Morning Briefing: Exploration and Development Continues to Heat Up in West Africa
Good morning and welcome back to the Mining Stock Daily morning briefing. I’m Trevor Hall.
It's Wednesday, May 7th.
It was another big day for gold yesterday as it attempted to put in it highest daily close ever, but just matching it at $3,347/oz. It was another $100 move yesterday, a gain of over 3%. The move once again started with Chinese buying and continued to progress through the comex hours. There was news out of China important and specific to the gold trade. China will allow bullion held in international vaults to be settled against its gold trading contracts, which is part of a new Action Plan for facilitation of cross-border financial services in Shanghai. A newly accepted vault in China's Special Administrative Region will be operated by a subsidiary of Bank of China, the country's 4th largest commercial bank and a member of international trading body of the London Bullion Market Association.
We’ll get to the news from the miners and explorers here in a moment, but first a quick word about today’s sponsor.
This episode of Mining Stock Daily is brought to you by…Calibre Mining.
Calibre is a Canadian-listed, Americas focused, growing mid-tier gold producer with a strong pipeline of development and exploration opportunities across Newfoundland & Labrador in Canada, Nevada and Washington in the USA, and in Nicaragua. The company recently announced a deal to merge with Equinox Gold. The transaction will create an Americas-focused diversified gold producer with a portfolio of operating mines in five countries anchored by two high-quality, long-life, low-cost Canadian gold mines, Greenstone and Valentine. You can learn more at https://www.calibremining.com/
And here’s what you need to know this morning…..
Newcore Gold has new drill results out this morning from the Enchi Gold Project in Ghana. Reverse Circulation drilling at the Boin Gold Deposit intersected multiple wide zones of gold mineralization with higher-grade gold sub-intervals including 2.25 g/t Au over 56 m with a 15m interval in there of 3.83 g/t as well. Other results included 1.16 g/t over 72m with a 10m sub interval of 3 g/t Au. In total, 14 holes were reported today with all holes hitting mineralization. A total of 17,592 m in 142 holes have been reported as part of the ongoing 2024 - 2025 drill program at Enchi. (TSX-V: NCAU, OTCQX: NCAUF) News Release
Montage Gold says it has stengthened its position along the Boundiali greenstone belt in Côte d’Ivoire, which hosts Montage’s Koné gold project, by entering into a strategic partnership with Aurum Resources. Aurum owns the Boundiali and Napié gold projects in Côte d’Ivoire. The Boundiali gold project is located immediately north of Montage’s Koné project and already hosts an Inferred Resource of 50.0Mt at 1.0 g/t Au containing 1.59 million ounces of gold as published by Aurum. A 100,000-meter drill programme is currently underway at the Boundiali gold project. Montage will obtain a 9.9% interest in Aurum through the issuance of 2.89 million common shares of Montage representing a deemed consideration of approximately C$10.4 million. Montage will be investing alongside other strategic investors by participating in a non-brokered private placement, including Zhaojin Mining Industry Company Limited who will increase their interest in Aurum to 9.9%, and the Lundin Family and their associates who will also obtain a 9.9% interest in Aurum. Through the Offering, Aurum will obtain aggregate gross proceeds of approximately A$35.6 million. (TSX: MAU, OTCQX: MAUTF) (ASX:AUE) News Release
Dryden Gold reported drill results for the new hanging wall discovery on the Elora Gold System in the Gold Rock Camp. The Company first announced this intercept with significant visible gold on April 8. Assays have now confirmed results of 301.67 g/t over 3.90 meters including 1,930 g/t over 0.60 meters and represent a newly discovered hanging wall zone with folded quartz stringer veins hosted in sheared basalts. This newly intercepted hanging wall gold mineralization in hole KW-25-003 is approximately 80 meters from main Jubilee high-grade zone at a true depth of 250 meters. The Elora Gold System, which hosts the potential for several high-grade zones at the structural intersections, will be a major focus of the 2025 drill campaign. To date, Dryden Gold has drilled 12 holes totalling approximately 4,083 meters testing the Elora Gold System in late 2024 and 2025. (TSXV: DRY) (OTCQB: DRYGF) News Release
Brixton Metals announced its 2025 exploration plans for its wholly owned Thorn Copper-Gold Project in the Golden Triangle of British Columbia. The 2025 season has a two-pronged approach: i) expand near surface gold mineralization and ii) drill for new, near surface copper porphyry discoveries for a combined 8000m to 10,000m. Included will be shallow drilling to establish continuity and strike of the feeder-structure at Camp Creek, drilling for new gold mineralization at the Trapper target, and test two new copper porphyry targets at Catalyst and Tempest. The company expects to return and get drills going by the end of this month. (TSX-V: BBB, OTCQB: BBBXF) News Release
Barrick reported their Q1 Results this morning. Net earnings per share increased 59% year-on-year to $0.27 with adjusted net earnings per share3 growing by 84% year-on-year to $0.35. Operating cash flow of $1.2 billion was also up 59% while free cash flow of $375 million improved materially compared to Q1 2024, driving net debt reduction of 5% over the quarter. The Board again approved a quarterly dividend of $0.10 per share while the Company repurchased $143 million of its shares. Costs were on the rise, year-over-year however, rising from $1,451 per ounce at the end of 2024 to $1,775/oz at the end of this quarter.
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That’s it for today everyone. Have a great day. Stay safe.
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