Morning Briefing: Gold Miners Continue to Outperform the Metal
Good morning and welcome back to the Mining Stock Daily morning briefing. I’m Trevor Hall.
It's Wednesday, August 13th
Gold saw more downside yesterday as December futures closed just below the $3,400 mark. Silver saw signs of life and may be putting in a higher low on its chart. It closed the day at right at $38/oz, a gain of half a percent. Today, the US dollar is showing more signs of weakness which is giving a boost to precious metals, as both gold and silver are up in morning trading. This comes in following yesterday’s consumer prices inflation data came in mostly in line, with the exception of year over year core CPI a tad hotter than expected. The market is pricing in substantial rate cuts for the remainder the year which is lifting us equities into all-time high territories and adding more pressure on the dollar. One main thing to note is the move in the gold miners. Despite some uncertainty in the gold move, the GDX and GDXJ are showing signs of strength as both look to be making new relative highs here this morning.
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…Revival Gold.
Revival Gold is one of the largest pure gold mine developer operating in the United States. The Company is advancing the Mercur Gold Project in Utah and mine permitting preparations and ongoing exploration at the Beartrack-Arnett Gold Project located in Idaho. Revival Gold is listed on the TSX Venture Exchange under the ticker symbol “RVG” and trades on the OTCQX Market under the ticker symbol “RVLGF”. Learn more about the company at revival-gold.com
And here’s what you need to know this morning…..
Hudbay Minerals has a new strategic investor in Mitsubishi Corporation. Mitsubishi has agreed to acquire a 30% interest in Copper World LLC, a wholly-owned subsidiary of Hudbay which owns the fully-permitted Copper World project in Arizona (“Copper World”) for an initial cash contribution of $600 million, comprising $420 million as consideration for a 30% equity interest in Copper World at closing and $180 million as a matching contribution within 18 months of closing. The deal also allows Hudbay to amend its existing precious metals streaming agreement to add a contingent payment of up to $70 million on a future potential mill expansion. The company says the Mitsubishi initial investment and its pro-rata equity capital contributions, together with the amended Wheaton stream, will provide significant financial flexibility by reducing Hudbay's estimated share of the remaining capital contributions to approximately $200 million based on PFS estimates. News Release
Argenta Silver have a new batch of assay results out this morning from the El Quevar Project in Salta Province of Argentina. Results included 1,026 g/t Ag over 40m, which had a 1m interval in there returning 18,467 g/t Ag. This hole comes from a gap in the drill program which now reinforces the opportunity for further infill drilling and adding tonnage for a future resource. Other results included 414 g/t over 14.35m. Drilling kicked off in late May as part of a fully funded 4,000 m winter campaign designed to confirm known high-grade zones, step out along strike, and test new targets .(TSXV: AGAG) (OTCQB: AGAGF) News Release
Fortuna Mining reported new assays from drilling at the Southern Arc deposit on the Diamba Sud Gold Project in Senegal. Results included 18.2m of 6.3 g/t Au, 186.8m of 6.3 g/t Au 20.8m of 9.7 g/t and 32m of 4.5 g/t Au. Exploration drilling at the Southern Arc deposit has continued beyond the data cut-off date for its maiden resource estimate. Drilling is scheduled to resume in September, following the end of the rainy season, with further results expected by year-end. (NYSE: FSM | TSX: FVI) News Release
NexMetals reported new assay results from the Selebi North underground deposit. Drill hole SNUG-25-186 was designed as a follow-up to borehole electromagnetic anomalies detected in SNUG-25-184 and confirms a significant down-plunge extension of the South Limb mineralization beyond the 2024 Mineral Resource Estimate. That hole returned 16.25m of 3.06% CuEq, which included 6.45m of 5.28% CuEq. The company says this results demonstrates the presence of significant high-grade mineralization as drilling moves deeper and increases the likelihood of adding tonnage and enhancing the project’s economic profile. Drilling is ongoing at SNUG to test the strike extent of this new mineralization, with assay results pending for additional holes including SNUG-25-189, which intersected mineralization in both South Limb and N2 Limb. (TSXV: NEXM) (NASDAQ: NEXM) News Release
Solstice Gold corp says they have made a new discovery at the Strathy Gold Project in northeastern Ontario. Drilling earlier this spring interested 8.52 g/t Au over 3.5m and included 1m of 28.7 g/t at the Red Cedar discovery. To the best of their knowledge, this is the first documented gold in the target area. It remains open in all directions. Solstice plans follow-up drilling focused on expanding the Red Cedar Discovery, targeting extension of its associated 300x500m IP anomaly. Additional drilling will test down-dip expansion of the Leckie Gold Zone, which contains high-grade, shallow-depth historic intercepts on Solstice claims which can be accessed using ice-based drilling. (TSXV: SGC) News Release
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That’s it for today everyone. Have a great day. Stay safe.
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