 90% interest in the PLEX Project (the “Project located in the James Bay-Eeyou Istchee region of Quebec, which is located along the same fault structure that hosts Patriot Battery Metals’ Corvette lithium project.
Mr. Killian Charles, President of BRW, commented: “I am very pleased to cement Brunswick Exploration’s position within the La Grande Greenstone belt, host to Patriot Battery Metals’ Corvette Lithium project. The addition of the PLEX Project, alongside the previously-announced Mythril option with Midland, strategically positions the Company as PLEX covers a portion of the La Grande shear zone, which contains the entire Corvette lithium trend. Furthermore, with today’s announcement, our James Bay portfolio of properties now includes over 200 untested S-type pegmatites with a minimum 600 metres strike length. We will continue to grow our portfolio in James Bay and across Canada to further increase our chances of making significant lithium discoveries.”
The PLEX Project package contains a total of 375 claims, representing 19,175 hectares (192 sq. km.). The property is accessible year-round and located near the Trans-Taiga highway, providing access to the La Grande-4 hydroelectric complex. The Project is situated approximately 75 km west of Patriot Battery Metals’ Project, along the La Grande shear zone which is host to the entire Corvette lithium trend. Compilation work by BRW has identified over 100 individual pegmatite outcrops and numerous pegmatite dykes on the Project of varying length, including one pegmatite dyke measuring 1.7 kilometres strike length. The latter was intersected in multiple drill holes by previous gold explorers between 2007 and 2014 but was only superficially described in drill logs and not assayed for Lithium-Cesium-Tantalum mineralization; the longest drill intersection of pegmatite measured 103 meters in length (MRNF assessment files GM 63465 and GM 68914).
The Project has historically never been explored for lithium mineralization. BRW intends to launch a regional prospecting campaign in late Q2 2023 to explore both the PLEX and Mythril Projects and multiple other smaller BRW claim packages located in the northern half of the James Bay-Eeyou Istchee region. The campaign will include sampling and analysis of pegmatite from recovered drill core on the PLEX Project and will likely lead to more follow-up trenching and/or drilling beyond BRW’s current exploration program for 2023.
ODEV Expanded Option Agreement
The expanded Option allows BRW to acquire a 90% interest in the Project for a total consideration of 8,000,000 shares over a two-year period, upon closing of the option agreement (the “Agreement”) under the following terms:
- An initial payment of 1,000,000 shares, within five (5) business days of the Effective Date of the Agreement;
- A payment of 3,000,000 shares, on or before the 1st year anniversary of the Effective Date of the Agreement;
- A payment of 4,000,000 shares, on or before the 2nd year anniversary of the Effective Date of the Agreement.
In order to exercise the Option; Brunswick Exploration shall fund an aggregate amount of $6,000,000 in Work Expenditures in accordance with the following schedule:
- An aggregate of $1,000,000 before the 1st year anniversary of the Effective Date;
- An aggregate of $2,000,000 before the 2nd year anniversary of the Effective Date;
- An aggregate of $4,000,000 before the 3rd year anniversary of the Effective Date;
- An aggregate of $6,000,000 before the 4th year anniversary of the Effective Date.
Upon execution of the Option, BRW will retain a right of first refusal on ODEV’s 10% ownership. Furthermore, ODEV will not be expected to fund its pro-rata share of the exploration budget following the exercise of the Option until the construction of a mine.
Qualified Person
The scientific and technical information contained in this press release has been reviewed and approved by Mr. Jeff Hussey, Director of Brunswick Exploration. He is a Professional Geologist registered in Quebec.
About Brunswick Exploration
Brunswick Exploration is a Montreal-based mineral exploration company listed on the TSX-V under the symbol BRW. The Company is focused on grassroots exploration for hard rock lithium deposits in Eastern Canada, a critical metal necessary to global decarbonization and energy transition. The company is rapidly advancing the most extensive grassroots lithium property portfolio in Eastern Canada with holdings in Quebec, Ontario, New Brunswick and Newfoundland.
Investor Relations/information
Mr. Killian Charles, President (info@BRWexplo.com)
Cautionary Statement on Forward-Looking Information
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation based on expectations, estimates and projections as at the date of this news release. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, delays in obtaining or failures to obtain required governmental, environmental or other project approvals; uncertainties relating to the availability and costs of financing needed in the future; changes in equity markets; inflation; fluctuations in commodity prices; delays in the development of projects; the other risks involved in the mineral exploration and development industry; and those risks set out in the Corporation’s public documents filed on SEDAR at www.sedar.com. Although the Corporation believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Corporation disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law. 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.
Brunswick Exploration
Overview
Brunswick Exploration (TSXV:BRW) has a diversified portfolio of highly prospective critical mineral properties in Canada. The company focuses on acquiring underexplored grassroots lithium projects with upside potential.
Brunswick Exploration recently expanded its lithium portfolio with its acquisition of 1,327 claims totaling 33,093 hectares in southern Newfoundland and 60 claims totaling 971 hectares in Nova Scotia. Additionally, the company completed its acquisition of pegmatite fields in the James Bay region of Quebec, which increased its holding in the area to approximately 810 claims totaling 42,892 hectares. Brunswick Exploration has also acquired 60 claims totaling 26,318 hectares containing lithium-bearing pegmatites near Hearst, Ontario.
Brunswick Exploration's notable projects include Pontiac Lithium and North Shore Lithium in Quebec, the NS Critical Minerals package in Nova Scotia, as well as the Catamaran property, Fundy Gold and Bathurst Mining Camp, all in New Brunswick.
Brunswick Exploration recently announced the start of the largest grassroots lithium exploration program in Eastern Canada, targeting several of its promising lithium assets, including the Pontiac project, the North Shore project, the Catamaran Projects and the SMB project in Nova Scotia.
The company's exploration team is led by Robert Wares, founder of the Osisko Group of Companies. Wares is an established and award-winning professional geologist with over 35 years of experience in mineral exploration and development. Wares has a proven track record of world-class discovery, including the Canadian Malartic bulk tonnage gold mine, which later became one of the largest-producing gold mines in Canada.
Company Highlights
- Brunswick Exploration is focused on exploring and developing a diversified portfolio of highly prospective critical minerals projects in Canada. The company continually evaluates new acquisitions to expand its portfolio of underdeveloped lithium assets.
- The company's Quebec-critical mineral projects include the Pontiac Lithium project, the North Shore lithium project and the James Bay lithium portfolio.
- Brunswick Exploration recently announced the start of the largest grassroots lithium exploration program in AtlanticCanada, targeting several of its promising lithium assets.
- Brunswick Exploration has also acquired 60 claims totaling 26,318 hectares containing lithium-bearing pegmatites near Hearst, Ontario.
- Brunswick Exploration management team includes Robert Wares, founder of Osisko Mining.
- The company completed its acquisition of additional pegmatite fields in the James Bay region of Quebec, increasing its holding to approximately 810 claims totaling 42,892 hectares
.
Atlantic Canada Grassroots Lithium Portfolio
The combined critical metals land package in New Brunswick and Nova Scotia includes 2,000 claims covering over 150,000 hectares. This rapidly growing portfolio contains multiple historical showings and over 150 peraluminous pegmatite dykes, coincident with lithium till and rock anomalies that have seen no exploration. In addition, the company recently expanded its lithium portfolio with its acquisition of 33,093 hectares in southern Newfoundland and 971 hectares in Nova Scotia.
Project Highlights:
- SMB Nova Scotia Critical Metals Project: The properties comprise 87 licenses and 6,524 claims, with a total surface area of 105,624 hectares, located roughly 30 kilometers west of Halifax. The properties contain over 100 pegmatite dykes within the South Mountain Batholith (SMB) that have seen no exploration for lithium spodumene mineralization. Government of Nova Scotia till samples were taken at roughly two-kilometer spacing over areas underlain by multiple Devonian granitoids of the SMB as well as Cambrian Meguma sediments. The government database's till and rock samples returned highly anomalous lithium and tin values. It is important to note that the East Kemptville Tin mine and the Brazil Lake lithium deposit are close to the SMB.
- New Brunswick Catamaran Lithium Project: The Properties comprise eight claims and 1,821 units with a total surface area of 40,363 hectares. They are located roughly 30 kilometers southeast of Plaster Rock and roughly 30 kilometers east of Florenceville-Bristol. Including previously staked ground, the property is host to over 60 pegmatites that have seen little to no exploration work. Till samples collected by the Government of New Brunswick were taken at roughly two-kilometer spacing and are underlain by pegmatitic granites and gneissic to migmatitic sediments from the Devonian and Ordovician. Highlights from the survey include an 11-kilometer till anomaly containing nine samples between 53 to 103 ppm of lithium, neighboring known beryllium and pegmatite occurrences.
Ontario Grassroots Lithium Projects
- Hearst Lithium Project: Located roughly 15 kilometers south of Hearst, Ontario, the newly acquired asset includes 226 claim blocks with a total surface area of 29,805 hectares. Brunswick Exploration staked its claims based on its preferred geologic environments and historical mapping, which indicated minimal historic exploration. In addition, the Hearst package includes an option on the Lowther Pegmatite property, containing an additional 251 hectares of underexplored pegmatite formations.
Quebec Grassroots Lithium Projects
Brunswick Exploration has continually expanded its land holdings in Quebec by targeting underexplored assets with ideal geologic formations that meet the company’s criteria. The Quebec lithium projects include three notable districts, each containing prospective assets for future exploration.
Project Highlights:
- Pontiac Project: The underexplored asset is in close proximity to Val-d’or, Rouyn and Malartic in Abitibi. The Pontiac project contains major S-type pegmatites known to contain lithium, meeting the company’s geologic criteria. The project is part of the company’s new exploration campaign to identify potential lithium deposits.
- James Bay Project: The newly acquired project is located in a region known for hard rock lithium deposits. The James Bay Project included 810 claims totaling 42,892 hectares. The project contains four deposits with defined resources, multiple spodumene showings, and nearby recent lithium discoveries.
- North Shore Lithium Project: Brunswick Exploration has identified approximately 30 pegmatite dykes and sills on its North Shore Lithium Project, with a minimum strike length of 1,200 meters and dozens of smaller pegmatite dykes. The longest pegmatite identified through satellite imagery and geological compilation measures approximately 14 kilometers in strike length. None of the pegmatites on the North Shore Lithium Project have seen exploration for lithium, and all consist of S-type pegmatites containing any combination of indicator minerals, including muscovite, garnet, tourmaline and beryl. Lithium-bearing LCT pegmatites are metal-enriched S-type pegmatites that may also contain cesium, tantalum, beryllium and tin mineralization. Brunswick Exploration will begin a prospecting campaign in this area in late Q3 2022, first focusing its efforts on the previously-disclosed Pontiac Lithium Project.
Management Team
Robert Wares - P. Geo Chairman and CEO
Robert Wares is a professional geologist with over 35 years of experience in mineral exploration and development. He was responsible for discovering the Canadian Malartic bulk tonnage gold mine, which was subsequently developed by Osisko Mining Inc. into one of Canada's largest gold producers. Among other awards, Wares was a co-winner of the Prospectors and Developers Association of Canada's "Prospector of the Year Award" for 2007. Wares was also named, together with John Burzynski and Sean Roosen, as "Mining Men of the Year" for 2009 by the Northern Miner. Wares also sits on the board of directors of Osisko Metals Inc. Wares has a bachelor of science and an honorary doctorate in Earth sciences from McGill University.
Killian Charles - President
From 2017 to 2021, Killian Charles worked as VP of corporate development for Osisko Metals. Charles was previously the manager of corporate development at Integra Gold Corp, which was an advanced-stage gold development company until it was acquired by Eldorado Gold in July of 2017. Before that, he worked as a mining analyst at Industrial Alliance Securities and Laurentian Bank Securities. Charles covered small and mid-cap exploration and production companies as a mining analyst. Charles holds a bachelor of science with a major in Earth and planetary sciences from McGill University.
Anthony Glavac - CFO
Anthony Glavac has over 17 years of experience in financial reporting, including over 12 years in the mining industry. Since August 2017, Glavac has served as vice-president, corporate controller for Falco Resources Ltd., and previously served as director, financial reporting and internal controls at Dynacor Gold Mines. Glavac spent 10 years at KPMG, working with both public and private companies, providing audit, taxation, strategic advisory and public offering services. Glavac is also involved with other public companies in the mining industry.
Significant Discovery At "Sentazon Deeps" With Several High-Grade Intersections Including 40 Metres At 4.2 g/t AuEq
Challenger Exploration (ASX: CEL) (“CEL” the “Company”) is pleased to announce results from drilling at its flagship Hualilan Gold Project, San Juan Argentina. The results are from the Company's ongoing drill program targeting extensions to the current 2.1 million ounce AuEq1 Mineral Resource Estimate ("MRE")2. These results will feed Into a planned mineral resource update in the first quarter of 2023.
Highlights
- Extension drilling at Sentazon delivers outstanding results with the discovery of a significant new zone of mineralisation at depth plus extensions to the south along strike.
- Results include:
- 50.0m at 3.4 g/t AuEq1 - 2.4 g/t Au, 16.8g/t Ag, 1.8% Zn from 441.0m including,
40.0m at 4.2 g/t AuEq1 - 2.9 g/t Au, 20.9 g/t Ag, 2.2% Zn from 441.0m including,
22.5m at 7.0 g/t AuEq1 - 4.8 g/t Au, 33.5 g/t Ag, 3.8% Zn from 456.5m and,
9.1m at 2.4 g/t AuEq1 - 2.2 g/t Au, 13.1 g/t Ag, 0.1% Zn from 507.9m including,
1.8m at 11.7 g/t AuEq1 - 10.8 g/t Au, 62.3 g/t Ag, 0.3% Zn from 507.9m (GNDD-316ext); - 16.5m at 5.9 g/t AuEq1 - 4.1 g/t Au, 18.9 g/t Ag, 3.4% Zn from 53.0 including,
10.5m at 9.3 g/t AuEq1 - 6.5 g/t Au, 29.6 g/t Ag, 5.3% Zn from 59.1m including,
4.1m at 18.9 g/t AuEq1 - 13.8 g/t Au, 58.3 g/t Ag, 9.4% Zn from 59.9 (GNDD-670); - 21.2m at 2.7 g/t AuEq1 - 2.1 g/t Au, 18.3 g/t Ag, 0.7% Zn from 409.2 including,
3.8m at 6.5 g/t AuEq1 - 4.0 g/t Au, 68.9g/t Ag, 3.5% Zn from 409.2m and,
1.9m at 8.5 g/t AuEq1 - 8.3 g/t Au, 10.3 g/t Ag, 0.3% Zn from 428.5 (GNDD-675); - 36.0m at 1.0 g/t AuEq1 - 0.9 g/t Au, 4.5 g/t Ag, 0.2% Zn from 301.0m including,
- 6.5m at 4.0 g/t AuEq1 - 3.3 g/t Au, 13.8 g/t Ag, 1.0% Zn from 330.5m and (GNDD-628A);
- 50.0m at 3.4 g/t AuEq1 - 2.4 g/t Au, 16.8g/t Ag, 1.8% Zn from 441.0m including,
- GNDD-316e, a 217 metre extension to GNDD-316, in a lightly drilled area on the northern margin of Sentazon discovers a significant new zone of high-grade mineralisation at depth
- GNDD-675 confirms this new zone "Sentazon Deeps" has significant scale
- Several holes extend the mineralisation at Sentazon over 100 metres south of, and 400 metres downdip of, the current mineral resource boundary with mineralisation remaining open
Commenting on the drilling at Sentazon, CEL Managing Director, Mr Kris Knauer, said
“This is an outstanding set of results from our flagship Hualilan Gold project. Not only have we discovered a new zone of mineralisation at depth with an intercept including 22.5 metres at 7.0 g/t gold equivalent, several drill holes into this new discovery zone have confirmed it has significant scale.
Additionally, we have extended the mineralisation another 100 metres past the southern boundary of the resource with multiple ore grade intersections. Indeed, Hualilan looks to be really opening up to the south; which is not a total surprise given Sentazon has highest temperature mineral assemblage at Hualilan which is indicative of it being close to the centre rather than the edge of thedeposit."
The results, from extension drilling at Sentazon which is the southern limit of the current MRE, demonstrate a significant increase in the scale of the mineralisation at Sentazon. The strike extent of Sentazon has been extended from 150 to 250 metres with mineralisation remaining open along strike to the south. Additionally, drilling has confirmed the discovery of a significant new zone of high-grade mineralisation at depth "Sentazon Deeps: which has been intersected in several drill holes.
SENTAZON MINERALISATION
Sentazon is the southernmost mineralisation defined historically at Hualilan and was described historically as;
"Manto-style" high grade lenses, oriented parallel to the limestone beds, caused by the replacement of the limestone beds with massive sulphides. The Sentazon Manto is one of three en-echelon manto zones at Cerro Sur, over a combined strike interval of 330 metres, the others being the Muchilera and Magnata Manto's both to the north. Mineralisation dips 40 to 70 degrees west and is open at depth."
Sentazon continues to grow in importance. It was historically lightly drilled as it was considered to be complex and of limited in extent. Sentazon contributed 333,655 ounces of gold equivalent at a grade of 5.3 g/t AuEq2 to the current 2.1 Moz Mineral Resource Estimate and mineralisation at Sentazon remains open along strike and at depth and continues to expand.
Click here for the full ASX Release
This article includes content from Challenger Exploration, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Gold Price 2022 Year-End Review
Click here to read the previous gold price update.
Gold’s status as a safe haven and a hedge against inflation provided support in 2022 as the yellow metal battled headwinds from a strong US dollar and the US Federal Reserve's attack on inflation.
On course to shed 1.6 percent for the year, gold was unable to retain gains made in the first quarter, when a price spike following Russia's invasion of Ukraine sent the precious metal to a 19 month high of US$2,053 an ounce. The March surge was a 13 percent increase from January’s start value, but was short-lived as gold returned to the US$1,939 level by the end of Q1.
The second quarter of the year saw further consolidation as gold slipped to US$1,811, while market volatility sent the Dow Jones Industrial Average (INDEXDJX:.DJI) and the tech-heavy NASDAQ Composite (INDEXNASDAQ:.IXIC) into bear market territory.
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.
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Marvel Discovery Arranges $1.9M private placement
Marvel Discovery Corp.(TSX-V: MARV), (Frankfurt: O4T), (MARVF: OTCQB); (the “Company”) is pleased to announce a non-brokered private placement to raise total proceeds of $1,900,000 by issuing up to 15,283,366 flow-through Units (the “FT Units”) and issuing up to 599,963 non flow-through units (the “NFT Units”).
Each FT Unit priced at $0.12 per unit will consist of one flow-through common share and one-half of one common share purchase warrant; each whole warrant (“Warrant”) entitling the holder to subscribe for and purchase one non-flow-through common share (“Warrant Shares”) at a price of $0.25 cents for a period of 24 months following the issuance date.
Each NFT Unit priced at $0.11 cents per unit will consist of one common share and one common share purchase warrant; each warrant entitling the holder to subscribe for and purchase one non-flow-through common share at a price of $0.18 cents for a period of 24 months following the issuance date.
The aggregate gross proceeds from the sale of the FT Offering will be used for exploration and development of the Company’s British Columbia, Saskatchewan, Ontario, Quebec, and Newfoundland projects.
A Finders fees may be paid in accordance with the policies of the TSX Venture Exchange.
All securities issued in connection with the Offering will be subject to a statutory hold period expiring four months and one day after closing. Final acceptance is subject to TSX Venture approval.
About Marvel Discovery Corp.
Marvel, listed on the TSX Venture Exchange for over 25 years, is a Canadian based emerging resource company. The Company is systematically exploring its extensive property positions in:
- Newfoundland (Slip, Gander North, Gander South, Victoria Lake, Baie Verte, and Hope Brook – Au Prospects)
- Atikokan, Ontario (BlackFly – Au Prospect)
- Elliot Lake, Ontario (East Bull – Ni-Cu-PGE Prospect)
- Quebec (Duhamel –Ni-Cu-Co prospect & Titanium, Vanadium, and Chromium Prospect)
- Prince George, British Columbia (Wicheeda North – Rare Earth Elements Prospect)
The Company’s website is: https://marveldiscovery.ca/
ON BEHALF OF THE BOARD
Marvel Discovery Corp.
“Karim Rayani”
Karim Rayani
President/Chief Executive Officer, Director
Tel: 604 716 0551 email: k@r7.capital
Disclaimer for Forward-Looking Information:
Certain statements in this release are forward-looking statements which reflect the expectations of management. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Forward-looking statements in this press release relate to, among other things: completion of the proposed Arrangement. Actual future results may differ materially. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. There is no assurance any of the conditions for closing will be met. Forward-looking statements reflect the beliefs, opinions, and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by the respective parties, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these times. Except as required by law, the Company does not assume any obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law
Neither 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.
Top Stories This Week: Gold Price Breaks US$1,800, Market Eyes Fed's Next Move
- YouTubeyoutu.be
This week started off slow for gold, but the yellow metal picked up pace mid-week, rising to just above US$1,800 per ounce by Thursday (December 1). It closed out the five day period around that level.
Diverse factors continue to impact the gold price, but chief among them right now are recent comments from US Federal Reserve Chair Jerome Powell. During a closely watched Brookings Institution speech on Wednesday (November 30), he said that smaller interest rate hikes are coming and could start as early as this month.
"(I)t makes sense to moderate the pace of our rate increases as we approach the level of restraint that will be sufficient to bring inflation down. The time for moderating the pace of rate increases may come as soon as the December meeting" — Jerome Powell, US Federal Reserve
According to Powell, the Fed recognizes that its actions take time to be reflected in the market, and raising rates at a slower pace will allow it to take stock of its progress in taming high prices. Experts often use the consumer price index to judge inflation, but details for November won't be released until mid-December.
For now, market watchers are eyeing this week's personal consumption expenditures (PCE) price index data — when food and energy are excluded, it shows a lower-than-anticipated 0.2 percent month-on-month increase in October.
The PCE price index measures what people living in the US pay for a broad range of goods and services, and Powell has emphasized its accuracy as a gauge of where inflation is headed.
The Fed has hiked rates six times so far this year, with the last four boosts being 75 basis points each. The central bank's next meeting runs from December 13 to 14.
Lithium-ion batteries to drive "huge" raw materials demand
Moving over to the battery metals space, INN's Priscila Barrera recently returned from this year's Benchmark Week in LA. Hosted by Benchmark Mineral Intelligence, the event featured commentary on lithium, cobalt, graphite and more.
One key theme was the important role that mining will play in helping global governments reach net-zero emissions goals by 2050.
Outlining looming demand, Simon Moores of Benchmark Mineral Intelligence said installed lithium-ion battery capacity needs to reach 300 terawatt hours in the next 30 years. That means worldwide lithium-ion battery output will have to rise by four times the pace seen today, going up at an annual rate of 20 terawatt hours.
What will the implications be for raw materials? According to Moores, the impact will be "huge."
"Critical minerals mining and refining needs to shift (from) today’s thinking (of) 50,000 tonne (units) to 500,000 tonne units" — Simon Moores, Benchmark Mineral Intelligence
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i-80 Gold Corp.
i-80 Gold Corp is a well-financed gold producer and developer holding an impressive portfolio of advanced-stage gold projects in the State of Nevada. The company's primary goal is to build a self-sustaining, mid-tier, mining company with a peer-best growth platform by employing a methodical, capital disciplined and staged approach to minimize risk while also assessing and monitoring for accretive growth opportunities.
Top 5 Gold Stocks on the TSX (Updated November 2022)
Click here to read the previous best gold stocks article.
The gold price is finally gaining some ground after falling below US$1,650 per ounce in September for the first time since 2020. The yellow metal neared US$1,800 in mid-November and is now sitting above US$1,750.
Even so, gold is still under pressure, and some experts think now is the time to buy. The Investing News Network spoke with Mark Yaxley, managing director of bullion dealer SWP, twice in November, and he shared his advice on buying bullion both times.
"My advice … to my clients, who are mostly Canadians and Americans, is maybe you should be mirroring eastern investors and taking advantage of these dips at this price level," he said in his first interview, explaining that westerners often wait for positive price performance to buy gold. In the second discussion, he shared his three guidelines when buying bullion.
The five stocks below have seen the largest share price gains in the gold sector year-to-date on the TSX. The list was generated on November 28, 2022, using TradingView’s stock screener, and all companies listed had market caps above C$50 million at that time.
1. Augusta Gold (TSX:G)
Year-to-date gain: 45.04 percent; market cap: C$150.49 million; current share price: C$1.90
Augusta Gold is focused on its land package in the Bullfrog district in Nevada, US. Its Bullfrog gold project is in the Walker Lane trend and is close to significant infrastructure, including a paved highway that intersects the property. The project has a measured and indicated resource of 64.12 million metric tons (MT) grading 0.531 grams per MT (g/t) gold for contained gold of 1.09 million ounces.
On April 21, the firm acquired the Reward heap-leach gold project, which is fully permitted and located near the Bullfrog project. Augusta ended April with a spike and remained elevated through Q2, hitting a year-to-date high of C$2.33 on May 26.
Augusta released a resource estimate for Reward on June 7; it shows Reward has a measured and indicated resource of 426,700 ounces of gold grading 0.75 g/t gold, and an inferred resource of 27,100 ounces of gold grading 0.68 g/t gold. The company completed its final payment for the Reward project in September. Augusta's share price has spent Q4 trending upwards following that news.
“Making the final payment for the Reward acquisition is a significant milestone as we move to completing our engineering studies for both Reward and Bullfrog with the goal of commencing production from the fully permitted Reward project in late 2023,” Augusta President and CEO Donald Taylor said.
2. Yamana Gold (TSX:YRI)
Year-to-date gain: 31.69 percent; market cap: C$6.79 billion; current share price: C$6.94
Yamana Gold is a gold producer operating out of the Americas that places a strong emphasis on ESG issues. The company has five producing mines: the Canadian Malartic gold mine in Abitibi, Quebec; the Cerro Moro gold-silver mine in Santa Cruz, Argentina; the El Peñón mine in Chile’s Atacama Desert; the Jacobina gold-mining complex in Bahia, Brazil; and the Minera Florida gold mine in Central Chile. Yamana also has multiple advancing projects, and has said it aims to continue exploration of its producing properties so it can replace depleting mineral resources with fresh discoveries, creating more sustainable operations.
Yamana’s share price spiked at the end of September, a couple of days after the company announced that Glencore (LSE:GLEN,OTC Pink:GLCNF) will be acquiring Newmont’s (TSX:NGT,NYSE:NEM) 18.75 percent share in the Mara copper-gold joint venture project. Yamana will remain the operator with a share of 56.25 percent, and Glencore will own the remaining portion.
Back in May, Yamana entered into a definitive agreement with Gold Fields (NYSE:GFI,JSE:GFI) under which Gold Fields would acquire Yamana, but this deal has recently fallen through and has been replaced by a “superior proposal.” The new deal is with both Agnico Eagle Mines (TSX:AEM,NYSE:AEM) and Pan American Silver (TSX:PAAS,NASDAQ:PAAS), and will see Agnico acquire some of Yamana’s subsidiaries and partnerships related to its Canadian assets; meanwhile, Pan American will acquire all Yamana's outstanding shares.
Yamana’s share price spiked by C$1.01 November 4, the day of the news. Most recently, Yamana announced its Q4 dividend and shared dates for shareholder meetings about the acquisition.
3. Alamos Gold (TSX:AGI)
Year-to-date gain: 30.5 percent; market cap: C$5.06 billion; current share price: C$12.45
Alamos Gold is a gold miner operating three 100 percent owned gold mines: Young-Davidson and Island Gold in Canada and Mulatos in Mexico. The company’s 2022 gold production guidance is 440,000 to 480,000 ounces in total between its three mines. Alamos also has development projects in Canada, Turkey and the US.
Alamos’ share price spiked in April to an H1 high of C$11.38, following groundbreaking for its Phase III expansion at Island Gold. The expansion is expected to both lower costs and bring production up by 70 percent per year following its completion in 2025. In other big news for the company, in June initial production commenced at the La Yaqui Grande mine, which is part of the Mulatos mining district. In late August, the company shared its 2021 ESG results.
Alamos’ share price has been trending upwards since the end of Q3. At the end of October, the company released its Q3 results, which show production of 123,400 ounces of gold, a 19 percent gain quarter-over-quarter. On November 15 and November 29, the company released high-grade results that extended mineralization at the Island Gold mine.
“Having nearly tripled the Mineral Reserve and Resource base to over five million ounces of gold and with work on the expansion ramping up, our exploration focus is shifting to more cost-effective underground drilling where we can leverage existing infrastructure,” President and CEO John A. McCluskey said.
4. Lundin Gold (TSX:LUG)
Year-to-date gain: 17.86 percent; market cap: C$2.67 billion; current share price: C$12.01
Lundin Gold has the Fruta del Norte gold mine in Ecuador, which the company calls “one of the highest-grade, lowest-cost gold mines in the world.” The mine has been in operation since 2019 and has a mine life of 13 years. In addition to this operation, the company has 25 exploration concessions under two subsidiaries.
Lundin’s share price faltered in Q3 after a steady first half of the year, but it has gained significantly in Q4. In October, the company completed the south ventilator raise at Fruta del Norte, which had taken three years due to delays, including from COVID-19. The company released its Q3 results in November, with production of 121,635 ounces of gold compared to 107,663 ounces in Q3 2021. Lundin Gold expects its full-year 2022 results to be at the higher end of its guidance.
On November 21, the company hit a year-to-date high after drill intercepts from its conversion program at Fruta del Norte drove shares up from C$11.12 to C$12.92 overnight. The program's aim is to extend the mine's life by converting inferred resources into measured or indicated resources. The company later shared its three year outlook, saying it expects production to continue to grow.
5. i-80 Gold (TSX:IAU)
Year-to-date gain: 11.33 percent; market cap: C$855.71 million; current share price: C$3.44
i-80 Gold is a gold company with multiple projects in Nevada, US, including its producing Ruby Hill open-pit gold mine. In 2022, the company has been focused on drilling at Ruby Hill to update technical reports and work towards a permit for an underground mine. In addition to Ruby Hill, i-80 has the Lone Tree past-producing mine and the Granite Creek advanced project.
A strong H1 saw an early year-to-date high of C$3.90 on March 21 for i-80 Gold, but a shaky Q3 brought it back down. However, November has seen consistent and significant gains for the company. The rise began on November 7, when it released plans to possibly restart the Ruby Hill mill and leach circuits due to the company discovering more high-grade oxide material at both Ruby Hill and Granite Creek than anticipated. The next day, i-80 released its Q3 results, which include record sales of 9,332 ounces of gold.
News of bonanza-grade drill results at Ruby Hill’s Hilltop zone in mid-November continued its rally, with one highlight showing 33 g/t gold, 3,010 g/t silver & 63.5 percent lead over 0.6 meters. Most recently, the company shared further positive drill results at Ruby Hill.
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Securities Disclosure: I, Lauren Kelly, hold no direct investment interest in any company mentioned in this article.
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