Morning Briefing: Fuerte Metals Acquires Coffee, Equinox Pours First Gold at Valentine
Good morning and welcome back to the Mining Stock Daily morning briefing. I’m Trevor Hall.
It's Monday September 15th.
Last week gold made its way above $3,600 an ounce on the spot price, found some resistance around 3,675, and has been consolidating where we find it today at $3,640. Most of the attention this week will be on Jerome Powell and the Federal Reserve. We will find out on Wednesday what the FOMC decided to do with their rate decision. The market is pricing in a 25 point reduction. But other data is set to come in this week, including US retail sales tomorrow and initial jobless claims on Thursday.
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…Vizsla Silver.
Vizsla Silver is focused on becoming one of the world’s largest single-asset silver producers through the exploration and development of the 100% owned Panuco-Copala silver-gold district in Sinaloa, Mexico. The company consolidated this historic district in 2019 and has now completed over 375,000 meters of drilling. The company has the world's largest, undeveloped high-grade silver resource. Learn more at https://vizslasilvercorp.com/
And here’s what you need to know this morning…..
First Nordic Metals and Mawson Finland have entered into a definitive arrangement to which First Nordic has agreed to acquire all the issued and outstanding common shares of Mawson. The Transaction will consolidate a large and prospective gold development and exploration portfolio in Sweden and Finland, including First Nordic’s Barsele Joint Venture Project (“Barsele”) and Gold Line Belt projects in northern Sweden and Oijärvi Project in northern Finland, and Mawson’s Rajapalot Project and surrounding Rompas-Rajapalot Property in northern Finland. Pursuant to the terms and conditions of the Arrangement Agreement, the holders of the issued and outstanding Mawson Shares will receive 1.7884 for each one (1) Mawson Share. The deal will also consolidate the First Nordic shares for the new Nordic Company. In connection with the Transaction, First Nordic intends to undertake a non-brokered subscription receipt financing to raise C$30 million to fund exploration programs across the combined portfolio. (TSX-V: FNM) (TSX-V: MFL) News Release
Equinox Gold says first gold has been poured at its Valentine Gold Mine in Newfoundland and Labrador. The processing plant is progressing with mill throughput averaging 47% of nameplate for the first 15 days of operations. Once fully operational, Valentine will be Equinox Gold's second-largest mine, the largest gold mine in Atlantic Canada, and a significant contributor to the Newfoundland and Labrador economy. Valentine is a conventional crush-grind carbon-in-leach operation expected to produce between 175,000 and 200,000 ounces of gold annually for the first 12 years of its 14-year reserve life. (TSX: EQX) (NYSE American: EQX) News Release
Fuerte Metals has entered into a definitive agreement to acquire the Coffee Gold Project in Yukon from Newmont for upfront consideration of US$10 million in cash and US$40 million in common and preferred shares. In addition, Fuerte will grant Newmont a 3% NSR on Coffee, which can be repurchased for US$100 million at anytime up to one year after announcing commercial production. The total consideration for the acquisition is up to US$150 million. Coffee hosts a M&I Resource of 3.0 Million Ounces within 80 Mt at 1.15 g/t gold and Inferred Resource of 0.8 Million Ounces within 21 Mt at 1.17 g/t gold (using 0.18 g/t cut-off). Coffee has been extensively de-risked by both Goldcorp and Newmont through significant drilling and engineering, in most cases to feasibility study level. In addition, Coffee received a positive Yukon Environmental and Socio-economic Assessment Act ("YESAA") decision in 2022. (TSXV: FMT) (OTCQB: FUEMF) News Release
Banyan Gold says they have intersected multiple instances of visible gold in sheeted veins at the Powerline Deposit at its AurMac Project in Yukon. Drill results included 1.85 g/t Au over 26.9m, 3.36 g/t Au over 5.0m and 6.03 g/t Au over 1.5m. These holes also highlight the potential infill drilling to convert waste blocks to ore blocks with improved continuity of high-grade mineralized domains extending beyond the current Mineral Resource Estimate conceptual pit boundary. (TSX-V:BYN) (OTCQB:BYAGF) News Release
Seabridge Gold published results of three additional drill holes completed this summer at the Snip North target on our Iskut Project in BC's Golden Triangle. Results included 513m of .42 g/t Au, 477m of .54 g/t Au and 715m of .72 g/t Au. A total of 18,000 meters of drilling has been completed in 18 holes to date. Results have prompted the company to expand the drilling program with an additional 3,000 meters planned. The latest assay results have established steeply north-and-west-plunging copper-gold mineralization with characteristic potassic alteration and porphyry stockwork veining over a strike length of 1,800 meters. (TSX: SEA) (NYSE: SA) News Release
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That’s it for today everyone. Have a great day. Stay safe.
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