Investor Insight
With a portfolio of brownfield, high-grade gold assets with millions of dollars in exploration expenditures, Dynasty Gold stands apart from its peers and offers a compelling investment value proposition.
Overview
Dynasty Gold (TSX-V:DYG) is a Canadian mineral exploration and development company with two 100-percent-owned gold assets in Canada and the US: Thundercloud and Golden Repeat.
Dynasty Gold is currently focused on advancing its key asset, the high-grade Thundercloud gold project, located in Northwest Ontario, Canada, a highly prospective property with significant exploration upside. The property was acquired from Teck Resources in 2021, with $10 million in previous exploration expenditure and an NI 43-101 resource estimate completed in December 2021.
Its second exploration project, Golden Repeat, is located within the Midas Gold Camp in Elko County, Nevada. The project is drill-ready with permits in place.
Established in 2000 and headquartered in Vancouver, British Columbia, Dynasty Gold is led by a highly experienced management and technical team setting the company on a strategic path to success. Larry Kornze, the company’s VP of exploration, is credited for the discovery of Barrick's 40 million ounce gold deposit at the Betze Mine, on the Carlin Trend in Nevada. More than 50 percent of the company is owned by insiders and long-term shareholders, including Rob McEwen, Dynasty’s largest shareholder.
Company Highlights
- Dynasty Gold has two highly prospective, high-grade gold projects in North America - Thundercloud and Golden Repeat.
- The flagship Thundercloud project, acquired from Teck Resources in 2021 and with more than $10 million in previous exploration expenditures, is the current focus of Dynasty’s exploration and drilling program.
- Drilling and exploration work done by Dynasty to date has effectively increased the resource at Thundercloud from 187,000 ounces inferred to 232,000 ounces measured and indicated at a high grade of 8.04 g/t gold at 3.03 g/t cut-off, a possible open-pit operation. At 0.5 g/t cut-off, the project hosts 439,000 oz at 2.14 g/t. To date, more than 90 percent of the drill holes are less than 250 meters and 90 percent of the property has seen little drilling.
- Thundercloud is a brownfield project with extensive historical data, making it a lower-risk investment compared to other greenfield exploration projects.
- Dynasty’s second asset, the Golden Repeat gold project, is located within the Midas Gold Camp in Elko County, Nevada. The project is drill-ready with permits in place.
Key Projects
Thundercloud Project
The Thundercloud gold project is Dynasty Gold’s flagship asset, located in the Archean Manitou-Stormy Lakes Greenstone Belt in Ontario, Canada. The property spans 2,250 hectares and is part of the Wabigoon Subprovince, which is known for hosting several significant gold deposits. The project has been de-risked by the amount of drilling by Teck Resources in the 2000s. Dynasty has benefited from Teck’s datasets and is able to expedite its exploration and advance it to the current resource within two years from its maiden drill program on the property.
The project has seen various phases of exploration, including drilling, geophysics, and surface sampling, all of which highlight the presence of a high-grade gold deposit. Thundercloud comprises two main zones – Pelham and West Contact.
The project area is characterized by a mix of metavolcanic and metasedimentary rocks, which are favourable hosts for gold mineralization. The presence of extensive deformation, faulting and hydrothermal alteration within these rocks suggests a high potential for gold deposition. The gold mineralization at Thundercloud is primarily associated with shear zones and quartz-carbonate veins, typical of orogenic gold deposits. These types of deposits are known for their size and high-grade gold potential.
Thundercloud’s high-grade mineralization sets it apart from neighbouring gold projects with relatively lower grade gold intercepts, including NexGold’s Goliath and Goldlund gold projects with a resource of 1.5 Moz of gold at 1.5 g/t, and 2.3 Moz gold at 1.5 g/t, respectively. NexGold’s similar market valuation, highlights the market’s underappreciation of Dynasty Gold’s advanced-stage, higher-grade asset.
Historical drilling and exploration at Thundercloud have identified several zones of gold mineralization, with high-grade intercepts suggesting the presence of an extensive gold system. During the 2022 and 2023 drilling seasons the company successfully increased its non-compliant internal resource estimate to approximately 250,000 oz gold (this is an internally generated new model, which is not NI 43-101 compliant). The company aims to have an updated NI 43-101 Resource Estimate by the end of the year.
There are 87 drill holes for a total of approximately 16,793 meters of drilling within the Thundercloud database used to support the internal mineral resource estimation. Drill holes have intercepted mineralization at depths of up to 350 m below surface. Gold mineralisation has been defined along a strike length of 430 m and 150 m down-dip.
Pelham Zone
The Pelham Zone is the most advanced exploration target within the Thundercloud project. It is 47 m south-east of Dryden in Northwest Ontario. It has been the focus of much of the drilling and exploration efforts due to its substantial high-grade gold potential. During the 2022 exploration season, the discovery hole DP22-03 returned 8.42 g/t over 73.5 m including 6.5 m of 72.2 g/t. The zone is characterized by a series of east-west trending shear zones containing quartz-carbonate veins with visible gold. These shear zones are hosted within mafic metavolcanic rocks, which have undergone significant hydrothermal alteration.
West Contact Zone
The West Contact Zone is located to the southeast of the Pelham Zone. Limited drilling in the West Contact Zone has encountered gold mineralization associated with quartz veins and brecciated zones, with grades comparable to those found in the Pelham Zone. Further exploration is planned to expand on these initial findings. A rock chip sampling program was completed in the West Contact zone, an area immediately to the south of where Teck’s trenching data returned 8.02 g/t gold over 39 meters. The assay results from the program extended the mineralization by 30 meters. Total surface mineralization is 69 meters averaging 5.85 g/t gold. Follow-up drilling will start in September and October of this year.
2024 Summer and Fall Exploration Program
Dynasty completed approximately 2,200 meters of drilling in August 2024 to further delineate the resource. Drilling will continue in September. Assay results are pending.
Golden Repeat Project
The company owns 100 percent interest in the Golden Repeat gold property situated in the Midas region of Nevada. In summer 2011, Dynasty conducted a three-hole test drill program to follow up the Romarco drill program that was conducted in the 1990s. Assay results returned up to 3.4 g/t over 1.7 m gold and 44 g/t silver. Very little drilling has been done on Golden Repeat.
Management Team
Ivy Chong – President, CEO and Director
Ivy Chong has held senior executive positions in the mining and oil and gas industries since 1996. She was credited for closing several option and joint venture agreements with Teck, AngloGold Ashanti, Azimut, Avocet Mining, and many others. Chong has assisted multiple companies with their IPOs and raised capital for resource companies in Asia, Europe and North America. Prior to entering the resource industry, she worked for the Hong Kong Stock Exchange and Deloitte and Touche, LLP.
Roman Shklanka – Director
Roman Shklanka is an explorationist with over 45 years of international experience in the mining industry. His past positions include, chairman of Canico Resources, which was acquired by CVRD (Vale) in 2005; chairman of Sutton Resources, acquired by Barrick Gold Corporation; and vice-president of exploration for Placer Dome. He was responsible for the acquisition and exploration of numerous major mines, among them the Australian Granny Smith gold mine, Osbourne copper mine and the Kidston gold mine. He has received a number of achievement awards and was inducted into the Canadian Mining Hall of Fame in 2009.
Larry Kornze – VP Exploration and Director
Larry Kornze brings more than 30 years of international gold exploration experience. Kornze was credited with the discovery of Barrick's 40 million ounce gold deposit at the Betze Mine on the Carlin Trend in Nevada, in the late 80s. He was part of Barrick's team responsible for the discovery of the Miekle, Deepstar, Screamer and Rodeo deposits in Nevada. Kornze has held positions with Newmont and Getty Mining in North America, prior to joining Barrick Gold.
Richard Redfern – Director
Richard Redfern is a certified professional geologist and “qualified person” under NI 43-101 and a consultant with 35 years of exploration and mining industry experience worldwide. He held positions as senior exploration geologist with Barrick Gold in Mexico, VP Exploration for Goldstake Explorations in South Dakota and Australia, and has worked for Homestake Mining in the western United States. Redfern has extensive exploration experience in gold and porphyry-type prospects in the southwestern US, Mexico and British Columbia. He was instrumental in the recent discovery of the Moly Dome molybdenum-rhenium-gold-silver porphyry deposit in northern Nevada.
Figure 1. Revised Exploration Target. Note: The Exploration Target is conceptual in nature only and there is no guarantee that further exploration will define a resource.
Figure 2. Revised Exploration Target with an estimated contained Antimony range. Note: The Exploration Target is conceptual in nature only and there is no guarantee that further exploration will define a resource.
Herbert Gold Project
Table 1: Significant Intersections BD Target 1 over 300m strike