Alta Gold went bankrupt in April of 1999 due to low gold prices. They had an existing gold producing mine near Ely in Nevada they called the Griffon Mine. Nevada Clean Magnesium Inc. picked up the project almost twenty years ago but didn't move it forward and sold it to Pilot Gold. Pilot changed their name to Liberty Gold.
Liberty entered into an option agreement with Fremont Gold on Griffon in December of 2019. The agreement calls for Fremont to pay $325,000 over four years and to issue 9.9% of their shares to Liberty in exchange for a 100% ownership in Griffon.
Fremont Gold Ltd. (FRE:TSX.V;FRERF:OTCQB;FR2:FSE) began a ten-hole drill program at Griffon in late June. They have completed three holes and those were sent off for a rush assay. Jamie Robinson, the former VP Exploration for Alta who discovered the Hammer Ridge deposit at Griffon, has been a technical advisor to Fremont for the drill program. If anyone knows where the gold is at Griffon, it should be him.
In May the company staked an additional 90 claims at Griffon to double the project area. That's about 15 square kilometers.
The drill results will be out soon, a week to ten days. At $0.15 the company has a market cap of about $12 million with around $1 million in the bank. That seems fairly priced to me so it will take good drill results to move the shares. But the company is young and aggressive. They have enough cash on hand to get cranking and the market will judge them on results.
Fremont is an advertiser and I participated in the last private placement. Do your own due diligence.
FRE-V $0.15 (Jul 17, 2020)
FRERF-OTCBB 81.4 million shares
Fremont Gold website
Note: An earlier version of this article incorrectly identified Nevada Clean Magnesium as Nevada Sunrise.
Bob Moriarty founded 321gold.com, with his late wife, Barbara Moriarty, more than 16 years ago. They later added 321energy.com to cover oil, natural gas, gasoline, coal, solar, wind and nuclear energy. Both sites feature articles, editorial opinions, pricing figures and updates on current events affecting both sectors. Previously, Moriarty was a Marine F-4B and O-1 pilot with more than 832 missions in Vietnam. He holds 14 international aviation records.
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