Thursday 5th December 2019

Resource Clips


Posts tagged ‘Golden Predator Mining Corp (GPY)’

Mining returns to the Yukon

September 20th, 2019

Advanced projects prepare to follow Victoria Gold into production

by Greg Klein

Advanced projects prepare to follow Victoria Gold into production

Rich geology trumps challenging geography in Yukon’s appeal to miners.
(Photo: Victoria Gold)

 

If John McConnell seemed a tad tipsy it might have been due to giddiness, not the super-sized wine goblet he brandished. Either way, celebration was in order as the president/CEO of Victoria Gold TSXV:VIT took the podium at the Denver Gold Show this week to preside over a ceremonial first doré bar at Yukon’s new Eagle operation. The event marked not only the resumption of mining in one of the world’s most fabled mining regions, but the beginning of Yukon’s largest-ever gold mine. Meanwhile other companies vie to expand the industry’s territorial presence.

The festivities took place one month ahead of schedule and within a revised budget intended to address a capex miscalculation that marked one of the low points during what McConnell called a decade of ups and downs. Expected to produce an average 200,000 gold ounces annually for 10 years, Eagle currently employs about 230 people, half of them Yukoners.

Advanced projects prepare to follow Victoria Gold into production

Minto’s suspension left Yukon without a mine for
nearly a year, but a new owner plans a Q4 restart.
(Photo: Pembridge Resources)

The territory lost its last mining operation in October, but a new owner plans to bring that one back to production by Q4 this year. Capstone Mining TSX:CS put Minto on care and maintenance as acquisition negotiations faltered, but LSE-listed Pembridge Resources closed the purchase in June. Proven and probable reserves totalling 40,000 tonnes copper, 420,000 ounces silver and 45,000 ounces gold give Minto an estimated four more years of production.

Pembridge hopes to extend that, however, noting that “Minto had successfully replaced and grown reserves by 103%, adding new discoveries each year up until 2013.” That’s when Capstone suspended Minto exploration, after buying the much larger Pinto Valley copper mine in Arizona from BHP Billiton NYSE:BHP.

The central Yukon combined open pit/underground mine began operation in 2007. Pembridge wants its new cornerstone asset to achieve annual production of about 40 million pounds copper in concentrate, along with silver-gold byproducts.

Waiting in the wings with a project comparable to Eagle, Newmont Goldcorp’s (TSX:NGT) Coffee now has a territorial environmental/socio-economic review underway. Like Eagle, this would be an open pit, heap leach operation. The 2016 feasibility study by previous operator Kaminak Gold projected 10 years of mining, averaging 202,000 gold ounces annually based on a probable reserve of 2.16 million ounces. But last year, following Goldcorp’s 2016 acquisition of Kaminak, the new owner slashed that number to 1.67 million ounces.

Goldcorp cited different standards for drill spacing, geological modelling and other criteria but expected to rebuild the reserve with an 80,000-metre infill drill program scheduled for this year. More recently, however, the merged Newmont Goldcorp has talked about divesting some assets, casting uncertainty over Coffee’s near-term agenda.

But by far the territory’s biggest proposed mine would be Western Copper and Gold’s (TSX:WRN) Casino, in west-central Yukon. A 2013 feasibility report foresaw a combined heap leach and milling operation with 22 years of annual output averaging 171 million pounds copper, 266,000 ounces gold, 1.43 million ounces silver and 15.5 million pounds molybdenum.

Advanced projects prepare to follow Victoria Gold into production

Even with a recent feasibility in hand, BMC Minerals
wants to build its Kudz Ze Kayah polymetallic reserve.
(Photo: BMC Minerals)

Although the report boldly envisioned construction beginning in 2016 and commercial production in 2020, the company currently has environmental and engineering studies underway prior to submitting an application for an environmental/socio-economic review. Capex was estimated at $2.456 billion.

Meanwhile Western has two rigs drilling a $3.3-million, 10,000-metre program, with a resource update planned for this year and, coming later, a revised feasibility that the company hopes will extend the mine life.

Operating under the stock market’s radar, privately held BMC Minerals brought its Kudz Ze Kayah polymetallic project in south-central Yukon to full feasibility last July. The report sees a $587-million capex and 20-month construction period for a combined open pit and underground operation producing an annual average of 235 million pounds zinc, 32 million pounds copper, 56 million pounds lead, 7.8 million ounces silver and 56,500 ounces gold.

BMC hopes to lengthen the nine-year mine life by adding reserves and exploring new targets beyond the two zones considered in the feasibility study.

Sharing with Coffee a White Gold district address and a progenitor in legendary prospector Shawn Ryan, White Gold TSXV:WGO holds 35 properties covering some 439,000 hectares. Last June the company released resource updates for its two most advanced deposits. Golden Saddle hosts an open pit resource of 1.01 million gold ounces indicated and 259,600 ounces inferred, along with an underground resource of 12,200 ounces indicated and 54,700 ounces inferred. The Arc deposit adds an open pit resource of 17,700 ounces indicated and 194,500 ounces inferred.

With money from Agnico Eagle Mines TSX:AEM and Kinross Gold TSX:K, each holding 19% of White Gold, the company has a $13-million drilling, trenching and sampling campaign now targeting Golden Saddle and the new Vertigo discovery, along with other areas. Among noteworthy intercepts was 3.59 g/t gold over 68 metres starting from 73 metres at Golden Saddle. Using a method integral to Ryan’s successes, soil sampling surpassed 100,000 ppb gold at the new Titan discovery, the highest value on the company’s database of over 400,000 soil samples.

Taking advantage of a past producer with all permits in place, Golden Predator Mining TSXV:GPY last month stated it began site re-development work and “provided formal notice to the Yukon government to move the Brewery Creek mine into the production phase.” The company has also stated it plans a feasibility study before making a production decision. Located about 55 kilometres east of Dawson City, the open pit and heap leach operation produced about 279,000 gold ounces between 1996 and 2002. The company plans at least 6,000 metres of drilling this year to build on a 2014 PEA.

Bravura Ventures files 43-101 for Idaho gold project

February 15th, 2017

by Greg Klein | February 15, 2017

A fresh 43-101 technical report sets the stage for further advancement at Bravura Ventures’ (CSE:BVQ) Musgrove Creek gold property in Idaho. The report’s author recommends a 2017 program that would include confirmation drilling to update an historic resource.

Bravura Ventures files 43-101 for Idaho gold project

Bravura closed a 100% option on the road-accessible property in October. The company describes it as one of many deposits along the Trans-Challis fault system including the Beartrack mine and other past-producers to the northeast, and the Grouse Creek mine and other past-producers to the southwest.

Originally calculated in 2004 but considered historic and non-43-101 by Bravura, an estimate for the Musgrove Creek Johny’s Point deposit used a 0.8 g/t gold cutoff to show:

  • inferred: 8 million tonnes averaging 1.22 g/t for 313,822 ounces gold

Bravura’s report recommends a two-phase 2017 program including digital data compilation, verification of chip sampling, permitting for road and drill site construction and confirmation drilling for a 43-101 Johny’s Point resource. The suggested budget comes to US$500,000.

In October the company also took on a 90% option on the Grew Creek gold project from Golden Predator Mining TSXV:GPY. Located in southeastern Yukon’s Tintina gold belt, the project has already undergone 290 holes totalling over 57,000 metres, with near-surface intervals up to 5.96 g/t gold and 24.1 g/t silver over 68 metres.

Bravura Ventures options Golden Predator project in Yukon’s Tintina Gold Belt

October 24th, 2016

by Greg Klein | October 24, 2016

High gold grades and wide, near-surface intercepts attracted Bravura Ventures CSE:BVQ to Golden Predator Mining’s (TSXV:GPY) Grew Creek project in southeastern Yukon. A 90% option announced October 24 would give Bravura the benefit of 290 holes totalling over 57,000 metres, including 70 holes and 19,000 metres sunk by Golden Predator since 2010.

A few highlights include:

Hole GCRC11-328

  • 5.96 g/t gold and 24.1 g/t silver over 68 metres, starting at 32 metres in downhole depth
  • (including 63.15 g/t gold and 344 g/t silver over 4 metres)

Hole GC10-001

  • 1.72 g/t gold over 146.3 metres, starting at 40 metres
  • (including 2.8 g/t gold over 32.2 metres)
  • (including 2.9 g/t gold over 15.7 metres)
  • (including 17.93 g/t gold over 3.1 metres)
Bravura Ventures options Golden Predator project in Yukon’s Tintina Gold Belt

True widths were unavailable.

The 110,000-hectare property’s Carlos zone measures about 300 metres along strike, 100 metres wide and remains open at depth below 400 metres. Bravura also sees potential at the underexplored Knoll zone, 2.5 kilometres southeast of Carlos. Located less than a kilometre from a highway, Grew Creek has powerlines passing nearby and year-round access.

“The company is very excited in its latest option and welcomes the opportunity to align itself with a progressive company such as Golden Predator,” remarked Bravura CEO Greg Burns. “We look forward to defining the next steps on this exceptional project.”

The 90% stake would cost Bravura $35,000 and 500,000 shares on closing, part of a total $950,000, two million shares and additional shares comprising 6% of the company within six years. Should Bravura define a resource estimate during that period, the company would pay Golden Predator an additional $50,000 and 500,000 shares. A second resource doubling the first would have Bravura issue 2% of its shares to the vendor. A 4% NSR applies.

Golden Predator re-groups after reverse overthrow

September 8th, 2015

by Greg Klein | September 8, 2015

So you think you can run a resource company? That seemed to be Golden Predator Mining’s (TSXV:GPY) challenge when its majority shareholder nominated a rival BOD slate last month. The Yukon explorer’s management and five of its directors resigned en masse, leaving Till Capital TSXV:TIL with no senior staff and a bunch of inexperienced would-be directors to run Golden. Now the original Golden group has returned. And Till wants to divest what’s now a minority stake prior to getting right out of the resource sector. Both parties attribute the reversal to a renegotiated loan.

Golden Predator re-groups after reverse overthrow

Golden Predator’s Brewery Creek, a former heap leach gold operation in central Yukon, reached its preliminary economic assessment last year.

Golden confirmed the restoration on September 8, four days after an AGM voted the company’s slate. Two directors, along with two managers, had already returned September 2. Back in their original positions are CEO Janet Lee-Sheriff and director/acting CFO Greg Hayes, along with directors William Sheriff, Dennis Fentie, Bradley Thiele, Piers McDonald and Jesse Duke. Golden newcomer nominee Barry Rayment also won election.

Just days earlier, Till withdrew its own nominees to back the Golden slate, which includes several industry veterans and two former Yukon premiers. The company’s flagship Brewery Creek project sits 55 kilometres east of Dawson City.

Till’s beef, apparently, had been Golden’s promissory note and its $3.7-million outstanding principal. The repayment schedule has been extended to June 2019, payable in cash only, not shares. Golden regains two NSRs on its properties.

Having now resigned as Till’s chairperson/CEO, Sheriff’s severance amounts to 7.1 million Golden shares, 22% of the company, previously held by Till. That increases his holding to 26.9% and cuts Till’s from 58.9% to 37.3%.

Sheriff also gets two options to buy the rest of Till’s Golden stake, part of a plan in which Till would quit the resource sector, “with the corresponding financial commitments,” and focus on its reinsurance/insurance businesses.

But Till still holds 71.65% of Silver Predator TSXV:SPD, whose board overlaps Golden’s. Late last month Silver signed a promissory note with Till for up to US$275,000, with US$100,000 already advanced.

Mass resignations hit Golden Predator as majority shareholder fields its own BOD slate

August 21st, 2015

by Greg Klein | August 21, 2015

Update: Golden Predator’s management and directors returned following a renegotiated loan with Till Capital and a September 4 AGM. Read more.

 

Golden Predator Mining TSXV:GPY loses a team with solid Yukon experience as five directors and all officers bowed out late August 20, the evening before an AGM votes on a new slate of directors nominated by the company’s majority shareholder. (Update: Later on August 21, Till Capital adjourned Golden Predator’s AGM to September 4.)

Through a Bermuda subsidiary, Till Capital TSXV:TIL holds 58.9% of Golden Predator’s issued and outstanding shares. In an advance notice released last week, Till provided names of five candidates between 67 and 81 years of age, four of whom live in the U.S. and one in Switzerland. The notice didn’t mention exploration or mining experience for any of the candidates.

Mass resignations hit Golden Predator as majority shareholder fields its own BOD slate

The past-producing Brewery Creek reached PEA late last year.

An August 21 statement from the departing group said, “Despite challenging commodity market conditions, the outgoing board and management team, which has over 100 combined years of experience in mineral exploration in addition to over 120 combined years of Yukon experience, assembled and advanced a valuable portfolio of projects, including the Brewery Creek project in which they successfully expanded resources and negotiated a socio-economic agreement with the Tr’ondek Hwech’in and additionally successfully negotiated an exploration agreement and accord with the Kaska Nation.”

The company, which released a preliminary economic assessment for Brewery Creek last year, has been seeking a joint venture partner.

Gone are chairperson William Sheriff, directors Dennis Fentie, Piers McDonald, Jesse Duke and Greg Hayes, board nominee Barry Rayment, CFO Greg Hayes and CEO Janet Lee-Sheriff. Earlier this month Blair Shiletto resigned from the boards of both Golden Predator and Till for family reasons.

“We look forward to finding new ways for all of us to continue to work to be advocates for positive development in the Yukon and for alternate ways to build local shareholder and community wealth within the resource sector,” stated Sheriff.

Bermuda-domiciled Till describes itself as owner of two subsidiaries with insurance interests. Till continues to list Sheriff as its chairperson/CEO.