Red Pine Exploration Inc. (TSX-V: RPX) ("Red Pine" or the "Company") announces changes to its leadership.
Administration
Effective immediately, Greg Duras, Chief Financial Officer ("CFO"), will be leaving RPX. The Company would like to thank Greg especially for his efforts during the acquisition of our joint venture partner which occurred earlier this year. Management wishes Greg much success as he pursues his new and existing projects.
Appointment of Jim O'Neill as CFO and Corporate Secretary
The Company is pleased to announce the appointment of Jim O'Neill as the Company's new CFO and Corporate Secretary, effective November 8, 2021. Mr. O'Neill has over 30 years' experience as a finance executive with multi-national businesses operating in Canada, the USA, the UK, Turkey, and Kenya. His extensive public company financial management and governance experience spans junior mining exploration, development, and operations, including appointments as CFO and Corporate Secretary of Aldridge Minerals Inc. and Virtus Mining Ltd. He currently also serves as CFO and Corporate Secretary of Western Gold Exploration Ltd., and New Break Resources Inc. and as CFO of Waseco Resources Inc. Mr. O'Neill holds a Bachelor of Business Administration (Honours) from Wilfrid Laurier University and earned his CPA, CA with Ernst & Whinney (now KPMG).
Red Pine Exploration Inc. is a gold exploration company headquartered in Toronto, Ontario, Canada. The Company's common shares trade on the TSX Venture Exchange under the symbol "RPX".
The Wawa Gold Project is in the Michipicoten greenstone belt of Ontario, a region that has seen major investment by several producers in the last five years. Its land package hosts numerous historic gold mines and is over 6,900 hectares in size. The Company's Chairman of the Board is Paul Martin, the former CEO of Detour Gold. The Board has extensive and diverse experience at such entities as Alamos, Barrick, Generation Mining, Detour Gold and Paramount Gold Nevada Corp. Led by Quentin Yarie, CEO, who has over 25 years of experience in mineral exploration, Red Pine is strengthening its position as a major mineral exploration and development player in the Michipicoten region.
For more information about the Company, visit www.redpineexp.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This News Release contains forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as "may", "should", "expects", "plans", "anticipates", "believes", "estimates", "predicts", "potential" or "continue" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industry's actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements.
Although the Company 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. 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, other than as required by law.
Red Pine Exploration Inc. (TSXV:RPX) is a gold exploration company focused on identifying, acquiring and developing prospective properties in Ontario, Canada. Red Pine is currently focused on developing its 100% owned flagship Wawa gold project, located near Wawa, Ontario. The Wawa gold project sits within a mining-friendly jurisdiction that hosts properties owned by Argonaut Gold (TSX:AR) and Alamos Gold (TSX:AGI). The project is also supported by established infrastructure as well as a receptive and skilled community.
Led by an experienced management and technical team, the Company's flagship Wawa Gold Project is located 2km southeast of the Municipality of Wawa, in Northern Ontario. The property, comprised of 6,753 hectares, hosts several former mines with a combined historic production of 120,000 oz gold. The property currently hosts a NI 43-101 Resource of over 700 Koz of gold (both indicated and inferred) at more than 5 gpt gold, contained between surface at 350m depth, that Red Pine is aggressively working towards expanding.
Since becoming involved in the property in 2014, Red Pine has developed two resource estimates for the property. The two mineral deposits, Surluga and Minto Mine South, are a currently estimated NI 43-101 resource of 1,307,000 tonnes @ 5.47 g/t gold for 230,000 ounces in the indicated category and 2,716,000 tonnes @ 5.39 g/t gold for 471,000 ounces in the inferred category.1 Both deposits remain open in all directions, providing the company with expansion potential, and over 95% of the contained ounces at both deposits are located between surface and a depth of 350 metres.
In addition to the two deposits already defined on the property, Red Pine believes that the Wawa gold project has the potential to host an additional six deposits and has generated a pipeline of several high-priority targets, that, combined, could contain up to 3.0 Moz gold. The majority of the targets rest within the six-kilometer Wawa Gold Corridor, a gold mineralization zone that could be the controlling mineralization structure for the property.
Red Pine tested the continuation of the Surluga deposit to depth in its fall 2019 drill program and is awaiting assay results. The company also initiated a drill program at the newly discovered Cooper structure and conducted some surface exploration work (trenching and channel sampling) around the past-producing Grace-Darwin mine, where Red Pine intersected 23.1 g/t gold over 8.14 meters.
Red Pine announced in March 2021 that it completed its consolidation of the Wawa Gold Project through a definitive securities purchase agreement with the holders of the partnership interests in Citabar Limited Partnership as well as having completed a private placement financing of subscription receipts, led by Haywood Securities Inc., on March 23, 2021, for gross proceeds of $20,026,805. Alamos Gold had exercised its right to maintain its 19.9% stake on a partially-diluted basis. Former Detour Gold president and CEO Paul Martin was appointed Red Pine's director and non-executive chairman in February. Red Pine also announced the appointment of Mr. Jean-François Montreuil, P.Geo., Ph.D. as Vice President of Exploration of the Company. Dr. Montreuil has over 12 years' experience in mineral exploration and was the Head Geologist at Red Pine and MacDonald Mines Exploration where he contributed to the discovery and definition of the Minto Mine South deposit and the extension of the Surluga Deposit.
With the announcement of the project's consolidation of ownership to 100% (see February 23, 2021, News Release), Red Pine is now ready to execute a strategic drill program designed to expand the existing NI 43-101 mineral resources and to explore the multiple additional highly prospective targets on the property. An estimated 15,000 metres of diamond drilling is planned in 2021 with the program continuing into 2022.
Wawa Project highlights
100% ownership (recently consolidated from 63.31%)
Two mineral deposits (Surluga and Minto Mine South) with currently estimated NI 43-101 resource of 1,307,000 tonnes @ 5.47 g/t gold for 230,000 ounces in the indicated category and 2,716,000 tonnes @ 5.39 g/t gold for 471,000 ounces in the inferred category1
Resource principally located between the surface and 300 metres vertical depth
Discovery of higher-grade mineralization in the Jubilee Shear Zone (host of the Surluga Deposit) down plunge of the existing resource
Preliminary drilling identified five (5) high-grade gold exploration targets that could grow the current resource: Hornblende, Minto B, Grace/Nyman, Minto Mine South and Parkhill # 4 shear zones
Potential for additional high-grade gold targets in the extension of the Jubilee Shear Zone, south of the Parkhill Fault
2021 Drilling and Exploration Program
The main target for diamond drilling in 2021 will be the Jubilee Shear Zone, host of the Surluga Deposit NI 43-101 mineral resource. The resource extension and definition drilling program will test the higher-grade gold-bearing structures previously identified by Red Pine. The Company will also test a number of exploration targets on the property that have the potential to be converted into resources as Red Pine continues to develop the project.
Extension of the Surluga Deposit NI 43-101 Resource The Company will prioritize the extension of the higher-grade gold mineralization zone discovered in 2020, 300 metres down-dip of the current Surluga Deposit resource which generally lies from near-surface to a depth of 300 meters. Drilling the Jubilee Shear Zone extension at depth will also test the westernmost down-dip extension of the Minto Mine South Shear Zone, host of the second known resource on the Wawa Gold Project – the Minto Mine South Deposit.
2020 diamond drilling highlights in the Jubilee Shear Zone (Figure 1):
3.38 g/t gold over 13.3 m true width (“TW"), including 15.31 g/t gold over 1.64 m (SD-20-293)
5.2 g/t gold over 6.31 m TW including 15.7 g/t gold over 1.07 m and 12.4 g/t gold over 0.78 m (SD-20-289)
1.63 g/t gold over 23.34 m TW, including 17.32 g/t gold over 0.88 m and 14.72 g/t gold over 0.85 m (SD-20-292)
2.06 g/t gold over 11.8 m TW, including 3.67 g/t over 1.03 m and 7.45 g/t gold over 0.84 m (SD-20-291)
Jubilee Shear Zone south of the Parkhill Fault
In 2019 and 2020, Red Pine's mechanized stripping and mapping program on the Jubilee Shear Zone, south of the Parkhill Fault, indicated structural attributes comparable to those found north of the fault. Shallow historical drilling by Duraine Mines Ltd. in 1981 combined with Red Pine's geological mapping and channel sampling indicated gold mineralization. Drilling in this underexplored extension of the structure could expand shallow gold mineralization in the Jubilee Shear Zone to a 2 km strike length.
Diamond drilling highlights in the southern extension of the Jubilee Shear Zone (source AFRI 41N15NE0055 for Duraine Mines drilling results):
3.06 g/t gold over 2.70 m, including 41.14 g/t gold over 0.16 m (D81-02)
6.95 g/t gold over 1.01 m, including 15.39 g/t gold over 0.45 m (D81-04)
8.33 g/t gold over 1.34 m, including 24.34 g/t gold over 0.34 m (D81-08)
3.99 g/t gold over 1.00 m (S302 – RPX 2019 historic core sampling)
Grace and Nyman Shear Zones
The Grace and Nyman shear systems, host of the historical Darwin-Grace Mine, will be targeted for the discovery of shallow high-grade gold mineralization. Red Pine's 2017 drilling demonstrated that high-grade gold mineralization is still present outside the mine's historic footprint and that mineralization in the Nyman vein extends at depth. Red Pine's mechanized stripping and mapping programs located the Grace Shear Zone extension, 110 metres north of the northernmost underground development of the Darwin-Grace Mine. The 2021 drilling program will test this new area in the structure.
Red Pine's diamond drilling highlights in the Grace and Nyman Shear Zones:
42.22 g/t gold over 2.44 m, including 107.49 g/t gold over 0.54 m (DG-17-55 – Grace Shear Zone)
57.31 g/t gold over 3.14 m, including 138 g/t gold over 1.11 m (DG-17-56 – Grace Shear Zone)
10.1 g/t gold over 0.82 m (DG-17-66 – Nyman Shear Zone)
Hornblende Shear Zone
Red Pine's diamond drilling in the Hornblende Shear Zone showed that gold mineralization, with potential zones of higher-grade mineralization, occurs over a strike length of at least 1.6 km. The largest zone of higher-grade mineralization, identified by historic drilling and confirmed by Red Pine's drilling, occurs at the seventh level of the historical Surluga Mine. Red Pine's drilling in the Hornblende Shear Zone also identified additional zones of broad mineralization with discrete zones of higher-grade mineralization in the structure.
Diamond drilling highlights in the Hornblende Shear Zone include:
5.61 g/t gold over 8.5 m, including 15.42 g/t gold over 2.9 m (HS-15-31)
2.91 g/t gold over 4.5 m, including 5.77 g/t gold over 1 m (HS-15-28)
3.18 g/t gold over 9.54 m, including 19.54 g/t gold over 0.61 m (U0007L7)
Minto B Shear Zone
The Minto B Shear Zone is located above the Jubilee Shear Zone, over the central and southern segments of the Surluga Deposit resource, north of the Parkhill Fault. Diamond drilling and mechanized stripping traced the structure over a strike length of 1 km and uncovered broad zones of gold mineralization. A higher-grade core also occurs in the structure, the size and grade could be defined with additional drilling. Diamond drilling in the Minto B Shear Zone will be undertaken concurrently with resource conversion, definition and exploration drilling in the Jubilee Shear Zone.
Diamond drilling highlights in the Minto B Shear Zone includes:
2.1 g/t gold over 10.6 m, including 3.7 g/t gold over 5.6 m (SD-18-256)
13.65 g/t gold over 2 m (SD-15-07)
4.69 g/t gold over 6.1 m, including 14.37 g/t gold over 1.52 m (U1683L5)
Company Highlights
An estimated 15,000 metres of diamond drilling is planned in 2021 with the program continuing into 2022.
100% Wawa Gold Project ownership (recently consolidated from 63.31%)
The Wawa project hosts eight known gold deposits, two of which have NI 43-101 resources.
Two mineral deposits (Surluga and Minto Mine South) with currently estimated NI 43-101 resource of 1,307,000 tonnes @ 5.47 g/t gold for 230,000 ounces in the indicated category and 2,716,000 tonnes @ 5.39 g/t gold for 471,000 ounces in the inferred category1
Resource principally located between the surface and 300 metres vertical depth
Discovery of higher-grade mineralization in the Jubilee Shear Zone (host of the Surluga Deposit) down plunge of the existing resource
Preliminary drilling identified five (5) high-grade gold exploration targets that could grow the current resource: Hornblende, Minto B, Grace/Nyman, Minto Mine South and Parkhill # 4 shear zones
Potential for additional high-grade gold targets in the extension of the Jubilee Shear Zone, south of the Parkhill Fault
Strategic partners Alamos Gold (TSX:AGI) hold 19.9% of outstanding shares of Red Pine, and recently committed capital in latest $20M financing.
Strong management team with vast experience developing projects in Canada.
Management and insiders hold two percent of company shares.
Key Projects
Wawa Gold Project
The Wawa gold project is a 6,753-hectare property, of which Red Pine has a 100 percent interest. The property is located two kilometers away from the town of Wawa, Ontario and sits within 40 kilometers of both Argonaut Gold's Magino deposit and the operating Island Gold mine, now owned by Alamos Gold, following their acquisition of Richmont Mines.
Due to its prominent location in a safe and reliable jurisdiction, the Wawa gold property is supported by established mining infrastructure, an available and skilled workforce and a navigable regulatory system. The property is crossed by a powerline and is near both the TransCanada Highway and the railway, making it easily accessible. Red Pine has also developed its local community relationships and signed a memorandum of understanding (MOU) with the local First Nations groups, Michipicoten, Garden River, and Batchewana.
2021 Drilling and Exploration Program
The main target for diamond drilling in 2021 will be the Jubilee Shear Zone, host of the Surluga Deposit NI 43-101 mineral resource. The resource extension and definition drilling program will test the higher-grade gold-bearing structures previously identified by Red Pine. The Company will also test a number of exploration targets on the property that have the potential to be converted into resources as Red Pine continues to develop the project.
Extension of the Surluga Deposit NI 43-101 Resource The Company will prioritize the extension of the higher-grade gold mineralization zone discovered in 2020, 300 metres down-dip of the current Surluga Deposit resource which generally lies from near-surface to a depth of 300 meters. Drilling the Jubilee Shear Zone extension at depth will also test the westernmost down-dip extension of the Minto Mine South Shear Zone, host of the second known resource on the Wawa Gold Project – the Minto Mine South Deposit.
2020 diamond drilling highlights in the Jubilee Shear Zone (Figure 1):
3.38 g/t gold over 13.3 m true width (“TW"), including 15.31 g/t gold over 1.64 m (SD-20-293)
5.2 g/t gold over 6.31 m TW including 15.7 g/t gold over 1.07 m and 12.4 g/t gold over 0.78 m (SD-20-289)
1.63 g/t gold over 23.34 m TW, including 17.32 g/t gold over 0.88 m and 14.72 g/t gold over 0.85 m (SD-20-292)
2.06 g/t gold over 11.8 m TW, including 3.67 g/t over 1.03 m and 7.45 g/t gold over 0.84 m (SD-20-291)
Figure 1- 2020 diamond drilling highlights in the Jubilee Shear Zone
A review of historical data suggests that the Jubilee Shear Zone's northern extension, where limited drilling has been conducted, could host undiscovered zones of high-grade mineralization less than 300 metres below the surface. Geological data recorded in certain boreholes at the edge of the structure's current footprint suggests potential proximity to stronger mineralized zones.
Targets beyond Surluga
The section below summarizes the exploration targets identified for further investigation.
Figure 2 – Exploration targets that will be tested in 2021
Jubilee Shear Zone south of the Parkhill Fault
In 2019 and 2020, Red Pine's mechanized stripping and mapping program on the Jubilee Shear Zone, south of the Parkhill Fault, indicated structural attributes comparable to those found north of the fault. Shallow historical drilling by Duraine Mines Ltd. in 1981 combined with Red Pine's geological mapping and channel sampling indicated gold mineralization. Drilling in this underexplored extension of the structure could expand shallow gold mineralization in the Jubilee Shear Zone to a 2 km strike length.
Diamond drilling highlights in the southern extension of the Jubilee Shear Zone (source AFRI 41N15NE0055 for Duraine Mines drilling results):
3.06 g/t gold over 2.70 m, including 41.14 g/t gold over 0.16 m (D81-02)
6.95 g/t gold over 1.01 m, including 15.39 g/t gold over 0.45 m (D81-04)
8.33 g/t gold over 1.34 m, including 24.34 g/t gold over 0.34 m (D81-08)
3.99 g/t gold over 1.00 m (S302 – RPX 2019 historic core sampling)
Grace and Nyman Shear Zones
The Grace and Nyman shear systems, host of the historical Darwin-Grace Mine, will be targeted for the discovery of shallow high-grade gold mineralization. Red Pine's 2017 drilling demonstrated that high-grade gold mineralization is still present outside the mine's historic footprint and that mineralization in the Nyman vein extends at depth. Red Pine's mechanized stripping and mapping programs located the Grace Shear Zone extension, 110 metres north of the northernmost underground development of the Darwin-Grace Mine. The 2021 drilling program will test this new area in the structure.
Red Pine's diamond drilling highlights in the Grace and Nyman Shear Zones:
42.22 g/t gold over 2.44 m, including 107.49 g/t gold over 0.54 m (DG-17-55 – Grace Shear Zone)
57.31 g/t gold over 3.14 m, including 138 g/t gold over 1.11 m (DG-17-56 – Grace Shear Zone)
10.1 g/t gold over 0.82 m (DG-17-66 – Nyman Shear Zone)
Hornblende Shear Zone
Red Pine's diamond drilling in the Hornblende Shear Zone showed that gold mineralization, with potential zones of higher-grade mineralization, occurs over a strike length of at least 1.6 km. The largest zone of higher-grade mineralization, identified by historic drilling and confirmed by Red Pine's drilling, occurs at the seventh level of the historical Surluga Mine. Red Pine's drilling in the Hornblende Shear Zone also identified additional zones of broad mineralization with discrete zones of higher-grade mineralization in the structure.
Diamond drilling highlights in the Hornblende Shear Zone include:
5.61 g/t gold over 8.5 m, including 15.42 g/t gold over 2.9 m (HS-15-31)
2.91 g/t gold over 4.5 m, including 5.77 g/t gold over 1 m (HS-15-28)
3.18 g/t gold over 9.54 m, including 19.54 g/t gold over 0.61 m (U0007L7)
Minto B Shear Zone
The Minto B Shear Zone is located above the Jubilee Shear Zone, over the central and southern segments of the Surluga Deposit resource, north of the Parkhill Fault. Diamond drilling and mechanized stripping traced the structure over a strike length of 1 km and uncovered broad zones of gold mineralization. A higher-grade core also occurs in the structure, the size and grade could be defined with additional drilling. Diamond drilling in the Minto B Shear Zone will be undertaken concurrently with resource conversion, definition and exploration drilling in the Jubilee Shear Zone.
Diamond drilling highlights in the Minto B Shear Zone includes:
2.1 g/t gold over 10.6 m, including 3.7 g/t gold over 5.6 m (SD-18-256)
13.65 g/t gold over 2 m (SD-15-07)
4.69 g/t gold over 6.1 m, including 14.37 g/t gold over 1.52 m (U1683L5)
In 2020, Red Pine announced the latest assay results from its completed Summer 2020 drilling program of 5,300 metres at the Wawa Gold Project.
Highlights (Figure 1)
Holes SD-20-291, 292 and 293 successfully extended, at depth, the zone of higher-grade gold intersected in hole SD-20-289 earlier this year (see May 12, 2020 News Release)
A new zone of higher-grade mineralization was intersected in hole SD-20-293, the deepest hole to date completed by Red Pine
The gold mineralized zone was extended by more than 300 metres down-dip from, or 250 metres, below the current Surluga Deposit resource boundary (205,000oz Au @ 5.31 g/t in the indicated category and 396,000oz Au @ 5.22 g/t in the inferred category1)
Gold mineralization remains open at depth in all directions
Drilling Intersection Highlights
3.38 g/t gold over 13.3 m true width (“TW"), including 15.31 g/t gold over 1.64 m (SD-20-293) – New zone of higher-grade mineralization
1.63 g/t gold over 23.34 m TW, including 17.32 g/t gold over 0.88 m and 14.72 g/t gold over 0.85 m (SD-20-292)
2.06 g/t gold over 11.8 m TW, including 3.67 g/t over 1.03 m and 7.45 g/t gold over 0.84 m (SD-20-291)
Quentin Yarie, Chief Executive Officer of Red Pine stated, “The successful results from our Summer 2020 drilling program have extended the Surluga Deposit by approximately 300 metres down-dip to a total depth of approximately 600 metres and discovered what could be a new higher-grade zone in the shear structure. We are confident that, with additional drilling, the mineralized zones identified beneath the Surluga Deposit could potentially increase the current mineral resource. The visual indicators and the higher-grade gold assays (> 3 g/t) intersected in SD-20-293 suggest that the intensity of alteration and quartz veining associated with gold mineralization increases with depth. This defines a new promising exploration target for Red Pine as we continue to expand the Surluga Deposit."
The Surluga Deposit sits within the Jubilee Shear Zone (“JSZ"). Gold mineralization in the deeper extension of shear contains moderate-strong to strong quartz veining and silica flooding. The quartz veins contain disseminated pyrite with local pyrrhotite, arsenopyrite, sphalerite, chalcopyrite and galena. Some of the quartz veins also contains fine specks of visible gold in association with pyrite and accessory arsenopyrite.
Hole SD-20-290 intersected the outer edges of potential zones of stronger mineralization in the JSZ. A 2.75 metre-wide domain with stronger quartz veining, white mica alteration and quartz veining is present.
Hole SD-20-291 suggests the lateral extension of the higher-grade JSZ identified in hole SD-20-289 (Figure 2). Here, the core of the JSZ grades 2.06 g/t over 11.89 m (TW). The sample containing 7.45 g/t gold was diluted over approximately 50% of its length by a crosscutting diabase dyke and a 23.45 metre-wide halo of low-grade gold mineralization, characterized by spaced quartz veins, disseminated pyrite, and weak-moderate biotite/sericite alteration, is located above the higher-grade zone.
Hole SD-20-292 intersected the JSZ, 55 metres up-plunge from the intersection in SD-20-291. The JSZ in hole SD-20-292 is characterized by moderate white mica alteration with spaced quartz veining with a localized 1metre-wide quartz vein located in the upper part of the structure. The bottom 15 metres of the JSZ is truncated by a younger diabase dyke.
Hole SD-20-293, drilled 45 metres down-dip of SD-20-291 and Red Pine's deepest hole to date, intersected the JSZ between 553.44 to 568.91 metres. The quartz veining and silica flooding here is stronger than in holes SD-20-289 and SD-20-291. Disseminated pyrite with localized pyrrhotite, arsenopyrite, sphalerite, chalcopyrite and galena are observed. One of the quartz veins also contains three (3) fine specks of visible gold in association with pyrite and accessory arsenopyrite. The core of the JSZ grades 3.38 g/t gold over 13.3 m (TW). The zone remains open in every direction and visual indicators suggest that the gold content increases with depth. This newly identified higher-grade zone in the JSZ will be a priority target when diamond drilling resumes on the property.
Figure 2. Cross-Section showing interpreted extension of high-grade gold at the Surluga Deposit
Table 1. Highlights of reported drill results
Table 2. Coordinates of reported holes
Red Pine announced the discovery of a new mineralized gold zone in May 2020, beneath the Surluga Deposit1, during its on-going exploration program at its Wawa Gold Project, located 2 kilometres southeast of Wawa, Ontario. Hole SD-20-289 successfully intersected the Jubilee Shear Zone (host of the Surluga Deposit), 350 metres down-plunge of the current resource boundaries, with a significant intercept of 5.2 g/t gold over 6.31 metres (true width) at a depth of 570 metres. Hole SD-20-287 intersected 4.1 g/t gold over 0.94 metres (true width) below 450 metres depth.
Table 1. Highlights of reported drill results
Table 2. Coordinates of reported holes
Holes SD-20-287 and SD-20-289 were targeting the down-plunge extension of the southernmost limit of the Surluga Deposit resource.
Hole SD-20-287 intersected a large diabase dyke in the upper 20 metres of the Jubilee Shear Zone. The higher-grade gold results came from a 0.7-metre quartz vein in which specks of visible gold were observed. A 10.28 metre-wide halo of low-grade gold mineralization characterized by spaced quartz veins, disseminated pyrite, and weak-moderate biotite/sericite was intersected in the Jubilee Shear Zone, further down-hole of the diabase dyke.
Hole SM-20-288 was testing the expected limits of the projected plunge of the Surluga Deposit resource. No zones of strong alteration or mineralization were observed in that hole.
Hole SD-20-289 intersected gold 40 metres away from the gold intercept in Hole SD-20-286 (Figure 2). In the Jubilee Shear Zone, it hit a 7 metres zone characterized by stronger quartz veining associated with pervasive dissemination of pyrite, locally arsenopyrite, and moderate to strong biotite/sericite alteration. The upper part of the zone is cut by a 4 metre-wide lamprophyre dyke. High-grade gold mineralization is associated with alteration assemblages variably comprised of biotite/sericite-quartz veining-pyrite and sericite-quartz veining-arsenopyrite. A 12.3 metre-wide halo of low-grade gold mineralization characterized by spaced quartz veins, disseminated pyrite, and weak-moderate biotite/sericite alteration is located below the higher-grade zone in SD-20-289. Below the Jubilee Shear Zone, a new shear zone was intersected with pyrite mineralization and spaced quartz veining. Assays are pending for that shear zone and will be released when received.
Figure 2. Hole SD-20-289 intersection relative to SD-20-286
Management Team
Quentin Yarie, PGeo - President & Chief Executive Officer
Mr. Yarie is an experienced geophysicist and a successful entrepreneur with extensive project management and business development experience. He was previously the Business Development Officer at Geotech Ltd, a geo-physical airborne survey company, and a Senior Representative of Sales and Business Development for Aeroquest Limited. From 1992 to 2001, Mr. Yarie was a partner of a specialized environmental and engineering consulting group where he managed a number of large projects including the ESA of the Sydney Tar Ponds, the closure of the Canadian Forces Bases in Germany and the Maritime and Northeast Pipeline Project.
Jim O'Neill - CFO and Corporate Secretary
Mr. O'Neill has over 30 years' experience as a finance executive with multi-national businesses operating in Canada, the USA, the UK, Turkey, and Kenya. His extensive public company financial management and governance experience spans junior mining exploration, development, and operations, including appointments as CFO and Corporate Secretary of Aldridge Minerals Inc. and Virtus Mining Ltd. He currently also serves as CFO and Corporate Secretary of Western Gold Exploration Ltd., and New Break Resources Inc. and as CFO of Waseco Resources Inc. Mr. O'Neill holds a Bachelor of Business Administration (Honours) from Wilfrid Laurier University and earned his CPA, CA with Ernst & Whinney (now KPMG).
Jean-François Montreuil, P. Geo. (ON, QC), Ph.D - Chief Geologist
Dr. Montreuil holds over a decade of experience in exploring complex hydrothermal systems for battery, precious, base and radioactive metals and has contributed greatly to the advancement of Red Pine's Wawa Gold project and the discovery of the Minto Mine South Deposit. Previously, Dr. Montreuil is currently the Chief Geologist of MacDonald Mine Exploration and formerly Honey Badger Exploration. With a Master degree in Earth Sciences at Laval University and Ph.D in Earth Sciences at INRS-ETE, out of Quebec City, his on-going contribution to scientific research in collaboration with the Geological Survey of Canada, the Bureau de Recherches Géologiques et Minières (France geological survey), Geological Survey of South Australia, BHP-Olympic Dam, the University of Windsor and Laurentian University will continue to add value to the Canadian mining industry. Dr. Montreuil has also contributed to the industry through numerous Publications across International peer-reviewed journals in Economic Geology.
Tara Asfour - Investor Relations Manager
As Chief Development Officer for FairGreen Capital Partners and managing director of its North American and Canadian regions, Ms. Asfour has 10+ years of management, strategy development, fundraising and capital markets experience. Previously, Ms. Asfour successfully expanded the business of TG Capital, through deal sourcing, strategy and development of successful start-ups and took a hands-on approach with companies she successfully expanded and brought to market. Ms. Asfour previously held the roles of executive consultant and business advisor to TG Consulting, Executive Vice President at Organic Medical Growth and Communications Director at Dominion Water Reserves Inc, with an expertise in corporate affairs, investor relations and strategic partnerships. Ms. Asfour is a recipient of the prestigious Fondation Montreal Inc Young Entrepreneur Award, she holds an MBA from Herzing University and an undergraduate degree in Political Sciences from Concordia University.
Rachel Goldman - Director
Ms. Goldman brings 20 years of experience in institutional sales, mining company financings and corporate transactions during her career while at several Canadian brokerage firms where she developed an extensive list of investor and mining company relationships. In February 2020, she was appointed to the role of Chief Executive Officer and Director of Paramount Gold Nevada Corp (NYSE American: PZG).
We're taking a break from our usual format this week so I can give you a recap of the Vancouver Resource Investment Conference (VRIC), which ran from May 17 to 18.
This is the first time VRIC has been live since January 2020, and it was my first in-person event since all the way back in March 2020 — it was definitely exciting to be back on the show floor having face-to-face conversations, and I'm excited to share our interviews with you over the next couple of weeks.
For now, let's talk about VRIC themes. Although it was clear attendees were glad to be off Zoom and back in the real world, there was a sense of sobriety given the current state of the broader markets.
Major indexes like the S&P 500 (INDEXSP:.INX) and the Dow Jones Industrial Average (INDEXDJX:.DJI) continued to tumble this week, with the former down about 18.5 percent year-to-date and the latter down around 14.5 percent.
Experts at the show had a variety of advice about handling this volatility, which you'll see as we start publishing our videos. Well-known contrarian Rick Rule of Rule Investment Media said he's proceeding with caution, but has a shopping list ready and "absolutely" sees today's circumstances as a buying opportunity.
On the flip side, Mercenary Geologist Mickey Fulp said he's focused on taking profits in the juniors when he can, and is seeking safety in assets like physical gold and farmland.
Another key topic was the US Federal Reserve. Unsurprisingly, the consensus at VRIC was that the central bank took much too long to act on inflation — now that it's begun raising rates, with two hikes in the cards so far, opinions are split on how far the Fed will get and what the consequences will be.
For her part, Danielle DiMartino Booth of Quill Intelligence said during a panel that she's happy to see Chair Jerome Powell returning to his more hawkish roots. She mentioned bankruptcies and junk bond spreads gapping out as signs that things are breaking, and she thinks Powell will keep going until "something big" cracks.
"We're watching things like today's activity in the stock market. We're watching junk bond spreads gap out, we're watching bankruptcies increase, we're watching sales decrease … something's going to break. And we're witnessing things breaking. I would postulate that (Powell is) going to keep going until something big breaks. That means something systemic, (something) major" — Danielle DiMartino Booth, Quill Intelligence
Of course, given everything going on in the world, one of the top questions at VRIC was why the gold price isn't higher. Although it spiked above US$2,000 per ounce earlier this year as the war between Russia and Ukraine broke out, it was down around US$1,845 at the time of this writing on Friday (May 20) afternoon.
Again, diverse answers were given about this, and you'll see them all come through in our content. For now, one thing I want to point out is that very few people expressed a bearish outlook on the yellow metal — although many think a higher price will take time, there seems to be little doubt that this will emerge moving forward.
Click here to bookmark our VRIC playlist on YouTube, and stay tuned as we add interviews.
Want more YouTube content? Check out our YouTube playlist At Home With INN, which features interviews with experts in the resource space. If there's someone you'd like to see us interview, please send an email to cmcleod@investingnews.com.
And 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.
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.
Rick Rule: Gold, Oil and Gas, Coal, Water — Commodities for Now and Lateryoutu.be
As the broader markets face volatility, what is investor and speculator Rick Rule doing with his money?
Speaking to the Investing News Network at the recent Vancouver Resource Investment Conference (VRIC), Rule, who is proprietor at Rule Investment Media, said he sees today's circumstances as an opportunity.
"What bear markets really are is sales, and if you think that sales are good, then these are good," he said. He has a shopping list ready and is looking for places he can scale in, but did urge listeners to proceed with caution.
"I'm no market forecaster, but part of me suggests this could get worse before it gets better," he noted.
In terms of the commodities he's focusing on right now, Rule mentioned gold as important for defensive reasons, and said that while the easy money has been made in oil and gas, "there's lots of money still to be made."
He's also interested in larger commodities companies that are out of favor at the moment, such as Glencore (LSE:GLEN,OTC Pink:GLCNF) and Vale (NYSE:VALE).
"Right now I've found in the resource space at least that the larger, better companies are relatively more attractive than the smaller companies," he explained during the conversation.
"Normally the smaller companies are cheaper because of the lack of knowledge about them, but we're still in a very narrative-driven market, and what I've found is that the higher-quality companies on a risk-to-reward basis are actually cheaper than the smaller ones," Rule added. If the current rout continues, he imagines that micro-cap stocks will become cheap again and he will return to that area of the market.
When asked where market participants should look if they can be patient, Rule made the case for coal.
"Despite the fact that (Greta Thunberg) doesn't like coal, 3 billion people on Earth want access to affordable electricity, and we aren't going to deny them that," he said, pointing out that 2021 was the highest year ever for coal demand. "That affordable electricity — whether we like it or not — comes from coal."
Watch the interview above for more from Rule on the resource sector, including his thoughts on water. You can also click here for our full VRIC playlist on YouTube.
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.
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.
A total of 277,994,591 or 83.43% of the Company's issued and outstanding shares were represented at the Meeting
All four proposals to shareholders were approved, including the election of all eleven director nominees; Kevin McArthur joins the Board
During the 2022 proxy season, NOVAGOLD placed outreach calls to shareholders holding approximately 86% of the Company's issued and outstanding common shares entitled to vote
NOVAGOLD RESOURCES INC. ("NOVAGOLD" or the "Company") (NYSE American, TSX: NG) is pleased to announce the detailed voting results on the items of business considered at its Annual General Meeting of Shareholders held on May 18, 2022 (the "Meeting"). All proposals were approved and all eleven director nominees were elected. A total of 277,994,591 or 83.43% of the Company's issued and outstanding shares were represented at the Meeting.
Kevin McArthur joins the Board of Directors of NOVAGOLD
The Company is also pleased to report the election of Kevin McArthur to its Board at the Meeting, effective May 18, 2022. Mr. McArthur is an industry leader with over 40 years of experience encompassing many facets of the mining business, including operations, corporate development and executive management. He currently serves as a non-executive director of Royal Gold, Inc. and First Quantum Minerals Ltd. Mr. McArthur served as CEO of major precious metals mining companies, including Goldcorp Inc., Glamis Gold Ltd. and Tahoe Resources Inc., which was subsequently acquired by Pan American Silver Corporation. His earlier career focused on mine operations and project development with major international mining companies, including, BP Minerals and Homestake Mining Company. Mr. McArthur obtained a degree in Mining Engineering from the University of Nevada in 1979.
Shareholder Engagement
During this year's proxy outreach, NOVAGOLD engaged with shareholders owning 40,000-plus shares; thus contacting holders of approximately 86% of the Company's issued and outstanding common shares entitled to vote at the Meeting. Year-over-year the input received from shareholders has helped shape and improve the Company's corporate governance practices.
Shareholder Voting Results
The Shareholders voted on the following matters at this year's Meeting:
Proposal 1 – Setting the Number of Directors
The vote was carried to set the number of Directors at eleven. The votes received by ballot were as follows:
Votes For
274,603,519
98.78%
Votes Against
2,759,148
0.99%
Abstentions
631,924
0.22%
Proposal 2 – Election of Directors
The nominees listed in NOVAGOLD's Management Information Circular were elected as Directors of the Company. Detailed results of the votes are set out below:
Proposal 2
Outcome of the Vote
Votes by Ballot
Election of Directors
Votes For
Votes Withheld
Dr. Elaine Dorward-King
Carried
257,097,146 (98.70%)
3,380,588 (1.29%)
Sharon Dowdall
Carried
252,857,047 (97.07%)
7,620,687 (2.92%)
Dr. Diane Garrett
Carried
258,169,285 (99.11%)
2,308,449 (0.88%)
Dr. Thomas Kaplan
Carried
258,809,101 (99.35%)
1,668,633 (0.64%)
Gregory Lang
Carried
259,660,658 (99.68%)
817,076 (0.31%)
Igor Levental
Carried
256,598,064 (98.51%)
3,879,670 (1.48%)
Kalidas Madhavpeddi
Carried
245,264,836 (94.15%)
15,212,898 (5.84%)
Kevin McArthur
Carried
259,610,343 (99.66%)
867,391 (0.33%)
Clynton Nauman
Carried
257,175,544 (98.73%)
3,302,190 (1.26%)
Ethan Schutt
Carried
258,124,301 (99.09%)
2,353,433 (0.90%)
Anthony Walsh
Carried
255,393,306 (98.04%)
5,084,428 (1.95%)
Proposal 3 – Appointment of Auditors
The vote was carried for the Appointment of the Auditors, PricewaterhouseCoopers LLP. The votes received by ballot were as follows:
Votes For
274,381,861
98.70%
Votes Withheld
3,612,730
1.29%
Proposal 4 – Advisory Approval of Executive Compensation ("Say-on-Pay")
The vote was carried on the Say-On-Pay Advisory Vote. The votes received by ballot were as follows:
Votes For
248,235,710
95.30%
Votes Against
10,953,539
4.20%
Abstentions
1,288,485
0.49%
Full details of all proposals are fully described in the Company's Management Information Circular dated March 25, 2022 available on the Company's website at www.novagold.com/investors/mic/ , on SEDAR at www.sedar.com , and on EDGAR at www.sec.gov , and the detailed results of voting on each proposal are included in the Report of Voting Results filed on SEDAR and on EDGAR.
Following the Meeting, the Board dissolved the Environment, Health, Safety, Sustainability and Technical Committee and two committees were created in its place: the Engineering and Technical Committee and the Sustainability Committee. The Board appointed Kevin McArthur to serve on the Corporate Communications Committee, and the Engineering and Technical Committee. The membership of each the standing Board committees is available on the Company's website at: https://www.novagold.com/company/directors/ .
The Annual General Meeting of Shareholders webcast and corporate presentation is available on NOVAGOLD's website under Presentations .
Investment strategies for weathering and benefiting from current market trends were a hot topic at Sydney's recent RIU Resources Round-Up, held in early May.
Current opportunities and potential future ones were highlighted in the keynote address offered by John Forwood, chief investment officer at Lowell Resources Funds Management.
Quoting a February report from the head of commodity research at Goldman Sachs (NYSE:GS), Forwood explained to attendees that we have reached a “molecule crisis” in the commodity space and are essentially “out of everything.”
This deficit has only been compounded by the war in Ukraine, which has further weakened supply fundamentals and chains.
“When the (war in) Ukraine started, about a month later the commodities index (represented by Bloomberg commodities index) had its highest one-week spike on record, and that's a record going back over 60 years,” Forwood said. “As we've seen in Ukraine, war has supercharged a number of these commodity prices.”
However, according to the CIO, there is still a considerable amount of upward growth potential.
“In terms of where we are in terms of that commodity basket, we're way behind where we were in 2008, pre the (global financial crisis) and after the mining boom of the 2000s,” he told the crowd.
“And we're way behind where the Dow Jones and equities in general have got to,” Forwood added. “So, we think that there's potential for the commodity sector to be just getting started.”
There are also several other factors that are adding tailwinds to the broad sector, according to Forwood, who cited inflation — which is at 5 percent in Australia and 7-8 percent in the US and UK — as a significant contributor.
Looking at the longer-term fundamentals that have gotten us here, Forwood pointed to lack of investment capital as a main driver.
“I think the big one, the long term one, is under investment,” he said, noting that the early 2000s mining boom led to a lot of investment, which we aren’t seeing today.
“But over the last seven or eight years, we've seen a real dearth of capital going back into the sector. And in fact, we've also seen a dearth of M&A — something that we've been looking out for and it's just not happening.”
In fact, as one of the slides Forwood presented laid out, investment from the resource industry back into itself reached a 19 year low late last year.
Despite the lack of large investment, Australia’s junior resource index was up 16 percent at the end of April compared to the broader market and the Dow Jones Index, which had slipped 9 percent.
“So that may represent a rotation from other sectors into the resources sector. And if that is the start of what's happening, that could be very, very significant for resource company prices,” he said, explaining the resource sector is actually very small on a global scale.
“And if you see significant global money flowing into that sector, you know, it's almost the sky's the limit,” Forwood added.
Gold and volatility
While speaking about several commodities, the CIO for Lowell Resource Funds Management took time to highlight how gold could also be positioned for an upward trend, because “commodities do best when inflation is rising, and interest rates are rising.”
He then displayed a chart that indicated gold was the top performer among US stocks and the US greenback during the first six months following the commencement of a Fed rate hike period.
Real interest rates, which are hovering around 0 percent, are likely to have no effect on gold's price because, according to the Forwood, rates would have to be 3 percent or higher to impact gold.
He did warn that stagflation could add more wind to the yellow metal’s sails moving forward.
“We think there's a decent chance of (stagflation) occurring, so what should you buy?” he posited. “If you think that stagflation is on its way, well, the answer is also gold.”
Forwood concluded his address by encouraging attendees to invest in the junior resource space.
“Finally, at the Lowell Fund, we like to invest in junior explorers,” he said.
“Because they're the ones who make the discoveries, and discoveries is where you can really add the most value.”
Don’t forget to follow us @INN_Australia for real-time news updates!
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.
“It's early stage exploration. We're identifying targets, but we have an active program," Donaldson said. "We're doing what's prudent right now, which is taking the time and really doing things methodically. So we're doing an extensive soil sampling program across the Ballarat West and Yeungroon projects, looking for high levels of arsenic.”
As to the role of these results, he noted, “We're looking to get some heat maps of this anomalous arsenic, which really guides us for where we should do the diamond drilling. It’s more expensive, but also goes a lot deeper.”
Donaldson spoke to the value of the area: “It’s a historic site that had a gold rush in 1850, and it kind of put Australia on the map. Miners from all around the world were mining this high-grade, nuggety gold at or near the surface, and they did very well for 70 years. Then they basically mined it out until they hit a basalt cover or they hit the water table and then they stopped. For the next 100 years, it was very difficult mining until Fosterville made a phenomenal discovery of the Swan zone. It started what they're now calling the second gold rush.”
Donaldson said that Outback Goldfields was fortunate enough to acquire properties five years ago, when mining in the Victorian goldfields began to attract renewed attention. He mentioned that the company is using monitoring techniques to “try to go below that cover and see if we can find the fluid source for that high-grade, nuggety gold.”
Speaking to the regulatory systems of modern mining in the area, Donaldson said, “It's a first-world country. They have processes in place — certainly there's bureaucracy. But it's a known bureaucracy. They might take longer than I’d like, but they permit mines, they permit drilling. So, for us, at least, it's something that you can predict.”
As for the general gold market, Donaldson stated, “The reality is, we're up to US$1,900 gold per ounce, plus or minus right now, which is much higher than it was five years ago. The good news is that these goldfields are generally higher-margin, lower-cost mining. It's a multi-year process, and this is the time that we need to be starting these projects, knowing that it's going to take a few years for them to come to fruition.”
When discussing why investors should consider Outback Goldfields, Donaldson noted, “We're exploring what we consider the perspective of the land. The Ballarat West property covers over 40,000 hectares, and there have been 17 million ounces of gold produced within 5 kilometers of the property. We're in a great neighborhood.”
Donaldson also spoke about the company's next steps for the project, as well as its finances. “We're in the target identification phase. We're about halfway through a soil program, where we've done about 650 holes of the 1,300. We'll get those results this summer, and then have some key targets that we'll start drilling on for the back half of this year — with a bit of luck and some good planning, hopefully we find something great … we didn't spend a ton of money last year after our initial raise, so we certainly have enough to fulfill the the the exploration program that we have in front of us.”
Watch the full interview of Outback Goldfields CEO Chris Donaldson above.
Disclaimer: This interview is sponsored by Outback Goldfields (TSXV:OZ,OTCQB:OZBKF,FWB:S600). This interview provides information that was sourced by the Investing News Network (INN) and approved by Outback Goldfields in order to help investors learn more about the company. Outback Goldfields is a client of INN. The company’s campaign fees pay for INN to create and update this interview.
INN does not provide investment advice and the information on this profile should not be considered a recommendation to buy or sell any security. INN does not endorse or recommend the business, products, services or securities of any company profiled.
The information contained here is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. Readers should conduct their own research for all information publicly available concerning the company. Prior to making any investment decision, it is recommended that readers consult directly with Outback Goldfields and seek advice from a qualified investment advisor.
This interview may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, receipt of property titles, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. The issuer relies upon litigation protection for forward-looking statements. Investing in companies comes with uncertainties as market values can fluctuate.
Exploring undeveloped land with the hopes of striking gold is a time-honored mining tradition, but it’s not the only way to create a profitable project. Restarting past-producing mines allows companies to start with proven mineralization, explore stockpile potential and utilize the existing infrastructure. In addition, stockpiles create a fast track to cash flow, as the previous miners may have had different criteria based on the economics of their time. For example, gold mines often stockpiled gold under a specific grade as it was not economically feasible, but given current prices and modern processing technology, it’s now worth processing the stockpiled gold and silver.
CMX Gold & Silver (CSE:CXC,OTC:CXXMF) is an exploration and development mining company, focused on Idaho's historic gold and silver assets. The company’s flagship project is the Clayton Silver Mine, a past-producing asset that operated for 50 years and has historically mined over two million tonnes of ore. The project also has a stockpile of at least 500,000 tonnes of rock. The company has a strong capital structure with no legacy or sweat equity debt. Additionally, the project has no royalties and plans to generate cash flow in 2023 by processing the stockpile.
CMX Gold & Silver notes that the previous miners simply followed the known vein system, and it was sufficient for their time and goals. However, the company plans to conduct additional exploration using modern techniques to identify other veins. Once identified, the company will conduct drilling operations to confirm survey results and identify additional development opportunities.
In a recent interview, CEO Jan Alston discussed the excitement surrounding the Clayton Silver Mine, stating, “After 50 years in operation, it was closed down when commodity prices fell in the mid-1980s. We think the potential exists to add a lot of shareholder value by doing the work that is needed to establish that there is a lot more ore still to be mined. Our hope is to get this mine operating again.”
A strong management team builds confidence in the company’s ability to capitalize on the past-producing mine. Jan Alston, CEO, has worked in the natural resources industry for over 35 years, including practicing business law in the oil and gas sector. Glen Alston, CFO, has 30 years of experience in corporate finance and has worked with mining companies focused on diamonds, precious metals, and base metals. Additional experts in geology and financing bring their specialties to the management team.
Company Highlights
CMX Gold & Silver is an exploration and development mining company focused on revitalizing a past-producing mine to benefit from known mineralizations and existing infrastructure.
The Clayton Silver Project has historically produced over two million tonnes of ore, and a stockpile of 500,000 tonnes of rock remains on the property.
The previous miners operated for 50 years and followed a main vein system, which was sufficient for their goals. However, CMX believes other vein systems are present that will create additional opportunities.
A strong management team with decades of experience in the mining industry builds confidence for the project and the team’s ability to capitalize on the flagship asset.
Key Projects
The Clayton Silver Mine
The flagship project covers 276 hectares and is roughly 30 kilometers from Custer country. It includes 29 patented mining claims, two patented mill sites, and six unpatented mining claims. Additionally, further exploration aims to identify targets for an upcoming drill program that hopes to locate additional mineralization.
Project Highlights:
Stockpile from Previous Operators: The Clayton Silver Mine has an unprocessed stockpile of at least 500,000 tonnes of rock. A 2014 sampling program showed gold at 0.80 gms/t, silver at 24.31 gms/t, zinc at 0.27 percent, manganese at 0.60 percent and lead at 0.44 percent. These tests were performed at 16 random locations, proving that there is valuable rock in the stockpile.
Working with Engineers to Process the Stockpile: The company is presently working with an engineering firm to plan the efficient processing of the 500,000-tonne stockpile using state-of-the-art sensor-based ore sorting technology. CMX estimates that if they begin processing on average 4,000 tonnes per day, it will take six to eight months to process the stockpile.
An Ecologically Friendly Project: Tailing studies and remediation work have been completed by the EPA and Idaho Department of Environmental Quality. The previous operators have no legacy environmental issues, and the company can readily obtain a water usage permit.
Year-Round Access with Paved Road: The Clayton Silver Project can be reached throughout the year via a paved road that leads directly to the site.
Management Team
Jan M. Alston - President & CEO
Jan Alston was born in Calgary, Alberta and attended the University of Alberta, where he obtained a bachelor’s of arts in 1978 and an LLB in 1981. Alston has been involved in public junior natural resource companies for over 35 years. He practiced law in the 1980s in the areas of business law, oil and gas, securities regulation, and corporate finance. He led the management team as president, chief executive officer, director and cofounder of Purcell Energy, an oil and gas exploration and production company listed on the Toronto Stock Exchange. After sixteen years, Purcell 2005 sold two-thirds of its oil and gas assets for more than US$150 million and spun out Tenergy. From November 2005, Alston was chief executive officer and director of Tenergy, a Toronto Stock Exchange-listed natural gas exploration and production company, until its sale in March 2006 for US$92 million. Since 2006, he has been involved in several private businesses in management and as an investor.
Glen R. Alston - Chief Financial Officer
Glen Alston attended the University of Calgary, where he obtained his bachelor’s of commerce in 1986. He has over 30 years of experience in executive and management roles with public junior mining exploration companies. Alston has been a senior officer and director of several junior companies, as well as being involved in many different aspects of the business, including stock exchange listings, corporate finance activities, corporate development, project management, and accounting and audit functions. He has extensive experience in facilitating exploration projects for precious metals, diamonds, and base metals.
James P O’Sullivan - Corporate Secretary
James O’Sullivan is a partner in the Calgary office of Dentons LLP. His current practice focuses on providing corporate and commercial advice to junior issuers, including start-up and growth companies active in the energy, mining, healthcare and technology markets. O’Sullivan’s expertise includes corporate governance, regulatory compliance and continuous disclosure matters. He has extensive experience in financings, mergers and acquisitions and other corporate reorganizations. O’Sullivan also serves as corporate secretary for several Canadian public companies. He has been a member of the Law Society of Alberta since 2007.
Richard T. Walker - Consulting Geologist
Richard T. Walker attended the University of Calgary, where he obtained his bachelor’s of science in geology in 1986 and his master’s of science in geology in 1989. He is a professional geologist registered with the Association of Professional Engineers and Geoscientists of British Columbia. He has over 30 years of practical field experience working with organizations of all sizes, from junior to major mining companies, both private and public, in Canada, the United States, and South America. Walker’s primary role has been the management of exploration programs for precious metals, with an emphasis on silver, and base metals. He has successfully completed programs in diverse jurisdictions, including British Columbia, Alberta, Northwest Territories, Nunavut, Yukon Territory, Saskatchewan, New Brunswick, Montana, Alaska, Brazil, Peru, and Chile. Walker provides consulting services through his firm, Dynamic Exploration, of which he has been president since 1996. He is the former president of the East Kootenay Chamber of Mines and a director of the BC and Yukon Chamber of Mines.
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