Wednesday 13th December 2017

Resource Clips


June, 2015

Electra Stone closes over-subscribed private placement, begins B.C. jade exploration

June 30th, 2015

by Greg Klein | Updated June 30, 2015

Electra Stone closes over-subscribed private placement for nearly $1 million

With an oversubscribed private placement that closed on $997,344 the previous afternoon, Electra Stone TSXV:ELT announced the beginning of exploration on its British Columbia nephrite jade projects on June 30. Work will initially focus on the company’s recently acquired Polar placer jade project, about a kilometre from the Polar Jade mine, one of Canada’s most important jade operations. The team will also explore Electra’s other northern B.C. claims.

This Phase I program follows an oversubscribed private placement that “demonstrates the strength of Electra’s offering in these difficult markets,” said president/CEO John Costigan. The world’s first publicly traded jade exploration company, Electra also mines chalky geyserite, or aluminum silica, from a quarry on Vancouver Island.

Read more about Electra Stone.

June 30th, 2015

Disparity: How regulators deal with gold and stock manipulation Stockhouse
Minerals hold up in slow oil and gas recovery Industrial Minerals
China likely to get central bank nod for yuan gold fix soon NAI 500
Paul Renken’s gold, graphite and REE names poised for gains Streetwise Reports
Finance gurus—are they worth your time? Equities Canada
Gold in the age of soaring debt GoldSeek

Gianni Kovacevic, author and chairperson of CopperBank Resources, argues that higher commodity prices are inevitable

June 29th, 2015

…Read more

June 29th, 2015

This story has been updated and moved here.

Tourist finds 8.52-carat gem at Arkansas diamond-prospecting park

June 29th, 2015

by Greg Klein | June 29, 2015

A former Arkansas mine that’s now “the world’s only diamond-producing site open to the public” has yielded another big find. Within 20 minutes of her search on June 24, visitor Bobbie Oskarson scooped up a white 8.52-carat gem described as “absolutely stunning.” She took the stone with her under the attraction’s finders-keepers policy.

The Crater of Diamonds State Park features a 15-hectare search area described as “the eroded top of the eighth-largest diamond-bearing deposit in the world in surface area.”

Tourist finds 8.52-carat gem at Arkansas diamond-prospecting park

Commercial mining flopped but amateurs and novices alike
still find impressive stones like this 8.52-carat white diamond.
(Photo: Arkansas State Parks)

Attendants plow the area regularly to help expose gems. Visitors search for diamonds simply by walking along the rows or by using garden tools and sifting screens. Park staff can help identify up to 40 types of rocks and minerals to be found.

Unlike Canadian deposits, Arkansas diamonds made their ascent through lamproite bodies, not kimberlite.

Mining started with a 1906 diamond rush. But despite several owners, commercial operations flopped. “All such ventures are shrouded in mystery,” the park’s website states. “Lawsuits, lack of money and fires are among the reasons suspected for these failures.”

Oskarson’s find is “absolutely stunning, sparkling with a metallic shine and appears to be an unbroken, capsule-shaped crystal,” said park interpreter Waymon Cox. “It features smooth, curved facets, a characteristic shared by all unbroken diamonds from the Crater of Diamonds.” The stone measures about three-quarters of an inch long “and as big around as a standard No. 2 pencil.” It’s the fifth-largest diamond found by a visitor since the park opened in 1972.

The biggest was a white 16.37-carat stone found in 1975. The site’s biggest-ever, and the largest diamond found in the U.S., was the Uncle Sam, a 40.23-carat white stone with a pink cast unearthed in 1924.

Some of the 75,000 diamonds found over the site’s history remain on display at the park. The attraction also features relics including the mine shaft building, plant foundations, old mining equipment and other artefacts.

June 29th, 2015

Disparity: How regulators deal with gold and stock manipulation Stockhouse
Minerals hold up in slow oil and gas recovery Industrial Minerals
China likely to get central bank nod for yuan gold fix soon NAI 500
Paul Renken’s gold, graphite and REE names poised for gains Streetwise Reports
Finance gurus—are they worth your time? Equities Canada
Gold in the age of soaring debt GoldSeek
Great deposits of the world—Hishikari, Japan Geology for Investors

Low-hanging fruit

June 26th, 2015

GTA Resources considers mining near-surface, high-grade Ontario gold

by Greg Klein

For the majors, the really big new gold deposits seem more and more elusive. But GTA Resources and Mining TSXV:GTA thinks it might have found enough low-hanging fruit to make a substantial impact on a small-cap company. Recently optimized high-grade pit shells have GTA examining the possibility of low-cost production at the Northshore project, 125 kilometres west of Hemlo.

GTA Resources considers mining near-surface, high-grade Ontario gold

A program of shallow infill drilling would help determine
the viability of small-scale mining at GTA’s Northshore project.

“We knew we had a high-grade zone within the Afric deposit,” CEO Wayne Reid says of Northshore’s June 2014 resource estimate. “And we wanted to know what could be put in shallow pits as a high-grade resource because it might be very simple to mine this stuff in an open pit with very little stripping and truck it to an existing mill.”

In a joint venture with Balmoral Resources TSX:BAR, GTA has completed a 51% earn-in and acts as operator of the 337-hectare project on the Hemlo-Schreiber Greenstone Belt. Based on 52 holes totalling 11,390 metres, the Afric zone’s resource used a 0.5 gram-per-tonne cutoff to show:

  • indicated: 12.36 million tonnes averaging 0.99 g/t for 391,000 ounces gold

  • inferred: 29.58 million tonnes averaging 0.87 g/t for 824,000 ounces

Intrigued by the high-grade areas close to surface, GTA commissioned an engineering study that detailed two pit shells within the existing resource. In results released this month, two options were provided within each shell, with those for the West area showing:

Pit Pws 28

  • indicated: 56,825 tonnes averaging 2.92 g/t for 5,335 ounces

Pit Pws 31

  • indicated: 100,665 tonnes averaging 2.8 g/t for 9,062 ounces

For the East area, the two options showed:

Pit Pws 28

  • inferred: 62,809 tonnes averaging 2.86 g/t for 5,775 ounces

Pit Pws 31

  • indicated: 91,449 tonnes averaging 2.38 g/t for 6,998 ounces

  • inferred: 287,060 tonnes averaging 2.63 g/t for 24,273 ounces

For both East and West areas, pit 28 totals 5,335 ounces indicated and 5,775 ounces inferred. Pit 31’s total comes to 16,060 ounces indicated and 24,273 ounces inferred. The strip ratio for each pit came to 0.5 and 0.8 respectively.

If a low-cost mining scenario proves possible, such numbers could offer significant opportunity for a company like GTA, Reid says. An affable Newfoundlander who’s been a professional geologist for close to 40 years, he looks back on a career largely focused on Archean gold deposits, mainly in the Timmins camp but also in Red Lake, along with base metals and uranium experience.

Reid spent over 20 years in senior roles with the Noranda/Hemlo group. He’s also served as manager of Canadian exploration for Echo Bay Mines and exploration manager for St. Andrew Goldfields TSX:SAS, in addition to positions with other companies. Reid initially staked and began exploration at Brewery Creek and took part in the team that sunk the first holes in Newfoundland’s Boundary deposit, which became the Duck Pond mine.

Looking at Northshore’s optimized pits, he says, “I think that if our preliminary numbers can be verified you could have a good profit without needing a lot of capital. What we need to do now is put some economic numbers on that and also firm up those ounces.”

To accomplish that, Reid wants to do shallow infill drilling, baseline environmental studies and a mini-bulk sample ranging from 10,000 to 50,000 tonnes, depending on what permitting allows. A four-kilometre road linking to the Trans-Canada Highway would need upgrading. “We’ve already talked to some existing mills within a 150-kilometre radius of the deposit,” Reid says.

With $600,000 now in the till, GTA hopes to raise more money soon through a flow-through share offering which would allow further work to resume around mid-summer.

I think it would take one key person to co-ordinate it. After that, it’s all contracting—the mining, the trucking, the milling.—Wayne Reid, CEO of
GTA Resources and Mining

While the Hemlo-Schreiber Greenstone Belt discovery remains GTA’s flagship, the company’s also active farther east, between Timmins and the Borden Lake deposit acquired by Goldcorp TSX:G earlier this year. Now in the second year of a 100% option on the Ivanhoe project, GTA expanded its claims by 40% over the last year to compile a 13,258-hectare land package. An interpreted extension of the Destor Porcupine fault zone extends across the northern part of the property.

Last year’s prospecting identified four areas of gold mineralization on the Destor Porcupine break and a porphyry trend. Samples graded up to 4.1 g/t and 18.1 g/t. Magnetometer and induced polarization surveys followed, with IP finding several high resistivity and chargeability targets that appear to coincide with the mineralized areas. With additional fieldwork to come, drilling is tentatively planned for late summer or early fall.

In Reid’s home province and near the Duck Pond mine he helped explore, GTA optioned claims earlier this month that comprise part of the Burnt Pond zinc-copper property. “We’re going to do a geophysical program to better identify some VMS or base metals targets and get ready to drill them,” he says. The plan is to take advantage of Newfoundland’s 50% rebate on exploration costs. Surveys could begin in summer or fall.

Back in Ontario but currently on the backburner is GTA’s Auden property, immediately south of Zenyatta Ventures’ (TSXV:ZEN) Albany graphite project.

If all goes well at Northshore, the high-grade, near-surface areas could potentially “make serious money for our market cap,” Reid emphasizes. For the exploration company to go into production, “we would have to get the right people in the right places,” he explains. “I think it would take one key person to co-ordinate it. After that, it’s all contracting—the mining, the trucking, the milling.”

He adds, “Now if someone wanted to take it out and buy it from us, we’d be open to that also.”

June 26th, 2015

Minerals hold up in slow oil and gas recovery Industrial Minerals
China likely to get central bank nod for yuan gold fix soon NAI 500
Despite bribery and corruption, Chinese retailers grow in Uganda Stockhouse
Paul Renken’s gold, graphite and REE names poised for gains Streetwise Reports
Finance gurus—are they worth your time? Equities Canada
Gold in the age of soaring debt GoldSeek
Great deposits of the world—Hishikari, Japan Geology for Investors

MGX updates Driftwood Creek, increases private placement, joins CSE Composite

June 25th, 2015

by Greg Klein | June 25, 2015

Initial results show progress in a plan to use alternative energy at the proposed Driftwood Creek magnesium project in southern British Columbia, MGX Minerals CSE:XMG reported June 25. The company also announced its addition to the Canadian Securities Exchange Composite Index and an increase in its private placement offer.

MGX updates Driftwood Creek, increases private placement, joins CSE Composite

Besides southeastern B.C.’s Driftwood Creek project, MGX Minerals holds most of the province’s
significant magnesite occurrences.

An initial desktop analysis indicated that biomass conversion could supply 93.3% of the heat energy necessary to conduct magnesia calcining in a multiple hearth furnace that would be installed at Driftwood Creek. Further analysis suggested that a specialized burner and fuel additive could supply the remaining energy, MGX added. The study was conducted by two strategic partners, Industrial Furnace Company and Highbury Energy.

MGX also announced its addition to the CSE Composite Index, “a broad measurement of market activity for securities” listed on the exchange. In addition the company doubled a private placement originally offered on June 2, now offered at up to two million shares at $0.30.

MGX issued 300,000 shares to the vendor of Driftwood Creek and 41,318 shares to the vendor of the Needles magnesite project, a California acquisition announced last week. Another 50,000 shares were issued to settle a $15,000 debt.

The company’s Driftwood Creek flagship currently undergoes permitting.

Read more about MGX Minerals.

June 25th, 2015

China likely to get central bank nod for yuan gold fix soon NAI 500
Despite bribery and corruption, Chinese retailers grow in Uganda Stockhouse
Paul Renken’s gold, graphite and REE names poised for gains Streetwise Reports
Politics and tech to determine lithium market development Industrial Minerals
Finance gurus—are they worth your time? Equities Canada
Gold in the age of soaring debt GoldSeek
Great deposits of the world—Hishikari, Japan Geology for Investors