Vertex Minerals Limited (ASX:VTX, Company) is pleased to announce that firm commitments have been received for a placement and convertible loan financing to raise up to $2.1M at $0.16 per share1 before costs (Capital Raising).
HIGHLIGHTS
Firm commitments have been received for a strategic placement to an existing investor to raise $1.10M (before costs) at an issue price of $0.16 per share (Placement).
Placement proceeds will be further augmented by loan funding of $0.98M, under a convertible facility agreed with institutional / sophisticated investors (Loan). Subject to shareholder approval Loan funds will be converted to fully paid ordinary shares at an issue price of $0.16 per share.
Proceeds are intended to be applied towards the acquisition of an Ore Sorter and the associated conveyance equipment, purchase of an Underground Drill Rig and working capital.
Vertex’s Executive Chairman, Roger Jackson commented:
“We are very pleased to have the support of a strategic investor in this placement along with some of our very supportive existing shareholders backing the convertible loan. The funds will be used to acquire a laser Ore Sorter which will be integrated into the Gekko gravity gold plant along with an underground drill rig. The drill will be focussed on the high-grade targets below and along strike of the high-grade gold resource at Reward. We wish to build our gold inventory from within our Reward mine. We are on track with the plant refurbishment and preparations to move the Reward mine into production in January 2025”
Placement Details
The Placement will comprise the issue of up to 6,900,000 new fully paid ordinary shares at an issue price of $0.16 per share. Subject to shareholder approval, the placement participant will also receive three (3) free attaching options for every five (5) shares. The options will be on the same terms as existing VTXOA options, which have an exercise price of 25c per share and an expiry date of 17/07/2026 (VTXOA Options).
The Placement will be conducted in a single tranche using the Company’s capacity under Listing Rule 7.1.
This article includes content from Vertex Minerals, 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.
Vertex Minerals offers a compelling value proposition predicated on combining innovative, sustainable mining methodologies with a staged development plan and a strategic, near-term production path. The company is well-positioned to unlock the significant potential of this high-grade gold project.
Overview
Vertex Minerals (ASX:VTX) is an Australian mineral exploration company and near-term gold producer in one of the highest-grade, if not the highest-grade, gold mining districts in Australia. The company is advancing its Reward gold mine, scheduled to commence production in January 2025, with a current mineral resource estimate of 419,000 tonnes at a high-grade of 16.7 grams per ton (g/t) gold for 225,000 oz contained gold.
The Reward gold mine is committed to sustainable, low-impact, low-cost operations through the use of gravity separation technique, which has been hailed as one of the more sustainable alternatives for ore recovery. This mining technique leverages the natural force of gravity to separate valuable minerals from waste material. Gravity technology minimizes the use of harsh chemicals, resulting in a more environmentally friendly extraction process. Among its other benefits include, reduced power consumption, faster and efficient processing, lower operating costs, and improved recovery rates.
Looking along the Amalgamated Adit.
Vertex Minerals’ potential to produce the highest grade and the greenest gold in the market is a key value proposition.
The Reward gold mine is part of Vertex Minerals’ 100 percent owned Hill End gold property in New South Wales, an advanced stage production and exploration project, with a fully permitted processing plant. In addition to Reward, Hill End also comprises the Hargraves and Red Hill projects. All three assets have a combined mineral resource of 4.21 million tonnes of gold.
A permitted mining licence and development approval are in place for the processing plant, stockpiles and the Reward underground mine.
The company is led by a highly experienced management and technical team with a successful track record, committed to upholding the company’s strategic objectives and delivering shareholder value.
Company Highlights
Vertex Minerals is a gold exploration and production company focused on the historic, high-grade Hill End gold property, with the ultimate goal of becoming Australia’s high-grade, green gold producer.
The company’s Reward underground mine is expected to be operational by early 2025, with a PFS showing excellent economics.
The Reward mine has a current mineral resource estimate of 419,000 tonnes at a high-grade of 16.7 g/t gold for 225,000 oz contained gold.
Using gravity separation technology will enable low-cost, high-efficiency and sustainable gold production.
Key Project
Hill End Gold Project
Vertex Minerals is making significant strides in its exploration endeavors at the Hill End project, a cornerstone asset aimed at establishing sustainable gold production in New South Wales, Australia.
Hill End is a historic gold mining town located in the Bathurst Regional Council in New South Wales. Gold occurrence at Hill End lies along a 25 km strike length, which includes the historical Hawkins Hill mine, where the late Silurian Chesleigh Formation hosts gold-bearing, bedding-parallel, laminated quartz veins and associated structures on the east limb of the Hill End anticline. The Hill End trough is a 70 km-wide and more than 200 km long, deep marine basin that is underlain by Ordovician volcanic rocks that lie between the Molong Volcanic Belt to the west and the Rockley-Gulgong Volcanic Belt to the east. Both these volcanic belts belong to the Ordovician Macquarie Arc in the Lachlan Fold Belt of eastern Australia.
Vertex Mineral’s strategy for Hill End includes reinstalling a refurbished 110 ktpa Gekko gravity gold plant, commencing gold production from existing stockpiles and developing the Reward mine. The company also plans further exploration and drilling to increase its high-grade resource at Hill End.
Reward underground has a long life beyond the mine plan
Reward Underground Gold Mine
Vertex Minerals' Reward underground mine, situated in the historically significant Hill End gold district of New South Wales, represents a promising venture in high-grade gold extraction. Well-positioned for a simple start-up, Vertex plans to commence production at the Reward mine in January 2025. The existing gravity processing plant is located adjacent to the underground mine access point. Mine access point extends into the resource, so little development is required.
The Reward gold mine has an indicated resource of 141,000 tonnes at 15.5 g/t gold for 71,000 oz contained gold, and 278,000 tonnes at 17.3 g/t gold for 155,000 oz contained gold in the inferred category. It’s a robust asset, with significant potential for resource growth and long life well beyond the mine plan.
Vertex Minerals has initiated a strategic approach to bringing the Reward mine into production. In line with this, the company is currently refurbishing the gravity processing plant located near the underground mine access point. This strategic location facilitates a straightforward start-up process, reducing operational costs and time to production. Following the successful refurbishment of processing facilities, Vertex plans to initiate underground mining operations.
The pre-feasibility study (PFS) conducted for the Reward mine presents encouraging financial prospects, including a projected pre-tax cash of $41 million over the life of mine at an assumed gold price of $3,000 per ounce, with a six-month payback. The mine targets an average monthly production of 2,169 oz over 23 months with 92 percent gold recovery. These projections underscore the potential economic viability of the project.
Sustainable Production
At the heart of Vertex Minerals' plan is the integration of a high-performance Gekko gravity processing plant. This advanced facility will be strategically positioned adjacent to the underground mine access point, facilitating a seamless ore processing workflow.
Gravity technology in mining leverages the natural force of gravity to separate valuable minerals from waste material. This method is particularly effective for gold extraction, as gold particles are significantly denser than most other materials found in ore. The process involves using specialized equipment that exploits these density differences to isolate gold particles without relying heavily on chemical processes.
Vertex Minerals anticipates several positive outcomes from the implementation of gravity technology at the Reward mine, including accelerated production timeline; increased throughput with a capacity of 120,000 tonnes per annum, a significant increase from the previous 30,000 tonnes; enhanced operational efficiency with faster processing times and lower operational costs; improved cash flow; and more importantly, sustainable mining practices, aligning with growing industry trends towards sustainability.
Exploration Plans
Beyond the Reward mine operation, Vertex Minerals plans to conduct further exploration of the Hill End project to increase the size and grade of the resource. The project consists of a 34 km prospective strike that was the source of the largest gold specimen ever found globally. Despite its great potential for new discovery, Hill End has yet to undergo modern exploration, and Vertex Minerals is planning a multi-element and alteration mapping program at the property to better map out the zones where high-grade mineralization exists. A full geological review and an updated geological and structural model will underpin future exploration plans.
Management Team
Roger Jackson - Executive Chair
Roger Jackson has been actively involved in the mining industry for 30+ years as a mine operator, services contractor and explorer. He is a geologist with strong knowledge of gold exploration and mining. He has developed several mining and ore processing operations in Australia and abroad. Jackson has a science degree with a major in geology and geophysics, and holds a diploma in financial management, diploma in education. He is a fellow of the Geological Society of London, fellow of the Australian Institute of Geoscientists and a fellow of the Australasian Institute of Mining and Metallurgists.
Declan Franzmann - Non-executive Director
Declan Franzman is a mining engineer with over 30 years of experience from discovery, through construction, operations and mine closure. His expertise covers open pit and underground gold mining across Australia, Asia, Africa and South America. Franzmann is a fellow of the AusIMM, holds statutory mine management qualifications for WA, QLD and NSW and has been a director of public companies for 15 years.
Tully Richards - Technical Director
Tully Richards is an experienced gold geologist based in Orange, NSW. He has a wonderful depth and breadth of experience in exploration in the Lachlan Fold district. A graduate in geology from Sydney University, Richards has worked as a geologist in operating mines but has found his passion exploring the Lachlan Fold Belt for gold.
Alex Neuling - Company Secretary
Alex Neuling holds the positions of director, chartered accountant, and secretary at Vertex Minerals. With his chartered accountant qualifications, Neuling brings a strong financial acumen to the company's board, backed by over 15 years of professional experience in corporate and financial roles. For the past decade, he has served in pivotal positions such as company secretary, CFO and director for various ASX-listed companies. His expertise covers a diverse range of sectors, including oil and gas, mineral exploration, biotech and mining services.
Chris Hamilton - General Manager Operations, Hill End Reward Gold Mine
Chris Hamilton worked as mine manager for Aeris Resources' Tritton Operations. He was also the operations superintendent, acting MEM, safety and compliance advisor at Aurelia. Hamilton was the mine manager for Glencore's CSA Mine and examiner for NSW Resource for regulator - mining engineering manager from 2020 to present and NSW underground supervisor from 2018 to present. Hamilton holds a Bachelor of Engineering (Mining Engineering) with Honors from the University of South Australia, and has additional qualifications including First Class Mine Manager (NSW) Metalliferous - Unrestricted.
Perth, Australia (ABN Newswire) - Vertex Minerals Limited (ASX:VTX) (OTCMKTS:VTXXF) is pleased to announce an update on the Reward Gold mine start up, with commissioning of gold ore material through the 100% owned gravity gold plant at the high-grade Reward Gold Mine commencing.
The processing facility rebuild, refurbishment and installation has progressed safely, efficiently and to plan, with the focus now turning from, electrical, mechanical, automation and wet commissioning to running the first ore through the plant.
HIGHLIGHTS
- Vertex has processed the first ore with the newly installed gravity gold plant.
- The plant processed ore to a gold concentrate with visible gold evident in concentrate (see Figure 5*).
- Installation of the Ore Sorter Module is well underway with completion anticipated early February.
- Plant commissioning is utilising the stockpiled gold ore located adjacent to the plant. This material will be the focus of initial production.
- Sale of first commercial gold anticipated in February.
- Vertex plant operators are working alongside the Gekko technical team to ensure a smooth handover from commissioning to full production.
- Key personnel and plant operators now onboarded.
- Gold refining agreement in place with ABC bullion who are located in Sydney, which is a 4 hour drive from site.
- Tails line and dry stack sand operation installed.
Vertex's Executive Chairman, Roger Jackson, said: "The ore commissioning of this project in under 12 months of releasing the PFS for the Reward Gold Mine is a tremendous achievement, and I commend the Gekko and the Vertex team on their efforts. The ore sorter, which is a separate module to the gravity plant, is also ahead of time and within budget, and is expected to be commissioned in early February. We are looking forward to running one of Australia's most unique and environmentally sympathetic gold plants.
This is a very small but high-tech gold plant that utilises ore sorting and gravity methods to process high grade gold without chemicals or a ball mill. It was a wonderful moment to see ore going through the crushing circuit and into the centrifugal concentrators, and within a few minutes to see visible gold in the concentrate produced. We now look forward to further optimising plant operation, training our operators and the move to commercial operating status with solid cash flow."
Vertex Minerals Limited (ASX:VTX) is an Australian based gold exploration company developing its advanced Hargraves and Hill End gold projects located in the highly prospective Eastern Lachlan Fold Belt of Central West NSW. Other Company assets include the Pride of Elvire gold project and Taylors Rock gold/nickel/lithium project both located in the Eastern Goldfields of WA. The focus of Vertex Minerals is to advance the commercial production of gold from its NSW projects embracing an ethical and environmentally sustainable approach.
Dundas Minerals Limited (ASX: DUN) (“Dundas Minerals”, “Dundas” or “the Company”) is pleased to announce highly encouraging 1 metre sample assay results from its recently completed drilling campaign within granted Mining Lease M 24/974 (‘’Rockland’’), at the Windanya Gold Project.
Highlights
High grade gold assays from individual 1 metre samples include:
6m @ 3.3g/t gold from 78m, including 1m @7.5g/t from 78m, 1m @7.1g/t from 83m (24RKRC005)
5m @ 2.3g/t gold from 109m, including 1m @8.1g/t from 113m (24RKRC013)
2m @ 5.6g/t gold from 74m, including 1m @9.4g/t from 74m (24RKRC015)
2m @ 2.8g/t gold from 130m, including 1m @5.2g/t from 130m (24RKRC022)
1m @14.9g/t gold from 80m (24RKRC015)
9m @ 1.4g/t gold from 69m (24RKRC012)
5m @ 1.4g/t gold from 65m (24RKRC019)
Assay results indicate a new gold mineralised zone within the Rockland ML at the Windanya Gold Project
An approximate 1km long trend of significant gold mineralisation
Detailed three dimensional modelling of these latest results is in progress, and will provide the foundation to plan follow-up drilling
Assay results from recently completed RC drilling at the Baden-Powell Gold Project are expected within two weeks
Dundas is actively exploring for gold at the Windanya and Baden- Powell gold projects, located adjacent to the Goldfields Highway ~60km north of Kalgoorlie, Western Australia, and ~15km north of the Paddington gold mill.
Assay results from 1 metre sample intervals – Rockland
On 12 December 2024, Dundas Minerals announced the discovery of a new 1 km zone of gold mineralisation from its maiden RC drilling program at Rockland, based on assay results from 4 metre composite samples. Subsequently, individual 1 metre samples relating to the mineralised portions of drill holes were submitted for assay.
Results from these assays highlighted multiple intercepts of high grade gold mineralisation at Rockland, with several gold grades significantly higher than the initial composite samples.
Of the 1 metre samples that were submitted, twenty returned gold assays of greater than 2g/t (Table 1), and 67 samples returned gold assays of between 0.5g/t and 2g/t. Significant gold assay results (above 1 gram per tonne) are provided in Appendix 1.
Importantly, these latest assay results confirms the approximate 1km long trend of significant gold mineralisation at Rockland, and indicates a new gold mineralised zone located between the historic Milford and Windanya North prospects. The mineralisation spans the entire length of the granted Mining Lease, and potentially extends north to the Aquarius gold deposit.
Mineralisation comprises an oxide supergene zone in the deeply weathered mafic host lithologies, above a series of stacked structures interpreted to dip shallowly to moderately to the east in the transitional to fresh rock. As illustrated in Figure 1, gold mineralisation is interpreted as trending north – south, which is consistent with the regional trend.
Detailed three dimensional modelling of these latest results is in progress to assess the orientation of mineralisation in fresh rock (below the oxide zone) and will provide the foundation to plan follow-up drilling.
Commenting on the one metre gold assays from the Rockland drilling, Dundas managing director Shane Volk said:
‘’As indicated by the assay results from the initial 4-metre composite samples, results from these 1- metre samples confirm the presence of wide-spread gold mineralisation within the granted Rockland Mining Lease. In many instances the mineralisation is at relatively shallow depth (100 metres or less), with some very nice high grade results returned in several holes – up to 14.9 grams per tonne.’’
‘’Three dimensional modelling of these latest results is in progress. The latest drilling results, combined with available historical drill data within the lease will enable us to make an updated interpretation of the mineralisation trend and develop an exploration model to assist with the planning of further exploration both within the highly prospective M 24/974 and the broader Windanya Gold Project area.’’
Table 1: Gold Assay Results of 2g/t of greater: Rockland 1m samples
Background: Rockland Mining Lease
On 8 October 2024, Dundas Minerals announced that it had executed an exclusive 12-month option to acquire 100% of granted mining lease (ML) M24/974 (Rockland).
Rockland is strategically situated between the Aquarius and Scorpio gold prosects (Figure 1), where on 6 February 2024, Dundas announced high grade gold intercepts from an initial drilling program, including: Aquarius (3m @ 10.2 g/t from 109m; 2m @ 6.5g/t from 70m); and Scorpio (2m@ 3.2 g/t from 9m; 1m @ 6.5g/t from 49m).
The area comprising the Rockland ML has been subject to historic shallow drilling during the 1980s, which was mostly to a maximum depth of 50m (RAB). Also, a series of RAB holes to a maximum depth of ~90m was drilled in the early 2000s, plus 12 RC holes at the Windanya North prospect. More recently the current tenement owner drilled 3 RC holes at depths between 140m and 173m, also at Windanya North. However, the drilling recently completed by Dundas Minerals is the first to systematically test for gold mineralisation at Rockland to depths beyond 50m.
This article includes content from Dundas Minerals, 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.
The gold standard hasn’t been used in the US since the 1970s, but when Donald Trump was president from 2017 to 2021 there was some speculation that he could bring it back.
Rumors that the gold standard could be reinstated during Trump’s presidency centered largely on positive comments he made about the idea. Notably, he suggested that it would be “wonderful” to bring back the gold standard, and a number of his advisors were of the same mind — Judy Shelton, John Allison and others supported the concept.
Now that Trump is back in the White House, some are again wondering if he will return the country to the gold standard. Speaking on his War Room podcast back in December 2023, Steve Bannon, Trump's former chief strategist, said he believes the president could ditch the US Federal Reserve and bring back the gold standard in his second term in office.
More recently, the Heritage Foundation included a whole chapter on the Fed written by a former member of Trump's 2016 transition team in its Project 2025 (a proposed blueprint for Trump's second term), and suggested a return to the gold standard. While Trump has publicly disavowed Project 2025, its creators say he is privately supportive of the initiative.
Read on to learn what the gold standard is, why it ended, what Trump has said about bringing back the gold standard — and what could happen if a gold-backed currency ever comes into play again.
What is the gold standard?
What is the gold standard and how does it work? Put simply, the gold standard is a monetary system in which the value of a country’s currency is directly linked to the yellow metal. Countries using the gold standard set a fixed price at which to buy and sell gold to determine the value of the nation’s currency.
For example, if the US went back to the gold standard and set the price of gold at US$500 per ounce, the value of the dollar would be 1/500th of an ounce of gold. This would offer reliable price stability.
Under the gold standard, transactions no longer have to be done with heavy gold bullion or gold coins. The gold standard also increases the trust needed for successful global trade — the idea is that paper currency has value that is tied to something real. The goal is to prevent inflation as well as deflation, and to help promote a stable monetary environment.
When was the gold standard introduced?
The gold standard was first introduced in Germany in 1871, and by 1900 most developed nations, including the US, were using it. The system remained popular for decades, with governments worldwide working together to make it successful, but when World War I broke out it became difficult to maintain. Changing political alliances, higher debt and other factors led to a widespread lack of confidence in the gold standard.
What countries are on the gold standard today?
Currently, no countries use the gold standard. Decades ago, governments abandoned the gold standard in favor of fiat monetary systems. However, countries around the world do still hold gold reserves in their central banks. The Fed is the central bank of the US, and as of January 2025 its gold reserves came to 8,133.46 metric tons.
Why was the gold standard abandoned?
The demise of the gold standard began as World War II was ending. At this time, the leading western powers met to develop the Bretton Woods agreement, which became the framework for the global currency markets until 1971.
The Bretton Woods agreement was born at the UN Monetary and Financial Conference, held in Bretton Woods, New Hampshire, in July 1944. Currencies were pegged to the price of gold, and the US dollar was seen as a reserve currency linked to the price of gold. This meant all national currencies were valued in relation to the US dollar since it had become the dominant reserve currency. Despite efforts from governments at the time, the Bretton Woods agreement led to overvaluation of the US dollar, which caused concerns over exchange rates and their ties to the price of gold.
By 1971, US President Richard Nixon had called for a temporary suspension of the dollar’s convertibility. Countries were then free to choose any exchange agreement, except the price of gold. In 1973, foreign governments let currencies float; this put an end to Bretton Woods, and the gold standard was ousted.
What is the US dollar backed by?
Since the 1970s, most countries have run on a system of fiat money, which is government-issued money that is not backed by a commodity. The US dollar is fiat money, which means it is backed by the government, but not by any physical asset.
The value of money is set by supply and demand for paper money, as well as supply and demand for other goods and services in the economy. The prices for those goods and services, including gold and silver, can fluctuate based on market conditions.
What has Trump said about the gold standard?
While it’s perhaps not common knowledge, Trump has long been a fan of gold.
In fact, as Sean Williams of the Motley Fool has pointed out, Trump has been interested in gold since at least the 1970s, when private ownership of gold bullion became legal again. He reportedly invested in gold aggressively at that time, buying the precious metal at about US$185 and selling it between US$780 and US$790.
Since then, Trump has specifically praised the gold standard. In an oft-quoted 2015 GQ interview that covers topics from marijuana to man buns, Trump said, “Bringing back the gold standard would be very hard to do, but boy, would it be wonderful. We’d have a standard on which to base our money.”
In a separate interview that year, he said, “We used to have a very, very solid country because it was based on a gold standard.”
According to Politico’s Danny Vinik, “(Trump has) surrounded himself with a number of advisors who hold extreme, even fringe ideas about monetary policy. … At least six … have spoken favorably about the gold standard.” Shelton and Allison, mentioned above, are not alone. Others include Ben Carson and David Malpass. The last two, Rebekah and Robert Mercer, eventually distanced themselves from Trump, but had a strong influence before that.
Emphasizing how unusual Trump’s support for the international gold standard is, Joseph Gagnon, a senior fellow at the Peterson Institute for International Economics, told the news outlet, “(It) seems like nothing that’s happened since the Great Depression.” Gagnon, who has also worked for the Fed, added, “You have to go back to Herbert Hoover.”
Back in 2017, Politico also quoted libertarian Ron Paul, another gold standard supporter, as saying, “We’re in a better position than we’ve ever been in my lifetime as far as talking about serious changes to the monetary system and talking about gold.”
Would it be feasible for the US to return to the gold standard?
Trump’s first term as president passed without a return to the gold standard, and the consensus seems to be that it’s highly unlikely that this event will come to pass — even with him at the helm once again.
Even many ardent supporters of the system recognize that going back to it could create trouble.
As per the Motley Fool’s Williams, economists largely agree that moving to a lower-key version of the gold standard in 1933 was “a big reason why the US emerged from the Great Depression,” and a return would be a mistake.
But if Trump or a future president did decide to go through with it, what would it take?
According to Kimberly Amadeo at the Balance, due to trade, money supply and the global economy, the rest of the world would need to go back to the gold standard as well. Why? Because otherwise the countries that use the US dollar could stand with their hands out asking for their dollars to be exchanged for gold — including debtors like China and Japan, to which the US owes a large chunk of its multitrillion-dollar national debt.
Is there enough gold to return to the gold standard?
The fact that the US doesn’t have enough gold in its reserves to pay back all its debt poses a huge roadblock to returning to the gold standard. The country would have to exponentially replenish its gold reserves in advance of any return to the gold standard.
"The United States holds around 261.5 million troy ounces of gold, valued at approximately $489 billion. The total US money supply exceeds $20 trillion, necessitating about 272,430 metric tons of gold at current market prices," explained Ron Dewitt, Director of Business Development at the Gold Information Network, in a June 2024 LinkedIn post.
"The supply remains insufficient, even including global gold stocks, which total around 212,582 metric tons."
In addition, it's understood that returning to the gold standard would require the price of gold to be set much higher than it is currently. What would the price of gold need to be worth if the US returned to the gold standard? Financial analyst and investment banker Jim Rickards has calculated the gold price would need to jump up to at least US$27,000 an ounce.
That means the US dollar would be severely devalued, causing inflation, and since global trade uses the US dollar as a reserve currency, it would grind to a halt. Conversely, returning to the gold standard at a low gold price would cause deflation.
What would silver be worth if the US returned to the gold standard? It's not a guarantee that silver would follow in gold's footsteps if a gold standard was re-established due to its many industrial and technological applications. While silver has a long history as a precious metal and played an important role as currency for much of human history, its value today is intrinsically linked to that demand as well.
What would happen if the US returned to the gold standard?
Returning to the gold standard would have a huge impact on all levels of the US economy and make it impossible for the Fed to offer fiscal stimulus. After all, if the US had to have enough gold reserves to exchange for dollars on an as-needed basis, the Fed’s ability to print paper currency would be incredibly limited.
Supporters believe that could be the perfect way to get the US out of debt, but it could also cause problems during times of economic crisis. It’s important to remember that because 70 percent of the US economy is based on consumer spending, if inflation rose due to the gold price rising, then a lot of consumers would cut spending.
That would then affect the stock market as well, which could very well lead to a recession or worse without the ability of the government to soften that blow via money supply. "Transitioning to a gold standard during an economic crisis would severely limit monetary policy options and could lead to economic instability," Dewitt warned.
For that reason, a return to the gold standard would also expose the US economy to the yellow metal’s sometimes dramatic fluctuations — while some think that gold would offer greater price stability, it’s no secret that it’s been volatile in the past. Looking back past the metal’s recent stability, it dropped quite steeply from 2011 to 2016.
Moreover, speaking to Congress on this issue in 2019, Fed Chair Jerome Powell warned against a return to the gold standard.
“You’ve assigned us the job of two direct, real economy objectives: maximum employment, stable prices. If you assigned us (to) stabilize the dollar price of gold, monetary policy could do that, but the other things would fluctuate, and we wouldn’t care,” Powell said. “There have been plenty of times in fairly recent history where the price of gold has sent a signal that would be quite negative for either of those goals.”
As can be seen, returning to the gold standard would be a complex ordeal with pros and cons. The likelihood of the US bringing back the gold standard is slim, but no doubt the question will continue to be up for debate under future presidents.
This is an updated version of an article first published by the Investing News Network in 2017.
Don’t forget to follow us @INN_Resource for real-time news updates!
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
EMU NL is an Australia-focused base and precious metals exploration company offering a compelling opportunity in the highly lucrative copper space. A strategic focus on delineating a large-scale copper porphyry system at its Yataga Copper Project at Georgetown in Northern Queensland, combined with a leadership team of significant global experience and expertise, and an upward trending copper market, all make EMU NL worthy of considerable consideration for any investors looking at the copper sector.
Overview
EMU NL (ASX:EMU) is an ASX-listed precious and base metals exploration company with two active projects in, Australia: Yataga Copper Project in Georgetown (Queensland) and the Badja gold, tungsten and lithium project (Western Australia). EMU’s primary focus is accelerating exploration at the highly promising Yataga Copper Project.
Australia is one of the most attractive regions for mining, according to the Fraser Institute. It ranks Queensland as the 13th most attractive destination for mining investment.
In 2023, Queensland's mines yielded 12.6 tons of gold, positioning it as Australia's fourth most prolific state for this precious metal. The company's presence in relatively attractive mining jurisdictions positions it to capitalize on opportunities in Australia's resource sector and deliver sustainable returns to its shareholders. The recent fundraises of AU$1.45 million have provided sufficient funding to advance its exploration projects and EMU is planning its maiden drilling programme at the Yataga Copper Project in 2025.
Gold and copper continue to demonstrate bullish trends. Various factors are driving the surge in copper prices, including demand patterns such as upgrades in utility grids, the increasing use of copper in electric vehicles, and housing construction. Additionally, the growing energy demand from data centres powering AI applications and servers contributes to the increased need for copper. Both gold and copper prices have hit their all-time high in 2024, enhancing the prospects for junior miners to progress their projects and potentially secure financing easily.
Key Projects
Georgetown Project
The Georgetown project tenements span 850 sq. km. in North Queensland and comprise three exploration permits: Georgetown, Perpendicular Peak and Fiery Creek. Of these, Fiery Creek is the most promising and the current exploration interest for EMU as it covers the Yataga Copper Project.
The Georgetown tenements are located in a resource-rich yet under-explored region in Queensland’s far north, situated within the Georgetown mining district, with a significant history of mining activities and mineral discoveries.
EMU has identified the Yataga Copper Project as a massive-scale copper porphyry system within the 70 sq. km. Yataga Igneous complex. During 2023 and 2024, EMU's reconnaissance efforts at Fiery Creek yielded substantial geochemistry success with more than 8 sq km of highly anomalous copper results from the sampling of terminte mounds by pXRF. EMU concluded 2024 with two geophysics surveys with results currently pending. EMU has advised that it will drill targets during 2025 following completion of the wet season.
The 2023/24 work has confirmed significant, large-scale potential of the project.
The fieldwork has provided support for a large-scale copper porphyry system at the Yataga Copper Project. Drilling results this year will confirm the potential however EMU is targeting large economic bulk tonnage copper resources from shallow ore bodies at Fiery Creek and the Yataga Valley prospects.
Badja Project
The Badja project is located 32 kilometres southeast of the township of Yalgoo and covers an area of 870 hectares. The project's tenements include 2 centrally granted mining leases an adjoining mining lease application covering 279.3 hectares, and a granted exploration license covering 590.3 hectares. EMU’s previous drilling work has identified areas that are prospective for high-grade gold, tungsten and lithium.
EMU is evaluating options to maximize the value of the project, either through sale or retention.
Yataga Copper Project
The Yataga copper project is composed of two prospects overlaying the copper geochemistry anomalous zones within the Yataga Igneous Complex. Most recent discoveries include widespread surficial copper mineralisation along the NNW-SSE shear zone in the central part of the Yataga Copper Project. Surface geochemical surveys have updated EMU’s ecological modelling and identified multiple intra-pluton porphyry copper centres close to the surface. The company’s
recent work has identified a combined area of 8 sq. km of copper-in-soil anomalism with significant potential for expansion. The results from EMU’s field work continue to prove the project’s potential to be a global tier 1 scale copper discovery.
Management Team
Peter Thomas – Non-executive Chairman
Peter Thomas has over thirty years of experience running a legal practice specializing in giving advice to listed explorers and miners. He has served on the boards of various listed companies, including as the founding chairman of copper producer Sandfire Resources and mineral sands producer Image Resources. His current ASX-listed company board positions include non-executive director of Image Resources and non-executive chair of Middle Island Resources.
Roland Bartsch - Non-Executive Director
Roland Bartsch MSc. BSc (Hons) is a geoscientist/mining executive with more than 30 years’ experience in mineral exploration, project development, resource evaluation and mining.
Commencing his career at Western Mining Corporation he has worked with diverse major mining organisations, international consulting groups, and junior miners on copper-gold, base metal, gold and iron ore projects extending from Greenland, the Americas, Africa, Indonesia, Solomon Islands and Australia. Recent roles include chief executive officer, country manager Australia, general manager geology, vice-president technical/geology, technical director and manager geology, mining and exploration.
Tim Staermose – Non-executive Director
Tim Staermose boasts 23 years of expertise in equity capital markets and equity research. His professional journey includes roles at international sell-side equity brokerage firms based in South Korea and Hong Kong, notably Banque Indosuez (now part of Credit Agricole) in the late 1990s and Lehman Brothers in the early 2000s. Transitioning from sell-side equity research, Staermose has since operated as an independent researcher and stock-picker for several private research firms, focusing on natural resources, gold and mining investments.
The gold price broke through US$2,700 per ounce this week for the first time in about a month, rising to the US$2,720 level as it reacted positively to US inflation data released on Wednesday (January 15).
The latest report from the Bureau of Labor Statistics shows that the consumer price index (CPI) was up 2.9 percent year-on-year in December, higher than November's 2.7 percent annual increase.
Meanwhile, CPI was up 0.4 percent from the previous month, above the 0.3 percent rise in November.
However, core CPI, which removes the more volatile food and energy categories, was up 3.2 percent year-on-year and 0.2 percent from the previous month. Before December, core CPI had risen 3.3 percent annually for four months in a row.
These numbers have sparked optimism that inflation may be ready to trend closer to the US Federal Reserve's 2 percent target. In turn, that could prompt the central bank to cut interest rates more quickly than expected.
"For the Fed, this is certainly not enough to prompt a January cut. But, if today’s print were accompanied by another soft CPI print next month plus a weakening in payrolls, then a March rate cut may even be back on the table" — Seema Shah, Principal Asset Management.
While gold has been thriving in today's environment of higher rates, it typically performs better when they are lower.
Moving forward, market watchers will be keeping an eye on the Fed's next meeting, which is scheduled for January 28 to 29. And of course, US President-elect Donald Trump's inauguration will take place on January 20.
Bullet briefing — INN to attend VRIC
This week's update is a little on the short side, but it's for a good cause — the Investing News Network is gearing up to head to the Vancouver Resource Investment Conference (VRIC), which runs from January 19 to 20.
Editorial Director Charlotte McLeod is looking forward to interviewing Rick Rule, Adrian Day, Lobo Tiggre, Lynette Zang, Andy Schectman and many more popular experts. If you have any questions you'd like answered or topics you'd like to see discussed, head over to our YouTube channel and leave a comment.
The team will be posting VRIC video content as soon as possible, but for real-time updates give us a follow on X @INN_Resource — we'll be posting throughout the conference using the hashtag #INNatVRIC.
And if you're attending the show, definitely make sure to come visit us at booth M9. We hope to see you there!
Want more YouTube content? Check out our expert market commentary playlist, which features interviews with key figures 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.
Six mining companies broke the top 20 in the recently released 2025 OTCQX Best 50, an annual list recognizing the 50 top-performing companies traded on the OTCQX Best Market during the previous calendar year.
The rankings evaluate companies based on a combination of one-year total return and average daily dollar volume growth, offering investors insight into companies delivering strong performance across diverse sectors.
The 2025 OTCQX Best 50 features a broad array of US and international firms, with industries ranging from technology and healthcare to mining and financial services. Companies in the resource sector were well represented on the list, with more than 15 focused on mining and energy placing in the Best 50.
This year, the companies on the list collectively achieved a median total return of 74 percent and a combined trading dollar volume of US$5.85 billion.
Learn about the six mining stocks that made it into the OTCQX Best 50's top 20 below.
The highest-ranking mining company on the list is American Rare Earths, which came in third place on the OTCQX Best 50 list. Headquartered in Auckland, New Zealand, the company focuses on critical mineral projects that support the global transition to renewable energy and advanced technologies.
Its flagship Halleck Creek rare earths project in Wyoming spans over 2,428 hectares and represents a significant step toward securing domestic US rare earth supply chains. Last February, the company increased the resource estimate at Halleck Creek by 64 percent.
In December, the company’s subsidiary, Wyoming Rare USA, secured a facility at the Western Research Institute in Laramie, Wyoming, backed by a US$7.1 million grant from the state of Wyoming. This January, it was granted a license to conduct test mining at the Cowboy State Mine within the Halleck Creek project.
In addition to Halleck Creek, the company operates the La Paz rare earth project in Arizona and the Searchlight heavy rare earths project in Nevada near the Mountain Pass mine.
Luca Mining, which placed fifth on the OTCQX list, is a Canadian mining company with operations centered in Mexico. It operates two flagship assets: the Campo Morado mine in Guerrero state, a polymetallic project processing over 2,500 metric tons of ore per day, and the Tahuehueto project in Durango State, which has entered pre-production with a designed capacity of 1,000 metric tons per day.
Through the first nine months of 2024, Luca produced 40,083 ounces of gold equivalent from a mix of gold, silver, zinc, copper and lead. Just this month, Luca initiated its first exploration drilling campaign at Campo Morado in over a decade, aiming to expand mineral resources and identify untapped zones of potential.
Freegold Ventures ranked 11th in the 2025 OTCQX Best 50, focuses on gold and copper exploration in Alaska, where it operates the Golden Summit gold and Shorty Creek copper-gold projects.
Golden Summit, located near Fairbanks in the Tintina gold belt, is an advanced-stage gold project and one of North America’s largest undeveloped gold resources following a major resource update in early 2023.
The company’s 2024 drilling program yielded high-grade gold intercepts to the west and southwest at Golden Summit, reinforcing its expansion potential. Results from the program will be used for an updated mineral resource estimate in 2025.
In 12th place on the Best 50 is Montage Gold. The company is advancing its flagship Koné gold project in Côte d’Ivoire toward becoming a significant African gold producer.
According to Montage, the Koné project stands out as one of Africa's highest-quality gold assets, with a 16-year mine life, low all-in sustaining costs (AISC) of US$998 per ounce, and an annual production target exceeding 300,000 ounces during its first eight years.
Construction of the Koné project officially commenced in late 2024, with first gold production anticipated by Q2 2027 and supported by over US$900 million in liquidity.
Lundin Gold, which ranked 14th overall, is a Canadian mining company that owns and operates the Fruta del Norte gold mine in Southeast Ecuador.
This mine, one of the highest-grade operating gold mines globally, has been a key contributor to Lundin’s growth since commencing production in late 2019.
In 2024, Lundin Gold achieved a record annual production of 502,029 ounces of gold from Fruta del Norte, surpassing its guidance of 450,000 to 500,000 ounces. The fourth quarter alone saw production of 135,241 ounces, including 88,834 ounces of concentrate and 46,407 ounces of doré.
In 16th place is G2 Goldfields, a Canada-based exploration company with a strong presence in Guyana’s gold-rich regions.
The company holds 100 percent interests in projects located within the Oko Aremu and Puruni districts, including its Oko gold project, advancing its position as a key player in the region's mining landscape.
Recently, G2 filed an independent technical report for its New Aremu project, highlighting substantial gold mineralization in quartz veins and boulders.
The company has also announced plans to spin out several greenfield assets into a new subsidiary, G3 Goldfields. This initiative aims to sharpen G2’s focus on its core properties while allowing G3 to expand its portfolio with promising gold projects in the Cuyuni and Puruni districts.
Don’t forget to follow us @INN_Resource for real-time news updates!
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: Freegold Ventures is a client of the Investing News Network. This article is not paid-for content.
Radisson Mining Resources (TSXV:RDS,OTCQB:RMRDF) is a gold exploration company unlocking the value of its 100 percent owned O’Brien gold project. Located in the Abitibi Greenstone Belt along the prolific Larder-Lake-Cadillac Break in Quebec, Canada, the O’Brien gold project hosts the highest-grade, past-producing mine along the Cadillac Break. Radisson Mining Resources leverages its extensive drilling campaigns, high-grade historical production, and experienced management team to create value for shareholders and stakeholders.
With world-class assets, robust exploration programs, and experienced leadership, Radisson is well-positioned to deliver value to its shareholders.
The O’Brien gold project is in the Abitibi region of northwestern Quebec, along the Larder-Lake-Cadillac Break, and encompasses the historic O’Brien mine, which produced 587,121 ounces of gold at an average grade of 15.25 grams per ton (g/t) between 1926 and 1957. The company has planned a 22,000-metre drilling program to expand known mineralization below existing resources.
Company Highlights
Flagship O’Brien Gold Project: Hosts the highest-grade, past-producing mine along the Cadillac Break, with significant resource expansion potential.
Located in tier-one mining district amongst numerous world-class producers
Experienced Leadership: A seasoned management team and board with a proven track record in mining exploration and development.
Commitment to Sustainability: Prioritizes environmental stewardship and community engagement in all exploration activities.
This Radisson Mining Resources profile is part of a paid investor education campaign.*
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Table 1: Gold Assay Results of 2g/t of greater: Rockland 1m samples
