New Corporation PresentationExceptional new presentation!
Couldn't be happier to see them put up a new presentation as well as fact sheet just before the Vancouver Investment Conference. Their new updated drill map shows a massive amount of holes trending North/Northeast since their latest update as well as holes directly north of the Long Bars Zone which may be the "new mineralized strucutres" we encountered. If the Long Bars Zone continues to widen the initial 2.4 to 2.6 Moz au projection is going to be a huge underestimation. The initial 2.4 to 2.6 Moz was only placing the depths of the Long Bars Zone at 70 metres with a strike length of 600 metres and a width of 500 metres. Our strike length with Long Bars Zone 2 encountered is now looking like 2 km+ if this structure happens to be connected as Long Bars Zone 2 is 1,800 metres east of our Block Model. We're now looking at a structure with a possible width of 600-700 metres that could trend 6 km east to west and this is separate from the recent 6,000 hectares of additional property we picked up in the fall.
Not only that but depths of 70 metres are a thing of the past as we've encountered mineralization already to depths of 300 metres both inside and outside the block and we will be going to 400-500 metre depths in Phase 3 as stated in the new presentation. The new depths we've confirmed will have a huge impact on our tonnage for our 43-101 as our deposit has pretty much tripled from what we were looking at at the beginning of Phase 2 drilling. We've got a Preliminary Block Model that looks like it should have easily 3.5 Moz of gold as well as a Long Bars Zone 2 which has the same dimensions as our original block model and this isn't taking into account the new drilling immediately North of South of the block model to expand the width. This story is only getting bigger and the fact that delays between assay results will be more bearable with our Castle Silver Mine being drilled only makes having shares here even sweeter. The upside potential here is enormous and one only has to look at Brett Resources and Osisko to understand how undervalued we truly are at this point.
Osisko is currently trading at a market cap of over $5 billion with a resource of 12 M oz 65 km to the east of us and are being given a minimum of $350/oz value on the gold in their deposit. In my opinion our deposit will easily rival this especially with Frank wasting no time talking about a Phase 4 drill program already and almost 100,000 metres drilled to date once Phase 3 is complete. I see a possibility right now of a minimum of 5 M oz of gold between Long Bars Zone 1 and 2 and if they happen to be connected then there's no telling where we'll be valued.
"Drilling and compilation work has outlined a gold mineralized system measuring 1900 metres x 350 metres, with a variable true thickness ranging from 40 to 270 metres to a vertical depth of 320 metres from surface."
- This is Osisko's structure for Malartic which helped them come up with a potential for 12 M oz of au, if Long Bars Zone 1 and 2 happened to be connected our structure would be larger than this as we'd be looking at a mineralized system of 2,000 metre length x 500 metre width with a true thickness of 70+ metres and a vertical depth of at least 250 metres.
We're currently valued at $115 million or roughly 1/45th of Osisko's market cap despite having a property in the same mining jurisdiction with a similar structure, comparable grades, and gold recovery. Not to mention we're not moving a town to build our mine, I don't think the SP can be suppressed here for much longer, $1 is long overdue and hopefully the new presentation will turn some heads at the Conference.