Morning Briefing: Elliott Investment Management Pushes for Sale of Australia's Largest Gold Miner
Good morning and welcome back to the Mining Stock Daily morning briefing. I am Trevor Hall.
It's Tuesday, June 2.
Gold is bouncing hard, up over 1% to $4,559 an ounce on the front-month contract. Silver is up about 2% to $76.74. And copper is continuing yesterday's 2.5% move with another 1.3% gain this morning to $6.63 a pound.
For the first time in three decades, gold has overtaken U.S. Treasuries as the most important reserve asset held by central banks globally. Central banks now hold approximately $4 trillion in gold versus $3.9 trillion in U.S. government bonds — a shift driven by de-dollarization, inflation concerns, and over 1,000 tonnes of net central bank buying in 2025 alone.
And news out of the Australian mining sector: Elliott Investment Management — a US$79.8 billion activist fund — has published a 39-page letter calling on Northern Star Resources to explore a sale of the company. Northern Star is Australia's largest gold miner, currently trading around A$18.81 against a 52-week high of A$31.73. Elliott's case: world-class assets — KCGM in Kalgoorlie, the Hemi development project, and Pogo in Alaska — destroyed value by poor execution. Seven guidance misses in four years. CEO departed. KCGM mill costs blown from A$250 million to over A$1.5 billion. Worst P/NAV in the peer group at 0.69 times versus a peer average of 1.08 times. Elliott sees A$42 billion in fair value against a current market cap of A$27 billion and is calling for an immediate strategic review, board refresh, and new CEO. Agnico Eagle, Gold Fields, AngloGold, and Newmont are named as logical buyers.
We’ll get to the news from the miners and explorers in just a moment, but first a word about today’s sponsor.
This episode of Mining Stock Daily is brought to you by…Vizsla Silver.
Vizsla Silver is advancing the Panuco silver-gold project in Sinaloa, Mexico — one of the highest-grade undeveloped silver projects in the world. The project hosts a large near-surface resource with exceptional grades, and the company recently secured a working capital facility with FIFOMI, the Mexican government's mining finance institution, in support of Panuco's development. Learn more at vizslasilver.ca.
Here’s what you need to know today.
Cabral Gold has drilled what its Vice President of Exploration is calling one of the best holes ever at the Cuiú Cuiú Gold District — a 107.6-metre intercept grading 2.5 grams per tonne gold from 162.7 metres depth at the Jerimum Cima target in Pará State, Brazil, including 17.8 metres at 13.0 grams per tonne gold from 232.9 metres, highlighted by a 3.8-metre zone approaching 60 grams per tonne. Jerimum Cima has now been defined across approximately 900 metres of strike length with multiple zones of gold mineralization, and the system remains open to the east and at depth. Cabral holds a 100% interest in the Cuiú Cuiú district (TSX-V: CBR). News Release
Q2 Metals has reported results from drill hole 71 at the Cisco Lithium Project in the James Bay region of Quebec, with the hole returning multiple wide intercepts including 264.6 metres at 1.84% lithium oxide and 152.9 metres at 1.59% lithium oxide within a single continuous spodumene pegmatite system. Cisco already hosts the largest hard rock lithium deposit in the western hemisphere, with an Inferred Mineral Resource of 295 million tonnes grading 1.36% lithium oxide — comprising 270 million tonnes pit-constrained and 24 million tonnes underground. Today's results are from the winter portion of the 2026 drill program and add further width and grade to the deposit's growing footprint (TSX-V: QTWO). News Release
Central Asia Metals has announced a proposed all-share acquisition of Cygnus Metals valued at approximately A$232 million — a 60% premium to Cygnus's closing price on June 1. Under the terms, Cygnus shareholders will receive 0.06 new Central Asia Metals shares per Cygnus share, with existing CAML shareholders retaining approximately 70% of the combined company and Cygnus shareholders holding approximately 30%. The deal gives Central Asia Metals a foothold in Canada through Cygnus's flagship Chibougamau Copper-Gold Project in Quebec — a high-grade development asset that adds to CAML's existing portfolio of producing assets in North Macedonia and Kazakhstan. The Scheme Meeting is expected in mid-September 2026, with implementation shortly after (TSX-V: CYG). News Release
GreenLight Metals has reported additional drill results from the Bend VMS Deposit in Wisconsin, with a hole returning 27.72 metres at 1.07% copper and 0.97 grams per tonne gold — equivalent to 2.10% copper equivalent — including 15.65 metres at 1.66% copper and 1.39 grams per tonne gold, or 3.14% copper equivalent. The Bend deposit sits on the Penokean Volcanic Belt in Sawyer County, Wisconsin, approximately 50 kilometres southeast of the former producing Flambeau copper-zinc-gold mine. GreenLight has a $9.5 million exploration budget for 2026 targeting approximately 30,000 metres of drilling, with a NI 43-101 compliant resource estimate targeted by year-end (TSX-V: GRL, OTC: GRLMF). News Release
Newcore Gold has increased its 2026 drill program at the Enchi Gold Project in Ghana to 80,000 metres — the third program expansion this year, up from 60,000 metres announced in March. Four drill rigs are now active on site, following the completion of a $15 million equity financing, with the expanded program covering resource conversion, resource growth, and discovery drilling across the property. A Pre-Feasibility Study is underway and targeted for completion by the end of June 2026 (TSX-V: NCAU). News Release
Integra Resources has appointed Ausenco Engineering USA South as lead partner for detailed engineering at the DeLamar Gold-Silver Project in southwestern Idaho, with SLR Consulting retained by Ausenco to bring specialized heap leach, metallurgical, and mine planning expertise to the project. The scope covers engineering design advancement, procurement planning, constructability reviews, and project execution planning. The appointment coincides with the launch of the NEPA public scoping and stakeholder engagement period — the BLM published the Notice of Intent in the Federal Register on May 29 — with the final Environmental Impact Statement and Record of Decision anticipated in the second half of 2027 (TSX-V: ITR, NYSE American: ITRG). News Release
Scorpio Gold has reported a drill result from a new target at the Manhattan District in Nevada — the Black Mammoth target within the Manhattan Caldera — with a hole returning 0.58 grams per tonne gold over 18.04 metres from 311.05 metres depth. The result is distinct from the Zanzibar Trend step-out drilling that has driven the bulk of Scorpio's exploration news this year, and indicates the broader caldera system hosts additional mineralized structures at depth. Scorpio's Phase Two program has now drilled over 24,000 metres across 84 holes across the Manhattan District (TSX-V: SGN, OTCQB: SRCRF). News Release
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That's it for today everyone. Have a great day. Stay safe.
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