MADInitiating Coverage
Miranda Gold Corp
(MAD-TSXV)
Miranda holds a substantial property position in Nevada's Cortez trend, one of the most highly prospective gold exploration regions in the world. A great deal of work is presently underway, with much of the funding provided by other companies.
The company follows the joint venture model of exploration: It acquires prospective properties, develops the geological story on those properties through surface work and then brings in joint venture partners to help fund the drilling.
Miranda's president Ken Cunningham and vice president exploration Joe Hebert both have many years of successful gold exploration experience, with a focus on Nevada. Ken led the exploration efforts that resulted in the discovery of a million-ounce-plus deposit on the Carlin Trend and a 4-million ounce find in the Battle Mountain trend. Joe was previously senior exploration geologist for the Cortez Joint Venture and was part of the team that discovered the 8 million ounce Cortez Hills deposit.
Miranda's geological team are exceptionally well-qualified to spot the right geological conditions to host a big gold deposit. Members of Miranda's team have been working in the Cortez Trend for more than five years. That experience has allowed Miranda to acquire properties covering nine prospective target areas in the trend.
Work is presently underway on eight of Miranda's Nevada gold projects, funded by seven different companies including Placer Dome, Newmont and Barrick. The joint venture agreements will see a tremendous amount of work carried out over the next few months, including drilling programs slated for at least six of the properties.
While partners are advancing those projects, the Miranda geological team are continuing to generate additional exploration prospects. They are primarily looking for Carlin/Cortez type prospects, and they are also on the lookout for high grade epithermal vein systems.
Miranda's share price has notched up over the past few weeks in reaction to the growing level of interest in the Cortez Trend. The share price will likely continue to be volatile, but there is substantial upside potential. The company has one of the most highly qualified Nevada exploration teams and an impressive property portfolio focused on one of the most prospective gold exploration regions in the world.
Perhaps even more important than the funding contribution, the joint venture partners are providing validation of Miranda's exploration concepts. That point is particularly significant with three of the Nevada majors -- Placer Dome, Newmont and Barrick -- all funding work on Miranda properties.
The share price should continue to advance with the growing level of interest in the Cortez Trend and as the property portfolio advances and is further expanded. There is big upside potential if the holes planned for the balance of the year turn up good result