Sitka Gold Corp V.SIG

Conclusion

[Westcoastwalker]

Conclusion: Luck and misfortune are sometimes painfully close in the exploration industry. If not for the “Black Swan event” at Victoria Gold’s Eagle Gold Mine, over 60 km away, the market might be celebrating Sitka Gold’s acquisition of Clear Creek with price fireworks. After all, the new Clear Creek property promises a repeat, or perhaps even several repeats, of the success of the Blackjack discovery due to its rich history and the recent structural findings of Sitka geologists notably the Blackjack Fault. The planned first diamond drilling at the intersection of important structural zones at Rhosgobel has a good chance of leading to a new significant discovery. But currently, the news about Victoria Gold and speculation about the impending insolvency of the producing company is weighing on general sentiment and also on Sitka Gold’s share price. On the plus side, Sitka can claim that the acquisition of Clear Creek in this form would certainly no longer be possible with an ailing Victoria Gold. There is much to be said for interpreting the contract in such a way that Victoria Gold was seeking a partnership with Sitka. This is supported by a number of details, such as the agreement that no payment is due for two seasons. In addition, the agreed royalty can be bought out completely and, last but not least, the largest payment would only be due when Sitka upgrades its future resources on Clear Creek to the “measured & indicated” category. Sitka can therefore first determine as many resources in the “inferred” category as it wishes. We stick to our views: As an explorer, Sitka Gold stands out for the high efficiency of its drilling. The exploration business is ultimately about growing faster with less money than the competition. Sitka has been exemplary in achieving this, partly because Blackjack has significantly higher average grades than other intrusion-related projects. Clear Creek offers the opportunity for one or more successful repetitions of Blackjack-style gold discoveries. Exploration success will ultimately make the difference and bring investors back.

[rockport1]

Westcoastwalker, I'm curious where this comment is from; it looks like you quoted it from somewhere.  I just want to point out a few inaccuracies. 1)  It says no payment is due for two seasons.  The initial payment was approximately a $ 4 million share payment. In addition, the terms require $2 milliion in a years time, and an additional $ 3 million within two years. For a

[Westcoastwalker]

Here's the whole article https://goldinvest.de/sitka-gold-turns-momentum-to-newly-acquired-clear-creek-property/