Gold Summary for Nov. 8, 2018
NEW YORK spot gold fell $2.60 to $1,223.50 on Thursday. The TSX Venture Exchange fell 4.94 points to 667.06 while the TSX Gold Index added 0.56 point to 164.05. Most Canadian gold miners moved little today, although Barrick Gold Corp. (ABX) did add 29 cents to $17.29 on 5.12 million shares. Eldorado Gold Corp. (ELD) dropped four cents to 91 cents on 1.24 million shares.
Stephen de Jong and George Salamis’s Integra Resources Corp. (ITR), up one cent to 81 cents on 572,000 shares, has received assays of up to 1.9 grams of gold and 283.36 grams of silver per tonne over 221.33 metres from the rest of its nine-hole drill program at the Florida Mountain gold and silver project in southwestern Idaho. These assays are the last to come from the program: In September, Integra received assays of up to 1.21 grams of gold and 173.5 grams of silver per tonne over 19.51 metres, a hit that included a 3.05-metre interval that averaged 4.3 grams of gold and 819.2 grams of silver per tonne.
Mr. Salamis, president and chief executive officer, says that the latest assays “highlight some of the immense potential” of the deposit to host high-grade gold and silver mineralization, well beneath the currently inferred resource. He adds that Integra’s exploration team — apparently as easily excited as himself — is looking forward to returning with drill rigs next year. During the winter, the rigless team will pore over the data and drill core to put together a 2019 drill program and “drive further resource expansion potential.” The current resource, last taken for a drive in February, lists 36.6 million tonnes at 0.57 gram of gold and 14.12 grams of silver per tonne, or 675,000 ounces of gold and 16.6 million ounces of silver.
The Vancouver-based Mr. Salamis, now in his early 50s, has been with the company since the summer of 2017. He receives $300,000 per year in salary. Last year, he earned a $125,000 cash bonus. He had been the $227,000-per-year executive chairman of Integra Gold Corp., which was acquired by Eldorado Gold last year. The Vancouver-based Mr. de Jong, 35, is Integra’s $120,000-per-year chairman. He had been the $257,000per-year president and CEO of Integra Gold. Both fellows did well in the Eldorado acquisition: They were in line for $1.82-million cash payments.
Ashwath Mehra and Steve Burleton’s GT Gold Corp. (GTT) slumped to a low of $1.70 following word that the company had completed nearly 25,000 metres of drilling at its Tatogga property in northwestern British Columbia. The crash tripped a regulatory circuit breaker and the stock recovered after the brief halt, closing the day off 18 cents to $1.86 on 3.34 million shares. The company’s vice-president of exploration, Charles Greig, says that the company was “very proud” of the discoveries this year at Tatogga, adding that GT Gold was fortunate that mild weather allowed the company to drill into November. (What was to have been an 18,000-metre drill program began in June, so the company managed considerably more drilling than had been planned.)
It is unclear what triggered today’s slump. While Mr. Burleton, president and CEO, and Mr. Mehra, chairman, said nothing about the assays from the several holes outstanding, they should arrive in the coming weeks. (They should provide a welcome interruption to the long winter break before drilling resumes next year.) GT Gold has produced some promising assays from the drilling so far. In mid-October, the company reported a 904-metre hit at the Saddle North target, averaging 0.51 gram of gold and 0.93 gram of silver per tonne accompanied by 0.3 per cent copper, for a gold equivalent grade of 0.98 gram per tonne. In September, the company received assays of up to 9.55 grams of gold and 59.51 grams of silver per tonne over 40.89 metres at Saddle South.
The Toronto-based Mr. Burleton has been president and CEO since June, when he replaced Kevin Keough, who had been getting $157,000 per year. Mr. Mehra, a major shareholder who lives in Switzerland, got $50,000 last year as executive chairman.
Loren Komperdo’s Zephyr Minerals Ltd. (ZFR), unchanged at 19.5 cents on 13,000 shares, has received assays of up to 4.8 grams of gold per tonne over 4.8 metre at its Dawson project in Colorado. This is the end of the company’s 2018 drill program, which Mr. Komperdo, president and CEO, described as “successful despite disappointments in a few of the drill holes.” Curiously, he touted those disappointments at length before remembering to point out that there were some successes as well, including a 3.4-metre hit that
averaged 17.6 grams of gold per tonne. Mr. Komperdo says that a second phase of drilling is planned for next year, adding that 2019 could be an important year for resource growth, although he dampened the enthusiasm by reminding the market that he will first have to find the cash.