Hour 1 – Focused On The Precious Metals and An Update From Novo Resources KE Report Weekend Show – Hour 1
This weekend you are getting a full two hours of metals and markets! In this first hour I bring on Rick Rule, Quinton Hennigh, and new guest who just started a valuable blog for metal stock investors.
Please keep in touch by emailing me at Fleck@kereport.com. I love hearing from all of you!
For all political comments please make those in the politics post for the weekend entitled “Political Comment Section”. Click here to visit that page.
Segment 1 and 2: Rick Rule kicks off the show by focusing on the overall gold markets then driving down to where he see opportunities in the stocks.
Segment 3: A new guest Luis Garcia, Founder of the blog High Grade by EconomicAlpha (his Twitter handle is @EconomicAlpha) joins me to share his investing strategy for metals stocks.
Segment 4: An extended interview with Quinton Hennigh regarding the recent news out of Novo Resources.
Rick Rule Luis Garcia Novo Update – Quinton Hennigh
Below is the latest news from Novo Resources. I will be chatting with Quinton tomorrow afternoon so if you have any questions or topics you want us to address please email me at Fleck@kereport.com.
Click here to visit the Novo website.
Here is the news…
VANCOUVER, British Columbia, Jan. 31, 2019 (GLOBE NEWSWIRE) — Novo Resources Corp. (“Novo” or the “Company”) (TSX-V: NVO; OTCQX: NSRPF) is pleased to announce it has received encouraging results from initial testing of mechanical rock sorting of gold-bearing conglomerate from its Karratha gold project.
As discussed in the Company’s news releases dated November 19 and December 20, 2018, the potential viability of mechanical rock sorting was tested by subjecting four bulk samples (see Figure 1 below for sample locations) to crushing, screening, and sorting using a TOMRA mechanical rock sorter. Sorted rock concentrates of very small volume were generated returning high gold contents.
Assays of the sorted waste material, undersize (-6 mm) fraction and oversize fraction (+63 mm) have returned allowing for further evaluation of this technique (please refer to Table 1 below).
Samples KX234 and KX237 generated 81.1% and 89.4% recovery of gold, respectively, from the 6-63 mm fraction that was sorted. These recoveries are considered very encouraging considering these tests are first pass and un-optimized. Interestingly, the best recovery is from the lowest grade sample, KX237.
Although samples KX235 and KX236 generated lower recoveries, the fine (-6 mm) unsorted fraction of each of these samples displays higher grade than the respective calculated head grade. Novo believes the well-oxidized, crumbly nature of the rock comprising these bulk samples may have played a role in lower recoveries. Gold particles appear to have preferentially reported to the fines rather than remain encapsulated in rock that was sorted. Such oxidation persists to about 1-2 m below surface at Karratha. Below this level, Novo believes the targeted conglomerate will be harder and less crumbly.
Sorter tailings commonly display gravity recoveries of gold of over 50% indicating significant coarse gold remains in this material. Novo believes crushing to somewhat finer size, perhaps 50 mm, may improve sorter recoveries because X-rays will more readily penetrate smaller rock particles making it easier for the mechanical sorter to identify gold particles.
Although testing was conducted on rock particles down to 6 mm size, further work is needed to determine the lowest range of particle size that can effectively be sorted. Further crush testing is also required in order to determine means of minimizing generation of fines and maximizing the fraction of material that can be sorted.
Gravity recoveries of gold from the undersize (-6 mm) fraction of the four bulk samples tested during this study range between 44%-64%. This data suggests gravity recovery of gold from unsorted fines may be a viable treatment option.
Novo considers mechanical sorting a potentially low cost means of concentrating gold that is particularly suitable for the nuggety conglomerates Novo is exploring in the Pilbara. Novo is currently undertaking a thorough review of recent mechanical sorting test data to determine means of optimizing crushing and sorting and what further testing is needed.
Table 1 – TOMRA mechanical rock sorting results from four Karratha bulk samples.
“Novo is highly encouraged by initial mechanical sorting results,” commented Rob Humphryson, CEO and a Director of Novo. “Typically, mechanical sorting machines are utilized to upgrade mineralization by sorting out waste. In this case, gold is being directly and effectively concentrated. Novo expects that optimizations can be made to further enhance this means of gold recovery.”
Novo staff collected bulk samples discussed in this news release. Bulk samples were crushed at Cook Industrial Minerals in Perth, Australia prior to being shipped to TOMRA. Once rock sorting was completed, the concentrate and smaller mass tailings samples were submitted to MinAnalytical Laboratory Services Australia in Perth, Australia for analysis via Photon assay and fire assay. PhotonAssay methodologies are described in Novo’s news release dated December 20, 2018. Larger tailings samples were submitted to SGS Minerals in Perth, Australia where they were treated in a test plant detailed in Novo’s news releases dated February 6 and May 31, 2018. All assay certificates and head grade calculations were provided by SGS and MinAnalytical, with the calculations and head grades checked by Novo internal resources. There were no limitations to the verification process and all relevant data provided to date was verified.
Dr. Quinton Hennigh, P. Geo., the Company’s, President, Chairman, Director, and a qualified person as defined by National Instrument 43-101, has approved the geological content of this news release.
About Novo Resources Corp.
Novo’s focus is to explore and develop gold projects in the Pilbara region of Western Australia, and Novo has built up a significant land package covering approximately 12,000 sq km with varying ownership interests. For more information, please contact Leo Karabelas at (416) 543-3120 or e-mail leo@novoresources.com
On Behalf of the Board of Directors,
Novo Resources Corp.
“Quinton Hennigh” Quinton Hennigh President and Chairman
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Forward-looking information Some statements in this news release contain forward-looking information (within the meaning of Canadian securities legislation) including, without limitation, statements as to planned exploration activities and the expected timing of the receipt of results. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, without limitation, customary risks of the mineral resource industry as well as the performance of services by third parties.
Figure 1 – Plan map showing the location of samples KX234, KX235, KX236 and KX237. Sample KX234 is material from the Lower Cannonball Conglomerate. The remaining samples are from the Upper Cannonball Conglomerate.
Skeena Resources – Addressing Some Misconceptions On The Recent Eskay Creek Drill Results
Last week Skeena Resources (TSX.V: SKE, OTCQX: SKREF) released some very nice high grade results from surface at the Eskay Creek Project. However the market reaction to these results was muted as the stock did not move.
I reached out to Skeena’s President and CEO Walter Coles for a comment. He addresses an analyst report that had a couple errors in understanding what type of rock the drill holes came from. We also get an update on what the plans are for this year at Eskay.
Hour 1 – A Focus On Metals and Specific Metals Stocks KER Full First Hour
After what was turning out to be the first slow week in months Friday changed all that with markets and metals moving higher. On this week’s show we focus a lot on the overall quite market for metals stocks. We even dive into a couple specific stocks that our guests are following.
Please keep in touch be emailing me at Fleck@kereport.com. Also if anyone has any suggestions on how to get the full hour segment on our Podcast please let me know. We have been working on it for the last couple weeks.
Segment 1 – Byron King kicks off the show with comments on why only true exploration drilling is getting noticed. He also shares a couple companies that he is following in his newsletter.
Segment 2 – Chris Kimble, Founder of Kimble Charting Solutions focuses on three currency charts (posted below) that could have an impact on the PMs.
Segment 3 – We step away from the metals sector with Mike Larson as he breaks down what typically happens after a Fed pause.
Segment 4 – John Kaiser wraps up the first hour by diving into a couple stocks that he thinks have a chance to make some positive moves this year.
USD WeeklyUSD/CAD WeeklyAussie Dollar – Monthly Byron KingChris KimbleMike LarsonJohn Kaiser
Maple Gold Mines – Insights on The 3D Model, Upcoming Resource, and Drilling In 2019
Last week Maple Gold Mines released a 3D model of the the Douay Gold Project. This is a key stepping stone for the Company but I thought it needed a little more discussion to understand what it was telling the Company. Matthew Hornor, President and CEO, and Fred Speidel, VP Exploration, joined to me today to share their insights on how the model is helping to define the work Maple Gold will be undertaking this year. The Company understands it’s all about growing and upgrading the resource.
Please email me any other questions you have for the guys over at Maple Gold or for myself – Fleck@kereport.com.
Here is the news release on the 3D model. It is helpful to follow along, especially with “Figure 2”.
Montreal, Quebec–(January 16, 2019) – Maple Gold Mines Ltd. (TSXV: MGM) (OTCQB: MGMLF) (FSE: M3G) (“Maple Gold” or the “Company“) has created a new 3D geological and structural model for its Douay gold project, located on the prolific Casa Berardi Deformation Zone near Val d’Or, Quebec. The Douay deposit currently contains 2,759,000 ounces Au in the inferred category and a further 479,000 ounces Au indicated using a 0.45 g/t Au cut-off grade (Micon 2018)[1]. The Micon 2018 resource does not include the new drill data from the winter 2018 campaign, and is open along strike and down dip. The new 3D model will improve targeting of additional resources in subsequent drill campaigns and forms the foundation for an updated resource estimate.
New 3D modelbased onhistorical and newexploration
results and re-interpretation of the existing and new mineralised
envelopes, highlights numerous zones of higher-grade mineralisationthroughout the 6km strike length of the Douay deposit (see Figures 1, 2)
The higher-grade zones are variably plunging and structurally-controlled by northwest-southeast striking Douay faults and east-west trending faults of the Casa Berardi Deformation Zone (CBDZ)
The down-plunge continuity of higher-grade zones has to-date been tested only to shallow depth – the average drill-hole depth at Douay is only ~230m vertical – providing excellent potential for resource expansion to depth (Fig. 2)
Additional
mineralisation controls and orientations are related to the morphology
of more local structures, syenite intrusions and their contacts
Matthew Hornor, Maple Gold’s President and CEO, commented:“Having
a more thorough set of structural interpretations and a new 3D
geological model establishes a foundation more in line with the
standards of a major gold company and marks an important internal
milestone for our technical team.”
Fred Speidel, VP, Exploration, added: “These new
products have strongly encouraged us to pursue down-plunge extensions
of higher-grade zones that continue below the current average depth of
drilling at Douay. They will also allow us to more accurately target
these higher grade zones in our subsequent drill programs.”
Figure 1: 2D representation of 3D structural
model showing distribution of higher-grade mineralized zones (red),
within lower-grade envelope (yellow), controlled by the two main sets of
structures: the E-W Casa Berardi set (grey) and the NW-SE
Douay set (blue). Note trace of longitudinal sections 100mN and 0mN as
also shown in Fig. 2 below).
Figure 2: NW-SE long sections with drill-hole
traces, looking NNE, with 25m projection corridor either side. Target
areas shown as black ellipses/arrows. Section 100mN shows significant near-surface mineralisation in Porphyry Zone, with mineralisation deepening to the SSW (section 0mN). Section 0mN highlights two separate trends of higher grade mineralisation at Douay West, one of which (black arrow) may provide a link to the Porphyry Zone. Apparent closure of mineralised zones at depth reflects absence of drill data, not termination of mineralisation. 100m grid.
Additional updates pertaining to the new 3D model, pending resource
estimate update and new priority drill targets will be provided shortly.
Qualified Person
The scientific and technical data contained in this press release was
reviewed and prepared under the supervision of Fred Speidel, M. Sc, P.
Geo., Vice-President Exploration, of Maple Gold. Mr. Speidel is a
Qualified Person under National Instrument 43-101 Standards of
Disclosure for Mineral Projects. Mr. Speidel has verified the data
related to the exploration information disclosed in this news release
through his direct participation in the work.
Quality Assurance (QA) and Quality Control (QC)
Maple Gold implements strict Quality Assurance (“QA”) and Quality
Control (“QC”) protocols at Douay covering the planning and placing of
drill holes in the field; drilling and retrieving the NQ-sized drill
core; drill-hole surveying; core transport to the Douay Camp; core
logging by qualified personnel; sampling and bagging of core for
analysis; transport of core from site to the analytical laboratory;
sample preparation for assaying; and analysis, recording and final
statistical vetting of results. For a complete description of protocols,
please visit the Company’s QA/QC page on the website at: http://maplegoldmines.com/index.php/en/projects/qa-qc-qp-statement
About Maple Gold
Maple Gold is an advanced gold exploration and development company
focused on defining a district-scale gold project in one of the world’s
premier mining jurisdictions. The Company’s ~389 km² Douay Gold Project
is located along the Casa Berardi Deformation Zone (55 km of strike)
within the prolific Abitibi Greenstone Belt in northern Quebec, Canada.
The Project benefits from excellent infrastructure and has an
established gold resource3 that remains open in multiple directions. For more information please visit www.maplegoldmines.com.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES
PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE
EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS
PRESS RELEASE.
Forward Looking Statements:
This news release contains “forward-looking information” and
“forward-looking statements” (collectively referred to as
“forward-looking statements”) within the meaning of applicable Canadian
securities legislation in Canada, including statements about the
prospective mineral potential of the Porphyry Zone, the potential for
significant mineralization from other drilling in the referenced drill
program and the completion of the drill program. Forward-looking
statements are based on assumptions, uncertainties and management’s best
estimate of future events. Actual events or results could differ
materially from the Company’s expectations and projections. Investors
are cautioned that forward-looking statements involve risks and
uncertainties. Accordingly, readers should not place undue reliance on
forward-looking statements. Forward-looking statements include, but are
not limited to, statements regarding timing and completion of the
private placement. When used herein, words such as “anticipate”, “will”,
“intend” and similar expressions are intended to identify
forward-looking statements.
Forward-looking statements are based on certain estimates,
expectations, analysis and opinions that management believed reasonable
at the time they were made or in certain cases, on third party expert
opinions. Such forward-looking statements involve known and unknown
risks, and uncertainties and other factors that may cause our actual
events, results, performance or achievements to be materially different
from any future events, results, performance, or achievements expressed
or implied by such forward-looking statements. For a more detailed
discussion of such risks and other factors that could cause actual
results to differ materially from those expressed or implied by such
forward-looking statements, refer to Maple Gold Mines Ltd.’s filings
with Canadian securities regulators available on www.sedar.com or the Company’s website at www.maplegoldmines.com. The
Company does not intend, and expressly disclaims any intention or
obligation to, update or revise any forward-looking statements whether
as a result of new information, future events or otherwise, except as
required by law.
Anaconda Mining – Recapping A Record Year For Production and Ongoing Exploration
Anaconda Mining (TSX:ANX & OTC: ANXGF) put out two news releases last week, outlining record gold production and more drill results from the Goldboro Project. Dustin Angelo, Anaconda’s President and CEO joined me for a general overview of the production numbers and ongoing exploration. There are some important details that the Company has learned about the resource in the Goldboro Project that Dustin outlines. Please send me any questions you have regarding the exploration or production of the Company – Fleck@kereport.com.
Gold Still In A Downtrend But The Downside Is Limited
Jordan Roy-Byrne, Founder of The Daily Gold breaks down the gold and GDX charts. Although this recent bounce is dissipating it has taken the metal up to the higher part of is trend. Unfortunately this trend is still a downtrend but the downside is limited. Jordan shares some key levels to watch.
Gold and Gold Stock Focused Charts – It Is So Close To Breaking Out
Chris Kimble, Founder of Kimble Charting Solutions joins me this week to break down a wide range of gold focused charts. Follow along below with the charts we discuss. Overall there are a number or charts close to breakout levels that could provide a major boost to the sector but they are not quite there.
Weekend Show Preview – How To Structure A Metals Portfolio
David Erfle, Founder of The Junior Miner Junky is kicking off the second hour of this weekend’s show with a preview to what he will be speaking about at the Vancouver Resource Investment Conference. David will be speaking on how to build a portfolio of resource companies.
Be sure to tune into the weekend show for a couple companies David is recommending.
Maple Gold Mines Releases a 3D Model That Shows Higher Grade Zones Below The Current Deposit
Maple Gold Mines just released the news highlighted below today. This new 3D model shows multiple untested higher grade zones that are below the current resource at the Douay Deposit. Clearly the Company will be following up on these untested zones but I will be getting more information from The President and CEO Matthew Hornor shortly. Please send me whatever questions you have to Fleck@kereport.com.
Montreal, Quebec–(Newsfile Corp. – January 16, 2019) – Maple Gold Mines Ltd. (TSXV: MGM) (OTCQB: MGMLF) (FSE: M3G) (“Maple Gold” or the “Company“) has created a new 3D geological and structural model for its Douay gold project, located on the prolific Casa Berardi Deformation Zone near Val d’Or, Quebec. The Douay deposit currently contains 2,759,000 ounces Au in the inferred category and a further 479,000 ounces Au indicated using a 0.45 g/t Au cut-off grade (Micon 2018)[1]. The Micon 2018 resource does not include the new drill data from the winter 2018 campaign, and is open along strike and down dip. The new 3D model will improve targeting of additional resources in subsequent drill campaigns and forms the foundation for an updated resource estimate.
New 3D modelbased onhistorical and newexploration results and re-interpretation of the existing and new mineralised envelopes, highlights numerous zones of higher-grade mineralisationthroughout the 6km strike length of the Douay deposit (see Figures 1, 2)
The higher-grade zones are variably plunging and structurally-controlled by northwest-southeast striking Douay faults and east-west trending faults of the Casa Berardi Deformation Zone (CBDZ)
The down-plunge continuity of higher-grade zones has to-date been tested only to shallow depth – the average drill-hole depth at Douay is only ~230m vertical – providing excellent potential for resource expansion to depth (Fig. 2)
Additional mineralisation controls and orientations are related to the morphology of more local structures, syenite intrusions and their contacts
Matthew Hornor, Maple Gold’s President and CEO, commented:“Having a more thorough set of structural interpretations and a new 3D geological model establishes a foundation more in line with the standards of a major gold company and marks an important internal milestone for our technical team.”
Fred Speidel, VP, Exploration, added: “These new products have strongly encouraged us to pursue down-plunge extensions of higher-grade zones that continue below the current average depth of drilling at Douay. They will also allow us to more accurately target these higher grade zones in our subsequent drill programs.”
Figure 1: 2D representation of 3D structural model showing distribution of higher-grade mineralized zones (red), within lower-grade envelope (yellow), controlled by the two main sets of structures: the E-W Casa Berardi set (grey) and the NW-SE Douay set (blue). Note trace of longitudinal sections 100mN and 0mN as also shown in Fig. 2 below).
Figure 2: NW-SE long sections with drill-hole traces, looking NNE, with 25m projection corridor either side. Target areas shown as black ellipses/arrows. Section 100mN shows significant near-surface mineralisation in Porphyry Zone, with mineralisation deepening to the SSW (section 0mN). Section 0mN highlights two separate trends of higher grade mineralisation at Douay West, one of which (black arrow) may provide a link to the Porphyry Zone. Apparent closure of mineralised zones at depth reflects absence of drill data, not termination of mineralisation. 100m grid.
Additional updates pertaining to the new 3D model, pending resource estimate update and new priority drill targets will be provided shortly.
Qualified Person
The scientific and technical data contained in this press release was reviewed and prepared under the supervision of Fred Speidel, M. Sc, P. Geo., Vice-President Exploration, of Maple Gold. Mr. Speidel is a Qualified Person under National Instrument 43-101 Standards of Disclosure for Mineral Projects. Mr. Speidel has verified the data related to the exploration information disclosed in this news release through his direct participation in the work.
Quality Assurance (QA) and Quality Control (QC)
Maple Gold implements strict Quality Assurance (“QA”) and Quality Control (“QC”) protocols at Douay covering the planning and placing of drill holes in the field; drilling and retrieving the NQ-sized drill core; drill-hole surveying; core transport to the Douay Camp; core logging by qualified personnel; sampling and bagging of core for analysis; transport of core from site to the analytical laboratory; sample preparation for assaying; and analysis, recording and final statistical vetting of results. For a complete description of protocols, please visit the Company’s QA/QC page on the website at: http://maplegoldmines.com/index.php/en/projects/qa-qc-qp-statement
About Maple Gold
Maple Gold is an advanced gold exploration and development company focused on defining a district-scale gold project in one of the world’s premier mining jurisdictions. The Company’s ~389 km² Douay Gold Project is located along the Casa Berardi Deformation Zone (55 km of strike) within the prolific Abitibi Greenstone Belt in northern Quebec, Canada. The Project benefits from excellent infrastructure and has an established gold resource3 that remains open in multiple directions. For more information please visit www.maplegoldmines.com.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS PRESS RELEASE.
Forward Looking Statements:
This news release contains “forward-looking information” and “forward-looking statements” (collectively referred to as “forward-looking statements”) within the meaning of applicable Canadian securities legislation in Canada, including statements about the prospective mineral potential of the Porphyry Zone, the potential for significant mineralization from other drilling in the referenced drill program and the completion of the drill program. Forward-looking statements are based on assumptions, uncertainties and management’s best estimate of future events. Actual events or results could differ materially from the Company’s expectations and projections. Investors are cautioned that forward-looking statements involve risks and uncertainties. Accordingly, readers should not place undue reliance on forward-looking statements. Forward-looking statements include, but are not limited to, statements regarding timing and completion of the private placement. When used herein, words such as “anticipate”, “will”, “intend” and similar expressions are intended to identify forward-looking statements.
Forward-looking statements are based on certain estimates, expectations, analysis and opinions that management believed reasonable at the time they were made or in certain cases, on third party expert opinions. Such forward-looking statements involve known and unknown risks, and uncertainties and other factors that may cause our actual events, results, performance or achievements to be materially different from any future events, results, performance, or achievements expressed or implied by such forward-looking statements. For a more detailed discussion of such risks and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements, refer to Maple Gold Mines Ltd.’s filings with Canadian securities regulators available on www.sedar.com or the Company’s website at www.maplegoldmines.com. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.
