{"id":1181294,"date":"2020-04-29T09:24:09","date_gmt":"2020-04-29T14:24:09","guid":{"rendered":"https:\/\/oilandgas-investments.com\/?p=32494"},"modified":"2020-04-29T09:24:09","modified_gmt":"2020-04-29T14:24:09","slug":"is-fosterville-south-fsx-tsxv-the-next-kirkland-lake-gold","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1181294","title":{"rendered":"IS FOSTERVILLE SOUTH (FSX-TSXV) THE NEXT KIRKLAND LAKE GOLD?"},"content":{"rendered":"

Fosterville South Exploration Ltd. (FSX:TSXV)<\/strong><\/span> is the newly listed junior that owns the ground<\/p>\n

    \n
  1. Due south<\/li>\n
  2. on the same fault<\/li>\n
  3. with the same geochemical and geological\u00a0signatures<\/li>\n<\/ol>\n

    as the highest grade, lowest cost mine in the world today \u2013\u00a0Kirkland Lake Gold\u2019s (KL:NYSE\/TSX)<\/strong><\/span> Fosterville Gold Mine in south-central Australia.<\/p>\n

    It\u2019s a huge land package \u2014 totalling close to 1,400 km2\u00a0<\/sup>\u2014 only a couple hours from the big city of Melbourne. The properties have\u00a0 high-grade historical production.\u00a0 There is a large amount of historical work, and Fosterville South\u2019s recent work has shown a couple geochemical anomalies 3-5 km long.<\/p>\n

    In particular, the Lauriston property, due south of Fosterville, is a potential flagship asset for Fosterville South.<\/p>\n

    \"\"<\/a><\/p>\n

    The Fosterville Gold Mine was the engine that took Kirkland Lake from $1.62 – $62 in four years \u2014 a 40 bagger.\u00a0 FSX is a long way from $62 of course, and is now trading at… close to $1.62.<\/p>\n

    I\u2019ll explain below the great geological detective work that local prospector and geologist Rex Motton did to stake this incredible land package \u2014 early.\u00a0 VERY early. He grew up there and spent his teenage years before becoming a geologist, prospecting within the belt\u00a0<\/p>\n

    As the potential of the ultra-high-grade Swan Zone became apparent, he quickly reverse-engineered the geology that led Kirkland Lake to this incredible discovery.<\/p>\n

    And he then rushed out to stake just under 1,400 km2 of ground \u2013 much of it due south of the mine along the same fault structures as Fosterville \u2014 before the rest of the geological & investment community knew what the Swan Zone would do for Kirkland Lake\u2019s stock. This was early in 2017.<\/p>\n

    Now the Aussie geologist has partnered with some of the management team and early investors behind K92 Mining<\/strong><\/span> (hottest management group in the business) and some very well-known and uber successful mining titans to bring Fosterville South \u2014 FSX-TSXV \u2013 to the public markets.<\/p>\n

    \u00a0<\/p>\n

    How To Catch A Swan<\/strong><\/span>
    \u00a0<\/h2>\n

    When Kirkland Lake acquired the Fosterville Gold Mine, it was not a big deal \u2014 with just 244k oz of gold reserves grading 7.0 g\/t.<\/p>\n

    In fact, the geology at Fosterville starts off with low grade (1 g\/t) oxide mineralization at surface \u2014 perfect for a low-cost heap-leach operation that can generate cash flow quickly.<\/p>\n

    As you get below 40 metres though, the geology turns to sulphides and gets higher grade \u2014 3-10 g\/t. And for most of its modern existence Fosterville was a small mine producing 100-130koz\/year at moderate grades of 3-6 g\/t.<\/p>\n

    After Kirkland Lake bought the mine in 2016, they drilled deeper (into what is known as the Phoenix Zone) the results improved, still with disseminated gold in sulfides but at higher grades.\u00a0 The Phoenix Zone was just a taste of what to come.<\/p>\n

    Kirkland Lake continued down \u2014 1,200 to 1,400 feet.\u00a0 That is where they hit the motherlode<\/em>\u2026 where they caught the Swan…quartz veins that had bonanza grades.<\/p>\n

    Here are the gold grades reported in this press release from Kirkland Lake in 2018:<\/p>\n

    289 g\/t over 6.0 metres Estimated True Width (ETW)
    155 g\/t over 9.9 metres ETW
    423 g\/t over 3.2 metres ETW
    215 g\/t over 5.9 metres ETW
    \u00a0
    Imagine what any of these dream-like holes would do for an exploration stock trading under $2?<\/u><\/em><\/p>\n

    But there was no gold rush \u2014 perhaps because Fosterville South\u2019s Rex Motton had quickly\u00a0 staked all of the key land right as this super high-grade news broke, and before North American investors really understood what was about to happen.\u00a0 All that ground is now in Fosterville South FSX-TSXv<\/u><\/p>\n

    There has always been gold in this region.\u00a0 Now we know there is even more gold further down.\u00a0 But with the stock just listed a few days ago, this is ground floor opportunity for Fosterville South shareholders today.<\/p>\n

    \u00a0<\/p>\n

    Now Fosterville South Is Going Swan Hunting<\/strong><\/span>
    \u00a0<\/span><\/h2>\n

    The name says it all, obviously.\u00a0 Fosterville South\u2019s land package is located directly to the south of Kirkland Lake\u2019s Fosterville Gold Mine.\u00a0 But it isn\u2019t just the \u201ccloseology\u201d to the Fosterville Gold Mine that has the Smart Money so excited.\u00a0<\/p>\n

    It is the geology.<\/p>\n

    Rex Motton knew how important the edge of Selwyn Block is \u2014 it runs directly through the Fosterville Gold Mine in the north and down directly through Fosterville South\u2019s claim further south.<\/p>\n

    Motton and the Fosterville South team will hunt for more Swans along this edge, called the Selwyn Margin<\/em>. All of the targets at Lauriston have the same indicator elements (antimony and stibnite) \u2014 that led Kirkland Lake to the Swan Zone.<\/p>\n

    Now look at the map further below.\u00a0<\/p>\n

    Previous drilling on the Selwyn Margin<\/em> here has already come up with VERY high gold grades near surface, where there Selwyn Margin<\/em> and Whitelaw Fault intersect.\u00a0 By the way, the Whitelaw Fault is a key feature of the Bendigo Goldfield (22 M oz!!!<\/u><\/strong>) also to the north.<\/p>\n

    Folks, the clues are hiding in plain sight.<\/p>\n

    There is actually historical production reported on Lauriston at 20\/gt, or half ounce material. This is not a grassroots property, but it has a grassroots valuation!<\/em><\/p>\n

    Historic drilling here shows double digit grades and nobody has ever taken the drilling deeper like Kirkland did to where the Swan Zone is.<\/p>\n

    \"\"<\/a><\/p>\n

    Thanks to Kirkland Lake, the geology here is now fully understood. Between location, geology, tight share structure (i.e. low market cap), specialty mining funds rushed to participate in Fosterville South\u2019s financing.\u00a0 This isn\u2019t Smart Money\u2026 it\u2019s THE Smartest Money… institutional funds that are run by geologists, engineers and technical types.<\/p>\n

    Fosterville South has a big land package and being right beside Kirkland Lake\u2019s Fosterville Gold Mine is appealing\u2026.<\/p>\n

    …But the true excitement from the Smart Money is because FSX has the right type of rock.\u00a0 The showings here are big regional structures, the gold is disseminated exactly as a geologist wants to see it, and the rocks are the right age.\u00a0<\/p>\n

    As Rex says himself: \u201cThe signature’s right, the structural setting’s right, the rocks are right. Without actually getting out there and drilling it, everything else says we’re in the right spot.\u201d<\/p>\n

    I\u2019ve had two long interviews with Rex, but I don\u2019t want to make this story too long or complicated.\u00a0 In future stories, I\u2019ll explain Rex\u2019s thinking on his other key assets, and how he hooked up with some of the key guys from the\u00a0K92 Mining team.<\/p>\n

    The key point being that you can potentially find a bevy of Swan Zones in the geological structure that Fosterville South has.<\/p>\n

    For Fosterville South shareholders all it is going to take is one to turn this stock into the next Kirkland Lake.\u00a0
    \u00a0
    DISCLOSURE: I am long Fosterville South.<\/p>\n

    Keith<\/em><\/p>\n

    Although opinions expressed are my own, this article was reviewed, issued on behalf of and sponsored by Fosterville South.<\/strong>\u00a0\u00a0Fosterville South paid for the dissemination of this article.\u00a0\u00a0 Further information on the company can be found at SEDAR.com, including the 43-101 report with some important information, risk factors and assumptions.\u00a0<\/u>The information in this newsletter does not constitute an offer to sell or a solicitation of an offer to buy any securities of a corporation or entity, including U.S. Traded Securities or U.S. Quoted Securities, in the United States or to U.S. Persons.\u00a0 Securities may not be offered or sold in the United States except in compliance with the registration requirements of the Securities Act and applicable U.S. state securities laws or pursuant to an exemption therefrom.\u00a0 Any public offering of securities in the United States may only be made by means of a prospectus containing detailed information about the corporation or entity and its management as well as financial statements.\u00a0 No securities regulatory authority in the United States has either approved or disapproved of the contents of any newsletter.<\/p>\n

    Keith Schaefer is not registered with the United States Securities and Exchange Commission (the \u201cSEC\u201d): as a \u201cbroker-dealer\u201d under the Exchange Act, as an \u201cinvestment adviser\u201d under the Investment Advisers Act of 1940, or in any other capacity.\u00a0 He is also not registered with any state securities commission or authority as a broker-dealer or investment advisor or in any other capacity.<\/p>\n","protected":false},"excerpt":{"rendered":"

    Fosterville South Exploration Ltd. (FSX:TSXV) is the newly listed junior that owns the ground Due south on the same fault with the same geochemical and geological signatures as the highest grade, lowest cost mine in the world today – Kirkland Lake Gold’s (KL:NYSE\/TSX) Fosterville Gold Mine in south-central Australia. It’s a huge land package — totalling close […]<\/p>\n","protected":false},"author":19,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[528,3213],"tags":[],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1181294"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/19"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1181294"}],"version-history":[{"count":2,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1181294\/revisions"}],"predecessor-version":[{"id":1189217,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1181294\/revisions\/1189217"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1181294"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1181294"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1181294"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}