Centerra resumes gold production in Kyrgyzstan

Centerra Gold Inc. [CG-TSX; OTC-CAGDF] said Thursday January 23 that it has received all the necessary approvals and permits to restart open pit mining operations and to continue milling activity at its Kumtor gold mine in Kyrgyzstan for the remainder of 2020.

The announcement comes after two employees went missing following a significant rock movement in the Lysii Waste Rock Dump early on the morning of December 1, 2019.

Centerra said the country’s state agencies have also approved the company’s 2020 mine development plan for the Central Pit, including the revised waste dumping plan and special safety measures to place waste rock material in the Central Valley waste rock dump and the Sarytor waste rock dump.

Open pit mining operations are currently ramping up and are expected to be in full mining production early next week, while the mill continues to process stockpiled ore as planned for 2020. In addition, Kumtor is continuing its own internal review and co-operating with the Kyrgyz authorities’ inquiries in relation to the Lysii Waste Rock Dump.

On Thursday, Centerra shares eased 2.2% or 22 cents to $9.65 on volume of 634,574. The shares are currently trading in a 52-week range of $6.27 and $13.00.

Centerra halted open pit operations at its Kumtor Mine after the two employees went missing in early December.

Kumtor said it initiated an emergency evacuation of all mine personnel from the area and an immediate cessation of mining operations. It said two Kumtor employees who were working in the area did not report to the emergency gathering area and remain missing.

However, after six weeks, the search operation for the company’s two missing employees at Lysii Waste Rock Dump returned no sign of the two missing employees. With the consent of the families and the relevant Kyrgyz state agencies, including the Ministry of Emergency Services, the decision was made to stop the search effort.

A funeral prayer was held at the site attended by family members, relatives and community supporters. “Our thoughts, condolences and prayers are with our employees, families and our deepest appreciation is to all those involved in the search efforts,” Centerra said.

The Kumptor mine is one of two flagship assets in the Centerra Gold portfolio. The other is the Mt. Milligan Mine, which is located in British Columbia. The company’s portfolio also includes the Oksut Gold project in Turkey and the late stage Kemess development project in B.C.

At the time when the two miners were reported missing, Centerra said the Kumtor mill would continue uninterrupted processing ore that has been stockpiled on surface and there was no change to the company’s production outlook for 2019.

Kumtor is the largest gold mine operated in Central Asia by a Western-based company. Mining operations are carried out using conventional open-it mining methods.

Higher grades and recoveries at Kumtor and higher gold grades at Mt. Milligan enabled Centerra to produce a better than expected 206,000 ounces of gold and 21.2 million pounds of copper in the third quarter of 2019. That includes 150,305 ounces from Kumtor and 55,355 ounces from Mt. Milligan

Centerra recently raised its 2019 gold production guidance to 730,000-765,000 ounces from an earlier forecast of 705,000-750,000 ounces.

The company said construction at the Oksut Project in Turkey is now 79% complete and remains on scheduled with the first gold pour expected in January of 2020.

GT Gold advances on B.C. drilling results

GT Gold Corp. [GTT-TSXV; GTGDF-OTC] has released the final four drill holes from its 15,000-metre Phase 2 exploration program on its 100%-owned Tatogga property in the Golden Triangle region of northwestern British Columbia.

The holes were drilled at the Saddle South gold-silver vein system and were the only holes drilled there in 2019. Highlights included drill hole TTD135, which intersected 53.73 metres of 10 g/t gold and 46.84 g/t silver from 93.27 to 147 metres at Saddle South.

GT Gold shares advanced on the news, rising 4.5% or $0.05 to $1.16 on active volume of just over 1.0 million. The shares are currently trading in a 52-week range of 57 cents and $1.31.

GT Gold is focused on B.C.’s Golden Triangle area and is backed by Newmont Goldcorp. Corp. [NGT-TSX; NEM-NYSE], which recently increased its stake in GT Gold to 14.9% from 9.9% via a private placement of 6.9 million shares at $1.20 per share.

GT’s flagship asset is the Tatogga property, which is located in the Stikine region 14 km west of the Imperial Metals Red Chris copper-gold mine and less than 1 km from the town of Iskut. Tatogga contains a high-grade gold discovery known as the Saddle prospect. It consists of two parts: a high-grade, near surface epithermal gold-silver vein system at Saddle South and, close by at Saddle North, a largely covered, porphyry copper-gold-silver mineralized system.

In a press release that came after the close of trading on January 16, 2019, GT said the results from the latest batch of holes help to demonstrate the continuity and consistency of gold-silver mineralization at Saddle South. It said all four drill holes yield vein, dike and lithological data that will be critical to building geological and resource models for Saddle South.

“The drill holes also confirm the interpretation that the Saddle South mineralized zone represents a westerly plunging vein field of sulphide-rich and local sulphosalt-bearing extensional veins and local vein-breccias,” the company said.

“The mineralization delineated to date defines a near-surface zone of at least 500 metres in strike length and over 100 metres in width, and which can be traced to more than 500 metres below surface,’’ it said.

GT went on to say that the relatively well-constrained central and western parts of the Saddle South Zone are part of the larger but less well-defined Saddle South system that strikes a further 600 to 700 metres eastward, for a total strike length of well over a kilometre.

“The Saddle South zone remains open at depth, to the east and to the west, where it appears to change to a southerly trend,” GT said.

A total of 25,146 metres were drilled in the combined phase 1 and 2 programs on the Tatogga property in 2019. For Saddle North, all 41 drill holes, or 23,857 metres of drilling have now been reported, and for Saddle South, all four drill holes for a total of 1,289 metres have now been released.

GT said it has launched a comprehensive re-log of all Saddle North core, which it said is in storage in Southern B.C. The re-log is part of a thorough program designed to include study work that will ultimately progress Saddle North through resource estimation and economic evaluation, with an initial goal of completing a geological model for Saddle North by the end of the first quarter of 2020.

Sprott takes 11.5% stake in Scottie, stock rallies

Scottie Resources Corp. [SCOT-TSXV; SCTSF-OTC] on Friday January 10 announced a $2 million investment by Eric Sprott.

The junior said it has arranged a non-brokered private placement financing with the Bay Street gold bug consisting of 10 million units at 20 cents per unit, a move that will generate $2 million in gross proceeds, money that will be deployed at the Scottie’s British Columbia properties.

Under the terms of the financing, each unit consists of one common share and one common share purchase warrant. Each warrant is exercisable into one common share of Scottie for up to 24 months from the date of closing at 30 cents per share.

Sprott has agreed to purchase 10 million placement units, leaving him with 11.5% of the company’s issued and outstanding shares. If Sprott was to exercise all of the warrants, his stake in the company would rise to 20.6% on a partially diluted basis.

Scottie shares rallied on the news, rising 15.2% or $0.035 to 26.5 cents on active volume of 1.65 million. The shares are currently trading in a 52-week range of $0.08 and 28 cents.

News of Sprott’s strategic investment comes on the heels of impressive drilling results from Scottie’s Bow Property in British Columbia’s Golden Triangle Region.  The Bow property is located 2 km northeast of the past-producing Scottie Gold Mine.

The junior said drilling on the Bend vein target on the Bow Property returned 73.32 g/t gold and 71.01 g/t silver over a 4.38 metre-core length in drill hole SR19-11. That included 152.5 g/t gold and 143.56 g/t silver over 1.89 metres.

“These results exemplify the high-grade gold and silver potential of the Bow Property,” Scottie has said.

Scottie is an exploration stage company engaged in the acquisition, exploration and evaluation of gold and silver properties located in the Golden Triangle, an area of northwestern B.C. that ranks among the world’s most mineralized districts.

It is host to past and current mining operations, including Johnny Mountain, Red Mountain, Snip Mine, Premier Mine, Golden Bear and Valley of Kings. Scottie holds a 100% interest in the past-producing Scottie Gold Mine, which operated from 1981 to 1985, producing 95,426 ounces of gold from 183,147 tonnes of mineralization.

The junior has an option to acquire a 100% interest in the 471.92-hectare Bow property, which is contiguous to the former Scottie Mine. Previous exploration work has indicated the existence of 13 different gold-bearing veins on the Bow and Scottie gold properties.

A small drill program in 1985 by Esso (1,091 metres) targeted the Bend vein, where drill results over a 16-metre strike-length interval of the vein returned an average width of 2.0 meters with average grades of 22.7 g/t gold and 67.5 g/t silver. This includes a 4.17-metre true width interval grading 70.65 g/t gold.

Scottie recently completed a 2,050-metre drill program on the Scottie and Bow properties. The 20-hole program included drilling on the Bend Vein, Blueberry Vein and Scottie Gold Mine.

Drilling in 2019 was designed to confirm historical results and expand the known extent of high-grade gold and silver mineralization in the Bend vein. The company integrated the historical data and recent 2018/2019 exploration work into new structural models to better understand the geometry of mineralization.

“The assays from the Bend vein confirm the superb results of previous studies and demonstrate a truly underexplored, high-grade gold and silver target,” said Scottie President and CEO Bradley Rourke. “Past drilling on the Bend vein only probed to a maximum vertical depth of approximately 55 metres,” he said.

“Our drilling this season proves that the mineralized structure extends deeper than previously tested and substantially increased the strike length of the known mineralization.”

Rourke said drilling in 2020 will allow the company to further prove the scale of this structurally-controlled high-grade vein deposit.

Taseko hits copper targets at Gibraltar

Taseko Mines Ltd. [TKO-TSX; TGB-NYSE American] on Thursday January 9 said it achieved its 2019 full-year copper production target at its Gibraltar copper mine in British Columbia in spite of a strike by Canadian National Railway Co. [CNR-TSX] in November that impacted shipments for 11 days.

Annual production in 2019 reached 126 million pounds of copper, which is within the full-year guidance range of 130 million pounds. The mine also produced 2.7 million pounds of molybdenum last year. That includes 33.4 million pounds of copper and 700,000 pounds of molybdenum in the fourth quarter.

Throughput in the fourth quarter of 2019 was at design capacity and grade was approximately life-of-mine average. Taseko also noted that it issued a new form of reclamation security for Gibraltar, which resulted in $36 million of cash being released to Taseko in the fourth quarter.

“Looking forward, with a stronger spot copper price than what was averaged in 2019, combined with lower treatment and refining costs, we expect an improved operating margin to begin in the new year,” said Taseko CEO Russell Hallbauer.

Copper was trading at US $2.79/lb on the spot market, Thursday, up from US $2.52/lb in early September, but down from US $2.95/lb in March 2019.

“We are pleased to have met the annual production guidance that we provided 12 months ago,” Hallbauer said.

On Thursday, Taseko shares eased 1.4% or $0.01 to 69 cents. The shares are currently trading in a 52-week range of 50 cents and $1.05.

Taseko is a Vancouver-based company with a portfolio that includes the Gibraltar Mine, the Florence Copper Project in Arizona, and the New Prosperity copper-gold project, which is located near Williams Lake, B.C.

Gibraltar is a joint venture owned 75% by Taseko and 25% by Cariboo Copper Corp., a company owned jointly by Japanese companies Sojitz Corp. Furukawa Co. Ltd. and DOWA Metals and Mining Co.  All production and sales figures for the mine are reported on a 100% basis.

Gibraltar ranks as the second largest open pit copper mine in Canada and the largest employer in B.C.’s Cariboo region.

News that Taseko achieved its production targets at Gibraltar comes after the company recently released an update related to its New Prosperity mine.

The company said the Tsilhqot’in Nation as represented by the Tsilhqot’in national government and Taseko Mines have entered into a dialogue, facilitated by the Province of British Columbia, to try and obtain a long-term solution to the conflict regarding the proposed New Prosperity Mine, acknowledging Taseko’s commercial interests and the opposition of the Tsilhqot’in Nation to the project.

While Taseko said the details of the process are confidential, in order to facilitate a dialogue, the parties have agreed to a standstill on certain outstanding litigation and regulatory matters, which relate to Taseko’s tenures and the area in the vicinity of the Teztan Biny (Fish Lake).

Skeena intersects 16.64 g/t gold over 5.10 metres at Snip

Skeena Resources Ltd. [SKE-TSXV; SKREF-OTCQX] on Thursday January 9 released the remaining analytical results from the 2019 Phase 1 surface exploration project at the former Snip gold mine in northwestern British Columbia.

The 2019 exploration program consisted of 10 surface drill holes and (1,934 metres), which were designed to test the 200 Footwall Corridor.

Highlights from Phase 1 include drill hole S19-035, which intersected a new zone of high-grade gold mineralization averaging 16.64 g/t gold over 5.10 metres, including two sub-intervals grading 96.20 g/t gold over 0.50 metres and 39.80 g/t gold over 0.85 metres in the 200 Footwall.

The company said this zone is located 100 metres vertically below surface and 370 metres east of the recently reported Phase 1 200 Footwall discovery intercept which graded 1,131.91 g/t (36.39 oz/ton) over 1.50 metres (drill hole S19-044).

The area surrounding the new zone is open down-dip and down plunge, the company said in their press release Thursday.

Skeena shares advanced on the news, rising 6.3% or $0.05 to 84 cents. The shares are currently trading in a 52-week range of 27 cents and 86 cents.

Skeena is bidding to revive two of Canada’s most successful high-grade precious metal mines – Snip and Eskay Creek.

Skeena’s former Chairman Ron Netolitzky was involved in the discovery of the Eskay and Snip mines and was named Canadian prospector of the year back in 1990. Both are located in northwest British Columbia in an area known as The Golden Triangle.

Skeena acquired a 100% interest in the former Snip Mine in July, 2017 from Barrick Gold Corp. [ABX-TSX; GOLD-NYSE]. Six months later, it secured an option to acquire a 100% stake in Eskay Creek from Barrick.

The former Snip Mine was a high-grade mine that produced approximately one million ounces of gold from 1991 to 1999, at an average gold grade of 25 g/t at a 12 g/t reserve cut off.

Approximately 60% of the production was obtained from the Twin Zone, a 0.5 to 15-metre-wide sheared quartz-carbonate-sulphide vein system that cuts through a massively bedded felspathic greywacke-siltstone sequence. Other sub parallel structures located in the footwall to the Twin Zone accounted for the rest of the production.

Situated 200 metres below the Twin Zone, the 200 Footwall has been interpreted as a parallel, en echelon structure which is geologically and structurally analogous to, and contains mineralization that is similar to the Twin Zone.

Snip was historically burdened with the high cost of being a stand-alone, fly-in-fly out, operation that was dependent on diesel fuel. Concentrates were transported from the site by hovercraft in the summer and by plane in the winter.

However, the prospects for redeveloping the Snip property have improved dramatically due to substantially higher gold prices, subsequent improvements in infrastructure and access and exploration upside, the company has said.

Skeena has said it sees the opportunity to re-examine historic drill intercepts that may indicate mineralization that would be economic due to the construction of nearby infrastructure and the higher gold price.

The 2019 Phase 1 drilling was designed to validate an isolated, historical and incompletely sampled high grade intersection in the 200 Footwall Corridor.  The original target in the 200 Footwall was identified by 1997 underground drill hole UG-2610, which intersected 26.83 g/t gold over 34 metres in an incompletely sampled zone.

The recent intercept in drill hole S19-044 discovered a new occurrence of very high-grade mineralization, including a significant subinterval containing abundant visible gold, grading 3,390.00 g/t gold over 0.50 metres.

On Thursday, Skeena said the high-grade intersection in drill hole S19-044 occurred at a depth of 249.60 metres. Additional results from this drill hole include 12.60 g/t gold over 0.50 metres and 7.41 g/t gold over 0.60 metres, occurring at 242.35 metres and 214.80 metres respectively.

The company said Phase 1 drill hole S19-043 was completed prior to the newly discovered mineralization in drill hole S19-044 and intersected anomalous gold grades associated with sheared veining, including 12.00 g/t gold over 1.35 metres. “Recently completed modelling of the 200 Footwall mineralization indicates that this hole did not extend deep enough to adequately test the 200 Footwall and will be deepened during the next phase of drilling at Snip.

 

Ascot releases more impressive drill results

Ascot Resources Ltd. [AOT-TSXV, OTVF-OTCQX] on Monday released more impressive drill results from the Silver Coin deposit at Ascot’s Premier Gold Project in northwestern British Columbia.

The company said highlights from 30 drill holes (3,783 metres) reported in Monday’s press release included 30.81 g/t gold over 6.69 metres in hole P19-2137, and 28.96 g/t gold over 3.20 metres in hole P19-2136.

The results released on Monday are the fourth and final batch of drill holes from an 11,000-metre program that targeted the Silver Coin deposit.

Ascot shares slipped on the news, falling 1% or $0.01 to 92 cents on volume of 306,951. The shares are currently trading in a 52-week range of 44.5 cents and $1.36.

The Premier-Dilworth project is located 25 kilometres north of Stewart in the prolific Golden Triangle area. The project is separated into two separate properties, including the northern Dilworth area and the southern Premier area, which contains what was once the largest gold mine in North America. The Premier underground mine closed in 1952 after producing 2.0 million ounces of gold and 45 million ounces of silver.

The Silver Coin deposit, acquired in 2018, is located approximately five kilometres to the north of the Premier mill. It was mined in 1991, producing 102,500 tonnes at a grade of 8.88 g/t gold with an average recovery of 92.9%.

Monday’s drill results are from holes that were designed to test the northern and southernmost parts of the deposit.

“This concludes results from our 2019 drill campaign at PGP,” said Ascot President and CEO Derek White. “This last set of holes produced some outstanding results for the company with thick high-grade intercepts,” he said.

Overall at Silver Coin, the company reported 34 individual intercepts over 10 g/t gold, including one exceptional 273 g/t gold interval. White said the new intercepts underpin a better understanding and predictability of the geological model and provides Ascot a stronger base to work from for the development of the forthcoming updated resource statement and feasibility study.

Ascot acquired IDM Mining in March, 2019, in a bid to consolidate Ascot’s Premier Gold Project with IDM’s Red Mountain project, thus creating a leading high-grade gold development and exploration company in northwestern British Columbia’s Golden Triangle region.

Ascot said at the time that its near-term strategic goal is to define a new high-grade resource for underground mining, while continuing to explore nearby targets on its Premier-Dilworth properties near Stewart.

Aside from Premier-Dilworth, the company has two other projects, including Swamp Point, an aggregate project located in B.C. on the Portland Canal, and Mt. Margaret, a porphyry copper-molybdenum-gold-silver deposit located in Washington State, U.S.A.

Scottie advances on Golden Triangle news

Scottie Resources Corp. [SCOT-TSXV] shares rallied Friday after the company released impressive drilling results from its Bow Property in British Columbia’s Golden Triangle Region.  The Bow Property is located two kilometres northeast of the past-producing Scottie Gold mine.

The junior said drilling on the Bend vein target on the Bow Property returned 73.32 g/t gold and 71.01 g/t silver over a 4.38 metre-core length in drill hole SR19-11. That included 152.5 g/t gold and 143.56 g/t silver over 1.89 metres.

“These results exemplify the high-grade gold and silver potential of the Bow Property,” Scottie said in a news release, Friday.

Scottie shares advanced on the news, rising 10.5% or $0.02 to 21 cents on active volume of 1.23 million. The shares are currently trading in a 52-week range of $0.075 and 25 cents.

Scottie is an exploration stage company engaged in the acquisition, exploration and evaluation of gold and silver properties located in the Golden Triangle, an area of B.C. that ranks among the world’s most mineralized districts.

It is host to past and current mining operations, including Johnny Mountain, Red Mountain, Snip Mine, Premier Mine, Golden Bear and Valley of Kings.  Scottie holds a 100% interest in the past-producing Scottie Gold mine, which operated from 1981 to 1985, producing 95,426 ounces of gold from 183,147 tonnes of mineralization.

Scottie has an option to acquire a 100% interest in the 471.92-hectare Bow Property, which is contiguous to the former Scottie mine. Previous exploration work has indicated the existence of 13 different gold-bearing veins on the Bow and Scottie gold properties.

A small drill program in 1985 by Esso (1,091 metres) targeted the Bend vein, where drill results over a 16-metre strike-length interval of the vein returned an average width of 2.0 meters with average grades of 22.7 g/t gold and 67.5 g/t silver. This includes a 4.17-metre true width interval grading 70.65 g/t gold.

Drilling also tested the Blueberry vein, where a 1.59-metre interval was intersected, averaging 26.59 g/t gold and 21.83 g/t silver.

Scottie recently completed a 2,050 drill program on the Scottie and Bow properties. The 20-hole program included drilling on the Bend Vein, Blueberry Vein and Scottie Gold Mine.

On Friday, Scottie said its 2019 drilling program was designed to confirm historical results and expand the known extent of high grade gold and silver mineralization in the Bend vein. The company integrated the historical data and recent 2018/2019 exploration work into new structural models to better understand the geometry of mineralization.

“The assays from the Bend vein confirm the superb results of previous studies and demonstrate a truly underexplored, high-grade gold and silver target,’’ said Scottie President and CEO Bradley Rourke. “Past drilling on the Bend vein only probed to a maximum vertical depth of approximately 55 metres,’’ he said.

“Our drilling this season proves that the mineralized structure extends deeper than previously tested and substantially increased the strike length of the known mineralization.’’

Rourke said drilling in 2020 will allow the company to further prove the scale of this structurally-controlled high-grade vein deposit.

Crystal Lake raises $3.8 million for B.C. drilling

Crystal Lake Mining Corp. [CLM-TSXV; SIOCF-OTC; SOG-FF] said Friday January 3 that it has raised $3.8 million from private placements of units and flow-through units that will be used for continued exploration at the company’s Newmont Lake Project in northwest British Columbia’s Golden Triangle region.

That amount has been raised after the company completed the last of three tranches of its non-brokered private placement through the issuance of 1.68 million units priced at 10 cents per unit and 357,000 flow-through units at 13 cents each.

Each unit consists of one common share and one transferable warrant, with each warrant entitling the holder to purchase one additional share at an exercise price of 15 cents per share for five years following the date of closure, provided that, in the event that the closing price of the company’s shares on the TSX Venture Exchange is 75 cents or greater per share during the 20 consecutive trading day period at any time subsequent to four months and one day after the closing date. The warrants will expire at 4:00 p.m. Pacific Time on the 30th day after the date on which the company provides notice of such accelerated expiry to the holders of the warrants.

Each flow-through unit consists of one flow-through share in the capital of the company and one transferable warrant with each warrant entitling the holder to purchase one share for two years from the closing date at an exercise price of 20 cents per share.

On Friday, Crystal Lake shares rose 7.4% or $0.01 to 14.5 cents. The shares are trading in a 52-week range of $0.095 and 42 cents.

Having recently expanded the size of its Newmont Lake Project by approximately 25% to 55,100 hectares, Crystal Lake has said it is now the largest landholder among junior companies in northwest British Columbia’s broader Eskay camp.

Newmont Lake is located in the heart of the Golden Triangle and includes the McLymont Fault System, which is not far from the former Eskay Creek and Snip gold mines.

Crystal Lake has an option to earn a 100% interest in the Newmont Lake Project. Under an agreement with Romios Gold Resource Inc. [RG-TSXV, RMIOF-OTC], it can exercise the option by spending $8 million on exploration at Newmont Lake over three years.

In August, 2019, the junior said it has launched the first-ever diamond drilling program at Burgundy Ridge on the western side of the Newmont Lake Project.

On October 25, 2019, the company announced results from the first two of 10 drill holes. Highlights from drilling at Burgundy Ridge (now referred to as the Ridge Zone) included 91.26 metres of 0.38% copper, 0.30 g/t gold, and 4.12 g/t silver starting at a depth of 36.7 metres.

A higher-grade core of mineralization within the 91.26-metre interval assayed 25.78 metres of 0.73% copper, 0.63 g/t gold, 9.36 g/t silver, 0.11% zinc starting at a depth of 82.22 metres.

The company said the second diamond drill hole did not make it to its final target and collapsed at a depth of 147 metres due to bad ground conditions, 203 metres short of its target depth of 350 metres for the first-pass drilling.

The Ridge Zone is part of the larger Burgundy Trend, an area that received its first ever drilling in October, 2018. The Burgundy Trend is located less than 20 km from the 303-megawatt AltaGas hydroelectric power facility that was completed in 2015.

The 72-megawatt Mclymont Creek Hydroelectric Plant and access road sit on the southern boundary of the Newmont Lake Project. The road which was constructed to provide access to these facilities skirts the southern boundary of the property.

Eric Sprott increases stake in Tudor Gold

Tudor Gold Corp. [TUD-TSXV, TUC-Frankfurt] said Bay Street billionaire Eric Sprott has increased his stake the company to 14.1% by investing in a non-brokered private placement of 4.2 million shares that raised $2.93 million. The shares are priced at 70 cents each.

Proceeds from the sale of the flow-through shares will be used to fund exploration at the company’s Treaty Creek project, which is located in British Columbia’s Golden Triangle area.

Tudor said the initial subscribers in the flow-through shares, sold their shares to certain end holders, including Eric Sprott, who acquired the shares through 2176423 Ontario Ltd. Tudor said Sprott acquired 4.14 million flow through shares. As a result, he beneficially owns 20.2 million common shares and 11.5 million common share purchase warrants, representing approximately 14.1% of the issued and outstanding shares on a non-diluted basis, and 20.5% on a partially diluted basis, assuming the exercise of warrants.

That’s up from 11.2% (non-diluted) and 17.8% (on a partially diluted basis). The shares were acquired by Sprott for investment purposes with a long-term view of the investment.

On Tuesday, Tudor Gold shares eased 2.6% or $0.02 to 76 cents. The shares are currently trading in a 52-week range of 23 cents and $1.07.

Tudor Gold holds a 60% stake in the Treaty Creek joint venture and is the project operator. The other partners are American Creek Resources Ltd. [AMK-TSXV] and Teuton Resources Corp. [TUO-TSXV, TUC-Frankfurt], each of which hold a 20% stake in the project. American Creek and Teuton are both fully carried to a production notice. At that point, each of the two is required to contribute their respective 20% share of development costs.

Until that happens, Tudor is required to fund all exploration and development costs. The property is also subject to 3% net smelter return royalties.

The 17,913-hectare Treaty Creek Project borders Seabridge Gold Inc.’s [SEA-TSX, SA-NYSE] KSM property to the southwest and borders Pretium Resources Inc.’s [PVG-TSX] Brucejack property to the southeast. The past-producing Eskay Creek mine lies 12 kilometres to the west.

Exploration of the Treaty Creek area over the past 30 years by various junior companies has resulted in the discovery of a number of surface mineral showings, some with very high gold and silver values.

There have been over 150 diamond drill holes completed on the property from 1987 to date, in eight different mineral zones. However, it is only recently that drilling revealed the potential for a large-scale porphyry-style gold deposit at the Copper Belle and Goldstorm zones, which are located on trend and just five kilometres northeast of the KSM deposits.

In a press release on December 16, 2019, Tudor Gold said it had discovered a significant new copper-silver horizon within the Goldstorm system.

“The newly discovered copper-rich CS 600 Horizon is a very important feature of the Goldstorm System,” said Ken Konkin vice-president of project development at Tudor Gold. “The presence of copper and silver mineralization gives this discovery a true polymetallic nature yet it remains a gold-dominant project.”

Garibaldi advances on Nickel Mountain latest

Garibaldi Resources Corp. [GGI-TSXV, GGIFF-OTC] shares rallied Friday after the company released more impressive assay results from its 100%-owned Nickel Mountain project near Eskay Creek in northwestern British Columbia.

Garibaldi has previously said drilling in 2019 drill would focus on building out the five currently known mineralized zones at the E&L deposit (Discovery zone (Upper and Lower), Northeast Zone, Central Zone, and Northwest) outlined via 46 drill holes in 2017 and 2018.

The E&L system is wide open for expansion to the east, the west, the south, north and at depth, the company has said.

Results from five drill holes released on Friday include more robust nickel values and the highest copper and metal grades reported so far from the project.

Highlights include drill hole EL-19-71, which returned 7.94% nickel, 5.85% copper, 0.16% cobalt, 7.05 g/t palladium, 2.73 g/t platinum, 1.75 g/t gold and 15.81 g/t silver over 4.43 metres within 14.99 (estimated true width of 12 metres) highlighted by 5.25% nickel and 3.21% copper in the upper section of the Lower Discovery Zone (LDZ).

This hole cut massive sulphides from 142.5 metres to 157.5 metres, including a total of 4.9 metres of dykes and mineralization.

Drill hole EL-19-65 indicates there may be a distal mineralized zone enriched in copper and precious metals as 7.92% copper, 6.33 g/t palladium, 2.69 g/t platinum, 3.0 g/t gold, 40.0 g/t silver and 1.49% nickel were intersected in a chalcopyrite vein between 132.5 and 132.8 metres downhole within one of three wide intervals of mineralization in this hole.

Garibaldi shares advanced on the news, rising 6.4% or $0.06 to $1. The shares are currently trading in a 52-week range of 69 cents and $2.25.

Garibaldi vice-president, exploration Jeremy Hanson said the results emphasize persistent widespread nickel-copper mineralization at Nickel Mountain, which covers 6,300 hectares and is located to the southwest of the former Eskay Creek mine, which produced approximately 3.3 million ounces of gold and 160 million ounces of silver at average grades of 49.5 g/t gold and 2,406 g/t silver.

Eskay Creek was the world’s highest grade gold mine and the fifth largest silver mine by volume.

Interest in Nickel Mountain was triggered in the summer of 2017 when drill hole EL-17-14 intersected 8.3% nickel, 4.2% copper, 0.19% cobalt, 1.96 g/t platinum, 4.5 g/t palladium, 1.1 g/t gold, and 11.1 g/t silver over 16.75 metres starting just 100.4 metres downhole, within a broader 40.4 metre core length highlighted by 3.9% nickel and 2.4% copper.

On February 21, 2019, Garibaldi confirmed an even shallower new zone (Northeast zone) with drill hole EL-18-33 which returned 7.7% nickel and 2.95% copper over 4.8 metres within a broader interval of 49 metres grading 1.34% nickel and 0.89% copper (core length) plus cobalt, platinum, palladium, gold and silver.

Garibaldi said it has completed 38 diamond drill holes in 2019 covering 10,069 metres. “Significant new potential has been identified at depth while numerous open areas adjacent to known mineralization remain to be tested, the company said.

Results are pending from an additional 18 holes beyond the five reported in the latest news release.