Gold Summary for Dec. 7, 2018
NEW YORK spot gold gained $10.60 to $1,247.80 on Friday. The TSX Venture Exchange rose 6.30 points to 572.38 while the TSX Gold Index rose 3.56 point to 175.12. Agnico Eagle Mines Ltd. (AEM) had another good day, adding $1.84 to $53.13 on 2.1 million shares. Goldcorp Inc. (G) did not. It lost 10 cents to $12.52 on 8.38 million shares.
David D’Onofrio and David Schmidt’s White Gold Corp. (WGO), unchanged at $1.28 on 102,000 shares, has added another six metres to the Vertigo discovery that turned up in early October on its JP Ross project in Yukon. That initial test, which returned 23.44 grams of gold and 144.75 grams of silver per tonne over 24.38 metres from a shallow core hole, had bottomed in mineralization. The company has now extended the hole and confirmed that the surface-based zone averaged 22.47 grams of gold and 154 grams of silver per tonne over 30.46 metres. A second
zone was encountered at a depth of 44 metres. It returned 6.82 grams of gold and 6.8 grams of silver per tonne over 4.57 metres.
Rob Carpenter, a White Gold director, says that Vertigo is consistently delivering “spectacularly high-grade gold values,” with trenching confirming a model of strong structural control. (A five-metre run in one of three trenches averaged 66.39 grams of gold per tonne, while similar lengths in two other trenches produced 32.28 and 23.29 grams per tonne respectively.) Mr. Carpenter says that the trenching has provided key insights into the direction and orientation — a subtle difference perhaps — of the high-grade mineralization, allowing the company to venture further afield in its pursuit. He says that next year, White Gold will be aiming to extend the geometry of these shallow gold zones and hopefully show the continuity of grade and trend. In the interim, he is ramping up his pitch, stating that Vertigo “may represent the most robust gold system” found so far in the White Gold district.
The Toronto-based Mr. D’Onofrio, president and chief executive officer, earned just $84,000 in salary last year, while Mr. Schmidt, of Vancouver, pulled in $60,000. Mr. Carpenter, who lives in London, Ont., received just $15,000 in director’s fees last year. Dawson City-based prospector, Shawn Ryan, the company’s major shareholder and a director, did not receive any cash remuneration for his services.
Jason Riley’s ExGen Resources Inc. (EXG), down one-half cent to 1.5 cents on 1.16 million shares, is cheering assays just received by London-based Phoenix Global Mining Ltd., its majority co-venturer on the Empire copper project in Idaho. (ExGen holds a 20-per-cent-carried interest.) The latest assays, from three holes drilled in October into the Redstar zone, contained up to 159 grams of silver per tonne and 2.83 per cent lead over 15.2 metres, aided by a 1.5-metre interval that averaged 1,111 grams of silver per tonne and 20 per cent lead. A second hole produced 360 grams of silver per tonne and 9.92 per cent lead over 9.1 metres.
Mr. Riley, ExGen’s president and CEO, says that he and his crew are very pleased with the latest assays from Redstar, which “continue to indicate the possibility of a larger-scale area play at Empire. He was also pleased with the assays from the core Empire deposit, which continue to show ”impressive grades of copper." (He is referring to the latest batch of results, which show up to 3.33 per cent copper, plus 0.31 gram of gold and 148 grams of silver per tonne, over a true width of 4.5 metres.)
Mr. Riley, of Vancouver, has been running the company since 2013. He does not draw any cash pay for his services. He is also a non-executive — a qualifier that often translates to “unpaid” — director of Phoenix Global Mining.
Jonathan Awde and Brian Skanderbeg’s GFG Resources Inc. (GFG), up two cents to 21 cents on 97,000 shares, is offering 5.2 million flow-through shares at 29 cents in what the company is calling tranche A, and two million flow-through tranche B shares at 25 cents. Mr. Skanderbeg, president and CEO, does not reveal the difference between the two tranches of stock. He does say that the financing will allow GFG to carry out its exploration programs at Pen through the first half of 2019, work that will include an “aggressive first quarter drill program” testing some of the company’s best targets on the Pen gold project in Northern Ontario.
Mr. Skanderbeg, of Saskatoon, had been pulling in $250,000 per year in salary since he arrived in mid-2016. Earlier this year he agreed to “restructure his executive compensation” — take a pay cut, in other words. He now gets $200,000 in cash and the other $50,000 in stock options. He is hardly hurting: Mr. Skanderbeg had been president and CEO of Claude Resources Inc. until it was acquired in 2016 by Silver Standard Resources Inc. He got a $1-million termination payment as a result of the takeover.