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Zodiac Gold Inc. (TSXV: ZAU) ("Zodiac Gold" or the "Company"), a West-African gold exploration company, is pleased to announce that it has completed a satellite data interpretation study (the "Study") covering the Alasala target of the Company's Todi Gold Project, which builds on the regional interpretation completed by A.C.A Howe International Limited ("ACA Howe") in 2021. The Study focused on a 72 km2 area including the 2 km long mineralized trend from Mandingo Hill to Lion Hill (see Map 1 below), delineated by soil sampling, trenching, channel sampling, auger drilling, and extensive artisanal workings with visible gold.
Management Commentary
David Kol, CEO, commented, "Completing this satellite data interpretation study marks a significant step forward in our exploration efforts at the Alasala target. The detailed insights into the geological setting and the identification of new structural trends improve our understanding of the controls on mineralization and enhance our confidence in the potential for high-grade gold mineralization. We are excited to advance to the next phase of our drill program and further unlock the value of the Todi Gold Project."
Highlights
The Study was completed by ACA Howe in advance of Zodiac Gold's upcoming drill program at Alasala and serves to improve the understanding of the geological setting and history of the area, as well as providing information on potential controls on mineralization. Specifically, the Study has revealed the following key points:
- The 2 km mineralized trend broadly follows a topographical high shown in radar data (see Map 2 below). A series of scarps has been identified on this trend and these continue along strike to the north and south. Initial follow-up on the ground by Zodiac Gold's geological team has identified weathered amphibolites and gneisses aligned with the north-northeast trending feature.
- A number of previously unknown cross-cutting east-northeast trending structures have been interpreted and it has been determined that a higher intensity structural corridor coincides with highly anomalous soil sample results at Mandingo Hill and Mamie Field (see Map 2 below). Notably, Zodiac Gold's recent rock chip samples of 32 and 33 g/t Au from Mandingo Hill (reported in Zodiac's press release dated May 28th, 2024), are in close proximity to interpreted cross-cutting east-northeast trending structures.
- High grade soil samples and the Man Field artisanal pit are also located on an interpreted cross-cutting east-northeast trending structure (see Map 2 below).
- Several northwest trending structures were also interpreted and the foliation and banding in the metamorphic rocks of the area is confirmed as being predominantly to the northwest and dipping to the southwest (see Map 2 below), in line with the regional scale Todi shear zone.
- The follow up drill program is expected to begin on the Todi Gold Project in roughly 2 weeks.
Zodiac Gold believes the interaction of these structural features, as well as the presence of favorable host rocks, provides potential for high grade gold mineralization as demonstrated by the recent rock chip samples and historical drilling results (reported in Zodiac's press release dated May 28th, 2024).
Map 1: Satellite data interpretation for the Alasala Target
Map 2: Correlation of soil anomalism with topographical feature shown on SRTM data at Alasala. A) Soil sample results with satellite data interpretation. B) SRTM data with artisanal mining areas.
Investor Relations Engagement
The Company is pleased to announce that it has retained the services of Peak Investor Marketing Corp. ("Peak") a full-service marketing and consulting services focused on the junior mining sector. Peak is an independent arms-length entity and will assist Zodiac Gold with marketing strategy and planning, corporate communications and public relations, with the goal of increasing market awareness for the company. Under the terms of the Agreement, the Company will compensate Peak $12,000 per month for an initial term of six months, will grant Peak 200,000 stock options pursuant to the Company's Omnibus Equity Incentive Plan and are subject to the approval of the TSXV. Following the initial term, the Company will pay Peak $12,000 per month. The options will have an exercise price of $0.18 per share and vest in four stages over a period of 12 months, with ¼ of the options vesting three months after the date they are granted and every three months thereafter. The options will remain exercisable until 90 days after the termination of the agreement with Peak, to a maximum of two years from the date the options are granted.
Qualified Person
Efdal Olcer, Vice President of Exploration at Zodiac Gold, is a member of the Society of Economic Geologists, Geological Society of London, Australian Institute of Geoscientists, the Society of Geology Applied to Mineral Deposits, and the Turkish Association of Economics Geologists and a Qualified Person as defined by NI 43-101. He has reviewed and approved the technical and scientific information provided in this release.
For further information, please visit the ZodiacGold website at www.zodiac-gold.com or contact:
David Kol, CEO
info@zodiac-gold.com
Neither 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.
Forward Looking Information
This news release includes certain "forward-looking statements" within the meaning of Canadian securities legislation.
Forward-looking statements include predictions, projections, and forecasts and are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "forecast", "expect", "potential", "project", "target", "schedule", "budget" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the Company's planned exploration programs and drill programs and potential significance of results are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company's expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital, and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials, and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events, or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate, and accordingly readers are cautioned not to place undue reliance on forward-looking statements.
OPINION — Goldenomics 103: Gold Protects and Performs
By Darren Brady Nelson
US President Donald Trump’s “Liberation Day” tariffs certainly caused quite the stir in the markets on April 2.
Gold dropped about 6 percent, and silver 12 percent. A week later, a pause was announced, which ended on August 1. Gold and silver have since risen approximately 11 percent and 24 percent, respectively.
Six month gold and silver price performance.
Source: Trading Economics (gold) and (silver).
Unless you are a professional, or even amateur, trader, it is best to look at gold and silver investment with a perspective of years or decades, rather than just days, weeks or even months. Since the start of the COVID-19 panic in March 2020, gold and silver have exploded 123 percent and 192 percent.
10 year gold and silver price performance.
Source: Trading Economics (gold) and (silver).
In the shorter term, the gold price is driven by what economist John Maynard Keynes called “animal spirits.” In the longer term, it is driven by “monetary spirits.” And not just as protection, but also for performance. The Presidential Gold Guide highlights both in chapters four and five.
Source: Fisher Liberty Gold.
Gold unsurprisingly protects
Economist and investor Mark Skousen has wisely noted that: “Since we left the gold standard in 1971, both gold and silver have become superior inflation hedges.” Gold has more than countered the results of inflation, as measured by CPI, and the drivers of inflation, as measured by M3.
And the numbers back that up. The Gold Protects chart below compares the gold price, CPI and M3 in terms of cumulative growth of each from 1971 to 2025. That is throughout the whole era of gold as an investment, which officially started in 1974 once private ownership was restored.
During this era, gold grew by 541 percent, CPI by 214 percent and M3 by 384 percent. Annual average growth for gold was 10 percent, CPI at 4 percent and M3 at 7 percent. Maximums were 92 percent, 14 percent and 29 percent, respectively. CPI only failed to grow twice, ie. 0 percent in 2009 and 2015. M3 decreased twice, by -4 percent in 2023 and -6 percent in 2024.
Gold surprisingly performs
The highly respected In Gold We Trust (IGWT) report states: “When dealing with the specific level of gold allocation, it is advisable to differentiate between safe-haven gold and performance gold. The Big Long strategy emphasizes the potential of performance gold in the coming years.”
IGWT thus recommends an investment portfolio "rule of thumb" that includes 15 percent in “safe-haven gold” and 10 percent in “performance gold.” The Gold Performs chart below compares gold price, S&P 500 and nominal GDP in terms of cumulative growth of each from 1971 to 2025.
Gold grew by 541 percent, the S&P 500 by 484 percent and GDP by 339 percent. Annual average growth for gold was 10 percent, with the S&P 500 at 9 percent and GDP at 6 percent. Maximums were 92 percent, 45 percent and 14 percent, respectively. Gold did have a higher standard deviation of 27 percent, compared to 17 percent for the S&P 500 and 3 percent for GDP.
Animal and monetary spirits
Gold protects as a hedge or safe haven, not just from inflation, but from the flip side of that same coin of the boom-bust cycle. Both are driven, in the longer term, not by “animal spirits,” but by “monetary spirits.”
Inflation is when money inflation has a widespread impact as price inflation. A bubble is when money increases have a more concentrated impact such as in certain asset values. The bubble eventually bursts when “monetary spirits” are finally reined in by monetary realities.
I say “monetary spirits” because of the role of fiat money, as indicated by, say, M3. When money supply outstrips money demand in a localized way, then that is a bubble, and when in a general way, that is inflation.
The former shows up in certain asset, wholesale and/or producer prices, whilst the latter shows up in CPI. Asset prices include the S&P 500. But nominal GDP is also "ginned up" as it is ultimately a price times quantity measure as well. Price is expressed in money terms.
Conclusion
Gold can have ups and downs, as standard deviation indicates, due to the “animal spirits” of fear and uncertainty, that tend to be daily, weekly or monthly. Yet gold both protects and performs due to the “monetary spirits” of inflation and boom-bust, which tend to be decennially.
In particular, gold performs when the S&P 500 does not, like in the aftermaths of the 2001/2002 dot-com collapse, the 2008/2009 global financial crisis and 2020/2021 COVID-19 lockdowns.
Therefore, when it comes to gold, “follow the money” of central bank “money printing” and fractional reserve bank “fountain pen money,” for both superior inflation protection and boom-bust performance.
And besides, Skousen rightly "begged the question" as follows: “Gold and Silver have always had value, never gone to zero. Can you say the same for stocks and bonds?”
About Darren Brady Nelson
Darren Brady Nelson is chief economist with Fisher Liberty Gold and policy advisor to The Heartland Institute. He previously was economic advisor to Australian Senator Malcolm Roberts. He authored the Ten Principles of Regulation and Reform, and the CPI-X approach to budget cuts.
Click here to read Goldenomics 101: Follow the Money, and here to read Goldenomics 102: The Shadow Price of Gold.
