Worrying Market Trends Highlight Gold's Appeal

NEW YORK, Dec. 1, 2020 /PRNewswire/ -- Gold prices fell more than USD 250 from its summer record highs on Monday, below the USD 1,800 mark, following weak U.S pending home sales numbers. The latest data from the National Association of Realtors (NAR) showed that its pending home sales index for October dropped 1.1% to a reading of 128.9. According to consensus estimates, economists were expecting to see a 1% rise. This is the second consecutive monthly decline after the index dropped 2% in September, according to a report by Kitco News. Lawrence Yun, NAR's Chief Economist, explained in the press release that, while the housing market is still hot, we may be starting to see rising home prices hurting affordability. The rising prices are the result of tight inventories and historically low mortgage rates. "The combination of these factors – scarce housing and low rates – plus very strong demand has pushed home prices to levels that are making it difficult to save for a down payment, particularly among first-time buyers, who don't have the luxury of using housing equity from a sale to use as a down payment," said Yun. "Work-from-home flexibility has also increased the demand for both primary and secondary homes." Clarity Gold Corp. (CSE: CLAR), Coeur Mining, Inc. (NYSE: CDE), Harmony Gold Mining Company Limited (NYSE: HMY), Eldorado Gold Corporation (NYSE: EGO), Gold Fields Limited (NYSE: GFI)

The value of gold is difficult to predict, as it depends on many economic variables as well as on decisions made by the federal reserve. Nevertheless, gold prices are often viewed as safe haven in a time of economic and political uncertainties. To reduce the impact of the pandemic on the economy, various measures have been taken, such as near-zero interest rates and economic stimuluses for business and individuals. The impacts of such economic measures taken to fight the pandemic, however, are yet to be fully understood. Such measures also impact the price of precious metals.

Clarity Gold Corp. (CSE: CLAR) announced breaking news yesterday that, "it has entered into an option agreement (the "Option Agreement") dated November 27, 2020 pursuant to which the Company has been granted the sole and exclusive option (the "Option") by Big Ridge Gold Corp. ("Big Ridge") (TSX-V: BRAU), an arm's length company whose common shares are listed on the TSX Venture Exchange, to acquire up to 100% of Big Ridge's right, title and interest in and to certain mineral claims located in the Province of Quebec known as the "Destiny Project" (the "Transaction").

Highlights of the Destiny Project1

  • Located in the historical, mineral rich Abitibi Greenstone Belt.
  • Gold mineralization occurs in high-grade quartz veins within shear zones starting at 15 m below surface (drill results include 167g/t Au over 1 m).
  • 2011 NI 43-101 indicated resource of 360,000 oz and an inferred resource of 247,000 oz.
  • Mineralization is open to depth and along strike.
  • The DAC deposit is open along strike with only coarse drilling denoting high grade intercepts outside of 2011 resource area showing expansion potential along strike from the DAC Deposit over approximately 2.5 km to the Darla Zone.
  • Excellent infrastructure: ~75 km NNE of Val d'Or with road access.
  • Considerable work done to date including over 50,000 m of diamond drilling.

'This is a substantial step forward for Clarity. The acquisition of the Destiny Project will mark a transformational first step for the Company into the prolific Abitibi Greenstone belt,' stated Clarity's CEO, James Rogers. 'Our team at Clarity has reviewed countless projects and we are excited to focus our efforts on a project that has high grade, underground potential with underpinning Indicated and Inferred ounces in the ground. We look forward to working with Big Ridge to complete the Transaction and get to work on advancing this exciting project.' 

The Destiny Project

The Destiny Project is located approximately 75 km northeast of the city of Val d'Or in the prolific Abitibi Greenstone Belt where more than 180 million ounces of gold have been produced historically along major structural breaks within the assemblage of Archean-age volcanic, sedimentary and intrusive rocks. The Destiny Project lies along the approximately 400 km long Chicobi Deformation Zone, a major structural break which is largely underexplored in the Abitibi Greenstone Belt. The 5,013 ha project includes the DAC deposit, one of several gold zones along an approximately 6 km long segment of the Despinassy Shear Zone within the Chicobi Deformation Zone.

Approximately 2.5 km east along strike of the DAC deposit is the Darla zone. In between the Darla and DAC is the coarsely drilled GAP zone where 2012 drilling intercepted anomalous gold in all 12 holes which were spaced 100 m apart.

Exploration of the Destiny Project dates back to the 1930s with the first serious diamond drilling campaign commencing in 1998 by Cameco. Continued exploration and drilling campaigns supported a maiden NI 43-101 resource estimation being authored in 2007 and the most recent NI 43-101 resource estimation in 2011 in the Technical Report, dated March 1, 2011, authored by, Todd McCracken, P. Geo., and filed by Big Ridge on Sedar on March 7, 2011 (the "2011 Technical Report"). Since the publishing of the 2011 Technical Report, only 15 drill holes totaling approximately 3,473 m were completed as well as geochemical surveys and a geophysical compilation targeting VMS mineralization.

Previous work on the property can be summarized as follows:

  • 172 Diamond drill holes comprising approximately 50,400 m
  • Reconnaissance till sampling from 11 Sonic drill holes
  • 2,430 MMI geochemical samples
  • 982 line km of airborne VTEM surveys
  • 171 line km of ground magnetics surveys
  • 128 line km of IP

Salient results from previous drill programs on the Destiny Project:

Zone

Hole ID

From (m)

To (m)

Interval (m)

Au g/t

DAC

DES9917

117.2

140.8

23.6

6.15

including

118.8

121.9

3.1

23.95

and

134.8

138.5

3.7

12.46

DES0032

159.9

169.2

9.3

3.98

including

161.2

165.9

4.7

5.37

and

163.3

165.9

2.6

7.78

DES05-64

161.8

170.5

8.7

5.42

including

161.8

163.2

1.4

22.14

DES05-66

130.3

133.1

2.8

5.18

and

138.3

139.3

1.0

3.37

and

142.2

143.6

1.4

8.83

DES05-67

163.7

170.9

7.2

8.81

including

166.0

168.7

2.7

19.49

DES05-79

130.6

133.1

2.5

10.70

and

142.0

145.0

3.0

5.04

DES05-81

323.7

325.8

2.1

3.41

and

333.7

339.0

5.3

4.01

including

333.7

338.5

4.8

4.32

DES06-85

214.0

216.5

2.5

4.31

and

221.7

222.7

1.0

167.00

DES06-96

254.4

261.2

6.8

2.46

and

272.7

275.7

3.0

3.04

DES10-137

372.9

374.0

1.1

25.65

Darla

DES06-91

115.1

117.2

1.2

19.67

DES08-104

104.5

107.0

2.5

6.73

including

104.5

105.2

0.7

19.73

Gap

DES12-147

85.5

91.5

6.0

16.10

including

87.5

88.5

1.0

90.30

and

146.0

148.0

2.0

2.55

West

DES05-75

79.8

80.5

0.7

3.36

and

82.7

84.2

1.5

1.50

and

90.3

91.8

1.5

1.23

South

DES0051

308.6

309.9

1.3

2.22

DES0056

49.0

49.2

0.2

3.03

and

144.6

145.3

0.7

1.69

and

319.0

319.2

0.2

2.23

Zone 21

DES9921

93.8

99.8

6.0

2.49

including

93.8

94.8

1.0

7.03

Zone 20

DES9920

218.4

220.4

2.0

4.60

The DAC Deposit

The 2011 Technical Report entitled "NI 43-101 Technical Report and Resource Estimate of the DAC Deposit, Destiny Property, Quebec" included the following estimates:

Class

Tonnes

Au (gpt)

Au (ounces)

Indicated

10,800,000

1.05

360,000

Inferred

8,300,000

0.92

247,000

Notes:

  • The 2011 Technical Report was prepared for Alto Ventures Ltd. (now Big Ridge) and Pacific Northwest Capital Corp.
  • Values rounded to reflect summary nature of the estimate
  • Cut-off grade 0.5 g/t Au
  • Au price of US$973/Oz
  • US$ to CAD$ conversion of 1.02
  • Au recovery 94%
  • 4:1 Strip ratio
  • Operating cost of $14.30/t at 10,000 tpd

Michel Robert, Advisor to Clarity stated: 'The Abitibi is known for its high mineral potential, it's a recognized region in Canada and internationally. I have previously worked in several active projects in the region, now I am excited to return to this highly prospective area with solid infrastructure and formidable local support for resource development. Destiny is in an advanced exploratory stage with an NI 43-101 indicated resource, and with multiple underexplored zones which makes for untapped exploration potential. At Clarity, we look forward to starting work and further defining this resource to become another success in the region.'…

Qualified Person

Mr. Rory Kutluoglu P. Geo. is the Qualified Person ("QP") under NI 43-101 for the technical information in this news release and has reviewed the appropriate and available data for the Destiny Project and approves the technical contents of this news release."

[1] Information extracted from the Technical Report, dated March 1, 2011, authored by, Todd McCracken, P. Geo., and filed by Big Ridge on Sedar on March 7, 2011. 

For our latest "Buzz on the Street" Show featuring Clarity Gold Corp. recent corporate news, please head over to: https://www.youtube.com/watch?v=x0d4C2BH_4A

Coeur Mining, Inc. (NYSE: CDE) reported back in August an update on its 2020 exploration program, which is the largest campaign in the Company's history. The primary focus of the program is resource expansion and new discoveries, including prospective step-out drilling on certain targets designed to test known boundaries of existing mineralization. Drilling was active at six of the Company's sites during the first half of 2020 with each program delivering positive results, including two new gold discoveries at the Sterling and Crown exploration properties in southern Nevada. New, significant discoveries in Nevada of oxide gold at Sterling and Crown – Step-out drilling at both Sterling and Crown has discovered new mineralized zones: (i) El Portón, located to the northeast of the historic Sterling mining area and (ii) C-Horst, located in the northernmost portion of the Crown Block.

Harmony Gold Mining Company Limited (NYSE: HMY) announced back in October third quarter 2020 financial results, including revenue of $229.7 million, cash flow from operating activities of $79.5 million and GAAP net income from continuing operations of $26.9 million, or $0.11 per share. On an adjusted basis, the Company reported EBITDA of $90.8 million, cash flow from operating activities prior to changes in working capital of $57.4 million and net income from continuing operations of $38.2 million, or $0.16 per share. Gold production increased 23% to 95,995 ounces driven by improved operational performance at Palmarejo, Rochester and Wharf, while silver production of 2.6 million ounces was 58% higher largely due to positive results at Palmarejo

Eldorado Gold Corporation (NYSE: EGO) reported last month results from brownfields exploration drilling programs in Quebec, Greece, and Turkey, including an update on the newly-discovered Ormaque zone at Lamaque. Additionally, the Company is providing a brief update on COVID-19. At Efemcukuru, drill results have confirmed continuity of high gold grades within mineralized shoots at the Kokarpinar Middle and Kokarpinar South target areas, advancing this vein system to resource conversion drilling stage. "These results from our brownfields programs continue to demonstrate the outstanding exploration potential at our operations", said George Burns, President and CEO. "I am particularly pleased with the outcome of the step out drilling at C2, C6 and C7, which highlight the potential for further expansion of the Triangle deposit, and with the new results from the Ormaque zone. In Turkey, we had solid results at Efemcukuru and we continue to focus on extending the life of that asset through further exploration."

Gold Fields Limited (NYSE: GFI) reported last month that has again been ranked the top South African mining company in the prestigious Dow Jones Sustainability Index (DJSI). Gold Fields was ranked 4th among 75 mining companies and 2nd among gold mining companies. Canada's Teck Resources was the metals and mining industry leader based on its score of 90. Gold Fields' score was 80, more than double the industry average of 39. Gold Fields has consistently achieved a Top 5 metals and mining ranking in the DJSI since it started participating in 2011. "Our continued strong showing on the DJSI illustrates that we have fully integrated ESG practices into our business. This is critical because we are no long only assessed on our operational and financial performance, but that we are doing so responsibly and to the benefit of all our stakeholders," says Gold Fields CEO Nick Holland.

Subscribe Now! Watch us report LIVE https://www.youtube.com/FinancialBuzzMedia

Follow us on Twitter for real time Financial News Updates: https://twitter.com/financialbuzz

Follow and talk to us on Instagram: https://www.instagram.com/financialbuzz

Facebook Like Us to receive live feeds: https://www.facebook.com/Financialbuzz/

About FinancialBuzz.com 

FinancialBuzz.com, a leading financial news informational web portal designed to provide the latest trends in Market News, Investing News, Personal Finance, Politics, Entertainment, in-depth broadcasts on Stock News, Market Analysis and Company Interviews. A pioneer in the financially driven digital space, video production and integration of social media, FinancialBuzz.com creates 100% unique original content. FinancialBuzz.com also provides financial news PR dissemination, branding, marketing and advertising for third parties for corporate news and original content through our unique media platform that includes Newswire Delivery, Digital Advertising, Social Media Relations, Video Production, Broadcasting, and Financial Publications.

Please Note: FinancialBuzz.com is not a financial advisory or advisor, investment advisor or broker-dealer and do not undertake any activities that would require such registration. The information provided on http://www.FinancialBuzz.com (the 'Site') is either original financial news or paid advertisements provided [exclusively] by our affiliates (sponsored content), FinancialBuzz.com, a financial news media and marketing firm enters into media buys or service agreements with the companies which are the subject to the articles posted on the Site or other editorials for advertising such companies. FinancialBuzz.com has not been compensated directly by any of the companies mentioned here in this editorial unless mentioned otherwise. We are not an independent news media provider and therefore do not represent or warrant that the information posted on the Site is accurate, unbiased or complete. FinancialBuzz.com receives fees for producing and presenting high quality and sophisticated content on FinancialBuzz.com along with other financial news PR media services. FinancialBuzz.com does not offer any personal opinions, recommendations or bias commentary as we purely incorporate public market information along with financial and corporate news. FinancialBuzz.com only aggregates or regurgitates financial or corporate news through our unique financial newswire and media platform. For clarity gold corp. video production, filming editing, news reporting, financial and corporate news dissemination, FinancialBuzz.com has been compensated five thousand dollars by the company. Our fees may be either a flat cash sum or negotiated number of securities of the companies featured on this editorial or site, or a combination thereof. The securities are commonly paid in segments, of which a portion is received upon engagement and the balance is paid on or near the conclusion of the engagement. FinancialBuzz.com will always disclose any compensation in securities or cash payments for financial news PR advertising. FinancialBuzz.com does not undertake to update any of the information on the editorial or Site or continue to post information about any companies the information contained herein is not intended to be used as the basis for investment decisions and should not be considered as investment advice or a recommendation. The information contained herein is not an offer or solicitation to buy, hold or sell any security. FinancialBuzz.com, members and affiliates are not responsible for any gains or losses that result from the opinions expressed on this editorial or Site, company profiles, quotations or in other materials or presentations that it publishes electronically or in print. Investors accept full responsibility for any and all of their investment decisions based on their own independent research and evaluation of their own investment goals, risk tolerance, and financial condition. FinancialBuzz.com. By accessing this editorial and website and any pages thereof, you agree to be bound by the Terms of Use and Privacy Policy, as may be amended from time to time. None of the content issued by FinancialBuzz.com constitutes a recommendation for any investor to purchase, hold or sell any particular security, pursue a particular investment strategy or that any security is suitable for any investor. This publication is provided by FinancialBuzz.com. Each investor is solely responsible for determining whether a particular security or investment strategy is suitable based on their objectives, other securities holdings, financial situation needs, and tax status. You agree to consult with your investment advisor, tax and legal consultant before making any investment decisions. We make no representations as to the completeness, accuracy or timeless of the material provided. All materials are subject to change without notice. Information is obtained from sources believed to be reliable, but its accuracy and completeness are not guaranteed. For our full disclaimer, disclosure and Terms of Use, please visit: http://www.financialbuzz.com.

Media Contact:
info@financialbuzz.com
+1-877-601-1879
www.FinancialBuzz.com

 

Cision View original content:http://www.prnewswire.com/news-releases/worrying-market-trends-highlight-golds-appeal-301182157.html

SOURCE FinancialBuzz.com

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.