Archive | Junior Exploration Sector

Junior Explorers Just Scratching the Surface In Northern Quebec’s Abitibi Gold Belt – by Neils Christensen (Kitco News – August 15, 2019)

https://www.kitco.com/

(Kitco News) – Northern Quebec is one of the most prolific gold regions in the world; it is home to the Abitibi Greenstone Belt, which has produced 180 million ounces of gold during the last century.

The Val d’Or/Abitibi region is also home to Canada’s largest gold mine: Malartic, which is run by Agnico Eagle Mines (NYSE: AEM, TSX: AEM) and Yamana Gold (NYSE; AUY, TSX: YRI). However, junior explorers working in the area are demonstrating that miners have just literally scratched the surface and the region’s potential is limitless.

Since the 1920’s the region has been home to about 100 different mines; at the same time, about 300 gold deposits have been identified in the area. “There is no doubt. This is mining country,” said Philippe Cloutier, president and CEO of Cartier Resources (TSX.V: ECR), just one of the junior explores breathing new life into existing mining camps. “The mines in Northern Quebec shut down because of economics not because they ran out of ounces.” Continue Reading →

Idaho tribe sues mining company over pollution at idle site – by Keith Ridler (Associated Press/Times Union – August 9, 2019)

https://www.timesunion.com/

BOISE, Idaho (AP) — The Nez Perce Tribe has filed a lawsuit to force a Canadian company to clean up an idle central Idaho mining area — which the company says it plans to do if it gets approval from U.S. officials to restart mining at the site.

The tribe contends in the federal lawsuit filed Thursday that British Columbia-based Midas Gold is illegally allowing arsenic, cyanide and mercury to remain in the area where the tribe has had hunting and fishing rights since an 1855 treaty with the U.S.

Midas Gold itself has never mined in the area about 40 miles (65 kilometers) east of McCall, but in the past decade has acquired existing mining claims and developed a plan it says will clean up the mess left by a century of mining by other companies. The tribe in the lawsuit said it’s time for the company to act. Continue Reading →

NEWS RELEASES: Canadian Orebodies Announces Untimely Passing of President & CEO Gordon McKinnon (August 1, 2019)

In Memory (Published on Feb 15, 2019)

TORONTO, August 1, 2019 – The Board of Directors of Canadian Orebodies Inc. (the “Company”) (TSXV:CORE) regrettably announce the tragic and untimely passing of the Company’s President and Chief Executive Officer, Gordon (“Gord”) McKinnon. Gord served as the President and Chief Executive Officer, as well as a director and leader of the Company since its inception in 2008.

John Harvey, a director of the Company commented, “Gord McKinnon, the son of Don McKinnon, was following in his father’s footsteps and was most recently involved in reinvigorating Ontario’s highly productive Hemlo mining camp.

With his prospecting heritage and financial expertise he has been involved in several successful efforts at Hemlo and other exploration projects, and was instrumental in guiding the Company. His good nature, amiable personality, and dedication to the mineral exploration industry will be immensely missed by colleagues and friends alike.” Continue Reading →

Alaska mine developer Northern Dynasty wins U.S. EPA reprieve, shares soar – by Nichola Saminather (Reuters Canada – July 30, 2019)

https://ca.reuters.com/

TORONTO (Reuters) – The Trump administration said on Tuesday it would lift an Obama-era restriction on the world’s biggest undeveloped gold and copper resource owned by Northern Dynasty Minerals Ltd, sending the Canadian company’s shares soaring.

Under former U.S. President Barack Obama, the U.S. Environmental Protection Agency in 2014 proposed limits on large-scale mining in Alaska’s Bristol Bay watershed, citing environmental concerns. Under President Donald Trump, the EPA has dismantled scores of environmental rules and Trump rejects mainstream climate science.

Northern Dynasty’s site is near Lake Iliamna in southwestern Alaska between the headwaters of two rivers that drain into Bristol Bay, and is known for its huge salmon runs, wilderness and abundant brown bears. Continue Reading →

Golden blunders: How a string of technical mishaps has hampered Canada’s junior gold miners – by Niall McGee (Globe and Mail – July 13, 2019)

https://www.theglobeandmail.com/

Reports overestimating the amount of gold led to junior miners flying high, but the gold was ‘never there’

Junior gold-mining executive Scott Caldwell was in a jovial mood as he sat down for a national television interview in February, 2016. Even though the price of gold bullion had tumbled by more than a third from its 2011 peak, and many of his competitors were struggling, his company was defying the odds.

Guyana Goldfields Inc. had managed to raise US$700-million from investors and put a high-grade gold mine into production in early 2016.

Mr. Caldwell, an avuncular mining engineer with a soothing tone, was happy to promote the company’s Aurora mine, located in a remote Guyanese rainforest, as a cash machine. Indeed, at the prevailing gold price of US$1,200 an ounce, Guyana looked like a surefire winner. Continue Reading →

Marathon Gold ‘prime takeout candidate’: National Bank of Canada analyst (Northern Miner – July 11, 2019)

Northern Miner

Marathon Gold (TSX: MOZ) is on track to release a new resource estimate in September for its Leprechaun deposit in the company’s Valentine Gold camp in Newfoundland and Labrador.

The latest drilling has expanded the high-grade area within Leprechaun’s Main Zone corridor to a strike length over 480 meters with a width of 30 to 100 metres and extending to a depth of 350 metres.

Leprechaun is one of four near-surface deposits, mainly pit-shell constrained, at Marathon’s Valentine Gold camp, and remains open at depth and along strike. The four deposits stretch over a 20-km system of gold-bearing veins. Continue Reading →

Area Play: The Val d’Or, Quebec Camp in Canada is Heating Up – by David Erfle (Kitco News – July 12, 2019)

https://www.kitco.com/

Full Disclosure: I have purchased shares of ECR.V and BTR.V in the open market and have also recommended them both to my subscribers.

In the early 20th century, the discovery of the Cadillac Fault ushered in the Abitibi-Témiscamingue Gold Rush and the geological anomaly continues to have a major impact on Quebec’s mining history.

The massive fault is roughly 160 kilometers long and extends from the town of Val d’Or, in Quebec, to Kirkland Lake, in Ontario. Its name derives from the township of Cadillac, where it was first discovered.

Although its name in French means “valley of gold,” there is no valley in Val d’Or, however, there is still plenty of gold remaining in the surrounding area. The town of roughly 32,000 inhabitants was founded by miners in 1934 and its economy depends chiefly on mining gold, zinc, lead, molybdenum, and copper. The lumber business is also important to the economy of Val-d’Or, as the forests of the Abitibi region provide 65% of the lumber produced in Québec. Continue Reading →

Thunder Bay junior miner zeros in on platinum, palladium – by Staff (Northern Ontario Business – July 3, 2019)

https://www.northernontariobusiness.com/

Benton Resources swings deal on two high-grade properties in northwest

A Thunder Bay gold exploration company is picking up two high-grade platinum group metals (PGM) properties, west of the city.

In two separate deals, Benton Resources announced July 2 of its impending acquisition of the Escape Lake Discovery from Rio Tinto Exploration Canada for $6 million, and the Thunder Bay North deposit from Australia’s Panoramic Resources for $9 million.

The two properties are 60 kilometres south of North American Palladium’s (NAP) Lac des Iles Mine and 10 kilometres east of NAP’s Sunday Lake property. The acquisitions should be finalized within the next two to three months. Continue Reading →

Ignored by Big Banks, Smaller Gold Miners Are Paying More to Expand – by Justina Vasquez (Bloomberg News – June 20, 2019)

https://www.bloomberg.com/

The cost of money is rising for small and mid-sized gold miners. Newmont Goldcorp Corp. and Barrick Gold Corp., the biggest producers, have grown even bigger by buying up peers, shaping themselves as strong candidates for commercial bank lending.

Meanwhile, smaller companies struggling to meet deadlines and budgets on new projects are increasingly forced to turn to private equity to expand.

In some ways that’s good. Private financing often offers smaller miners more insight on projects than a commercial bank might. At the same time, private capital is harder to land and higher priced, with an average weighted cost of roughly 15%-20% compared with 5%-6% for the majors, according to Sprott Inc., a precious metals-focused money manager. Continue Reading →

[Manitoba Flin Flon – Snow Lake Greenstone Belt] Rockcliff Metals Wins a Financing Lottery! – by Stan Sudol (June 19, 2019)

Rockcliff Metals founder, Ken Lapierre, holding rich core samples from Manitoba’s Flin Flon – Snow Lake greenstone belt.

At Prospectors and Developers Association of Canada (PDAC) 2018 mining convention, Rockcliff Metals was a typical struggling junior with a great land package in the lesser known but geologically-rich Flin Flon – Snow Lake (FF-SL) greenstone belt with eight high-grade VMS base-metal deposits and five promising lode-gold properties.

It was starting out to be a tough year and unfortunately an even rougher start the week before the convention when Rockcliff CEO Ken Lapierre slipped on the freshly fallen snow, when he was taking out the garbage. Not thinking much about his sore ankle, the six-foot, three inch, former hockey playing, karate practising jock, started shoveling the driveway. Twelve hours later, the swelling and pain in his left ankle demanded a trip to the doctor where he learned that it was broken and that he had torn all the soft tissue.

For the entire PDAC convention, the largest and most important in the world, for juniors to meet potential future investors and current shareholders and financiers, Lapierre had to use a knee walker that resembled a scooter to get around, along with a substantial amount of painkillers. Continue Reading →

‘The future is nickel’: Cobalt 27 sells off its namesake metal after tough year – by Gabriel Friedman (Financial Post – June 18, 2019)

https://business.financialpost.com/

Toronto-based Cobalt 27 Capital Corp. is selling out at a low point for its namesake metal, a crucial component in the lithium-ion batteries used in electric vehicles and other devices.

The company, which stockpiles and streams cobalt, on Tuesday announced a $510-million deal that splits the company along cobalt and nickel asset lines.

Its largest shareholder, Swiss private-equity firm Pala Investment Ltd., which owns more than 19 per cent, will pay $3.57 cash per share for the company’s cobalt assets. The rest of the shareholders will also receive equity in a new company that retains the company’s nickel assets plus $5 million in cash. Continue Reading →

Sudbury: Terry MacGibbon, former FNX Mining executive, shares secrets to his billion-dollar success (CBC News Sudbury – June 16, 2019)

https://www.cbc.ca/news/canada/sudbury/

MacGibbon has been at the helm of 4 mining companies

Terry MacGibbon has been a major player in Sudbury’s mining industry. He pulled the trigger on some million-dollar deals, including selling his company FNX Mining, and being the guiding force behind several other junior mining companies.

But during a recent Laurentian University graduation ceremony, where he was given an honorary doctorate, MacGibbon told CBC’s Morning North that he issued new graduates a challenge.

“Looking forward to the next 50 years, they have to solve the climate, like climate change and it’s not just a single thing that a government or a company can do,” MacGibbon said. “We all have to do it.” “We all have to make our choices of how we live.” Continue Reading →

Agnico Eagle Offers To Acquire Alexandria Minerals – by Allen Sykora (Kitco News – June 14, 2019)

https://www.kitco.com/

(Kitco News) – Agnico Eagle Mines Ltd. (NYSE, TSX: AEM) has made an offer to acquire Alexandria Minerals Corp. (TSXV: AZX), a Toronto-based junior gold and exploration company, for C$26 million, the companies reported Friday. The proposal is based on a purchase price of 5 Canadian cents per share.

Alexandria said that its board of directors concluded that the unsolicited offer constitutes a “superior proposal” as outlined in a prior May 14 agreement with Chantrell Ventures Corp. Chantrell now has a 10-business-day period in which it can amend its own offer for Alexandria.

To enter an agreement with Agnico Eagle, Alexandria would first have to terminate the Chantrell agreement and pay a fee of C$875,000. If the Alexandria board accepts the Agnico Eagle offer, the agreement would be subject to approval of Alexandria shareholders. Continue Reading →

Rare gold specimens unearthed at WA mine compared to ‘finding a needle in a haystack’ – by Jarrod Lucas (Australian Broadcasting Corporation – June 5, 2019)

https://www.abc.net.au/

They say lightning never strikes twice, but spectacular gold specimens have been unearthed at a Western Australian gold mine for the second time in nine months.

Another pocket of rare visible gold has been discovered at the Beta Hunt mine near the historic mining town of Kambalda, 630 kilometres east of Perth.

Underground miners have recovered an estimated 987 ounces of coarse gold in 238 kilograms of rock since Saturday — worth about $1.9 million at today’s gold price. Continue Reading →

Canadian Resource Companies Investing Abroad at Record Levels – by Erik Hertzberg (Bloomberg News – May 30, 2019)

https://www.bloomberg.com/

Canadian resource companies are choosing to invest abroad at record levels, amid waning global interest in the nation’s energy and mining assets.

Statistics Canada reported Thursday that Canadian-based energy and mining companies invested a net C$15.5 billion ($11.5 billion) outside of the country in the first three months of 2019. The exodus of Canadian capital from the sector in the quarter was almost double the previous quarterly record.

It’s a bad sign for industries already struggling to attract capital. The data suggest that Canadian-based resource companies — who have refrained from large foreign investments in recent years — may now be seeking alternatives outside of Canada. Continue Reading →