This is a brief mid-week report updating several of the Cos on our shortlist making news today (Sep. 9th).
Forum Energy Metals (FMC.V)…
… dropped the following headline today:
When I asked Forum CEO, Rick Mazur, if he’d consider optioning out his Love Lake project during a recent interview, his response was an unequivocal “No”.
Not yet, anyway.
A serious prospect generator will always stick with a project, adding value via a round or two of geochemical and geophysical exploration before considering a JV or sale.
If early-stage exploration, and a first pass with the drill bit, open up the potential for scale, and economic viability, the prospect generator (PG) may even decide to drop the PG business model altogether… and go it alone.
It’s too early to tell what CEO Mazur has at Love Lake, but he’s thinking big—Voisey’s Bay, Julimar (Chalice Gold) big.
“The Love Lake project covers 30,836 ha of mafic-intrusive rocks in the Peter Lake Domain with historic occurrences of nickel, copper, platinum, palladium and gold. The property is prospective for Nickel-Copper massive sulphide deposits in feeder zones (Voisey’s Bay, Julimar-Chalice Gold), Lac de Iles-type platinum/palladium deposits and reef-type platinum/palladium deposits. The Ni-Cu-PGM occurrences are associated with the Love Lake Complex, a gabbroic pluton within the 2.5 billion year old Swan River mafic complex in the Peter Lake, Domain.”
Back to today’s headline
Forum recently completed a high resolution airborne magnetic survey over its wholly-owned Love Lake Nickel-Copper-PGM project, located approximately 60 kilometers northeast of the company’s Janice Lake/Rio Tinto copper JV in north-central Saskatchewan.
The upshot of this mag survey? Forum identified two new target areas that are prospective for magmatic nickel-copper-palladium-platinum deposits, in addition to the historical What Lake occurrences.
According to the company…
“A total of 4,412 line kilometres were flown with the SHA Geophysics Heli-GT magnetic/gradiometric system over the 20km by 5km Love Lake Complex (LLC). Magnetic Susceptibility Inversions have identified two new areas of deep-rooted magnetic targets as potential feeder zones for magmatic nickel-copper-PGM deposits.”
The following map illustrates all three targets—the Road Anomaly, the Korvin Anomaly, and the historic What Lake Anomaly.
- The Road Anomaly occurs at the western end of the LLC and is easily accessible, transected by Highway 905. This anomaly is striking both in magnetic intensity and form. This feature is believed to represent a deformed funnel-shaped intrusion, and the magnetic anomaly is associated with its deep-rooted magmatic feeder. Magnetic inversions suggest that the Road Anomaly is made up of a strongly magnetic core that plunges steeply to the east and has the greatest depth extent of all the magnetic bodies within the LLC.
- The Korvin Anomaly is located 4 kilometers to the southwest of the What Lake trench area. Historic drilling in this area has intersected 31.7 meters grading 0.23% copper and 36.6 meters grading 0.29% copper (editors note: these Cu intervals have never been followed up with additional drilling).
- The What Lake Anomaly reports grab samples from trenches grading 1.33% nickel, 0.33% copper, 2.68 g/t palladium and 2.73 g/t platinum. Forum’s initial examination of the What Lake area in 2019 returned anomalous platinum and palladium geochemistry.
According to CEO Mazur, the Road anomaly was “a very nice surprise.”
A ground crew is currently focused on mapping, rock and soil sampling over the Road and Korvin anomalies.
“Once all data has been compiled from this program, identified drill targets will undergo an electromagnetic survey prior to drilling.”
A few days back we detailed developments at Forum’s Janice Lake project in a piece titled Drilling commences at Forum’s (FMC.V) district-scale Janice Lake copper project in Saskatchewan.
Between Janice and Love Lake, newsflow will be robust going forward.
Today, Banyan Gold (BYN.V)…
… announced the following acquisition:
Banyan Announces Expansion of Aurmac Property and Acquisition of The Nitra Property, Yukon
Here, Banyan reported having staked an additional 401 claims situated immediately adjacent and contiguous to their AurMac Property.
This significantly expands the AurMac footprint, from 92 square kilometres to 156 square kilometres.
Concurrently, Banyan identified and staked a new package of land located 5 km to the west of the AurMac Project, which based on prospecting exhibits similar geological potential. The new property has been named the Nitra Property and comprises 593 claims and 117 square kilometres.
“Banyan has now expanded our land position to over 270 square kilometres of highly prospective ground that fits the application of our geological model developed and utilized to successfully unlock near surface gold resources at Airstrip and Powerline”, stated Tara Christie, President and CEO, “The Mayo Mining District is an extremely prospective and active mining camp, and Banyan intends to be a leader in the advancement of mineral resources in the area.”
The market appreciated this acquisition news—the stock is currently probing all-time high territory (our entry point back in mid-February, 2020, was $0.06).
Harfang Exploration (HAR.V)…
… a new addition to the Highballer shortlist, just announced a monetization event, selling its Kali property to QcX Gold (QCX.V).
Harfang Sells its Kali Project, James Bay (Quebec)
“As a project generator, Harfang is pleased to have entered into an agreement with QcX Gold in respect of the sale of the Kali Project. The completion of the Transaction will allow Harfang’s technical team to fully focus on our flagship Serpent gold project and continue advancing its exploration” said François Goulet, President and Chief Executive Officer of Harfang.”
Transaction Terms
To secure this James Bay project, QcX Gold will issue to Harfang 1,750,000 common shares, and grant in favour of Harfang a 2.5% net smelter returns royalty, with no buyback option.
QcX last traded at $0.385. Simple math gives the share component of this transaction a value of $673,750.00.
It’s interesting to note that there is NO NSR buyback option included in this deal.
Also today, Skeena Resources (SKE.T)…
… dropped infill drill hole assays from its Eskay Creek project in B.C.’s prolific Golden Triangle.
Skeena Intersects 11.03 g/t AuEq over 39.66 metres in 21A Zone Infill Drilling at Eskay Creek
According to the company, this phase-one program is being carried out with six helicopter supported drill rigs that are currently active in the 21A, 21B, and 21C zones (for PFS work—resource category conversions).
“The Company is also drilling in the near-mine environment testing the Water Tower Zone (“WTZ”) and the largely underexplored Lower Mudstone sequences which lie beneath the Contact Mudstone that was historically mined.”
Phase I Eskay Creek 21A and 21C Zones Infill Drilling Highlights:
- 5.05 g/t Au and 449 g/t Ag (11.03 g/t AuEq) over 39.66 meters (SK-20-292) – 21A Zone;
- 5.47 g/t Au and 9 g/t Ag (5.59 g/t AuEq) over 12.25 meters (SK-20-307) – 21C Zone;
- 3.59 g/t Au and 14 g/t Ag (3.77 g/t AuEq) over 16.50 meters (SK-20-321) – 21C Zone
Skeena Exploration Manager, Adrian Newton, P.Geo:
“The Phase I portion of our 2020 infill drill program is now more than 50% complete and our team is eager to accelerate the upcoming Phase II program with additional drill rigs, providing results which are designed to add confidence to the currently tightly constrained resource base“.
Skeena was first featured in these pages back in early February, 2020, at $1.11—it tagged a high today of $3.31
North, to Alaska… HighGold Mining (HIGH.V)…
… dropped the following headline earlier today:
Discussion of Drill Results:
Drill hole JT20-092 tested an area below the last hole of the 2019 season with the objective of better defining the down-dip extent of the JT Deposit and confirming a subzone of very high-grade gold. Hole JT20-092 successfully intersected 74.1 meters grading 17.89 g/t gold, 7.1 g/t silver, 0.48% copper, 7.28% zinc and 1.31% lead (23.8 g/t AuEq; estimated true width 37.1m). The gold grade of this intersection (17.89 g/t) is 79% higher than JT19-90, located approximately 15 to 20 meters up-dip, which returned 75.1 meters grading 10.01 g/t gold, 6.0 g/t silver, 0.57% copper, 9.36% zinc and 1.11% lead (estimated true width 40.6m). The zone of thick high-grade mineralization is open to expansion and remains a focus of ongoing drilling.
Hole JT20-093 intersected strong base metal grades along the open northeast edge of the JT Deposit, including 43.5 meters grading 1.98% copper, 8.45% zinc and 1.35 g/t gold (9.9 g/t AuEq; estimated true width of 28.0m). This drill intersection expanded both the width and up-dip extent of the mineralized zone in the area that was tested.
That is one boomer of a headline interval—I had to read it over several times before it sunk in.
The market’s reaction…
To do this press release justice, I’ll be writing an in-depth HighGold article, slated for publication this weekend.
END
Greg Nolan
Of the company’s featured above, Forum and HighGold are Highballer clients. The author owns shares of Forum, Harfang, and HighGold.
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