Sterling Metals Corp. (TSXV: SAG) (OTCQB: SAGGF) (the "Company") is pleased to announce that further to its press release of April 18, 2022, the Company has increased the size of its non-brokered private placement to up to 15,000,000 units (each, a "Unit") at a price of $0.20 per Unit for aggregate gross proceeds of up to $3,000,000 (the "Offering"). Each Unit shall be comprised of one common share (each, a "Common Share") in the capital of the Company and one Common Share purchase warrant (each, a "Warrant") of the Company. Each Warrant shall entitle the holder thereof to acquire one Common Share at a price of $0.40 per Common Share for a period of two (2) years from the closing of the Offering.
Mathew Wilson, CEO of the Company, commented: "We are thrilled with the reaction to our investment offering. This upsize reflects the broad interest while maintaining an awareness of dilution of future share appreciation. This financing will position the Company for an aggressive 2022 exploration campaign as the Company follows up on its Heimdall Zone discovery."
All securities issued pursuant to the Offering will be subject to a hold period of four months plus a day from the date of issuance and the resale rules of applicable securities legislation. The net proceeds from the sale of the Units will be used for general working capital purposes. The closing of the Offering is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals, including the approval of the TSX Venture Exchange.
This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain "forward-looking information" within the meaning of applicable securities laws. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "would", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Forward-looking information is based on the opinions and estimates of management at the date the information is provided, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. For a description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company's Management's Discussion and Analysis. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking information.
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Sterling Metals Corp. (TSXV: SAG) (the "Company") is pleased to announce a non-brokered private placement of up to 12,500,000 units (each, a "Unit") at a price of $0.20 per Unit for aggregate gross proceeds of up to $2,500,000 (the "Offering"). Each Unit shall be comprised of one common share (each, a "Common Share") in the capital of the Company and one Common Share purchase warrant (each, a "Warrant") of the Company. Each Warrant shall entitle the holder thereof to acquire one Common Share at a price of $0.40 per Common Share for a period of two (2) years from the closing of the Offering.
The Company may pay certain eligible persons (the "Finders") a cash commission equal to 7% of the gross proceeds of the Offering and broker warrants (each, a "Broker Warrant") equal to 7% of the number of Units issued pursuant to the Offering. Each Broker Warrant shall entitle the holder thereof to acquire one Common Share at a price of $0.20 per Common Share for a period of two (2) years from the closing of the Offering.
All securities issued pursuant to the Offering will be subject to a hold period of four months plus a day from the date of issuance and the resale rules of applicable securities legislation. The net proceeds from the sale of the Units will be used for general working capital purposes. The closing of the Offering is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals, including the approval of the TSX Venture Exchange.
This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain "forward-looking information" within the meaning of applicable securities laws. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "would", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Forward-looking information is based on the opinions and estimates of management at the date the information is provided, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. For a description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company's Management's Discussion and Analysis. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking information.
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Sterling Metals Corp. (TSXV:SAG) ("Sterling Metals" or the "Company") is pleased to report results from its phase 2 drilling on the south zone of the Sail Pond Silver and Base Metal Project in the Great Northern Peninsula of Newfoundland. The company will be hosting a zoom webinar at 10am EST on Thursday February 24, 2022, to discuss these findings in more detail. Registration for the event can be found at: https:us02web.zoom.uswebinarregisterWN_VlXZp4TGSZmyrSkg_eIM2g
Significant drill results are listed below:
144.0 g/t Ag Eqover 12.2 m (52.6 g/t Ag, 0.019 g/t Au, 0.21% Cu, 0.93% Pb, 0.06% Sb, & 0.33% Zn) in hole SP-21-034 beginning at 148.8 m downhole; and
851.98 g/t Ag Eq over 1m (300.17g/t Ag, 0.077 g/t Au, 1.34% Cu, 1.21% Pb, 0.35% Sb, 4.80% Zn) within a broader interval of 78.8 g/t Ag Eq over 19.8m (28.51 g/t Ag, 0.01 g/t Au, 0.13% Cu, 0.15% Pb, 0.03% Sb, & 0.40% Zn) in hole SP-21-038 beginning at 75.5 m downhole; and
1202.1 g/t Ag Eqover 0.75m (485.3 g/t Ag, 0.18 g/t Au, 1.75% Cu, 3.77% Pb, 0.59% Sb, & 4.10% Zn) within a broader interval of 94.72 g/t Ag Eqover 13.75m (38.27 g/t Ag, 0.014 g/t Au, 0.14% Cu, 0.29% Pb, 0.046% Sb, 0.32% Zn) in hole SP-21-040 beginning at 173.77 m downhole; and
963.0 g/t Ag Eq over 1.0 m (378 g/t Ag, 0.133 g/t Au, 1.20% Cu, 6.29% Pb, 0.38% Sb, & 2.41% Zn) within a broader interval of 74.44 g/t Ag Eqover 16.09m (29.22 g/t Ag, 0.011 g/t Au, 0.092% Cu, 0.45% Pb, 0.029% Sb, & 0.21% Zn in hole SP-21-039 beginning at 99.47 m downhole.
Mathew Wilson, CEO of Sterling Metals, commented: "With the high silver equivalent grades returned from the final holes of the 2021 drill program, we continue to take steps towards the discovery of a significant silver and base metal district. The Sail Pond project lends itself to a deposit model analogous to a string of pearls with several deposits situated along the 12km anomaly. We believe that in just our first program we have discovered the top of the first pearl. The next steps are to follow these structurally controlled higher-grade structures down plunge and along strike, and then to repeat this process along the entirety of the trend."
Sail Pond Drilling
Sterling's maiden drilling program on Sail Pond was designed to test several regional targets defined by soil sampling, trenching, prospecting, and geophysics along ~12 km of prospective strike length, subdivided into the North and South Zones. Today's results come from drillholes targeting a significant zone of mineralization within the South Zone (see Sterling press releases dated September 27 & October 7, 2021). The zone, which is hosted by dolostone, occurs in close proximity to a structural kink or jog in the contact of the host dolostone and the footwall argillite. Today's results show the correlation of mineralization within this flexure zone. A large mineralized system, now called the Heimdall Zone, is becoming apparent and characterized by a broad zone of low grade precious and base metals associated with breccia-style or veinlet-style sulfide mineralization. The current dimensions of the lower grade zone are approximately 400 metres of strike, 200 metres of depth, and 80 metres of width. The Heimdall Zone plunges shallowly to the northeast, starting from surface. Within this broad zone, high grade quartz-vein-hosted mineralization form veins and/or lenses which are currently correlated between drillholes over distances up to 100m. An example of such veins is shown with core photos in Figure 1. Figure 2 shows a plan map of the drilling completed to date, while Figure 3 shows the correlation of these intercepts on a longitudinal section looking at the Zone from underground.
The primary host rock for mineralization identified to date is a thick sequence of highly altered and often brecciated dolostone of the Cambro-Ordovician Saint George Group. Mineralization encountered to date typically consists of tetrahedrite-tennantite, chalcocite, sphalerite, galena, pyrite, and potentially additional sulfosalt minerals. Quartz veining and associated mineralization are ubiquitous throughout the dolostone unit, but included metallic mineralization is best developed in areas of combined brecciation and veining, especially towards the western contact of the host dolostone unit and an underlying argillite sequence. The structural evolution and metallogenic sequencing are very complex, and mineralization has been identified in association with a multitude of structural events.
Sterling hired SRK Consulting of Toronto, ON, to conduct a detailed structural study of outcrops and drill core. The results of this study have been incorporated in Sterling's targeting model and will be utilized for the 2022 program.
Sterling also continues to utilize the geological modelling and machine learning tools from Goldspot Discoveries Corp., who are also a significant shareholder of the Company. Using the IP and gravity surveys, along with the results from this last summer's drill program, Goldspot has been able to highlight the exploration areas along the 12km trend line seen in Figure 4.
Kelly Malcolm, Technical Advisor to Sterling, commented "We are very pleased to have identified a clear body of mineralization on the first ever drilling program at Sail Pond. The Heimdall Zone is showing substantial strike length & width, along with a strong background of silver and base metal mineralization. The higher-grade vein-hosted mineralization within the lower grade zones are starting to show correlation between holes and we are excited to continue to advance and grow the Zone. On the regional exploration front, the identified flexure at the contact of the host dolostone and the footwall argillite that has a control on the size of the mineralized system at Heimdall has generated a number of targets in both the north and south zones that have never seen any drilling. In addition to continued expansion and definition of the new Heimdall Zone announced today, Sterling will drill test each of the additional structural features that have been identified through geophysics, prospecting, and geochemical surveys. The Company is planning its 2022 exploration program and expects to be back on the ground towards the end of the Spring."
Table 1: Assay results from the Sail Pond Project, Newfoundland. Core lengths are presented, and true widths are unknown. The silver equivalency calculation used in this press release is described below under separate heading.
Hole ID
From (m)
To (m)
Length (m)
AgEq (g/t)
Ag (g/t)
Au (g/t)
Cu (%)
Pb (%)
Sb (%)
Zn (%)
SP-21-034
69.1
69.6
0.5
445.5
74.5
0.028
0.342
0.280
0.120
5.570
and
148.8
161
12.2
144.0
52.6
0.019
0.211
0.931
0.063
0.334
inc
152.8
153.2
0.4
644.0
227.6
0.094
0.982
2.370
0.280
2.640
inc
155
155.6
0.6
361.6
132.4
0.063
0.480
2.690
0.160
0.730
inc
159.9
161
1.1
392.7
123.8
0.034
0.393
4.000
0.140
1.060
inc
195
195.5
0.5
398.7
172.4
0.003
0.743
0.810
0.200
1.030
SP-21-038
75.5
95.3
19.8
78.8
28.5
0.010
0.126
0.149
0.030
0.398
inc
85.5
95.3
9.8
145.9
51.0
0.017
0.222
0.300
0.054
0.796
inc
90.25
91.25
1
852.0
300.2
0.077
1.314
1.212
0.350
4.795
SP-21-040
173.77
187.52
13.75
94.7
38.3
0.014
0.142
0.287
0.046
0.320
inc
179.25
187.52
8.27
150.4
62.0
0.021
0.229
0.455
0.074
0.470
inc
179.25
179.5
0.25
915.1
402.0
0.52
1.640
2.560
0.460
1.910
inc
186.77
187.52
0.75
1202.2
485.3
0.179
1.75
3.77
0.59
4.10
SP-21-039
99.47
115.56
16.09
74.4
29.2
0.012
0.092
0.454
0.029
0.206
inc
99.47
105.93
6.46
167.1
67.2
0.023
0.21
1.04
0.067
0.406
inc
101.95
102.95
1
963.0
378.0
0.133
1.195
6.285
0.380
2.413
inc
101.95
102.2
0.25
1923.8
715.0
0.356
2.480
9.700
0.760
6.970
SP-21-032
145.75
154
8.25
75.7
29.0
0.010
0.120
0.328
0.033
0.228
inc
145.75
146
0.25
587.2
211.0
0.080
0.896
3.820
0.210
1.490
inc
148.62
148.87
0.25
1159.9
479.0
0.122
2.080
3.810
0.550
2.710
and
113.39
113.64
0.25
555.6
106.6
0.085
0.720
1.250
0.260
4.850
and
130.62
130.87
0.25
843.5
433.0
0.040
1.440
2.060
0.540
0.490
SP-21-031
130.14
136.5
6.36
144.4
41.6
0.015
0.174
0.628
0.046
0.919
inc
133.8
136.5
2.7
290.1
86.8
0.028
0.350
1.193
0.085
1.848
inc
135.5
135.75
0.25
789.5
291.0
0.072
1.210
4.740
0.300
2.080
inc
135.75
136
0.25
606.1
180.0
0.051
0.660
2.720
0.160
4.020
inc
136.25
136.5
0.25
553.1
150.0
0.048
0.696
1.600
0.160
4.190
SP-21-030
76.5
96.85
20.35
45.7
12.72
0.008
0.045
0.305
0.012
0.266
Inc
81.35
81.6
0.25
417.1
170
0.036
0.748
0.47
0.23
1.47
inc
94.15
96.85
2.7
251.5
68.2
0.041
0.236
1.881
0.057
1.444
inc
94.4
94.65
0.25
1154.9
348.0
0.150
1.310
10.600
0.300
4.040
inc
94.65
94.9
0.25
648.7
225.0
0.069
0.691
5.500
0.200
1.990
SP-21-033
169.38
209.5
40.12
18.46
5.2
0.003
0.017
0.056
0.005
0.146
inc
169.38
169.63
0.25
734.3
115.4
0.003
0.515
0.126
0.180
9.800
inc
209.25
209.5
0.25
959.8
273.5
0.071
0.677
1.630
0.300
9.100
SP-21-025
206.5
208.4
1.9
120.77
54.5
.0073
0.23
0.7
0.02
0.09
inc
206.75
207
0.25
547.9
269.0
0.029
1.290
1.580
0.044
0.510
inc
207.75
208.4
0.65
131.7
51.3
0.005
0.170
1.430
0.038
0.041
SP-21-037
104.5
105.1
0.6
485.2
65.5
0.129
0.251
0.077
0.060
6.940
SP-21-041
129.6
129.85
0.25
923.1
360.0
0.061
2.060
1.710
0.510
2.090
SP-21-022
35
39.3
4.3
59.4
21.2
0.007
0.080
0.152
0.025
0.317
inc
36.43
37
0.57
125.8
34.8
0.015
0.107
0.310
0.036
1.110
inc
39
39.3
0.3
348.6
154.4
0.016
0.610
0.790
0.210
0.740
and
65
66
1
178.2
67.9
0.009
0.275
0.647
0.091
0.610
SP-21-024
184.9
185.28
0.38
440.8
214.0
0.008
0.897
0.031
0.290
0.740
SP-21-026
147
148
1
134.1
44.6
0.008
0.186
0.271
0.043
0.865
and
278.16
280.06
1.9
66.5
15.3
0.006
0.060
0.166
0.014
0.658
inc
278.66
279.16
0.5
101.8
29.2
0.007
0.129
0.082
0.029
0.870
SP-21-028
111
117.15
6.15
27.7
13.3
0.011
0.038
0.080
0.015
0.046
inc
116.9
117.15
0.25
608.4
310.0
0.073
0.871
1.430
0.350
0.960
SP-21-029
27.7
30.35
2.65
63.5
27.2
0.008
0.101
0.297
0.022
0.139
inc
27.7
28
0.3
267.7
117.0
0.037
0.445
1.030
0.100
0.580
SP-21-021
39.75
40
0.25
349.6
141.6
0.005
0.569
0.036
0.170
1.750
and
52
52.54
0.54
79.8
41.9
0.003
0.167
0.049
0.039
0.076
SP-21-012
42.55
42.8
0.25
126.6
30.8
0.003
0.016
2.860
0.010
0.004
and
89.25
89.75
0.5
198.4
70.5
0.015
0.394
0.076
0.120
0.860
SP-21-036
169
169.57
0.57
91.4
44.7
0.012
0.148
0.330
0.036
0.123
and
250
251
1
63.3
24.1
0.003
0.122
0.028
0.020
0.320
SP-21-011
No Significant Values
SP-21-027
No Significant Values
SP-21-035
No Significant Values
Figure 1: Drill core from the South Zone of the Sail Pond Project showing similar high-grade vein-hosted mineralization in adjacent drillholes indicating continuity of mineralization. Core size is NQ3 (45 mm diameter).
A: Quartz-vein hosted semi-massive to disseminated sulfide and sulfosalt mineralization, including tetrahedrite-tennantite, sphalerite, and galena from 90.25 to 91.25 metres in hole SP-21-038.
B: Close-up of mineralization in hole SP-21-038. The sample returned 1,149.0 g/t Aq Eq comprised of 441 g/t Ag, 1.93% Cu, 6.14% Zn, 0.099 g/t Au, 0.07% Pb, & 0.51% Sb, over 0.59 metres.
C: Quartz-vein hosted (with breccia-hosted mineralization at margins) semi-massive to disseminated sulfide and sulfosalt mineralization, including tetrahedrite-tennantite, sphalerite, and galena from 186.77 to 187.52 metres SP-21-040.
D: Close-up of mineralization in hole SP-21-040. The sample returned 1,257.0 g/t Ag Eq comprised of 500.0 g/t Ag, 0.46 g/t Au, 1.81% Cu, 4.59% Pb, 0.56% Sb, & 3.86% Zn, over 0.25 m.
Figure 2: Plan map of the Heimdall Zone, showing drillhole locations and traces of holes released in this press release as well as previously released holes. Also shown is satellite photo-imagery which highlights the ease of access to the area as well as the historical trenching areas.
Figure 3: Vertical Longitudinal section looking West North West showing assay composites presented in gram-metres (often referred to as "Metal Factor") of Silver-Equivalent. Composite locations presented are the three-dimensional midpoint of the assay composite. Composites used include all significant intervals from this and previous press releases.
Figure 4: Goldspot targeting results for additional flexure structural traps at the contacts of the target dolostone and footwall argillite along the 12 km target area.
Silver Equivalent Calculation
Silver equivalent (Ag Eq) values were calculated using the following formula: ((Ag_oz*$USAg_price/oz)+(Au_oz*$USAu_price/oz)+(Cu_lb*$USCu_price/lb)+(Pb_lb*$USPb price/lb)+(Sb lb*$USSb_price/lb)+(Zn_lb*$USZn_price/lb))/$USAg_price/oz.
Silver equivalent grade calculations are based on the current spot metal prices and are provided for comparative purposes only. This approach reflects the polymetallic nature of the mineralization. Recovery factors of 100% have been assumed for all metals. Metallurgical tests will be required to establish recovery levels for each element reported. Metal spot prices as at the close of the London Metals Exchange February 3rd 2022 were applied and include: Ag - $US 22.37/oz; Au - $US1803.60/oz, Cu - $US4.44/lb; Zn - $US1.62/lb; Pb - $US 0.99/lb. The Sb - $US 5.45/lb price applied was sourced from Argus Media, a recognized provider of energy and commodity price benchmarks.
Qualified Person
David Murray, P.Geo., Senior Project Geologist at Mercator Geological Services, an Independent Qualified Person within the meaning of National Instrument 43-101 Standards of Disclosure for Minerals Projects, has reviewed and approved the technical information presented herein.
Laboratory Technical Note
Analytical services were provided by Eastern Analytical Limited (Eastern) of Springdale Newfoundland, which is an independent, CALA-accredited analytical services firm registered to ISO 17025 standard. Drill core was halved by sawing at the Sterling core facility and half-core samples were securely stored at the facility until being delivered to Eastern by commercial transport. Samples were crushed to 80% passing 10 mesh, split to 250g, and pulverized to 95% passing 150 mesh. Au assays were conducted on 30g of pulverized material using the Fire Assay method with an AA finish. Multi-element analyses, including base metals, were conducted on pulverized material using the ICP method for 34 elements. Laboratory over-limits analysis methods were applied as required. A systematic QAQC protocol was employed that includes systematic insertion in the sample stream of certified reference materials and blank samples, plus analysis of duplicate pulp splits.
Sterling Metals (TSXV:SAG) is a mineral exploration company focused on Canadian exploration opportunities. The company is currently exploring for silver and base metals at the Sail Pond project in Northwestern Newfoundland. Sterling has recently fulfilled its obligations to acquire 100% of the 13,500 Ha Project from Altius Resources, Inc.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain "forward-looking information" within the meaning of applicable securities laws. Forward looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "would", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Forward-looking information is based on the opinions and estimates of management at the date the information is provided, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. For a description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company's Management's Discussion and Analysis. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking information.
Sterling Metals Corp. (TSXV:SAG) ("Sterling Metals" or the "Company") is pleased to report the first assays from its maiden drilling program on the Silver-Copper-Lead-Zinc Sail Pond Project ("Sail Pond" or the "Project") located on the Great Northern Peninsula of Newfoundland, Canada. The company completed 16 drill holes in its Phase 1 program and from the data gathered launched a Phase 2 program focused on the South Zone of the Project. The first and only series of assay results the company has received to date from its Phase 2 program pertain to hole SP-21-018 and include the following highlights
73.84 g/t AqEqover 11.1 m, including 1,096.59 g/t AgEq over 0.25 m
97.56 g/t AgEqover 10.05 m, including 1,854.02 g/t AgEq over 0.4 m
91.18 g/t AgEq over 14.6 m, including 895.86 g/t AgEq over 0.25 m.
Further results from drilling arepresented in Table 1, including results for Phase 1 hole SP-21-008 that intercepted up to 1.05 m of 649.77g/t AgEq, including 0.55 m of 1039.63g/t AgEq and from hole SP21-004 that intercepted 7 m of 84.57g/t AgEq. Downhole meterages for all intervals noted above are included in Table 1.Images of high grade polymetallic drillcore from the Project appear in Figure 1 and drillhole locations are presented in Figures 2 & 3.
The company is also pleased to announce an expansion of its current drilling program from 7,500 to 8,500 metres, which will target extensions of visually identified, well developed polymetallic mineralization present in hole SP-21-018. Sterling has now completed 36 drill holes and has 3,110 core samples in total awaiting analysis at the Eastern Analytical Limited laboratory in Springdale, Newfoundland. The Company is also pleased to announce that is has completed it's earn-in requirements from Altius Resources Inc. to gain 100% ownership of the Sail Pond Project.
Mathew Wilson, CEO of Sterling Metals, commented: "This is a very exciting discovery and confirms that the Sail Pond Project has the potential to host a significant silver-bearing polymetallic mineral deposit. With a treasury of $3 million and assays for tens of holes still to come, the company is in a very strong position as we advance our exploration at our now 100% owned Sail Pond Project."
Kelly Malcolm, technical advisor to Sterling Metals, commented: "As we continue to advance the geological understanding of the polymetallic Sail Pond Project, our targeting and significant hit ratio has become much more consistent. We have been seeing thicker concentrations of polymetallic sulfide mineralization proximal to the footwall contact of the host rock sequence. We're looking forward to receipt of many assays from our Phase 2 drilling program as we continue to advance this unique silver and base metal project in mining-friendly Newfoundland."
Sail Pond Drilling Sterling's Phase 1 drilling program was designed to test several regional targets defined by soil sampling, trenching, prospecting, and geophysics along ~12 km of prospective strike length. The primary host rock for mineralization identified to date is a thick sequence of highly altered and often brecciated dolostone of the Cambro-Ordovician Saint George Group. Mineralization encountered to date typically consists of tetrahedrite-tennantite, chalcocite, sphalerite, galena, pyrite, and potentially additional sulfosalt minerals. Quartz veining and associated mineralization are ubiquitous throughout the dolostone unit, but included metallic mineralization is best developed in areas of combined brecciation and veining, especially towards the western contact of the host dolostone and an underlying argillite sequence. Phase 1 drilling was successful in intercepting mineralization of interest over narrow widths across the Project, as presented in Table 1, and232 samples from 8 Phase 1 drillholes are still pending.
Phase 2 drilling is focused specifically on the South Zone of Sail Pond, where Phase 1 drilling identified the highest concentration of sulfides and sulfosalts. The second drillhole from Phase 2, SP-21-018, intersected a broad zone of silver-copper-zinc-lead-antimony mineralization, with several intervals of higher concentration and higher grade being present, as identified in Table 1. As drill density increased in the South Zone, 3D modelling showed that a structural jog or flexure at the contact between the host dolostone and footwall argillite is associated with the zone of highest mineralization intensity. This feature appears to have locally focused fluid flow related to deposition of the polymetallic mineralization and is also marked by an increase in quartz vein thickness and intensity of associated mineralization. This contact and the associated structural flexure are discernible in existing property-wide IP chargeability data, and these factors have recently contributed significantly to definition of new regional drill targets. Several additional Phase 2 drillholes, for which assays are pending, intersected thick sections of quartz veining and breccia showing variably developed polymetallic mineralization. A total of 2,878 core samples from 17 drillholes from Phase 2 are awaiting analysis at the date of this press release.
Table 1: Assay results from the South Zone of the Sail Pond Project, Newfoundland. Core lengths are presented and true widths are unknown at this time. The silver equivalency calculation used in this press release is described below under separate heading.
Note: See AgEq calculation details under separate heading below
Figure 1: Drill core from the South Zone of the Sail Pond Project. A: Quartz-vein hosted sulfide and sulfosalt mineralization, including tetrahedrite-tennantite, galena, and sphalerite at 174.55 m in hole SP-21-008. The sample returned 1039.63 g/t AgEq comprised of 320.00 g/t Ag, 0.08 g/t Au, 0.79 % Cu, 15.10 % Pb, 0.25 % Sb, & 1.66% Zn over 0.55 metres. B: Quartz-vein hosted sulfide and sulfosalt mineralization, including tetrahedrite-tennantite, sphalerite, galena, and chalcocite at 114.45 m in hole SP-21-018. The sample returned 1,854.02 g/t AgEq comprised of 612 g/t Ag, 0.2 g/t Au, 2.26 % Cu, 3.35 % Pb, 0.86 % Sb, & 14.7 % Zn over 0.4 metres
Figure 2: North Zone and South Zone of the Sail Pond project showing copper-in-soil sample values underlain by regional geology.
Figure 3: Drillhole locations and traces of released and pending holes from the South Zone of the Sail Pond Project, underlain by satellite imagery and previous grab sample results
Silver Equivalent Calculation Silver Equivalent (AgEq) values were calculated using the following formula: ((Ag_oz*$USAg_price/oz)+(Au_oz*$USAu_price/oz)+(Cu_lb*$USCu_price/lb)+(Pb_lb*$USPb_price/lb)+(Sb_lb*$USSb_price/lb)+(Zn_lb*$USZn_price/lb))/$USAg_price/oz.
Silver equivalent grade calculations are based on the current spot metal prices and are provided for comparative purposes only. This approach reflects the polymetallic nature of the mineralization. Recovery factors of 100% have been assumed for all metals. Metallurgical tests will be required to establish recovery levels for each element reported. Metal spot prices as at September 20, 2021 were applied and include: Ag - $US 22.19/oz; Au - $US1,760.50/oz as reported by www.Kitco.com and, Cu - $US4.13/lb; Zn - $US1.37/lb; Pb - $US 0.99/lb as reported by www.Kitcometals.com. The Sb - $US 5.45/lb price applied was sourced from Argus Media, a recognized provider of energy and commodity price benchmarks.
Qualified Person David Murray, P.Geo., Senior Project Geologist at Mercator Geological Services, an Independent Qualified Person within the meaning of National Instrument 43-101 Standards of Disclosure for Minerals Projects, has reviewed and approved the technical information presented herein.
Laboratory Technical Note Analytical services were provided by Eastern Analytical Limited (Eastern) of Springdale Newfoundland, which is an independent, CALA-accredited analytical services firm registered to ISO 17025 standard. Drill core was halved by sawing at the Sterling core facility and half-core samples were securely stored at the facility until being delivered to Eastern by commercial transport. Samples were crushed to 80% passing 10 mesh, split to 250g, and pulverized to 95% passing 150 mesh. Au assays were conducted on 30g of pulverized material using the Fire Assay method with an AA finish. Multi-element analyses, including base metals, were conducted on pulverized material using the ICP method for 34 elements. Laboratory over-limits analysis methods were applied as required. A systematic QAQC protocol was employed that includes systematic insertion in the sample stream of certified reference materials and blank samples, plus analysis of duplicate pulp splits.
About Sterling Metals Sterling Metals (TSXV:SAG) is a mineral exploration company focused on Canadian exploration opportunities. The company is currently exploring for silver and base metals at the Sail Pond project in Northwestern Newfoundland. Sterling has recently fulfilled its obligations to acquire 100% of the 13,500 Ha Project from Altius Resources, Inc.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain "forward-looking information" within the meaning of applicable securities laws. Forward looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "would", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Forward-looking information is based on the opinions and estimates of management at the date the information is provided, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. For a description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company's Management's Discussion and Analysis. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking information.
Sterling Metals Corp. (TSXV:SAG)(OTCQB:SAGGF) ("Sterling Metals" or the "Company") is very pleased to report the commencement of a maiden drilling program on the Silver-Copper-Lead-Zinc Sail Pond project ("Sail Pond" or the "Project") located on the Great Northern Peninsula of Newfoundland, Canada. The drilling program will comprise of an initial 7,500 metres with one drill and is expected to take approximately 4 months to complete. Initial drill holes will target the South Zone, where previous exploration campaigns have identified extremely high-grade mineralization with grab sample results up to 4,526.1 gt Ag, 0.9 gt Au, 14.9 % Cu, 7.5 % Pb, 5.0 % Sb, and 9.6 % Zn (see Sterling Metals press release dated January 6, 2021). In addition, the Company is pleased to announce the results and interpretation of a gravity survey completed over the South Zone, which will assist with drill targeting
Mathew Wilson, CEO of Sterling Metals, commented "we want to thank everyone who has helped Sterling get to this point. Since acquiring this project in October of last year, each data point generated has progressively given us greater confidence in our Sail Pond asset. With our fully funded 7500m program, and the plan and funds to expand well beyond this first program, we look forward to seeing what lies beneath this at surface 12km, district scale, high grade project."
Drill Program
Sterling Metals has contracted Logan Drilling Group International out of Stewiacke, Nova Scotia, and Mercator Geological Services out of Dartmouth, Nova Scotia to complete its upcoming initial 7,500 metre program. Assays will be sent to Eastern Analytical in Springdale, approximately 3 hours south of the Sail Pond project. Compilation and interpretation work completed by GoldSpot Discoveries Corp (as announced by Sterling on May 13, 2021) has identified 18 priority drill target locations and a total of 12,485 metres of drill targets. The drill program has been designed to target known surface mineralization as well as geophysical and structural targets in areas that have not been subjected to significant surface exploration.
Gravity Survey Results
A small gravity survey was completed in March over the South Zone of Sail Pond. GoldSpot Discoveries Corp (SPOT) has completed their interpretation of the data and have presented compelling results. A linear trend consisting of gravity-high anomalies has been identified, as shown in Figure 1, which correlates very well with both metal-in-soil anomalies and high-grade grab samples. The gravity high lies between the contacts of several geological units, namely the Table Head and Table Cove Formations and the Table Cove and Watts Bight Formations. The gravity high correlates quite well with induced polarization ("IP") data, with the bulk of the gravity anomaly lying within a large zone of resistivity and adjacent to a zone of conductivity. The strongest gravity anomalies also lie within a zone of chargeability. Three-dimensional inversion of the gravity data shows that the anomalies deep steeply to the East, while the mapped geology shows that it dips to the West. The difference in the dip of the gravity anomaly compared to the geology indicates that the gravity anomaly is likely not formational, i.e., it is potentially associated with a mineralized body. Sterling's initial drillholes will test these anomalies, which indicate the potential of galena-bearing sulfides at depth. Sterling will also expand the gravity survey to cover the entire geochemical trend on the Project and utilize this data to further optimize its targets during the drilling program.
Figure 1: Filtered, interpreted, gravity data (in mG) on the South Zone of the Sail Pond project overlain by Lead-in-soil data. Note the very strong correlation of the gravity highs (warm colours) with the high-grade lead values.
Financing Change
Further to the Company's press release of April 1, 2021, the Company has paid certain eligible persons (the "Finders") an aggregate of 8,290 broker warrants (each, a "Broker Warrant"). Each Broker Warrant entitles the holder thereof to acquire one common share at a price of $0.65 per Common Share until March 31, 2023. All securities issued pursuant to the offering will be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation.
Qualified Persons
Kelly Malcolm, P.Geo., Technical Advisor to Sterling Metals, and a Qualified Person within the meaning of National Instrument 43-101 Standards of Disclosure for Minerals Projects, has reviewed and approved the technical information presented herein.
Sterling Metals (TSXV:SAG)(OTCQB:SAGGF) is a mineral exploration company focused on Canadian exploration opportunities. The company is currently exploring for silver and base metals at the Sail Pond project in Northwestern Newfoundland. Sterling has the option to acquire 100% of the 13,500 Ha Project by spending $500,000 by October 2021 and an additional $1,000,000 by October 2023.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain "forward-looking information" within the meaning of applicable securities laws. Forward looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "would", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Forward-looking information is based on the opinions and estimates of management at the date the information is provided, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. For a description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company's Management's Discussion and Analysis. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking information.
Sterling Metals Corp. (TSXV:SAG)(OTCQB:SAGGF) has received a receipt of approval from OTC Markets Group to trade on the OTCQB Venture Market, effective May 24, 2021, under the symbol SAGGF. The OTCQB quotation will increase the accessibility of the company to United States-based retail and institutional investors and aligns well with the company's focus on its mineral properties within North America. The company profile can be viewed at the OTC Market website
Mathew Wilson, CEO of Sterling Metals commented, "We are pleased to meet the criteria to graduate from the Pink market to the OTCQB. There is a strong level of US domiciled interest in the silver exploration investment marketplace and the OTCQB provides an excellent opportunity for us to reach a broad new range of investors. This is especially important as we count down the weeks to the commencement of our maiden drill program."
The OTCQB offers developing Canadian companies the benefits of being publicly traded in the U.S. with lower cost and complexity than a U.S. exchange listing. Streamlined market standards enable Canadian companies to provide a strong baseline of transparency to inform and engage U.S. investors. To be eligible, Canadian companies must be current in their SEDAR reporting and undergo an annual verification and management certification process.
Nauth LPC acted as the company's OTC Markets sponsor in connection with the OTC listing.
Sterling Metals (TSXV: SAG) is a mineral exploration company focused on Canadian exploration opportunities. The company is currently exploring for silver and base metals at the Sail Pond project in Northwestern Newfoundland. Sterling has the option to acquire 100% of the 13,500 Ha Project.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain "forward-looking information" within the meaning of applicable securities laws. Forward looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "would", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Forward-looking information is based on the opinions and estimates of management at the date the information is provided, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. For a description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company's Management's Discussion and Analysis. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking information.
The shareholders of Lundin Mining Corporation (TSX: LUN) together with BHP Group Limited and Filo Corp. (TSX: FIL) have agreed to the terms of a Plan of Arrangement resulting in the combination of the two companies. Each share of Filo Corp. will be exchanged for 2.3578 shares of Lundin Mining or C$33.00 cash subject to proration of a max cash of C$2,767 million and maximum share consideration of 92.1 million Lundin Mining shares.
In expectation of the arrangement closing, Filo Corp. will be removed from the S&P/TSX Composite Index prior to the open of trading on January 15, 2025 . The shares outstanding of Lundin Mining will be increased at the same time to reflect the issuance of shares.
For more information about S&P Dow Jones Indices, please visit www.spdji.com
ABOUT S&P DOW JONES INDICES
S&P Dow Jones Indices is the largest global resource for essential index-based concepts, data and research, and home to iconic financial market indicators, such as the S&P 500 ® and the Dow Jones Industrial Average ® . More assets are invested in products based on our indices than products based on indices from any other provider in the world. Since Charles Dow invented the first index in 1884, S&P DJI has become home to over 1,000,000 indices across the spectrum of asset classes that have helped define the way investors measure and trade the markets.
S&P Dow Jones Indices is a division of S&P Global (NYSE: SPGI), which provides essential intelligence for individuals, companies, and governments to make decisions with confidence. For more information, visit www.spdji.com .
The shareholders of Lundin Mining Corporation (TSX: LUN) together with BHP Group Limited and Filo Corp. (TSX: FIL) have agreed to the terms of a Plan of Arrangement resulting in the combination of the two companies. Each share of Filo Corp. will be exchanged for 2.3578 shares of Lundin Mining or C$33.00 cash subject to proration of a max cash of C$2,767 million and maximum share consideration of 92.1 million Lundin Mining shares.
In expectation of the arrangement closing, Filo Corp. will be removed from the S&P/TSX Composite Index prior to the open of trading on January 15, 2025 . The shares outstanding of Lundin Mining will be increased at the same time to reflect the issuance of shares.
For more information about S&P Dow Jones Indices, please visit www.spdji.com
ABOUT S&P DOW JONES INDICES
S&P Dow Jones Indices is the largest global resource for essential index-based concepts, data and research, and home to iconic financial market indicators, such as the S&P 500 ® and the Dow Jones Industrial Average ® . More assets are invested in products based on our indices than products based on indices from any other provider in the world. Since Charles Dow invented the first index in 1884, S&P DJI has become home to over 1,000,000 indices across the spectrum of asset classes that have helped define the way investors measure and trade the markets.
S&P Dow Jones Indices is a division of S&P Global (NYSE: SPGI), which provides essential intelligence for individuals, companies, and governments to make decisions with confidence. For more information, visit www.spdji.com .
Thank you for requesting our exclusive Investor Report!
This forward-thinking document will arm you with the insights needed to make well-informed decisions for 2025 and beyond.
✓ Trends
✓ Forecasts
✓ Top Stocks
Who We Are
The Investing News Network is a growing network of authoritative publications delivering independent, unbiased news and education for investors. We deliver knowledgeable, carefully curated coverage of a variety of markets including gold, cannabis, biotech and many others. This means you read nothing but the best from the entire world of investing advice, and never have to waste your valuable time doing hours, days or weeks of research yourself.
At the same time, not a single word of the content we choose for you is paid for by any company or investment advisor: We choose our content based solely on its informational and educational value to you, the investor.
So if you are looking for a way to diversify your portfolio amidst political and financial instability, this is the place to start. Right now.
Copper was trading on the COMEX at under US$4 per pound at the beginning of 2024, but by May 21, the red metal's price had surged to a record high of US$5.11 per pound.
Price momentum at the start of the year was owed to several factors, including increasing demand from energy transition sectors, bottlenecks at Chinese refiners and near-zero copper treatment charges.
The price was volatile through the second and third quarters, slipping back below US$4 per pound before soaring above US$4.50 at the end of Q3. Read on for more on how copper performed in 2024, from prices to supply and demand.
Copper price in Q4
Copper started the fourth quarter of the year on a strong note. On October 2, the metal reached its quarterly high of US$4.60 before starting a month-long slide to US$4.31 on October 31.
Volatility was the story at the start of November. Copper soared to US$4.45 on November 5 before dropping to US$4.22 on November 6, then spiked to US$4.41 on November 7; finally, it crashed to US$4.05 on November 15.
While copper did see a couple of rallies as the year ended, it only briefly broke through resistance of US$4.20 from December 9 to 11 before settling toward the US$4 mark at the end of the month.
As of December 23, the copper price was sitting at US$4.02.
Copper concentrate market to stay tight
In an October report, Fastmarkets predicts that the concentrate market will remain tight in 2025.
This tightness will continue to impact refiner treatment charges. Though they are expected to rebound to around US$20 to US$30 per metric ton (MT), they will still be short of the US$80 mark reached in 2023.
The situation has become more challenging as new operations, particularly in China, expand capacity in 2024. Fastmarkets anticipates no change in the situation in 2025, as new smelters are set to come online in China, Indonesia and India. The additional capacity will see more refiners fighting for the available supply.
The research firm says several other factors are contributing to copper concentrate shortages, including the loss of material from First Quantum Minerals' (TSX:FM,NYSE:FM) Cobre Panama mine after it was ordered shut down in November 2023. Other miners that have cut their production forecasts are also adding to supply woes.
For example, Teck Resources (TSX:TECK.A,TECK.B,NYSE:TECK) revised its copper production guidance when it released its third quarter results on October 23. In its release, Teck indicates that the updated range now stands at 420,000 to 455,000 MT, down from the 435,000 to 500,000 MT estimated at the start of the year.
The company said the reduction was due to challenges with labor availability and problems with autonomous systems in its new haul trucks at its Highland Valley mine in BC, Canada.
China’s economy dragging on copper
A significant headwind for copper at the end of 2024 has been the continued challenges posed by China’s faltering economy. Although the country has introduced stimulus measures, they have made little difference.
The most recent stimulus announcement came on December 24, when the Chinese government announced it would issue US$411 billion worth of special treasury bonds in 2025. This package would be the highest on record, and would represent an increase over the US$137 billion issued in the past year.
The move follows President Xi Jinping’s keynote address at the country’s annual economic policy meeting on December 11 and 12. Xi said at the time that the economy was stable, and that the government would be working to boost consumption through looser monetary policy and more active fiscal policy. Few details were given on how the country would achieve its goals, and the US$411 billion debt injection could be the first sign of that policy.
In addition, in September, the Chinese government announced measures to increase credit, support cities in purchasing unsold homes and restructure debt. These efforts have failed to turn around the world’s second largest economy.
China is the world’s largest copper consumer, and any shift in the strength of the nation's economy will have implications for the price trajectory of base metal.
Copper supply was in focus in Q1 as First Quantum provided an update on its Cobre Panama mine.
The mine was forced to close at the end of 2023 after the Panamanian Supreme Court walked back a company-friendly deal initially approved in October 2023.
At the beginning of 2024, First Quantum pursued several avenues to resolve the issue and reopen the mine, including arbitration. It also waited for the results of Panama’s May election in hopes of more mining-friendly leadership.
The second quarter was dominated by news of output curtailments at Chinese smelting operations.
The cuts came as lower production levels from copper miners began to stress treatment charges at refiners as they competed for the limited availability of copper concentrate.
Speaking to the Investing News Network at the time, Joe Mazumdar, editor of Exploration Insights, said that 50 percent of the world’s smelting capacity is in China. For that reason, the end price is dictated by treatment and refining charges, which nearly turned negative due to the lack of available concentrate.
In turn, this pushed the price of copper prices higher at major exchanges.
“So there’s the cathode price. That’s stated in the LME, and Shanghai and the COMEX in the states. But if the market is tight in any of those regions locally, you will see a cathode premium … over the price of the copper,” he said. “People are willing to pay more to incentivize people that have copper inventory to release it into the market."
Copper supply and demand both saw growth during Q3.
The International Copper Study Group reported in an October 21 release that mined production of copper had increased by 2 percent year-on-year to 14.86 million MT during the first eight months of 2024.
Much was owed to 3 percent growth from Chile, with increases at BHP’s (ASX:BHP,NYSE:BHP,LSE:BHP) Escondida mine, as well as the Collahausi mine, which is a joint venture between Anglo American (LSE:AAL,OTCQX:AAUKF), Glencore (LSE:GLEN,OTC Pink:GLCNF) and Mitsui (OTC Pink:MITSF,TSE:8031).
Output from the Democratic Republic of Congo increased 11 percent, while Indonesia's production rose 22 percent.
At the same time, demand increased slightly by 2.5 percent. Much of the additional demand came from 2.7 percent growth in Asian markets, which includes a 0.5 percent increase in Chinese refined copper imports.
Investor takeaway
The copper market has been tight all year, with new demand accelerating beyond new mine supply.
This demand growth is expected to continue as the world transitions from fossil fuels to renewable technologies that require more copper, like wind and solar. However, copper demand is still constrained by weakness in the Chinese economy, particularly in its housing sector, which is an important driver of global demand for the metal.
Ultimately, in the longer term, copper supply will be lacking from new projects and expanded production to meet demand. The base metal is expected enter a supply deficit over the next few years.
Don’t forget to follow us @INN_Resource for real-time news updates!
Securities Disclosure: I, Dean Belder, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
Copper Price Forecast: Top Trends for Copper in 2025
Copper prices saw impressive gains in 2024, even breaking the US$5 per pound mark in May. However, the red metal's gains didn't last, and by the end of the year copper had retreated back to the US$4 range.
The start of 2025 could be eventful, with Donald Trump returning to the Oval Office, a new stimulus package coming into effect in China and a continued push for greener technologies around the world.
What will these factors mean for copper prices in the new year? Will they rise, or can investors expect the base metal to remain rangebound? Here's a look at what experts see coming for the important commodity.0
How will Trump's presidency impact US copper projects?
Trump will be sworn in for his second term as US president on January 20.
During his campaign, he made bold promises that could shake up the American resource sector, pushing a "drill, baby, drill" mantra and committing to increasing oil production in the country.
When it comes to copper, Trump's proposed changes to environmental regulations could have key implications. While the Biden administration has sought to toughen these rules, Trump will look to relax them.
In an email to the Investing News Network (INN), Eleni Joannides, Wood Mackenzie's research director for copper, said changes to environmental regulations are likely to benefit the mining sector overall.
“The former president has already pledged to overturn a 20 year moratorium on mining in Northern Minnesota. This pro-mining approach means more mines could be permitted and put into production,” she said.
One project that was being planned before the Biden administration restricted access to federal lands in the Superior National Forest belongs to Twin Metals Minnesota, a subsidiary of Antofagasta (LSE:ANTO,OTC Pink:ANFGF). The company has been working to advance its underground copper, nickel, cobalt and platinum-metals group project since 2006, and has submitted plans to state and federal regulatory agencies.
Another copper-focused project that may benefit from the incoming Trump administration is Northern Dynasty Minerals' (TSX:NDM,NYSEAMERICAN:NAK) controversial Pebble project in Alaska.
The company has been exploring the Bristol Bay region since acquiring the property in 2001, but the US Army Corps of Engineers denied approval in 2020; the Environmental Protection Agency did the same in 2021.
Northern Dynasty has been fighting these decisions at both the state and federal level. It reached the Supreme Court in January 2024, but was denied a hearing until the dispute is examined at the state level.
On December 20, Alaska Governor Mike Dunleavy added his support for the project when he petitioned the incoming president to issue an Alaska-specific executive order on his first day in office. The order would effectively reverse decisions made by the Biden administration, including the permitting of the Pebble project.
In addition to Pebble, projects like Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO) and BHP’s (ASX:BHP,NYSE:BHP,LSE:BHP) Resolution, and Hudbay Minerals' (TSX:HBM,NYSE:HBM) Copper World, both of which are in Arizona, may benefit from Trump’s plan to reduce permitting times on projects worth over US$1 billion.
Currently, large-scale operations like these can take up to 20 years to move from exploration to production in the US. Copper is considered a critical mineral for the energy transition, and is increasingly becoming a security concern as the US is largely dependent on China for its supply of copper.
Copper price volatility expected under Trump tariff turmoil
As tensions continue to grow between the west and eastern nations like China and Russia, it may not take much to threaten markets for critical materials, including copper.
Trump has already promised to impose a 60 percent tariff on all goods coming from China.
A tariff on copper imports could upend the president-elect's plans for the resource sector. It would increase the prices of copper imports and disrupt the overall economy.
“The risk is that the president-elect’s threatened tariffs, including 60 percent on China and 20 percent on all other nations, could derail global economic growth, lead to higher inflation and, with that, tighten monetary policy and also lead to a change in trade flows. Copper will suffer if demand takes a hit," Joannides said.
"In addition, there is likely to be continued volatility in prices,” she added.
In its recent analysis of Trump’s policies, ING sees an overall negative impact on global metals demand.
The firm believes that many of his plans, including tariffs, will cause the US Federal Reserve take a longer-term approach to reducing interest rates, which could affect investment in large-scale copper projects.
S&P Global expressed a similar view after Trump's win. Immediately after the election, copper prices sank 4 percent to fall under US$4.30, with the firm suggesting that is likely just the beginning. The organization notes that while the market may have already priced in Trump’s tariffs, a larger trade war could impact prices even further.
Economic recovery in China could further boost copper prices
China's faltering economy has been a major headwind for copper over the past several years.
The country's housing market accounts for roughly 30 percent of global demand for the red metal, meaning that any shifts could have significant implications for the copper market.
The sector has been struggling for the past few years as the country deals with economic issues, including fallout from the COVID-19 pandemic, which caused disruptions to supply chains and a spike in unemployment.
Ultimately, economic factors struck China's real estate sector, an important driver of the country’s gross domestic product; this caused the collapse of the nation's top two developers, China Evergrande Group and Country Garden.
So far, the government’s attempts to stimulate the economy and jumpstart the beleaguered real estate sector have largely failed. In September, it announced measures aimed at property buyers, such as reducing interest rates for existing mortgages by 50 points and cutting the minimum downpayment requirement for homes to 15 percent.
Other changes introduced at the time include more help from the People’s Bank of China, which will provide a lending facility for state-owned firms to acquire unsold flats for affordable housing.
China followed this up with an announcement in November that it will provide additional support for local governments by increasing their debt-raising capacity by 6 trillion yuan over the next six years.
While these measures may not be felt for some time, kickstarting the Asian nation's real estate sector could be a boon for copper producers and investors.
“If the Chinese real estate market were to post a recovery, this would see domestic demand for copper tick higher and could lead to a tighter supply and demand balance overall, assuming all other things remain unchanged. This would underpin even higher prices than we are currently projecting,” said Joannides.
Copper industry needs more investment dollars
With copper demand projected to grow long term, supply-side concerns are rising. According to Joannides, there is already recognition that copper exploration has been underinvested over the past few years.
“We are seeing signs this could change. Much of the growth over the last five years has come from brownfield expansions rather than greenfield/new discoveries," she explained to INN.
"Technology will likely help increase the chance of discovery, and broadly I would say that policymakers are now more supportive of mineral exploration as the push to secure critical raw materials supply has moved up the agenda."
Joannides pointed to greenfield projects already in the pipeline, including Capstone Copper’s (TSX:CS,OTC Pink:CSCCF) Santo Domingo in Chile, Southern Copper’s (NYSE:SCCO) Tia Maria in Peru and Teck Resources' (TSX:TECK.A,TECK.B,NYSE:TECK) Zarfanal in Peru.
There's also Northmet, a Teck and Glencore (LSE:GLEN,OTC Pink:GLCNF) joint venture in Minnesota.
Rising copper prices could also increase the flow of money from the major companies into the junior space, where most of the exploration is currently occurring.
“Copper has become the standout strategic preference for the major mining companies. The risk-adjusted cost of developing organic copper assets is higher than the cost of acquiring them,” Joannides said.
This kind of acquisition activity could help reduce the development time of assets compared to companies starting exploration from scratch.
Investor takeaway
While copper supply and demand conditions are expected to remain tight in 2025, competing forces are at play.
One of the biggest factors is Trump’s return to the White House. If the president-elect takes action as quickly as he has promised, investors could soon gain insight on the long-term implications of his policies.
In terms of China, it will take time to get the property sector back to where it was before the pandemic; however, there may be sparks early in the year as new measures start to work their way through the market.
During 2025 it may be even more prudent than usual for investors to do their due diligence on copper and keep an eye on the forces that may affect the market.
Don’t forget to follow us @INN_Resource for real-time news updates!
Securities Disclosure: I, Dean Belder, hold shares of Northern Dynasty Minerals.
Editorial Disclosure: Dore Copper is a client of the Investing News Network. This article is not paid-for content.
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.
Lobo Tiggre: Copper is My Highest-Confidence Trade for 2025 — Here's Why
Lobo Tiggre, CEO of IndependentSpeculator.com, gave the Investing News Network his updated thoughts on the US economy, as well as his outlook for gold, silver and uranium in 2025.
However, he said his highest-confidence trade for next year is copper.
"I think that it's easier to see — and highly likely to see — copper moving higher next year," Tiggre explained.
That said, he's not quite ready to pull the trigger on copper stock purchases.
"I'm not rushing out to buy yet, because I think even in the little time we have left this year we're going to see more bad economic news, and Dr. Copper with a PhD in economics always goes down with that sort of news. So I'm looking to that as a buying opportunity — I'm looking to maximize my upside by taking advantage of that."
Watch the interview above for more from Tiggre on copper, plus gold, silver and uranium. You can also click here to view the Investing News Network's New Orleans Investment Conference 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.
Affiliate Disclosure: The Investing News Network may earn commission from qualifying purchases or actions made through the links or advertisements on this page.
Gianni Kovacevic: 3 Copper Stocks for Speculators, Watch These Metals Under Trump
Investor and author Gianni Kovacevic shared his thoughts on copper market dynamics, saying that while the long-term trend is up, speculators can create significant shorter-term prices moves.
He also mentioned three copper companies he's interested in right now: CopperNico Metals (TSX:COPR,OTCQB:CPPMF), Entree Resources (TSX:ETG,OTCQB:ERLFF) and Horizon Copper (TSXV:HCU,OTCQX:HNCUF).
In addition to copper, Kovacevic spoke about the growing opportunity he sees in lithium, highlighting how major miners like Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO) are increasing their exposure to this important battery metal.
"We are going to have a supply shortage. Not in the distant future — in the next 18 to 36 months it'll be a front-page story, and it will be dovetailed with ... oil and gas. And with that comes the oil and gas investor," he said.
Explaining his view, Kovacevic said oil and gas companies are becoming interested in direct lithium extraction.
"(The oil and gas investors) are the ones that are going to really take the speculation in lithium to the next level once again. It'll be 'lithium mania 3.0' coming to a screen near you," he told the Investing News Network.
Watch the interview above for more from Kovacevic on copper and lithium, as well as Donald Trump's second term.
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.
Mining giant BHP (ASX:BHP,NYSE:BHP,LSE:BHP) introduced its Xplor 2025 cohort on Monday (January 6), choosing eight out of hundreds of applicants worldwide.
Under Xplor 2025’s terms, each of the companies is entitled to receive an equity-free grant of up to US$500,000 and access to a network of BHP and external industry experts to build out and accelerate their exploration concepts.
The selected companies and the countries they focus on are as follows:
“As the energy transition gathers pace it becomes more urgent that we can identify, develop and commercialize the discoveries required to support the transition,” BHP’s Group Exploration Officer Tim O’Connor said. “The 2025 Xplor cohort are the sorts of explorers that naturally embrace innovation in bringing promising new projects to life.”
BHP opened applications for the 2025 Xplor program last September, once again “seeking visionary teams focused on uncovering new sources of critical minerals crucial for a sustainable future.”
The eight successful applicants are focused on critical metals needed for electrification, with many targeting copper.
Now in its third edition, Xplor helps accelerate the work of promising mineral companies.
The program is often set on a six-month period, with each of the companies collaborating with BHP Xplor to expedite their geological concepts and position the projects for potential further investment and partnership with BHP.
“We were delighted with the strength of applications — the quality of exploration projects was extremely high … Successful applicants demonstrated strong leadership, a commitment to innovation in their exploration programs, and a willingness to push industry boundaries in applying new concepts, data and testing techniques,” BHP Xplor Head Marley Palin said.
According to BHP, this edition holds the most geographically diverse cohort yet. Xplor 2024 had teams focused on Botswana, Australia and Kazakhstan, while Xplor 2023 included companies working in Africa, Australia, Canada, Mongolia, Norway and Finland.
Xplor 2025 also has the highest number of successful applicants at eight; Xplor 2023 included seven companies and 2024 had six.
This month, the 2025 cohort is set to gather in Perth for Bootcamp Week. BHP said the bootcamp will teach them key strategy, operational and technical frameworks that will set them up for success over the next six months.
Filo Corp. (TSX: FIL) (Nasdaq First North Growth Market: FIL) (OTCQX: FLMMF) (" Filo " or the " Company ") is pleased to announce that the deadline for registered shareholders (the " Registered Shareholders ") of the issued and outstanding common shares of Filo (the " Filo Shares ") and for holders of stock options of Filo (the " Optionholders ") to make elections in respect of the consideration receivable pursuant to the Arrangement (as defined below) is 5:00 P.M. (Toronto Time) on January 9, 2025 (the " Election Deadline "). PDF Version
The letter of transmittal and election form (the " Letter of Transmittal ") outlines the necessary documentation and information required to be sent to the depositary for the Arrangement, Computershare Investor Services Inc. (the " Depositary "), by each Registered Shareholder and Optionholder in order to receive the consideration to which they are entitled under the Arrangement, and make an election with respect to the form of consideration they wish to receive. For complete instructions, please refer to the Letter of Transmittal previously mailed to Registered Shareholders and Optionholders on December 12, 2024 and also available under Filo's profile on SEDAR+ at www.sedarplus.ca and on the Company's corporate website at http://filocorp.com/investors/corporate-filings/ .
All elections and deposits made under a Letter of Transmittal are irrevocable and may not be withdrawn. However, an election made under a Letter of Transmittal on or prior to the Election Deadline may be changed by depositing a new Letter of Transmittal with the Depositary on or prior to the Election Deadline. Should the Arrangement not proceed for any reason, the deposited certificates and/or DRS advices representing Filo Shares (if applicable) and other relevant documents shall be returned.
The Letter of Transmittal is for use by Registered Shareholders and Optionholders only. Beneficial (nonregistered) shareholders whose Filo Shares are registered in the name of a broker, investment bank, bank, trust company, custodian, nominee or other intermediary (each, an " Intermediary ") should contact that Intermediary for instructions and assistance in making an election.
Shareholders who hold Filo Shares directly or indirectly through the central securities depository in Sweden run by Euroclear Sweden AB (" Euroclear Holders ") do not need to submit a Letter of Transmittal. For complete instructions for Euroclear Holders, please refer to the press release of the Company dated December 11, 2024 .
Filo is also pleased to announce that it has obtained all key regulatory approvals required to complete the previously announced arrangement involving, among others, the Company, BHP Investments Canada Inc. (" BHP "), a wholly-owned subsidiary of BHP Group Limited, and Lundin Mining Corporation (TSX: LUN) (OMX: LUMI) (" Lundin Mining ", and together with BHP, the " Purchaser Parties "), pursuant to which the Purchaser Parties will, among other things, acquire all of the Filo Shares not already owned by the Purchaser Parties and their respective affiliates (the " Arrangement ").
Subject to the satisfaction or waiver of the remaining conditions to implementing the Arrangement, it is expected that the Arrangement will close on or about January 15, 2025 .
Following completion of the Arrangement, the Filo Shares will be delisted from the Toronto Stock Exchange and the Nasdaq First North Growth Market. An application will also be made for the Company to cease to be a reporting issuer in the applicable jurisdictions following completion of the Arrangement.
About Filo Corp.
Filo is a Canadian exploration and development company focused on advancing its 100% owned Filo del Sol copper-gold-silver deposit located in San Juan Province, Argentina and adjacent Region III, Chile . The Company's shares are listed on the Toronto Stock Exchange and Nasdaq First North Growth Market under the trading symbol "FIL", and on the OTCQX under the symbol "FLMMF".
Additional Information
The Company's certified adviser on the Nasdaq First North Growth Market is Bergs Securities AB, +46 8 506 51703, rutger.ahlerup@bergssecurities.se .
The information contained in this news release was accurate at the time of dissemination, but may be superseded by subsequent news release(s).
The information was submitted for publication by the contact persons below on January 6, 2025 at 1:00 am EST .
CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION: This press release may contain certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking information") within the meaning of applicable securities legislation. All statements, other than statements of historical fact, included herein, including, without limitation, the consummation and timing of the Arrangement; the satisfaction of the conditions precedent to the Arrangement; the expected timing of closing of the Arrangement; and the expected timing of delisting from stock exchanges, may be forward-looking information. Forward-looking information is frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved.
Forward-looking information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. Important factors that could cause actual results to differ materially from the Company's expectations include failure to satisfy or waive the closing conditions to the Arrangement; changes in laws, regulations and government practices; government regulation of mining operations; environmental risks; and other risks and uncertainties disclosed in the Company's periodic filings with Canadian securities regulators and in other Company reports and documents filed with applicable securities regulatory authorities from time to time, including the Company's Annual Information Form available under the Company's profile at www.sedarplus.ca . The Company's forward-looking information reflects the beliefs, opinions, and projections on the date the statements are made. The Company assumes no obligation to update the forward-looking information or beliefs, opinions, projections, or other factors, should they change, except as required by law.
Cygnus Metals and Doré Copper Mining said on Wednesday (January 1) that they have completed their merger.
The combined entity will be a critical minerals explorer and developer with two core assets in Québec, Canada.
Cygnus acquired all of the issued and outstanding common shares of Doré on Tuesday (December 31) through a Canadian statutory plan of arrangement, finalizing the deal. Cygnus shares are listed on the ASX under the symbol CY5, and are expected to start trading on the TSXV under the symbol CYG on or about Friday (January 3).
The company has also applied to list on the OTCQB under the ticker symbol CYGGF.
The merger of equals between Cygnus and Doré was announced this past October, with the companies emphasizing at the time that the deal would create value for shareholders on both sides. Under the agreement, each former Doré shareholder will receive 1.8297 Cygnus shares for each share they held before the transaction was finalised.
"By combining the proven exploration and management skills of the Cygnus team with the high-grade resource and immense upside at the Chibougamau Copper-Gold Project, we have the potential to unlock substantial value," Cygnus Executive Chair David Southam said at the time, adding that plans for "aggressive exploration" were in the works.
The new company's two main assets are the Chibougamau copper-gold project and the James Bay lithium project.
Chibougamau currently has a measured and indicated resource of 3.6 million metric tons at 3 percent copper equivalent, and an inferred resource of 7.2 million metric tons at 3.8 percent copper equivalent.
James Bay's Pontax project holds a resource of 10.1 million metric tons at 1.04 percent lithium oxide.
Doré brought the Chibougamau asset to the table, and in Wednesday's release former President and CEO Ernest Mast said the Cygnus team has the ability to maximize the value of the project.
“This merger will provide the funding, additional expertise and the strategy aimed at generating superior shareholder returns with an exciting exploration program at Chibougamau,” he noted.
Southam will now act as executive chair of the new company, while Mast will hold the position of president and managing director in Canada. The board will also have two non-executive directors from each of the merged companies.
Cygnus said that results from a pre-Christmas drill program at Chibougamau are expected to be released early this quarter. Following on from that, the company will begin a drilling and geophysics program at the site.
Don’t forget to follow us @INN_Resource for real-time news updates!
Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.
Investing News Network websites or approved third-party tools use cookies. Please refer to the cookie policy for collected data, privacy and GDPR compliance. By continuing to browse the site, you agree to our use of cookies.
View original content: 
View original content to download multimedia: 