NevGold (NAU:TSX.V; NAUFF:OTC; 5E50:FSE) has news regarding its surface exploration of the Ptarmigan project. The exploration revealed significant mineralization in the unexplored parts of the project, and more mineralization held within the historically mined areas. NevGold has also commented on the interest it received related to Ptarmigan from external parties.
NevGold Corp. is focused on mineral exploration and development. It has several properties: Limousine Butte and Cedar Wash, which are both located in eastern and southeastern Nevada and Ptarmigan in Southeast British Columbia. They also have an option on the Nutmeg Mountain Gold Project.
NevGold has announced the results of its 2022 surface exploration at the 93 square kilometers (km2) Ptarmigan project in southeast British Columbia. This exploration was focused on making the project drill-ready and testing for unidentified areas of mineralization.
Brandon Bonifacio, the CEO of NevGold, "when we inherited the project as part of the public listing of the company back in 2021, it was clear the project had material value to unlock . . . We have supplemented the initial geological database with our 2022 field program and the project is now 'drill-ready' with a number of high-quality drill targets."
NevGold reports high-grade silver mineralization south of the previous drilling by roughly 140 meters. The highlights of the results included sample assays of 3188 grams per ton (g/t) of silver (Ag), 0.2% copper (Cu), 4.6% lead (Pb), and 1.4% zinc (Zn), as well as 492g/t Ag, 0.22% Cu, 29.4% Pb. These results were collected over 140 meters and 250 meters from the historical drill collars.
"Gold and silver are not investments; they're money. Gold and silver didn't increase your wealth- your purchasing power- over these seven decades. They preserved it, which is one of money's most important functions," said James Turk.
More mineralization was found through historical drilling in an area of less than 1km2. The results revealed 3.65m of 2,455g/t Ag, 1.00g/t gold (Au), and 0.91% Cu, including 22,945g/t Ag, 5.75 g/t Au, and 8.24% Cu. Another drill hole found 2,315g/t Ag, 1.64 g/t Au, and 1.10% Cu over 1.16m. A third drill hole found 452g/t Ag, 0.52 g/t Au, and 0.26% Cu over 6.80m. Another found 635g/t Ag, 0.82 g/t Au, and 0.33% Cu over 3.69m. The final drill hole found 96 g/t Ag, 0.36 g/t Au, 0.20% Cu, and 3.70% Pb over 6.41m.
Derick Unger, NevGold's VP of Exploration, said of the findings "it is exciting to identify additional surface expressions of high-grade mineralization at Ptarmigan… The recognition that there is a large trend of anomalous copper in surface samples along with the high-grade silver, lead, and zinc mineralization is an exciting development that we will continue to explore."
The exploration of the site has revealed some relevant information. Surface sampling found that the copper surface anomaly located 2.3 kilometers northwest of the historical drilling extends for 9 kilometers in an area without previous drilling. The exploration also found several high-grade drill targets, and NevGold has plans to target polymetallic and copper mineralization in these targets. NevGold has received interest in Ptarmigan from outside parties and is considering strategic options. NevGold has expressed that it is open to further expressions of interest from external parties.
Gold is often seen as a "safe haven" investment, a steady option when confidence in the economy is low.
James Turk of Goldmoney, a precursor of The Gold Report, has stated that he believes the value of gold is more steady than oil or national currencies. He comments "Gold and silver are not investments; they're money. Gold and silver didn't increase your wealth- your purchasing power- over these seven decades. They preserved it, which is one of money's most important functions."
Adrian Day of Adrian Day Asset Management has said that he strongly believes in the possibility of a short-term pullback in the economy as a result of the recent banking chaos. Day's analysis also commented on the growing interest in adding gold assets to a portfolio by organizations like Franco-Nevada Corp.
The Daily Gold speculated that, despite the downturn, the value of gold may be on the rise: "if gold can break US$1950-$2000 relatively soon, then the gold stocks and silver will follow. They will strongly outperform when gold breaks US$2100."
Looking to the Future
NevGold has a number of short-term catalysts. NevGold expects to receive the drill results from Nutmeg Mountain in Idaho between April 1st to June 30th of 2023. It expects to put out several press releases between those dates.
In May, NevGold will transport a drill rig to Limo Butte to start Phase 2 of the drill program covering 5,000 meters. The company is aiming for the Limo Butte Plan of Operations permit to be approved by Q2 of 2022, and in Q4 of 2022, it expects to deliver resource estimates from Nutmeg Mountain and Limo Butte once the drilling is completed.
Brandon Bonifacio reported that NevGold has completed the first holes in the inaugural drill program at Nutmeg Mountain in Idaho, and that assay results may come out soon.
Ownership and Share Structure
Streetwise Ownership Overview*
There is a total of 71,418,219 shares, 16,947,558 warrants, and 5,266,000 options for NevGold.
Insiders and directors own 32% of the company.
26% of the company is held by strategic investors. GoldMining Inc. owns 19.9%, with 12.56 million shares, according to Reuters. McEwen Mining owns 7%. with 4.96 million.
The rest is in retail.
According to NevGold, insiders contributed more than CA$150k to its recent financing in December of 2022.
NevGold has CA$3.3 million in the bank, and its monthly burn rate is CA$50k. Its monthly drilling cost is CA$300 per meter for core and CA$125 per meter for reverse circulation.
NevGold has a market cap of CA$25 million, and trades in the 52-week period between CA$0.30 and CA$0.85.
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1) Amanda Duvall wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor/employee. He/she or members of his/her household own securities of the following companies mentioned in the article: none. He/she or members of his/her household are paid by the following companies mentioned in this article: none. His/her company has a financial relationship with the following companies referred to in this article: none.
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