As Miner Plans Merger, Deep Drilling Reveals High-Grade Mineralization Below Deposit

Source: Streetwise Reports 03/21/2018 A Colombia miner has announced a ramp-up, an amalgamation and high-grade drill results all in March, and the month is far from over. It’s been a busy time for Red Eagle Mining Corp. (R:TSX; RDEMF:OTCQX; R:BVL). The company been ramping up operations at its Santa Rosa project in Colombia, and drilling has revealed high-grade mineralization below the existing gold deposit. On top of that, the company announced a merger early this month with Red Eagle Exploration Ltd. (XR:TSX.V). On March 2, Red Eagle Mining announced the amalgamation with Red Eagle Exploration, which holds the Vetas Gold, California Gold and Santa Ana Silver properties, all located in Colombia. The two companies already share the same management. “This amalgamation will result in a combined company with bigger scope and more properties and will reduce costs.” – Clive Maund Red Eagle Mining already holds 76.43% of all outstanding shares of Red Eagle Exploration. Under the terms of the agreement, “XR shareholders will receive one (1) common share of Red Eagle Mining (Red Eagle Share) for every two (2) XR common shares (“XR Share”) held (Exchange Ratio). The Exchange Ratio represents the equivalent of $0.135 per XR Share based on the closing price of the Red Eagle Shares on the TSX as of March 1, 2018 and represents the equivalent of $0.139 per XR Share based on the 20-day volume weighted average price of the Red Eagle Shares on the TSX as of the same date.” Red Eagle Mining noted … Continue reading

Zinjin Finances $3.2 Million in Guyana Goldstrike

Source: Bob Moriarty for Streetwise Reports 03/21/2018 Bob Moriarty of 321 Gold discusses this gold explorer’s major financing. Guyana Goldstrike Inc. (GYA:TSX.V; GYNAF:OTC; 1ZT:FSE) recently announced a major financing with Zinjin of China for a total of $3.475 million for work on GYA’s Marudi gold project in southern Guyana. The private placement was for 13.9 million units at $0.25 with a full warrant at $0.35 good for two years. On a fully diluted basis, the investment would represent 39.3% of Guyana Goldstrike once the warrants have been exercised. Guyana Goldstrike is a young company that did a deal to acquire Roanex Guyana Ltd., holder of the Marudi Mountain mining license in Guyana. The project has had over $30 million USD spent on it since 1985 including 42,000 meters of diamond drilling in 141 holes so far. It comes with a 20-year mining permit with an established camp and infrastructure in place. Local alluvial miners are working parts of the property with the permission of the company and that generates about $250,000 a year in revenue. About 5% of the project has been explored with only two zones drilled. The Mazoa Hill zone comes with a current 43-101 showing over 259,000 ounces of gold indicated at 1.80 g/t and 86,200 ounces gold inferred at a grade of 1.60 g/t. The gold is found as alluvial, weathered saprolite and in hard rock form. The company is targeting between 1 and 2 million ounces. Now that the financing has been completed, the company … Continue reading

Cobalt Pure Play Now Cashed Up for Stream, Royalty Deal

Source: Streetwise Reports 03/19/2018 Five analysts weigh in on this company’s recent financial transaction and likely next move. In a March 12, 2018 research note, Rupert Merer, an analyst with the National Bank of Canada, reported that Cobalt 27 Capital Corp. (KBLT:TSX.V; CBLLF:OTC; 27O:FSE) closed on a CA$185 million (CA$185M) equity raise, in which it issued 16.2M shares to a group of investors at CA$11.40 per share. Now, the cobalt firm has about CA$200M on its balance sheet, which achieves two ends, Merer said. It puts it “in a stronger negotiating position for streaming and royalty deals with large mining companies,” for one, Merer noted. Two, it expands its shareholder base, which should afford Cobalt 27 “improved access to liquidity in future transactions.” Merer raised the potential for the firm to be involved in one of the “large [cobalt] transactions in the works.” For instance, Vale is seeking an arrangement, which could be valued up to CA$500M, to support its Voisey’s Bay mine expansion. The National Bank of Canada has an Outperform rating and a CA$15 per share price target on Cobalt 27. “[Cobalt 27 is now] in a stronger negotiating position for streaming and royalty deals with large mining companies.” – Rupert Merer Canaccord Genuity, to reflect the completed CA$200M equity issue, increased its target price on Cobalt 27 to CA$15 from CA$14 per share, implying a potential return of 23%, wrote analyst Eric Zaunscherb in a March 12, 2018 research piece. He indicated that Cobalt 27’s “strengthening balance … Continue reading

Drilling Extends Vertical Depth at Colombia Gold Mine

Source: Streetwise Reports 03/19/2018 Drilling at a producing gold mine in Colombia is extending the depth of the mine. Red Eagle Mining Corp. (R:TSX; RDEMF:OTCQX; R:BVL) just announced that drilling at the San Ramon Gold Mine, part of the Santa Rosa Gold Project in Colombia, has returned 4.75 meters at 20.3 grams gold per tonne. This drilling was below the already delineated resource and is “extending the vertical extent of known gold mineralization.” Red Eagle noted that “mineralization is open to depth in an area with no previous drilling and outside of the mineral resource and mineral reserve. Results continue to return intercepts with grades significantly higher than the reserve grade of 5.2 g/t Au.” Read what other experts are saying about: Red Eagle Mining Corp. Want to read more Gold Report articles like this? Sign up for our free e-newsletter, and you’ll learn when new articles have been published. To see a list of recent articles and interviews with industry analysts and commentators, visit our Streetwise Interviews page. Disclosure: 1) Patrice Fusillo compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee. She or members of her household own shares of the following companies mentioned in this article: None. She or members of her household are paid by the following companies mentioned in this article: None. 2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Red Eagle Mining. Click here for important disclosures about sponsor fees. 3) Comments … Continue reading

Important Ontario Gold Properties Acquisition Completed

Source: Streetwise Reports 03/19/2018 Key gold assets in the Timmins, Ontario, area have been acquired by a new owner. GFG Resources Inc. (GFG:TSX.V; GFGSF:OTCQB) and Rapier Gold Inc. (RPR:TSX.V) recently announced they have completed a transaction where GFG acquired all of the shares of Rapier, both issued and outstanding. According to GFG, “the Arrangement was an integral part of the Company’s recent land consolidation west of the prolific gold mining district of Timmins, Ontario.” GFG now oversees 700 square kilometers of gold assets in Ontario and Wyoming. The issued and outstanding common shares of Rapier were exchanged on the basis of 0.15 of a GFG common share for each Rapier common share. “We are very pleased to complete the Rapier acquisition and welcome all Rapier shareholders and stakeholders. Our recent land consolidation in Ontario leverages our skill set and complements our strategy to control district scale gold projects that are highly prospective and located in tier one mining jurisdictions. We are excited about the discovery potential within this gold belt and will immediately begin to aggressively advance and explore our new 565 km2 land package,” said Brian Skanderbeg, president and CEO of GFG. Bob Moriarty of 321 Gold commented on the deal the end of January when it was just taking shape, “In December of 2017 GFG announced a takeover deal with Rapier Gold and acquisitions of projects from Probe Metals and Osisko Mining in the Timmins District in Ontario. Not only will there be measurable progress twelve months a … Continue reading

Jack Chan's Weekly Precious Metals Update

Source: Jack Chan for Streetwise Reports 03/19/2018 Technical analyst Jack Chan charts recent movements in the gold and silver markets. Our proprietary cycle indicator is down. The gold sector is on a long-term buy signal. Long-term signals can last for months and years and are more suitable for investors holding for long term. The gold sector is on a short-term buy signal. Short-term signals can last for days and weeks, and are more suitable for traders. Speculation is in bull market values. This is a massive bottoming pattern four years in the making. ABX, a major component in GDX, has marked a bottom on a very high volume day early this month. Silver is on a long-term buy signal. SLV is on a short-term buy signal, and short-term signals can last for days to weeks, more suitable for traders. Data supports overall higher prices. SummaryThe precious metals sector is on a long-term buy signal. Short term is on mixed signals. A pullback is in progress. The cycle is down. COT data is supportive for overall higher metal prices. We are holding gold-related ETFs for long-term gain. Jack Chan is the editor of simply profits at, established in 2006. Chan bought his first mining stock, Hoko Exploration, in 1979, and has been active in the markets for the past 37 years. Technical analysis has helped him filter out the noise and focus on the when, and leave the why to the fundamental analysts. His proprietary trading models have enabled him … Continue reading

Weekend Reading and Happy Saint Patrick’s Day

By Dudley Pierce Baker Founder – Editor Hello Investors, I recall a St. Patrick’s Day back in the early 1990’s and was on business in New York City for a couple of weeks. I just happened to be there for the big day, and what a day. I planted my self right in front of St. Patrick’s Cathedral and watched the entire parade. Great memories and I hope you will have some to share today. In my weekend updates to our warrant databases, I now count 7 Cannabis/Marijuana companies with stock warrants trading. Also, this week saw the first warrants trading on a blockchain company. Between the Canadian Database and the U.S. Database, we have around 250 exciting opportunities with stock warrants trading. As to gold, it still drifts sideways, but let’s not rule out the possibility of a quick downside breakout before we head back up and take out this nasty upside resistance around $1380 to $1400. This would be an ideal setup to buy as the markets would shake out those weak players/none believers. For me, there is only one way to play this ‘game’ by investing in quality junior mining companies and/or long-term stock warrants trading on those companies. If you are not familiar with stock warrants, you can receive The Stock Warrant Handbook for FREE by visiting, along with more freebies. As well, many investors are finding great opportunities with warrants on the U.S. stocks in other sectors, bio-techs, pharmaceuticals, banking, blank check … Continue reading

A Strong Oil Stock at a Great Entry Point

Source: Clive Maund for Streetwise Reports 03/17/2018 Technical analyst Clive Maund discusses a small-cap oil and gas company that he believes has lots of upside potential. The purpose of this update on Amazing Energy Oil & Gas Co. (AMAZ:OTCQX) is to point out that its chart still presents a very strong picture, despite the reaction back of the past week or so, and since this reaction back is normal and has done no technical damage, it is viewed as throwing up an excellent buying opportunity in a stock that has demonstrated with its spike higher earlier this month on enormous record volume that it is set to go much higher. We can see the spike higher on massive volume and subsequent reaction back to support in detail on the latest 6-month chart and the point where we went for it again on 8th March as this spike was starting. The reaction back was due to overhanging supply from non-believers impacting, but on the next advance there will be less of them around. The volume pattern and volume indicators are strongly bullish, moving averages are in bullish alignment and the MACD indicator shows that there is plenty of room for a big move up from here. The 4-year chart is most useful as it reveals exactly what is going on and why Amazing has so much upside potential from here. On this chart we can see that it has been marking out a giant base pattern since mid-2015, with the latter … Continue reading

Strong Oil Stock Ready for Next Upleg

Source: Clive Maund for Streetwise Reports 03/17/2018 Technical analyst Clive Maund discusses a company that he believes will break higher regardless of what oil does. Blackbird Energy Inc. (BBI:TSX.V) is still on for an upside breakout from its bull Flag, and the picture looks more potent than when we bought it back on the 6th, because, as we can see on its latest 6-month chart, the additional time that it has remained within this tight Flag pattern has allowed the overbought condition that arose as a result of the last upleg to continue to unwind and the moving averages to swing into more bullish alignment, with the 50-day catching up with the price the better to force a breakout. Furthermore buyers have been raising their bids in recent days on increasing upside volume, another sign that it is ready to break out. How far will the next upleg get? – it should rally to resistance in the C$0.50–C$0.52 area where we will consider taking profits, with some chance that it could storm through this resistance. This is an oil stock that looks set to break higher regardless of what oil does. Holders should therefore stay long, and new purchases are in order, up to C$0.415. Although the number of shares in issue in Blackbird is high at 749 million, it is understood that many are tightly held by insiders. Blackbird Energy website. Blackbird Energy Inc, BBI.V, BKBEF on OTC, closed at C$0.38. $0.307 on 16th March 2018. … Continue reading

Six Explorers to Watch as Mining Sector 'Primed for a Re-Awakening'

Source: Streetwise Reports 03/15/2018 PI Financial recently highlighted junior explorers to watch for “potentially game-changing 1H18 news flow.” PI Financial recently noted that the firm believes that the explorer market is “primed for a reawakening, supported by buoyant metal prices and a splattering of financings.” It stated that senior and intermediate miners are funding juniors “in order to advance technically sound projects that offer real discovery potential.” It also stated that “$350 mln was invested in junior exploration companies through strategic investments or joint ventures in 2017.” Six of the explorers that it featured are on the firm’s explorer coverage list: Auryn Resources Inc. (AUG:TSX; AUG:NYSE): Analyst Phil Ker noted that the company’s management team “has a track-record of success and has a business strategy of acquiring and developing district-scale land positions within favorable mining jurisdictions.” Auryn holds seven projects, including in Nunavut in Canada and Huilacollo in Peru. “With initial results on the horizon [at Huilacollo], Auryn is positioned to have a steady stream of exploration based news flow and with any significant results achieved at Huilacollo, Auryn would have 3 significant projects to advance with others waiting in its pipeline,” Ker concluded. Balmoral Resources Ltd. (BAR:TSX; BALMF:OTCQX): Analyst Phil Ker noted that Balmoral’s Martiniere project is an “extensive mineralised system spanning 3.5km along strike with mineralization intercepted across more than 700m of vertical extent. Four high-grade deposits remain open to depth.” The explorer’s Grasset nickel sulphide deposit “hosts an attractive high grade core offering grades in excess of … Continue reading