Maurice Jackson: Joining us for a conversation is the CEO of Riverside Resources Inc. (RRI:TSX.V; RVSDF:OTCQB), Dr. John-Mark Staude, along with Bryce Jackson of Proven and Probable.
Pleasure to be speaking with you both. John-Mark, when we last spoke, you stated "how bright the future is for Riverside shareholders," and how fitting that statement is for today's discussion. As I know, you have some very interesting developments coming from Sonora, Mexico, on what is your most active current drill project in the Riverside property bank, which is the Cuarentas Gold Project.
John-Mark, let's lay the foundation for today's discussion. Take us to the Cuarentas Project and walk us through the genetic model and some of the historical work and the high-grade results from that work.
John-Mark Staude: I just returned this week from Mexico and it was bright down there. It is so much fun. The team is drilling, the work is going on, and today's news release highlights the continuation of the exciting progress that we continue provide to the market on the developments on the Los Cuarentas. The work that we are conducting is actually quite exciting! We are having a lot of fun with the team.
Maurice Jackson: John-Mark, what are we looking at here?
John-Mark Staude: In the lower portion, which is multicolor, is a map of western Mexico, the state of Sonora, Mexico. It's about the same size as the state of Nevada. And we do a blowup to look at the location of the Los Cuarentas Project, which is 15 kilometers by dirt road from the mining town of Arizpe. Recently, we've heard the nice news results coming from Las Chispas. We also know there's lots of mining happening at the Mercedes Mine. Also, Agnico Eagle Mines Ltd. (AEM:TSX; AEM:NYSE) is operating up here at Santa Gertrudis. So what we're looking at is the location of Los Cuarentas surrounded by lots of mines in a great location in Sonora, Mexico.
Maurice Jackson: The location is paramount. You're in a great jurisdiction; there are proven mines in the area. And John-Mark, you just returned from Sonora, completing work on the Cuarentas and I understand you have some very, very encouraging news to share with investors.
John-Mark Staude: Riverside is in the right geologic environment, as shown above in the geologic map depicting the Northwest Trans. And so what we can say is we're finding big geology, nice, good opportunities. And this news release, touching upon some of the geophysics, is great. We're hitting good soils, we're having good rock geochemistry, and we've come up with a three-dimensional model that we're now drilling.
The old mines that we have at the Cuarentas, where previously there was mining, we're now able to drill our IP (induced polarization) anomalies. So right now, this news release touches upon the IP, touches upon how we see the old workings and this plan of drilling. The next news release will be the drill results, as we're drilling into these features now.
So for us, it's very exciting times to be exploring, and to be down there in Mexico with the guys. It was excellent to see that the programs are on track and particularly finding high-grade gold continuously along with different structures and finding large footprints from the soil anomalies showing that we have interesting potential for shear zone gold here at the Cuarentas project.
Maurice Jackson: John-Mark, you referenced drill results. When can investors expect those?
John-Mark Staude: We are now sending the samples to the lab. I just had a phone call from our qualified person who's there in Mexico today. He's going to the lab to check and make sure we're following through with all the QA/QC procedures. What we see out of all of that is a chance to have the news release in the next three to five weeks. Looking forward to that.
Maurice Jackson: Dr. Staude, what do you think of the timing for the drill results? As we understand the samples are being sent to the laboratory and the results will be reviewed and interpreted along with your partner Hochschild Mining Plc (HOC:LSE), the Peru-based mining powerhouse.
John-Mark Staude: Working with Hochschild is so great. They have a good technical team and it's been great to have them out in the field. Together, we've been able to do optical mapping and we've been able to do a lot of work with the drill core. We're using an oriented core. It's so exciting to have a sense down deep of what the intersection is of these faults and what the fault structure is really, instead of just trying to have to guess.
And so for us, the timing of between three to five weeks to get the assays back makes sense. And being able to put those together with Hochschild is terrific, and then to go ahead and put out the news about this first phase of what we hope to see multiple different phases.
Overall, this option agreement is over $8 million of spending by Hochschild for them to earn into the project. And if that is not completed and they don't complete the 51% earning, we keep all the data; the project's still a 100% Riverside. We are working together collaboratively, and having Hothschild working in Peru, as well as in Mexico, with us helps us to expand Riverside's footprint as well.
Riverside continues to work with partners in all we do. And in this case with Hochschild, we're very excited by the progress at Los Cuarentas.
Maurice Jackson: Great use of leverage and good business acumen. Speaking of results, before we close, John-Mark, what are some of the other pending news releases you have coming?
Cecilia Gold Project
John-Mark Staude: Riverside shareholders really like the value proposition before us on the Cecilia. We are working with Carlyle Commodities, and the combination of synergies has been working exceptional. Carlyle recently completed financings and moving ahead for the Cecilia Project. That's good, and we're looking forward to that in the new year. Also, the work that we're doing with BHP, where we have five projects moving ahead. Next week, we plan to have a meeting with BHP Billiton Ltd. (BHP:NYSE; BHPLF:OTCPK) regarding those five projects, so we hope to have more encouraging newsflow regarding our work with BHP.
A third one is the La Silla Project. We're working to finalize a deal on that one. And if that comes out, that'd be another step. Right now there's so much happening in Mexico. It's really exciting with companies like Vizsla Resources Corp. (VZLA:TSX) and GR Mining; so many groups working around the region. So for us, the La Silla project is a great place to go.
And lastly, of course, we're working in Canada. Winter has come and we're dealing with the wintertime, but we've had a good fault program. And we're working now to unlock the value for Riverside shareholders. Last year, we unlocked the value here by promising to develop Capitan Mining, and then this year that's happened.
As we look forward to 2021, we want to unlock the value for our shareholders and ourselves. As a large shareholder, recently I picked up more shares myself of Riverside. And so far I've never sold a share of Riverside. I love being a shareholder. And for us, the Canadian assets in Ontario are excellent.
Maurice Jackson: Truly a banner year for Riverside Resources. Ladies and gentlemen, I'd like to introduce my 10-year-old son, Bryce Jackson. As he has some questions for Dr. Staude, Bryce, the floor is yours, son.
Bryce Jackson: Dr. Staude, can you tell us about the capital structure for Riverside?
John-Mark Staude: Well, Bryce, I'm so delighted. You're the youngest person that's ever interviewed me. And it's great that you're a shareholder. It's also so neat that you've talked your twin brother and older brother into becoming shareholders, as my children, too, are shareholders. And the reason why is, we value the shares.
Riverside has fewer than 69 million shares out. We've gone for 14 years and we're focused on capital structure as one of the key strong points.
Bryce Jackson: Dr. Staude, if investors want to learn more about Riverside, please share the website address.
John-Mark Staude: Please come to the website www.rivres.com. Also, you can give us a phone call at (778) 327-6671. Look forward to speaking with any of you, and please come to the website, where we're constantly updating, and we'll have more news coming out for Riverside.
Maurice Jackson: Dr. Staude, thank you for visiting us today. Wishing you and Riverside Resources the absolute best, sir.
Before you make your next precious metals purchase, make sure you contact me. I’m a licensed representative to buy and sell physical precious metals through Miles Franklin Precious Metals Investments, where we have several options to expand your precious metals portfolio from physical delivery of gold, silver, platinum, palladium and rhodium directly to your home or office, to offshore depositories and precious metal IRAs. Call me directly at (855) 505-1900 or email [email protected].
Finally, please subscribe to Proven and Probable, where we provide mining insights and bullion sales. Subscription is free.
Maurice Jackson is the founder of Proven and Probable, a site that aims to enrich its subscribers through education in precious metals and junior mining companies that will enrich the world.[NLINSERT]
1) Maurice Jackson: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: Riverside Resources. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: None. My company has a financial relationship with the following companies mentioned in this article: Riverside Resources is a sponsor of Proven and Probable. Proven and Probable disclosures are listed below.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Riverside Resources, a company mentioned in this article.
Disclosures for Proven and Probable: Proven and Probable LLC receives financial compensation from its sponsors. The compensation is used is to fund both sponsor-specific activities and general report activities, website, and general and administrative costs. Sponsor-specific activities may include aggregating content and publishing that content on the Proven and Probable website, creating and maintaining company landing pages, interviewing key management, posting a banner/billboard, and/or issuing press releases. The fees also cover the costs for Proven and Probable to publish sector-specific information on our site, and also to create content by interviewing experts in the sector. Monthly sponsorship fees range from $1,000 to $4,000 per month. Proven and Probable LLC does accept stock for payment of sponsorship fees. Sponsor pages may be considered advertising for the purposes of 18 U.S.C. 1734.
The Information presented in Proven and Probable is provided for educational and informational purposes only, without any express or implied warranty of any kind, including warranties of accuracy, completeness, or fitness for any particular purpose. The Information contained in or provided from or through this forum is not intended to be and does not constitute financial advice, investment advice, trading advice or any other advice. The Information on this forum and provided from or through this forum is general in nature and is not specific to you the User or anyone else. You should not make any decision, financial, investments, trading or otherwise, based on any of the information presented on this forum without undertaking independent due diligence and consultation with a professional broker or competent financial advisor. You understand that you are using any and all Information available on or through this forum at your own risk.
Images provided by the author.