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February 10, 2025
Emerging gold discovery on E79’s tenement boundary with KalGold
West Australian-based explorer E79 Gold Mines Limited (ASX: E79) (‘E79 Gold’ or ‘the Company’) is pleased provide an update on exploration activities at the Laverton South Gold Project in Western Australia.
- Recent drilling by Kalgoorlie Gold Mining Ltd (KalGold) (ASX: KAL) on an adjoining tenement to E79 Gold’s Laverton South Project highlights a potential emerging gold discovery, called Lighthorse.
- Recently announced drilling results by KalGold have returned thick, shallow zones of gold mineralisation with results including1,2:
- 8m @ 2.29g/t Au from 60m (KGAC24045) – located ~40m from the E79 Gold/KalGold tenement boundary; and
- 17m @ 4.81g/t Au from 48m (KGAC24152) – ~550m from the E79 Gold/KalGold tenement boundary.
- Structural trends, host stratigraphy and drill targets strike towards E79 Gold-owned tenements, where there has been no drilling to date.
- Planning is underway for aircore drilling to drill test the newly identified targets on the E79 Gold tenure late in the March Quarter.
E79 Gold CEO, Ned Summerhayes, said:“The great work done by KalGold to make the greenfields Lighthorse gold discovery is very exciting for E79 Gold, with shallow intercepts of strong gold grades in drilling so close to our tenement boundary and the two main extensions to the mineralisation interpreted by KalGold both trending onto our tenure. There is no drilling on our side of the tenement boundary and, in light of this exciting breakthrough, we will move quickly to drill test these walk-up targets.”
Laverton South Projects
Lake Yindana (100%) and Pinjin (100%)
The Laverton South Project, with an area of 272km2, covers a southern portion of the Laverton Tectonic Zone (‘LTZ’) approximately 130km east-northeast of Kalgoorlie, within the major gold producing Archean Yilgarn Craton of Western Australia.
The LTZ is one of the world’s richest gold belts with more than 30 million ounces (‘Moz’) in historical production, reserves and resources and hosts numerous prolific deposits including Granny Smith (5.8Moz), Sunrise Dam (10.3Moz) and Wallaby (11.8Moz)3.
Neighbouring company, Kalgoorlie Gold Mining Ltd (ASX: KAL) (KalGold) has recently released significant assay results from drilling at an emerging greenfields gold discovery called Lighthorse, in a structure parallel to the LTZ.
The discovery sits to the west of KalGold’s Kirgella Gift/Providence deposits (2.34Mt @ 1.0g/t Au for 76,400 ounces4) and to the immediate east of E79 Gold’s tenure, see Figure 1).
The discovery holes at Lighthorse are interpreted by KalGold to define a zone of mineralisation up to 600m long and 200m wide under transported cover, which is open both at depth and along strike. This new ‘blind’ discovery sits between 40m and 550m east of E79 Gold’s Pinjin Project.
The main Lighthorse mineralised structure trends north-west into E79 Gold’s tenure, creating the North Target (see Figure 1), which sits in a zone of structural complexity with a structural offset and interpreted demagnetisation evident in the regional aeromagnetic data. There has been no historic drilling over the North Target in E79 Gold’s tenure.
A second cross-cutting mineralised structure strikes south-west, creating the South Target. The regional aeromagnetic data shows this south-west trending zone extending into the E79 Gold tenure, where again there has been no previous drilling in E79 Gold’s tenure.
Both of these targets will be the focus of an upcoming aircore (AC) program at the Laverton South Project, planned for the end of the March Quarter.
Click here for the full ASX Release
This article includes content from E79 Gold Mines Limited, 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.
19h
Award of Exploration Incentive Scheme (EIS) Co-funding
WIN Metals Ltd (ASX: WIN) (“WIN” or “the Company”) is pleased to announce it has been awarded government EIS co-funding for proposed drilling of its Ganymede gold target located directly to the south-east of the Butchers Creek gold deposit.
Highlights
- The Company has been awarded a co-funded drilling grant for Round 31 of the Western Australian Government’s EIS program for the Ganymede Gold prospect
- Government EIS co-funding will facilitate drill testing of an Induced Polarisation (IP) anomaly of Ganymede located to the east of the Butchers Creek deposit
- The application highlighted the similarities between the IP signature of the Ganymede Prospect and that of the Butchers Creek gold deposit
- Drilling is planned in the 2025 field season with PoW and Heritage Surveys complete
Ganymede is thought to represent a folded repeat and extension to the Butchers Creek gold deposit (Figure 1) and forms part of the wider Butchers Creek Gold Project located in the East Kimberley region of Western Australia.
The grant will cover 50% of the direct drilling costs up to a maximum refund of $57,500. An initial two (2) diamond drillholes are planned to test the Ganymede IP geophysical anomaly previously identified but left undrilled by Meteoric Resources in 20221. Notably Ganymede has an IP signature equivalent to the Butchers Creek gold deposit. Drilling is planned to commence this 2025 field season with assay results scheduled approximately 6 weeks thereafter.
WIN Metals Managing Director and CEO, Mr Steve Norregaard, commented:
“We welcome the financial support of the Western Australian government via the 31st round of EIS grant funding.
This target represents a compelling opportunity to enhance the already significant Butchers Creek gold project. Without government support this target may well have remained untested.
Success with this would potentially be a step change for underpinning the economics of the project.
This support will fast track testing and we look forward to seeing what may be at Ganymede.”
Background
The Ganymede gold target is located to the south-east of the Butchers Creek open pit and Mt Bradley gold mines illustrated in Figure 1. Meteoric’s 2022 IP geophysical survey identified Ganymede to have a similar geophysical signature to the known Butchers Creek gold deposit. It is believed the Ganymede target is a potential fold repeat of the Butchers Creek gold deposit that has yet to be drill tested as is illustrated in Figure 2 below.
Figure 1: Ganymede location with reference to Butchers Creek and Mt Bradley gold mines
Figure 2: Schematic geology cross section and associated IP anomaly of the Butchers Creek gold deposit and Ganymede gold target
Click here for the full ASX Release
This article includes content from Win Metals, 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.
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23h
Vince Lanci: Gold Now Priced by China, Comex Losing Ground; Plus Silver Outlook
Vince Lanci of Echobay Partners shares his outlook for gold, silver and the US economy.
Lanci, who is also a professor at the University of Connecticut and publisher of the GoldFix newsletter on Substack, explains China's growing role in pricing gold, as well as current US market dynamics.
Don’t forget to follow us @INN_Resource for real-time updates!
Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
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30 April
WGC: Gold Demand Reaches Highest Q1 Level Since 2016
A chaotic global economic environment pushed gold to the forefront during the first quarter of 2025.
The yellow metal set multiple new all-time highs during the period, and the World Gold Council's (WGC) latest report on gold demand shows its average Q1 price came in at US$2,860 per ounce.
This action came as investors sought safe-haven assets on the back of widespread uncertainty.
Speaking to the Investing News Network ahead of the report's release, Joe Cavatoni, senior market strategist, Americas, at the WGC, said gold's unprecedented rise remains supported by strong fundamentals in the sector.
"We've seen record-setting prices, and we've seen a pace that we've never seen before in terms of reaching those record-setting levels," he commented. "We've topped US$3,500. This is all not a big surprise when you step back and think about what we've been signaling and talking to about risk — risk and uncertainty."
Best Q1 for gold demand since 2016
Digging into Q1 gold demand, the WGC highlights a 1 percent year-on-year increase to 1,206 MT, the highest for a first quarter since 2016. In value terms, the amount was close to the previous quarter's record of US$111 billion.
Total investment demand more than doubled, rising 170 percent year-on-year to come in at 551.9 metric tons (MT). That's up from the 204.4 MT seen in the first quarter of 2024.
Q1 investment demand also nearly matched levels seen during the quarter that Russia invaded Ukraine.
The main driver was an influx of investors into exchange-traded funds (ETF), which recorded inflows of 226.5 MT in Q1, a stunning reversal from the 113 MT of outflows in the year-ago period.
The WGC notes that investment flows started to pick up in January as the US began to discuss tariffs, but solidified later in the quarter as American policy became more erratic and recession fears began to pick up.
Explaining the source of ETF flows, Cavatoni noted that in 2024, China, India and Japan saw record demand — an interesting trend given that they tend to favor physical gold investment. That trend continued in Q1.
Cavatoni also suggested that western investors are beginning to return in a big way.
“North American ETF flows are exceptionally strong, 134 MT during the first quarter, and really just putting the money to work and understanding the risk and the risk offset that you get by adding gold to your portfolio,” he said.
According to an April 6 WGC report on ETFs, Q1 flows in dollar terms reached US$21 billion, marking the second highest number ever recorded, just behind Q2 2020, which saw 433 MT worth US$24 billion.
Central bank buying experienced a slowdown in Q1, but remained within the range established over the past three years. In total, 244 MT were added to reserves, with Poland, China, Kazakhstan and the Czech Republic leading.
The continued buying comes as central banks diversify their monetary assets and move away from US treasuries amid a heightening trade war. The WGC expects purchases to continue unless there is a substantial shift in geopolitical tensions.
Regarding physical gold, bar and coin demand grew 3 percent year-on-year to 325.4 MT. Tech sector demand remained flat at 80.5 MT, but Cavatoni explained that this isn’t a negative development.
“What’s exceptional about what we’re seeing is a flat level of consumption," he said. "Always understand that historically gold may have been at the forefront of a technological advance, or development of a certain aspect of technology, but when a technological community could find a substitute for it, it would be substituted out,” he said.
Tariffs may also affect gold usage in the tech sector, which could limit its applications.
Not everything was rosy, as gold jewelry demand experienced a 19 percent year-on-year decline to 434 MT as consumers shied away from luxury goods amid a challenging economic environment.
Gold mine supply reaches Q1 record
Year-on-year, the quarter saw a 1 percent increase in gold supply, which rose to 1,206 MT.
The gains were marked by a 1 percent increase in mine supply, which rose to 855.7 MT during the quarter compared to 853.4 MT in Q1 2024. This increase set a Q1 record, surpassing the 855 MT produced in 2016.
The most notable output rise came from Chile, with a 45 percent increase, largely due to Gold Fields’ (NYSE:GFI,JSE:GFI) Solares Norte mine returning to full production after weather had hindered operations in 2024. Output in Ghana and Canada rose by 11 percent and 4 percent, respectively, as new and expanded operations began to ramp up.
Cavatoni believes the high gold price will support mine supply as producers work to boost output.
“They are moving as fast as they can to get as much supply into the system, and we’re seeing that expected level of increase of about 1 to 2 percent," he told the Investing News Network
"I think that the mining industry is going to continue to produce. It’s going to continue to have the ability to get the benefits that come from a higher gold price, even in a world where we’re still in a world of sticky inflation."
Despite gold's higher price, which typically encourages an increase in gold recycling, the WCG was surprised by a 1 percent decrease from Q1 2024 to 345.3 MT. Cavatoni suggested the market could be somewhat deceptive, and investors should wait to see if the higher prices stimulates greater recycling during the second quarter.
Gold demand outlook for 2025
Looking forward, the WGC expects gold investment demand to build steam amid near-term stagflation and medium-term recession risks, in addition to factors like geopolitical tensions and higher US deficits.
Bar and coin demand is seen staying resilient, while central bank buying is expected to stay within the currently established range. Tech sector demand will remain at "healthy" levels, while jewelry demand will be dampened.
In terms of the gold price, Cavatoni noted that its path up may not be entirely smooth.
“We might see large flows in, some profit taking as we see the market and the price move in conjunction with how western investors are assessing risk assets. So it won’t necessarily be a smooth and steady upward trend always for the rest of the year,” he said, encouraging investors to watch what plays out for clues on sentiment.
Don’t forget to follow us @INN_Resource for real-time updates!
Securities Disclosure: I, Dean Belder, 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.
30 April
Alkane-Mandalay Merger Paves Way for New Aussie Gold and Antimony Producer
Alkane Resources (ASX:ALK,OTC Pink:ALKEF) and Mandalay Resources (TSX:MND,OTCQB:MNDJF) have announced a merger of equals to form a new gold and antimony producer.
In a joint release on Monday (April 28), the companies said former Mandalay shareholders and existing Alkane shareholders will respectively own approximately 55 percent and 45 percent of the combined entity.
The new company will focus on Australia-based assets, such as Alkane’s Tomingley gold project in New South Wales and Mandalay’s Costerfield gold-antimony mine, which is located in Victoria.
Also included in Mandalay's portfolio is the Björkdal underground gold mine in Sweden.
“Mandalay’s two high-quality mines match the attributes of Tomingley: a proven history of consistent production, cash generation and exploration upside,” said Alkane Managing Director Nic Earner.
“The combination of assets, leadership, and supportive long-term shareholders enhances our scale and financial strength, and positions us well to continue to pursue additional growth opportunities."
Tomingley is Alkane’s flagship asset, and consists of the Tomingley gold operations, the Tomingley gold extension project, the Peak Hill gold mine and other exploration licences.
The Tomingley gold extension project is geared at extending the life of the Tomingley gold operations. The extension includes the San Antonio and Roswell resources, and shows the potential to produce 100,000 ounces of gold in 2025.
For its part, Mandalay’s Costerfield operation produced 54,805 gold equivalent ounces in 2024, or 43,346 ounces of gold and 1,282 tonnes of antimony. Antimony is a critical mineral used in key sectors like defence.
The companies project that the combined entity will produce about 160,000 gold equivalent ounces in 2025, with that amount rising to over 180,000 gold equivalent ounces the following year.
The transaction has been unanimously approved by both company boards and is expected to close in Q3. The all-share transaction is valued at AU$559.1 million, and the new entity's implied market cap is AU$1.01 billion.
The combined company will keep the ASX as its primary listing and pursue a secondary listing on the TSX.
“We are excited to have found a like-minded partner committed to the same principles,” said Mandalay President and CEO Frazer Bourchier. “The transaction aligns with our vision to create a mid-tier gold and antimony producer with mines in premier operating jurisdictions and with our strategy for continued growth.”
Don’t forget to follow us @INN_Australia for real-time news updates!
Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.
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29 April
Chris Vermeulen: Gold in "Blow-Off Phase" — Next Move, Plus Silver and Miners Outlook
Chris Vermeulen, chief market strategist at TheTechnicalTraders.com, shares his gold outlook.
He anticipates a significant correction once the broader stock market enters a downturn, but after that sees gold moving strongly upward once again in an "incredible multi-year rally."
Don’t forget to follow us @INN_Resource for real-time updates!
Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
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29 April
Is Gold a Buy at Over US$3,000?
Gold has continued to climb after bursting through US$3,000 per ounce in March of this year.
Investors now find themselves in a world where the yellow metal is frequently posting fresh all-time highs above the eyebrow-raising US$3,000 price point, raising questions about whether it still makes sense to buy.
Is US$3,000 still cheap given gold's future potential, or has the precious metal gotten too expensive?
Read on to learn what investment strategies experts recommend when the price of gold is above US$3,000.
Why is the gold price rising?
Will Rhind, CEO of GraniteShares, told the Investing News Network (INN) that one of the biggest drivers of gold’s steady climb over the past two years has been what he calls the "fear premium."
“In other words, the fear that would really ultimately motivate investors to get out of equities, to get out of other assets and buy gold,” Rhind explained in an April interview. "Now the ‘fear premium’ is really starting to get baked in, and investors are really, for the first time, beginning to worry about the return of their capital as opposed to the return on their capital. And that’s typically the time you see people the most motivated to buy gold.”
Many of the gold market analysts INN has spoken with this year agree that what’s behind that fear in 2025 is just how much damage US President Donald Trump’s tariff war could ultimately have on the stability of not only the stock market, but also the American bond market and the overall health of the global economy.
That includes Ole Hansen, head of commodity strategy at Saxo Bank, who told INN that he sees gold becoming the pinnacle safe haven in this environment. “After this tariff bazooka from Trump, we’re seeing some significant selloffs in the equities markets, and we’re seeing unrest in the bond market as well, with the yields rising even on days when the equities were falling," Hansen said, adding that investors are struggling to decide where to park their money.
Outside of the fear premium, Rhind also pointed to another factor pushing investors out of other assets and into gold: global money supply. He advised investors to consider the ratio between the gold price and M2 money supply.
“If you look at a chart that tracks the global money supply vs. the price of gold, you’ll see that the two have really moved very much in concert with one another,” Rhind noted in the conversation.
“The bigger picture to me is this idea that the paper money supply keeps increasing against gold. It's not necessarily about gold prices rising, it's about the value of paper currencies keeps falling in relation to gold.”
Should I buy gold now at US$3,000?
Investors are often told to buy low and sell high, but the current situation is tricky.
While gold has set multiple new highs in 2025, many market watchers believe its run has only just started.
Christopher Aaron, founder of iGoldAdvisor and Elite Private Placements, told INN that in February the ratio between the Dow Jones Industrial Average (INDEXDJX:.DJI) and gold broke a 45 year trend favoring stocks, a significant signal that may indicate the beginning of an upcycle where gold could “end up being a multiple of the current price.”
Aaron emphasized that a signal of this magnitude has only occurred three other times in the past century: right before the Great Depression, in the late 1960s before the breakup of the Bretton Woods gold standard and in the early 2000s.
Each of these periods resulted in a precious metals bull market.
“If you have no exposure to physical gold whatsoever, we’ve just seen this 45 year trend break in the Dow-to-gold ratio,” Aaron said in the April interview. “That tells me gold is going to be outpacing conventional equities for anywhere from three to 10 years, with a mean cycle average of eight years.”
Whether or not investors new to gold decide to get in at this price level should depend on their tolerance for risk and investment style. Aaron acknowledged that there is clearly more risk associated with investing in gold at US$3,000 compared to when prices for the precious metal were trading at the US$2,000 level a year ago.
However, for those with a long-term investment strategy and no gold allocation, there’s no time like the present. Most experts advise putting between 5 and 10 percent of your portfolio to commodities, including physical gold.
Jeff Clark, metals and mining analyst at TheGoldAdvisor.com, told INN earlier this year that those buying gold as an investment should be clear on their strategy and understand what role they want it to play in their portfolio.
“You’re not buying it as an investment, hoping it goes up … you’re buying it as insurance, as portfolio protection,” Clark elaborated.
How high will the gold price go in 2025?
Rhind of GraniteShares reiterated that the low ratio between M2 and gold is flashing signals that the price of gold today, while historically high, might actually have much more room to grow.
"In history, if the ratio is high, that means gold is overvalued, and when the ratio is low, that means gold is undervalued,” Rhind explained. “If you look at it now, we’re somewhere under the median, with gold being closer to undervalued rather than overvalued at a time when we just talked about gold hitting a new all-time high.”
For his part, Saxo Bank’s Hansen believes gold has a good chance to trade at US$3,300 for 2025. “Gold continues challenging record highs simply because we are in a very uncertain world right now,” he said.
Goldman Sachs (NYSE:GS) has a more bullish forecast for gold in 2025 as recession fears sink in.
Citing stronger demand for the precious metal from both central banks and exchange-traded funds, Reuters reported that on April 13 the firm raised its end-of-year gold price forecast from US$3,300 to US$3,700, with a projected range of US$3,650 to U$3,950.
Investor takeaway
As gold further solidifies above US$3,000, it's clear investors may need to adjust their ideas on what constitutes a high price for the precious metal. With gold perhaps poised to move much higher, market participants will have to be ready to position themselves advantageously in the new paradigm.
Don't forget to follow us @INN_Resource for real-time updates!
Securities Disclosure: I, Melissa Pistilli, 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.
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