NeXGold Mining Corp V.NEXG

NEXG.v Appoints Industry Icon Frank Giustra as Advisor

[1StockInformer]

Yesterday, NexGold Mining Corp. (TSXV: NEXG, OTCQX: TSRMF) appointed prolific mining investor Frank Giustra as a strategic advisor, marking a significant step for the Company as it continues to advance its vision of becoming a mid-tier gold producer.

Morgan Lekstrom, President of NexGold, expressed his enthusiasm, stating, "Frank is an icon in the mining industry, with a proven track record of building value-driven mining companies with strong shareholder value."

NexGold Mining Corp. is a gold-focused enterprise with its primary asset being the Goliath Gold Complex in Northwestern Ontario. This complex encompasses three projects: Goliath, Goldlund, and Miller, collectively forming a 65-km trend within a 330 km² land package.

Goliath Gold Complex

• Location: Northwestern Ontario, between Thunder Bay and Winnipeg, with excellent infrastructure including the Trans-Canada Highway, power supply, and proximity to the community of Dryden.

• Resource: 1,124Koz Au, 3,522Koz Ag Measured and Indicated, and 75Koz Au, 92Koz Ag Inferred.

• Stage: Exploration and Development, with Federal Environmental Assessment Approval since 2019.

• Infrastructure: Includes Hydro One power availability, Trans-Canada Natural Gas Pipeline, CP Rail, and a skilled local workforce.

Goldlund Gold Project

• Location: 35 km southwest of Sioux Lookout.

• Resource: 940Koz Au Indicated and 704Koz Au Inferred.

• Stage: Exploration and Development, currently in the process of environmental data collection to support future mining approvals.

Overall, NexGold’s strategic appointments and resource development initiatives underscore its commitment to becoming a significant player in the gold mining industry and are expected to prepare it towards its ambitious growth targets.

Full news here: https://treasurymetals.com/news/nexgold-mining-announces-strategic-advisors-and-eq-2913740/

Posted on behalf of NexGold Mining Corp.

 

[andre171]

It's a pity that no mention is made of the investments and financing that will be needed to achieve the ambitious growth targets. Should we not fear dilutive financing that is unacceptable to individual shareholders, given that the merger has not improved the share price?

[nofluff]

An astute investor should always fear dilution. Many ways to dilute. Morgan mentioned warrants. I am not sure how many are out there at present. Sp has to be much higher to justify exorsize. Still do not know mill cost and such. With gold at record highs and going up, streams are likely to b sold. With Teck and the camp supplier taking shares for there interests, would seam good. 

[marketsense]

Hey NF,  nice to hear from you.  Dilution is never good  but in order to raise the capital for these projects,  there is only 2 ways,  either dilute through financings or borrow  through debt.  In either case,  investors only hope is the project can create enough cash flow to offset dilution or to satisfy debt obligations and create enough share holders

[andre171]

It's all very well for management to cite ambitious growth targets and a 50% undervaluation based on NPV and resource volume, but the market (which is always right) doesn't value NEXG (TML) so low without a reason. I believe that cautiously awaiting future permits and approvals for the Goliath project is one such reason. Their issuance would be essential for a better valuation, as

[marketsense]

Can,t speak for NF but I doubt with Giustra involved,  financing will be a problem. They could do more pp's or a combination of pp's and royalties and or bank financing. I would expect more drilling similar to West Red Lake prior to any major financing.   The cheapest way to get the share price up at this point is to expand the resource and create more value,  then go all

[andre171]

I agree on the importance of increasing resources, but obtaining permits and authorizations for GGC would also be a factor boosting value creation.