Welcome to a roundup of some of our financing, exploration, and development stories on Theassay.com over the last week. To keep up to date with all the latest headlines, subscribe to our weekly newsletter.
Financing and M&A
The company announced early last month that it had arranged a non-brokered private placement financing of up to 10M units of securities at a price of C$0.20 per unit for aggregate gross proceeds of up to C$2M.
On 19 October 2023, Pan Global announced it would issue up to 30M units for aggregate gross proceeds of up to C$6M in an upsized offering. Each unit is comprised of one common share and one non-transferable common share purchase warrant, with each whole warrant entitling the holder to purchase one additional common share at a price of C$0.30 for a period of three years from closing of the offering, subject to acceleration of the expiry date of the term.
A total of 30,350,000 units were issued upon the close of this offering, for gross proceeds of C$6,070,000.
NuLegacy Gold (TSXV: NUG | OTC: NULGF) has scheduled an initial closing of its non-brokered private placement of 100M units at C$0.025 each for proceeds of C$2.5M for 3 November 2023. The initial closing will consist of 30.7M units for gross proceeds of C$766,600 including certain NuLegacy directors and officers totaling 16.1M units.
A second closing of the offering including the lead order for 10% by Crescat Capital is expected by mid-November. The TSX Venture Exchange has granted NuLegacy an extension to complete the offering until 26 November 2023.
In addition to funding the planned drill programme on the Red Hill property in the Cortez Gold Trend of Nevada, US$181,818 will be used to satisfy certain exploration expenditures required under the company’s mining lease with Idaho Resources Corporation (IRC) covering the eastern portion of the property.
New exploration and development
The base-metal rich belt is host to the Great Burnt Copper Zone with an indicated resource of 381,300t at 2.68% Cu and inferred resources of 663,100t at 2.10% Cu. Recent drilling in 2020 by Spruce Ridge Resources reported 8.06% Cu over 27.2m. The Great Burnt greenstone belt also hosts the South Pond A and B copper-gold zones and the End Zone copper prospect within a 14km mineralized corridor.
“We are extremely pleased to have been able to expand our footprint in the Great Burnt Copper District. This property not only has the potential to host important Exploits Subzone orogenic gold mineralization, but also copper-rich massive sulphides that contain gold,” commented CEO Karim Rayani.
“Our desktop studies have shown this is a drill-ready project – exploration and drill plans are now in the permitting stage. We look forward to announcing our exploration and drilling plans in the coming months.”
Having increased Golden Summit’s in-pit resource ounces with its 2020-2022 drill programmes from 1.35Moz to 12.6Moz indicated and from 1.58Moz to 7.7Moz inferred, the primary strategy of Freegold’s 2023-2024 drill programme is to upgrade the resource with new higher-grade targets and infill drilling.
Hole GS2330 is an example of strategic infill drilling. It intersected three mineralized intervals, beginning with a high-grade interval of 3.0m @40.5g/t starting 164m downhole, followed by 100.7m @1.00g/t starting 240m downhole and a third intersection that ended in mineralization of 18.2m @1.03g/t, starting 389m downhole. All three intersections were above the February 2023 indicated and inferred resource grades of 0.92g/t and 0.85g/t, demonstrating the potential for the 2023-2024 infill drill programme to upgrade the 2023 resource.
Meanwhile, Aston Bay Holdings Ltd. (TSXV: BAY | OTCQB: ATBHF) has reported recent assay results from its Storm Copper Project on Somerset Island, Nunavut. The programme was conducted by American West Metals Limited, who is the operator of the project.
Further assay results from the summer reverse circulation (RC) drilling programme have returned thick intervals of near-surface, high-grade copper mineralization, including:
High-grade, near-surface copper has now been defined at the 4100N Zone over a strike of more than 1,300m and a width of 400m, with drilling and geophysics supporting the potential to extend mineralization at least 600m further to the northeast.
Aston Bay has stated that the drilling results continue to demonstrate the strong correlation between geophysical targets and copper mineralization, with an extensive suite of geophysical targets remaining to be tested.
Finally this week, Ascot Resources Ltd. (TSX: AOT | OTCQX: AOTVF) has announced the third batch of assay results from the 2023 exploration drill programme at the Premier Gold Project, located in the prolific Golden Triangle of northwestern British Columbia.
Derek White, president, and CEO of Ascot commented, “With underground mine development at Big Missouri having started last year, this is an opportune time to have intercepted some of the highest-grade gold mineralization in Ascot’s history. In particular, the 692g/t intercept from hole P23-2490 is located in an area currently scheduled to be mined next year, and as such we are eager to exploit this material early in the mine life. Our surface drill programme was recently completed, and we look forward to releasing assay results over the next several months.”