Posted by AGORACOM
at 3:30 PM on Monday, December 2nd, 2019
Sponsor: Affinity Metals (TSX-V: AFF) a Canadian mineral exploration company building a strong portfolio of mineral projects in North America. The Corporation’s flagship property is the Drill ready Regal Property near Revelstoke, BC. Recent sampling encountered bonanza grade silver, zinc, and lead with many samples reaching assay over-limits. Further assaying of over-limits has been initiated, results will be reported once received. Click Here for More Info
Slovakia joins a host of countries seeking to repatriate
Serbia, Poland and Hungary have boosted their bullion reserves
Gold is all that nationalist leaders in Europe’s east can talk about these days.
Just
this week, Poland’s government touted its economic might after
completing the repatriation of 100 tons of the metal. Over in Hungary,
anti-immigrant Prime Minister Viktor Orban has been ramping up holdings
of the safe-haven asset to boost the security of his reserves.
Viktor Orban Photographer: Akos Stiller/Bloomberg
The gold rush mirrors steps by Russia and China to diversify reserves exceeding $3 trillion away from the dollar amid flaring geopolitical tensions with the U.S. Motivations in Europe’s ex-communist wing, however, can vary.
Take the latest example. Former Slovak Premier Robert Fico, who has a shot at returning to power, urges parliament to compel the central bank into bringing home gold stocks stored in the U.K.
The reason? Sometimes your international partners can betray you,
Fico said, citing a 1938 pact by France, Britain, Italy and Germany
allowing Adolf Hitler to annex a chunk what was then Czechoslovakia, and
— more recently — the Bank of England’s refusal to return Venezuela’s gold stock over political differences.
“You can hardly trust even the closest allies after the Munich Agreement,†Fico told reporters. “I guarantee that if something happens, we won’t see a single gram of this gold. Let’s do it as quickly as possible.â€
His comments came despite the U.K. being one of
Slovakia’s closest allies after the Soviet empire crumbled, helping ease
the path to European Union and NATO. Fico said Brexit and the risk of a global economic crisis put Slovak gold stored in Britain in a dangerous situation.
The gold Poland brought back also came from the U.K., though
there was no questioning of Britain’s reliability by central bank
Governor Adam Glapinski.
Adam GlapinskiPhotographer: Piotr Malecki/Bloomberg
Instead, he said he wanted to demonstrate the strength of his nation’s $586 billion
economy — the largest in the EU’s east. Poland has doubled its gold
holdings in the past two years and now has the region’s biggest
stockpile.
Hungary, though, has been an active buyer too. Gold reserves
surged 10-fold last year, setting the clamor for the metal in the
countries around it in motion.
Serbia’s strongman leader
Aleksandar Vucic took note, ordering the central bank to boost reserves
and prompting the purchase of nine tons in October. Vucic said last week
that more should be bought because “we see in which direction the
crisis in the world is moving.â€
The biggest nation to emerge from
the breakup of Yugoslavia still keeps some of its gold abroad, the
central bank said by email. The region is buying more of the metal
because of global uncertainty over trade and politics, Brexit and low
interest rates, it said.
Romania had also sought to relocate some
of its gold reserves from the U.K., but those plans were put on hold
when the government behind them was ousted in October.
For the
no-nonsense leaders that have come to dominate eastern Europe, the main
benefit may be the message to voters that hefty holdings of the precious
metal conveys.
“Gold is a symbol,†said Vuk Vukovic, a political
economist in Zagreb. “When states purchase it, people everywhere see it
as a sign of economic sovereignty.â€
Posted by AGORACOM
at 10:56 AM on Monday, November 25th, 2019
Sponsor: Affinity Metals is a Canadian mineral exploration company building a strong portfolio of mineral projects in North America. The Corporation’s flagship property is the Drill ready Regal Property near Revelstoke, BC. Recent sampling encountered bonanza grade silver, zinc, and lead with many samples reaching assay over-limits. Further assaying of over-limits has been initiated, results will be reported once received. (TSX-V: AFF) Click Here for More Info
Gold mining stocks have soared approximately 30% so far in 2019, based on the performance of the NYSE Arca Gold Miners Index (GDM) as of November 15.1
Over the last 12 months, the sector is up nearly 50%. Some investors
may assume that gold stocks have run their course. On the contrary, we
think that the gold mining equities still have a great deal of upside to
offer.
In brief, we think we’re in the early stages of a prolonged bull
market for gold. While the relationship between the prices for gold
bullion and gold stocks isn’t a linear one, rising demand for the yellow
metal commodity has historically driven stock performance. Moreover,
despite the recent rally, gold mining stocks have yet to recover from
the beating they suffered starting in 2011. Still, recent outperformance
— coupled with improving fundamentals — creates momentum, a key factor
in many quantitative strategies.
Gold has been a store of value since the beginning of civilization,
and yet the nuances of investing in gold — be it the metal or miners — is still a source of confusion. As we see it, that also means opportunity.
Here are five reasons to consider investing in gold equities now.
REASON #1. Rising Gold Prices Drive Demand
Figure 1. Gold Bull Market is Just Getting Started
Source: Bloomberg as of 11/15/19. Gold was $1,514 on 11/1/19, and $1,468 as of 11/15/19.
Gold recently broke past $1,500 an ounce for the first time since
2013 (Figure 1), as global political and macroeconomic trends are
driving demand for the yellow metal. Along with other strategists, we
think gold bullion could surpass its all-time high of $1,900 within the
next couple of years. Key factors driving long-term demand for gold as a
store of value and defensive asset, especially among central banks and
institutions, include low-to-negative interest rates, rising debt
levels, trade tensions and intensifying geopolitical risk.
Price movements for physical gold and gold-mining stocks aren’t
perfectly in sync, but the relationship between them is strong and
persistent, across economic cycles.
Historically, rising (and falling) gold prices have a three-times
multiplier effect on gold stocks: If the value of gold bullion increases
by 10%, mining stocks tend to increase by 30%, and vice versa. The
reason: Miners have significant fixed operating costs and high operating
leverage, meaning big swings in physical gold prices have a larger
impact on miners’ profitability.
This relationship cuts both ways, as we saw after physical gold
prices peaked in late 2011. As the value of gold subsequently declined
(Figure 2), the value of gold stocks plummeted even more. Between 2011
and 2018, the sector posted negative returns in six out of eight
calendar years. Even with recent gains, gold mining stocks have yet to
recover relative to historical valuations. Since the sector peak in
April 2011, gold mining equities are still off by more than 60%.
Figure 2. Gold Mining Equities are Very Undervalued
Source: Bloomberg as of 11/12/19.
Figure 3. Gold Demand Has Rebounded: Purchases by Central Banks
Central banks have been net buyers of gold over the past 10 years. Gold plays an important part in central banks’ reserves management, and they are significant holders of gold. According to the World Gold Council:
“Today, central banks own almost 34,000 tonnes (t) of gold, making it
the third-largest reserve asset in the world. The increase in central
bank demand for gold reflects current geopolitical, political and
economic conditions, as well as structural changes in the global
economy. Gold is both a liquid, counter-cyclical asset and a long-term
store of value. As such, it can help central banks meet their core
objectives of safety, liquidity and return.”
Source: Metals Focus, Refinitiv GFMS, World Gold Council. As of June 30, 2019.
REASON #2. Gold Stocks are Severely Undervalued
Given the amplified volatility of gold stocks relative to gold,
investors need to go in with their eyes wide open. Nevertheless,
multi-year declines may now set the stage for significant upside.
While miners as a group still trade below their net asset values, the
discounts of smaller, “junior†miners are especially extreme, as much
of the recent rally has been driven by the largest, “senior†gold
miners. In fact, the valuation gap between North American junior and
senior gold miners is the widest it’s ever been.
Figure 4. The Valuation Gap Between Senior and Juniors is at Historic Extremes
Source: BMO Capital Markets, FactSet. North American senior vs. junior gold miners. As of 7/19/19.
Reason #3. Supplies are Limited
Most investors grasp the importance of investing in companies whose
business models are protected by “competitive moats.†Gold miners have
this in spades, as it can take 15 years from discovery of a new gold
mine to successful ore production. The barriers to entry are enormous
for newcomers in this sector, given the need for expensive and
specialized equipment, environmental regulations and political
considerations.
Meanwhile, the supply of gold is finite and there have been
increasingly fewer gold discoveries in recent years. This dynamic —
combined with depressed valuations of junior gold miners — is driving
consolidation in the industry. It is far cheaper for senior miners to
buy new gold production than to “build†capacity themselves. In fact,
based on an analysis of recent transactions, there is a 35% discount for
buying ounces in the market via acquisitions versus discovering new
ounces (according to Scotiabank).
Figure 5. Major Gold Discoveries have Declined Significantly
Investors love momentum — following positive trends in prices,
earnings and other factors — and the rise of quantitative strategies has
made this market phenomenon even more pervasive. For the last eight
years, momentum has largely worked against the gold mining sector, but
now there are signs the wind is shifting, and that momentum could soon
work in its favor.
Analysts covering the sector have understandably been conservative in
their estimates and may soon be playing catch up, given higher gold
prices and a leveling off of mining costs. Any improvements in earnings
outlooks could potentially accelerate positive momentum for the sector.
As my colleague Paul Wong wrote earlier this month in The Sweet Spot for Gold Equities:
â€At this stage in the gold cycle, we are in the sweet spot for gold
mining company earnings. A starting low gold price base will result in
earnings changes with a high percentage increase when measured
quarter-over-quarter or year-over-year.â€
In Figure 6, we highlight the progression of 2020E EPS (estimates of
earnings-per-share) revisions for the top-10 gold mining companies in
SGDM2 versus the average 2020E EPS for the top-20 companies in the S&P 500 Index.3
Since January 2019, the average 2020E EPS for the top-10 gold mining
companies had increased from $0.65 to $0.98 by the end of October,
representing a 50% jump, compared to a decline of 9% for the S&P
500. After the Q3 reporting season, we would expect that 2020E EPS for
gold miners will be revised even higher.
Figure 6. Sweet Spot for Gold Mining Company Earnings
Source: Bloomberg as of 10/31/19.
REASON #5. Gold Stocks Play a Different Role than Bullion
As with any investment, it’s important to think about the role of
gold stocks in the context of a broader portfolio. One common
misconception is that gold stocks and physical gold are two sides of the
same coin. While their fates are certainly correlated, as asset classes
they could not be more different.
Physical gold, whether it’s in the form of coin, bar or a trust (for example, Sprott Physical Gold Trust,
NYSE Arca: PHYS), should be viewed as a stable store of value. It’s
counter-cyclical and has proven over millennia to be an effective hedge
against market turbulence and volatility.
As such, we recommend that investors allocate between 5% to 10% of their assets to physical gold and precious metals.
Gold stocks, conversely, should be viewed in the context of an
investor’s overall equity portfolio; the size of the allocation will
depend on many factors, including risk tolerance. Strategists advocate
owning gold stocks continuously, in part because they have low
correlations to the broader market. However, most investors view gold
stocks as tactical investments. When valuations are severely depressed,
as they are now, gold stocks may have the potential to outperform.
At Sprott, we believe that it may be time to consider investing in gold stocks, in addition to physical gold.
Posted by AGORACOM
at 12:15 PM on Monday, November 18th, 2019
Has now completed the drilling portion of the 2019 Regal exploration
program at the Regal property, 1,846 meters of diamond drilling was
completed in 21 holes.
22 samples collected from the Black Jacket and Allco areas of the
Regal property located approximately 35 km northeast of Revelstoke, BC.
The majority contained bonanza grade silver, zinc, and lead with many samples reaching assay over-limits.
Further assaying of over-limits has been initiated, results will be reported once received.
Property History & Background
The property hosts numerous mineral occurrences including the following past-producing mines:
Snowflake and Regal Silver (Stannex/Woolsey) Mines
The Snowflake and Regal Silver mines were two former producing mines
that operated intermittently during the period 1936-1953. The last
significant work on the property took place from 1967-1970, when Stannex
Minerals completed 2,450 meters of underground development work and a
feasibility study, but did not restart mining operations. In 1982,
reported reserves were 590,703 tonnes grading 71.6 grams per tonne
silver, 2.66 per cent lead, 1.26 per cent zinc, 1.1 per cent copper,
0.13 per cent tin and 0.015 per cent tungsten (Minfile No. 082N 004 –
Prospectus, Gunsteel Resources Inc., April 29, 1986). It should be noted
that the above resource and grades, although believed to be reliable,
were prepared prior to the adoption of NI43-101 and are not compliant
with current standards set out therein for calculating mineral resources
or reserves.
ALLCO Silver Mine
The Allco Silver Mine is situated 6.35 Kilometers northwest of the
above described Snowflake/Regal Mine(s) and is also part of the Affinity
claim group.
The Allco Silver Mine operated from 1936-1937 and produced 213 tonnes
of concentrates containing 11 troy ounces of gold (1.55 g/t), 11,211
troy ounces of silver (1,637 g/t) and 173,159 lbs of lead (36.9%).
Airborne Geophysics to Guide Future Exploration
An extensive airborne geophysics survey conducted by Geotech Ltd of
Aurora, Ontario, for Northaven Resources Corp. in 2011, identified four
well defined high potential linear targets correlating with the same
structural orientation as the Allco, Snowflake and Regal Silver mines.
Northaven also reported that the mineralogy and structural orientation
of the Allco, Snowflake and Regal Silver appeared to be similar to that
of Huakan’s J&L gold project located to the north, and on a similar
geophysical trend line. The J&L is reportedly now one of western
Canada’s largest undeveloped gold mineral resources.
After completing the airborne survey, Northaven failed in financing
their company and conducting further exploration on the property and
subsequently forfeited the claims without any of the follow up work ever
being completed. Affinity Metals is in the fortunate position of
benefitting from this significant and promising geophysics data and
associated targets.
The aforementioned Northaven airborne geophysical survey conducted at
a cost of $319,458.95 in August of 2011 is described in The BC Ministry
of Energy, Mines and Petroleum Resources Assessment Report #33054. The
results of the survey are competently explained and illustrated by
professionals on You Tube at: https://www.youtube.com/watch?v=GX431eBY_t0
FULL DISCLOSURE: Affinity Metals is an advertising client of AGORA Internet Relations Corp
Posted by AGORACOM
at 9:19 AM on Tuesday, November 5th, 2019
Vancouver, British Columbia–(Newsfile Corp. – November 5, 2019) – Affinity Metals Corp. (TSXV:
AFF) (“Affinity”) (“the Corporation”) is pleased to report that it has
now completed the drilling portion of the 2019 Regal exploration program
at the Regal property located in the northern end of the prolific
Kootenay Arc approximately 35 km northeast of Revelstoke, British
Columbia, Canada.
A
total of 1,846 meters of diamond drilling was completed with 21 holes
being drilled. The drilling was divided over two target areas with 10
holes allocated to testing one of the phyllite/limestone contacts in the
ALLCO area and 11 preliminary confirmation holes designed to test the
historic 1971 resource (pre NI43-101 and therefore not compliant)
reported for the Regal/Snowflake mines.
The
core is now being logged along with sampling and splitting in
preparation for assaying. Core samples will be sent to MSA Laboratories
in Langley, BC for assaying and assay results will be reported once
received.
Robert
Edwards, CEO of Affinity stated: “We are extremely pleased that the
weather allowed us to get into the Regal property for as long as we did
and to complete the drill program as planned. Thanks to MoreCore Diamond
Drilling, our geological team and the efforts of our CFO/Exploration
Manager, Mr. Blaney, in getting the job done as efficiently as possible
given all the challenges mother nature can throw at you. At the end of
it all, we are very encouraged by what we saw in the core and look
forward to receiving assays back in due course.”
As
previously reported, the Corporation recently received assay results
for all 22 rock samples collected in September 2019 from the Black
Jacket and ALLCO areas of the property. Of the 22 grab samples collected
from surface outcrops, the majority contained bonanza grade silver,
zinc, and lead with many samples reaching assay over-limits. Further
assaying of over-limits has been initiated and those results will be
reported in the future. Results for all 22 samples are presented in the
table below.
Sample Number
Sample Type
Silver g/t
Copper %
Zinc %
Lead %
Gold g/t
ALC19CR01
grab
0
.035
0
0
0
ALC19CR02
grab
1300
.415
18.20
>20.0
0.70
ALC19CR03
grab
120
.232
.034
.984
0.02
ALC19CR04
grab
131
.089
.026
.102
2.66
ALC10CR05
grab
16.7
.295
.060
.013
0.09
ALC19CR06
grab
74.9
.144
>30.00
.059
0.28
ALC19CR07
grab
10.05
.310
.086
.029
0.04
ALC19CR08
grab
1870
.495
24.5
>20.0
1.85
ALC19CR09
grab
88.1
.077
>30.00
>1.88
0.08
ALC19CR10
grab
1545
.178
26.7
>20.0
0.68
ALC19CR11
grab
2360
.366
16.80
>20.0
0.11
ALC19CR12
grab
3700
.624
1.645
>20.0
3.14
ALC19CR13
grab
964
.716
17.30
>17.5
0.11
ALC19CR14
grab
3530
.350
1.945
>20.0
1.57
ALC19CR15
grab
3670
.026
1.895
>20.0
0.33
ALC19CR16
grab
1790
.107
5.28
>20.0
0.37
ALC19CR17
grab
751
.069
6.45
>18.05
0.45
ALC19CR18
grab
1065
.718
.178
.514
0.10
ALC19CR19
grab
2510
.299
5.58
>20.0
0.06
ALC19CR20
grab
4410
2.27
26.40
>20.0
5.68
ALC19CR21
grab
47.5
.177
.048
.092
1.78
ALC19CR22
grab
87.7
.095
.011
.047
4.79
Property History & Background
The
Regal Project hosts several past producing small-scale historic mines
including the Regal Silver. The property also hosts numerous promising
mineral occurrences. From the historic records it appears that most, and
perhaps all, of the known mineralized showings/zones have not been
previously drilled using modern diamond drilling methods.
Snowflake and Regal Silver (Stannex/Woolsey) Mines
The
Snowflake and Regal Silver mines were two former producing mines that
operated intermittently during the period 1936-1953. The last
significant work on the property took place from 1967-1970, when Stannex
Minerals completed 2,450 meters of underground development work and a
feasibility study, but did not restart mining operations. In 1982,
reported reserves were 590,703 tonnes grading 71.6 grams per tonne
silver, 2.66 per cent lead, 1.26 per cent zinc, 1.1 per cent copper,
0.13 per cent tin and 0.015 per cent tungsten (Minfile No. 082N 004 –
Prospectus, Gunsteel Resources Inc., April 29, 1986). It should be noted
that the above resource and grades, although believed to be reliable,
were prepared prior to the adoption of NI43-101 and are not compliant
with current standards set out therein for calculating mineral resources
or reserves.
ALLCO Silver Mine
The
ALLCO Silver Mine is situated 6.35 Kilometers northwest of the above
described Snowflake/Regal Mine(s). The ALLCO Silver Mine operated from
1936-1937 and produced 213 tonnes of concentrates containing 11 troy
ounces of gold (1.55 g/t), 11,211 troy ounces of silver (1,637 g/t) and
173,159 lbs of lead (36.9%).
Airborne Geophysics to Guide Future Exploration
An
extensive airborne geophysics survey conducted by Geotech Ltd of
Aurora, Ontario, for Northaven Resources Corp. in 2011, identified four
well defined high potential linear targets correlating with the same
structural orientation as the Allco, Snowflake and Regal Silver mines.
Northaven also reported that the mineralogy and structural orientation
of the Allco, Snowflake and Regal Silver appeared to be similar to that
of Huakan’s J&L gold project located to the north, and on a similar
geophysical trend line. The J&L is reportedly now one of western
Canada’s largest undeveloped gold deposits.
After
completing the airborne survey, Northaven failed in financing their
company and conducting further exploration on the property and
subsequently forfeited the claims without any of the follow up work ever
being completed. Affinity Metals is in the fortunate position of
benefitting from this significant and promising geophysics data and
associated targets.
The
aforementioned Northaven airborne geophysical survey conducted at a
cost of $319,458.95 in August of 2011 is described in The BC Ministry of
Energy, Mines and Petroleum Resources Assessment Report #33054. The
results of the survey are competently explained and illustrated by
professionals on You Tube at: https://www.youtube.com/watch?v=GX431eBY_t0
Condor
Consulting, Inc. who compiled the survey data and produced the original
geophysics report was recently retained by Affinity in order to provide
more detailed interpretations and potential drill target locations with
the aim of testing two of the four target areas in the future.
Affinity
Metals has been granted a 5 Year Multi-Year-Area-Based (MYAB)
exploration permit which includes approval for 51 drill sites.
About Affinity Metals
Affinity Metals is focused on the acquisition, exploration and development of strategic metal deposits within North America.
Posted by AGORACOM
at 10:38 AM on Friday, November 1st, 2019
Sponsor: Affinity Metals is a Canadian mineral exploration company building a strong portfolio of mineral projects in North America. The Corporation’s flagship property is the Drill ready Regal Property near Revelstoke, BC (TSX-V: AFF) Click Here for More Info
Investors can expect the rally in gold to continue as uncertainty
dominates the marketplace, according to the latest forecast from the
World Bank.
In a report published Tuesday, the global financial institution said
that it expects gold prices to rally 5.6% in 2020, which would see
prices trade around $1,600 an ounce.
“The risks to the precious metals price outlook are on the upside
and reflect heightened uncertainty and weak growth prospects of the
global economy,†the analysts said.
The comments come after gold prices rallied 12.6% in the third
quarter as prices pushed to a six-year high, seeing best gains in three
years. When the dust settles, the analysts expect prices to record a
9.5% gain for 2019.
“Prices have been supported by strong physical demand, interest rate
cuts by the U.S. Federal Reserve, and increased global policy
uncertainty,†the analysts said. “Increased demand for gold has been
led by central bank purchases, investor holdings in gold-backed
exchange traded funds, and jewelry sales, especially in India.â€
Gold is expected to outperform in the precious metals space as
industrial demand weighs on other metals like silver and platinum, the
report said.
Looking at silver, the World Bank said that they expect prices to
rally 4.9% next year, which would push prices close to $19 an ounce. The
rally comes as analyst expect the metal to rally 3.1% this year.
Precious metals will continue to outperform base metals as global
growth concerns continue to weigh on copper prices, the World Bank
added. The analysts expect copper prices to rally 2.3% next year after
dropping 8% this year. The entire base metals complex is projected to
fall 1.4% in 2020, after seeing a decline of 5.2% this year.
“Risks to this outlook are tilted to the downside, including the
possibility of a sharper-than-expected global downturn and less
effective policy stimulus in China,†the analysts said.
The analysts noted that gold’s stellar performance and copper’s lackluster moves have pushed the gold-copper ratio to its highest level in three years during the third quarter.
22 samples collected from the Black Jacket and Allco areas of the Regal property located approximately 35 km northeast of Revelstoke, BC.
The majority contained bonanza grade silver, zinc, and lead with many samples reaching assay over-limits.
Further assaying of over-limits has been initiated, results will be reported once received.
Drill Program to be initiated upon final sample results.
Property History & Background
The property hosts numerous mineral occurrences including the following past-producing mines:
Snowflake and Regal Silver (Stannex/Woolsey) Mines
The Snowflake and Regal Silver mines were two former producing mines that operated intermittently during the period 1936-1953. The last significant work on the property took place from 1967-1970, when Stannex Minerals completed 2,450 meters of underground development work and a feasibility study, but did not restart mining operations. In 1982, reported reserves were 590,703 tonnes grading 71.6 grams per tonne silver, 2.66 per cent lead, 1.26 per cent zinc, 1.1 per cent copper, 0.13 per cent tin and 0.015 per cent tungsten (Minfile No. 082N 004 – Prospectus, Gunsteel Resources Inc., April 29, 1986). It should be noted that the above resource and grades, although believed to be reliable, were prepared prior to the adoption of NI43-101 and are not compliant with current standards set out therein for calculating mineral resources or reserves.
ALLCO Silver Mine
The Allco Silver Mine is situated 6.35 Kilometers northwest of the above described Snowflake/Regal Mine(s) and is also part of the Affinity claim group.
The Allco Silver Mine operated from 1936-1937 and produced 213 tonnes of concentrates containing 11 troy ounces of gold (1.55 g/t), 11,211 troy ounces of silver (1,637 g/t) and 173,159 lbs of lead (36.9%).
Airborne Geophysics to Guide Future Exploration
An extensive airborne geophysics survey conducted by Geotech Ltd of Aurora, Ontario, for Northaven Resources Corp. in 2011, identified four well defined high potential linear targets correlating with the same structural orientation as the Allco, Snowflake and Regal Silver mines. Northaven also reported that the mineralogy and structural orientation of the Allco, Snowflake and Regal Silver appeared to be similar to that of Huakan’s J&L gold project located to the north, and on a similar geophysical trend line. The J&L is reportedly now one of western Canada’s largest undeveloped gold mineral resources.
After completing the airborne survey, Northaven failed in financing their company and conducting further exploration on the property and subsequently forfeited the claims without any of the follow up work ever being completed. Affinity Metals is in the fortunate position of benefitting from this significant and promising geophysics data and associated targets.
The aforementioned Northaven airborne geophysical survey conducted at a cost of $319,458.95 in August of 2011 is described in The BC Ministry of Energy, Mines and Petroleum Resources Assessment Report #33054. The results of the survey are competently explained and illustrated by professionals on You Tube at: https://www.youtube.com/watch?v=GX431eBY_t0
FULL DISCLOSURE: Affinity Metals is an advertising client of AGORA Internet Relations Corp
Posted by AGORACOM-JC
at 9:36 AM on Wednesday, October 23rd, 2019
When the Wall Street Journal calls your Gold Report “The Gold Standard Of Gold Research”, it is safe to say you are a global influencer and expert in all things gold.
This is Ronnie Stoeferle, whose “In Gold We Trust” report has also been downloaded 1.8 million times in English, German and Mandarin in case anyone had any doubt as to his expertise.
Today, Ronnie became the founding member of the Affinity Metals (AFF:TSXV) Advisory Board, which implies that we can expect others to be appointed as well. Why would Ronnie join a company with a market cap under $5,000,000? You’ll have to watch the interview to find out … but here are a couple of hints:
1. Affinity Metals flagship project, the Regal, has reported HISTORICAL reserves of 590,703 tonnes grading 71.6 grams per tonne silver, 2.66 per cent lead, 1.26 per cent zinc, 1.1 per cent copper, 0.13 per cent tin and 0.015 per cent tungsten. These were prepated prior to 43-101 standards and should not be relied upon until they are brought into compliance with 43-101 standards.
2. A Technical Report, which was prepared in 1971 using a silver price of $1.75 per troy ounce, makes a positive recommendation for production, including the establishment of a 500 ton per day concentrator with a 400 ton per day silver, lead and zinc circuit and a 100 ton per day tin, tungsten and copper circuit.
These are just 2 factors that led Ronnie to declare that Affnity Metals is “one of the largest investments in my private portfolio”.
Grab your favourite beverage, kick back and watch this great interview with both Ronnie and Affinity CEO, Rob Edwards.
22 samples collected from the Black Jacket and Allco areas of the Regal property located approximately 35 km northeast of Revelstoke, BC.
The majority contained bonanza grade silver, zinc, and lead with many samples reaching assay over-limits.Â
Further assaying of over-limits has been initiated, results will be reported once received.
Drill Program to be initiated upon final sample results.
Property History & Background
The property hosts numerous mineral occurrences including the following past-producing mines:
Snowflake and Regal Silver (Stannex/Woolsey) Mines
The Snowflake and Regal Silver mines were two former producing mines that operated intermittently during the period 1936-1953. The last significant work on the property took place from 1967-1970, when Stannex Minerals completed 2,450 meters of underground development work and a feasibility study, but did not restart mining operations. In 1982, reported reserves were 590,703 tonnes grading 71.6 grams per tonne silver, 2.66 per cent lead, 1.26 per cent zinc, 1.1 per cent copper, 0.13 per cent tin and 0.015 per cent tungsten (Minfile No. 082N 004 – Prospectus, Gunsteel Resources Inc., April 29, 1986). It should be noted that the above resource and grades, although believed to be reliable, were prepared prior to the adoption of NI43-101 and are not compliant with current standards set out therein for calculating mineral resources or reserves.
ALLCO Silver Mine
The Allco Silver Mine is situated 6.35 Kilometers northwest of the above described Snowflake/Regal Mine(s) and is also part of the Affinity claim group.
The Allco Silver Mine operated from 1936-1937 and produced 213 tonnes of concentrates containing 11 troy ounces of gold (1.55 g/t), 11,211 troy ounces of silver (1,637 g/t) and 173,159 lbs of lead (36.9%).
Airborne Geophysics to Guide Future Exploration
An extensive airborne geophysics survey conducted by Geotech Ltd of Aurora, Ontario, for Northaven Resources Corp. in 2011, identified four well defined high potential linear targets correlating with the same structural orientation as the Allco, Snowflake and Regal Silver mines. Northaven also reported that the mineralogy and structural orientation of the Allco, Snowflake and Regal Silver appeared to be similar to that of Huakan’s J&L gold project located to the north, and on a similar geophysical trend line. The J&L is reportedly now one of western Canada’s largest undeveloped gold mineral resources.
After completing the airborne survey, Northaven failed in financing their company and conducting further exploration on the property and subsequently forfeited the claims without any of the follow up work ever being completed. Affinity Metals is in the fortunate position of benefitting from this significant and promising geophysics data and associated targets.
The aforementioned Northaven airborne geophysical survey conducted at a cost of $319,458.95 in August of 2011 is described in The BC Ministry of Energy, Mines and Petroleum Resources Assessment Report #33054. The results of the survey are competently explained and illustrated by professionals on You Tube at: https://www.youtube.com/watch?v=GX431eBY_t0
FULL DISCLOSURE: Affinity Metals is an advertising client of AGORA Internet Relations Corp
Posted by AGORACOM
at 8:13 AM on Tuesday, October 15th, 2019
The 2019 exploration program commenced in September and to date includes prospecting, geological mapping, geophysical analysis and interpretation, geochemical sampling
Drill has now been moved to the Regal adit area and is drilling several preliminary confirmation holes to test the historic 1971 resource (pre NI43-101 and therefore not compliant) reported on the Regal/Snowflake mines.
Of the 22 grab samples collected from surface outcrops, the majority contained bonanza grade silver, zinc, and lead with many samples reaching assay over-limits.Â
Further assaying of over-limits has been initiated and those results will be reported once received
recently expanded the size of the project by staking an additional 780 hectares of adjoining prospective ground
Vancouver, British Columbia–(Newsfile Corp. – October 15, 2019) – Affinity Metals Corp. (TSXV:AFF)”)
(“Affinity”) (“the Corporation”) is pleased to report that it has
received assay results for all 22 rock samples collected in September
2019 from the Black Jacket and Allco areas of the Regal property located
in the northern end of the prolific Kootenay Arc approximately 35 km
northeast of Revelstoke, British Columbia, Canada. Of the 22 grab
samples collected from surface outcrops, the majority contained bonanza
grade silver, zinc, and lead with many samples reaching assay
over-limits. Further assaying of over-limits has been initiated and
those results will be reported once received. Results for all 22 samples
are presented in the table below.
The
Corporation also reports that based on prospecting, mapping and
sampling results to date, it recently expanded the size of the project
by staking an additional 780 hectares of adjoining prospective ground.
The extensive Regal property package now spans 7,400 hectares and is on
trend with Huakan’s J & L deposit located to the north which is
reporting 5.2 million measured and indicated tonnes grading 4.59 grams
gold per tonne for 761,000 oz. gold and 55.6 grams silver per tonne for
9.2 million oz. silver, plus 2.04% lead and 4.57% zinc. It also has 4.8
million inferred tonnes grading 4.53 grams gold for 672,000 oz. gold and
60.6 grams silver for 9.4 million oz. silver, 1.84% lead and 2.55%
zinc.
The
Regal Project hosts several past producing small-scale historic mines
including the Regal Silver. From the historic records it appears that
most, and perhaps all, of the known mineralized showings/zones have not
been previously drilled using modern diamond drilling methods.
The
2019 exploration program commenced in September and to date includes
prospecting, geological mapping, geophysical analysis and
interpretation, geochemical sampling, and diamond drilling. Ten diamond
drill holes totaling 1,340 meters have been completed in the Allco area
of the property and the drill has now been moved to the Regal adit area
and is drilling several preliminary confirmation holes to test the
historic 1971 resource (pre NI43-101 and therefore not compliant)
reported on the Regal/Snowflake mines. Drill core will be sampled and
assayed in due course with results to be released once received.
Robert
Edwards, CEO of Affinity stated: “This is a great start to the program
as these sample results are extremely encouraging and confirm the huge
potential we see in this property! Through the prospecting, mapping and
sampling this year we were able to get much more familiar with the
property and it is clear from these sample grades that there is
extensive mineralization throughout these claims. We are excited to be
testing some initial areas with the drill to continue to build a more
comprehensive picture of the geology.”
Results from the 22 rock grab samples are as follows:
Sample Number
Sample Type
Silver g/t
Copper %
Zinc %
Lead %
Gold g/t
ALC19CR01
grab
0
.035
0
0
0
ALC19CR02
grab
1300
.415
18.20
>20.0
0.70
ALC19CR03
grab
120
.232
.03
.984
0.02
ALC19CR04
grab
131
.089
.02
.102
2.66
ALC10CR05
grab
16.7
.295
.06
.013
0.09
ALC19CR06
grab
74.9
.144
>30.00
.059
0.28
ALC19CR07
grab
10.05
.310
.08
.029
0.04
ALC19CR08
grab
1870
.495
24.5
>20.0
1.85
ALC19CR09
grab
88.1
.077
>30.00
>1.88
0.08
ALC19CR10
grab
1545
.178
26.70
>20.0
0.68
ALC19CR11
grab
2360
.366
16.80
>20.0
0.11
ALC19CR12
grab
3700
.624
1.64
>20.0
3.14
ALC19CR13
grab
964
.716
17.30
>17.5
0.11
ALC19CR14
grab
3530
.350
1.94
>20.0
1.57
ALC19CR15
grab
3670
.026
1.89
>20.0
0.33
ALC19CR16
grab
1790
.107
5.28
>20.0
0.37
ALC19CR17
grab
751
.069
6.45
>18.05
0.45
ALC19CR18
grab
1065
.718
.178
.514
0.10
ALC19CR19
grab
2510
.299
5.58
>20.0
0.06
ALC19CR20
grab
4410
2.27
26.4
>20.0
5.68
ALC19CR21
grab
47.5
.177
.048
.092
1.78
ALC19CR22
grab
87.7
.095
.011
.047
4.79
Property History & Background
The property hosts numerous mineral occurrences including the following past-producing mines:
Snowflake and Regal Silver (Stannex/Woolsey) Mines
The
Snowflake and Regal Silver mines were two former producing mines that
operated intermittently during the period 1936-1953. The last
significant work on the property took place from 1967-1970, when Stannex
Minerals completed 2,450 meters of underground development work and a
feasibility study, but did not restart mining operations. In 1982,
reported reserves were 590,703 tonnes grading 71.6 grams per tonne
silver, 2.66 per cent lead, 1.26 per cent zinc, 1.1 per cent copper,
0.13 per cent tin and 0.015 per cent tungsten (Minfile No. 082N 004 –
Prospectus, Gunsteel Resources Inc., April 29, 1986). It should be noted
that the above resource and grades, although believed to be reliable,
were prepared prior to the adoption of NI43-101 and are not compliant
with current standards set out therein for calculating mineral resources
or reserves.
ALLCO Silver Mine
The
Allco Silver Mine is situated 6.35 Kilometers northwest of the above
described Snowflake/Regal Mine(s) and is also part of the Affinity claim
group.
The
Allco Silver Mine operated from 1936-1937 and produced 213 tonnes of
concentrates containing 11 troy ounces of gold (1.55 g/t), 11,211 troy
ounces of silver (1,637 g/t) and 173,159 lbs of lead (36.9%).
Airborne Geophysics to Guide Future Exploration
An
extensive airborne geophysics survey conducted by Geotech Ltd of
Aurora, Ontario, for Northaven Resources Corp. in 2011, identified four
well defined high potential linear targets correlating with the same
structural orientation as the Allco, Snowflake and Regal Silver mines.
Northaven also reported that the mineralogy and structural orientation
of the Allco, Snowflake and Regal Silver appeared to be similar to that
of Huakan’s J&L gold project located to the north, and on a similar
geophysical trend line. The J&L is reportedly now one of western
Canada’s largest undeveloped gold mineral resources.
After
completing the airborne survey, Northaven failed in financing their
company and conducting further exploration on the property and
subsequently forfeited the claims without any of the follow up work ever
being completed. Affinity Metals is in the fortunate position of
benefitting from this significant and promising geophysics data and
associated targets.
The
aforementioned Northaven airborne geophysical survey conducted at a
cost of $319,458.95 in August of 2011 is described in The BC Ministry of
Energy, Mines and Petroleum Resources Assessment Report #33054. The
results of the survey are competently explained and illustrated by
professionals on You Tube at: https://www.youtube.com/watch?v=GX431eBY_t0
Condor
Consulting, Inc. who compiled the survey data and produced the original
geophysics report was recently retained by Affinity in order to provide
more detailed interpretations and potential drill target locations with
the aim of testing two of the four target areas in the future.
Affinity
Metals has been granted a 5 Year Multi-Year-Area-Based (MYAB)
exploration permit which includes approval for 51 drill sites.
On behalf of the Board of Directors
Robert Edwards, CEO and Director of Affinity Metals Corp.
Posted by AGORACOM
at 10:19 AM on Thursday, October 10th, 2019
Sponsor: Affinity is a Canadian mineral exploration company building a strong portfolio of mineral projects in North America. The Corporation’s flagship property is the Drill ready Regal Property near Revelstoke, BC (TSX-V: AFF) Click Here for More Info
Fears of a Trans-Atlantic trade war have increased gold’s safety bid.
U.S. economic data also continues to attract safety seekers to gold.
All signs point to a continuation of the metal’s bull market in Q4.
After a brief respite last month, fear and uncertainty have returned
with a vengeance in October. Recent world events have given investors
plenty of reasons to fear an expansion of the global trade war.
Meanwhile on the domestic front, investors are becoming increasingly
alarmed by soft economic data which some interpret as a harbinger of
recession. Gold’s “fear factor†has thus been resuscitated, bringing
with it the promise of stronger prices in the months ahead. Here we’ll
discuss the growing number of variables which suggest gold is
consolidating its recent gains ahead of the next stage of its long-term
bull market.
One sign of a market controlled by the bulls is the steadfast refusal
of prices, following a correction, to stay down for long. Bull markets
have a tendency to consolidate gains achieved during extended rallies in
the form of a lateral trading range, or sideways drift. That appears to
be the form of gold’s most recent correction in September following a
productive three-month rally.
Although gold prices briefly violated a key short-term trend line
earlier this week, the bulls fought back fiercely and pushed prices back
above the widely, followed 50-day moving average within two days of the
violation. It may take several more days for gold to regain enough
strength and build the support necessary to stay above the 50-day MA.
But the signs are plainly evident that the bulls are clawing their way
back to controlling gold’s immediate-term (1-4 week) trend.
And while gold prices haven’t kept pace with its nearest competitor
in the rush to safety – namely U.S. Treasury bonds – it’s instructive
that gold has so far responded favorably to most of the latest negative
economic and political news. For instance, gold jumped nearly 1.5% on
Oct. 2 after the release of the latest ADP National Employment Report.
The report showed that private payroll growth by U.S. employers slowed
in September and wasn’t as strong in August as previously estimated,
according to a Reuters article. Reuters reporter Lucia Mutikani, capturing the sentiment which has overtaken many gold investors, observed:
The longest economic expansion on record, now in its 11th year, is
losing ground with the blame largely put on a 15-month trade war between
the United States and China, which has eroded business confidence.â€
It’s further believed by many investors that the growing signs of a
slowing U.S. economy could influence the Federal Reserve to further
lower its benchmark interest rate this fall. Lower rates are widely
regarded as bullish for gold since it reduces the competition vs.
interest-bearing assets for the non-yielding metal.
Elsewhere on the U.S. economic front, the recent disappointments in
the Purchasing Managers’ Index (PMI) is another reason for the revival
of gold’s fear factor. The PMI has now fallen for seven consecutive
months and is below 50.0, which indicates contraction in the manufacturing sector.
The latest disappointing PMI readings also have weighed heavily on
the U.S. dollar index (DXY) of late. The dollar fell to one-week lows
against the euro and yen on Oct. 3. However, the dollar index is still
close to a multi-year high, which means that gold doesn’t yet enjoy
support from its currency component (see chart below). Nonetheless, gold
has proven to be stalwart enough this year under the influence of the
fear factor alone and in spite of a strong dollar. Thus, a weaker dollar
isn’t necessarily a prerequisite for a Q4 gold rally.
Aside from a weakening manufacturing sector, the U.S. service sector
also is showing signs of slowing. The latest ISM survey released on Oct.
3 showed service-sector activity for September fell to its lowest level
in three years. Some analysts blamed the U.S.-China trade dispute for
the slowdown. The latest ISM Non-Manufacturing Index fell to 52.6 last
month as new orders fell more than expected. This disappointed
economists’ expectations of 55.3. This increased gold’s allure as a safe
haven in the eyes of many investors and should provide some underlying
support for the metal going forward.
In yet another development which bolsters gold’s safety bid, the U.S.
won approval on Oct. 2 from the World Trade Organization to levy
tariffs on $7.5 billion worth of European goods. The WTO’s decision
relates to illegal subsided given to Airbus (EASDF) and Boeing (NYSE:BA). Consequently, many investors fear the outbreak of yet another front in the ongoing global trade war.
In view of the above-mentioned factors, gold’s intermediate-term (3-6
month) upward trend looks secure. The only thing standing in the way of
a renewed immediate-term gold buy signal, however, is confirming
strength in gold’s sister metal. Silver remains below its 15-day moving
average, as can be seen in the iShares Silver Trust (ETF) below. As I
mentioned in a previous report, we need to see silver confirm gold’s
returning strength before we get a confirmed re-entry signal. A lack of
confirmation from silver normally means that gold’s rally will fail due
to the lack of institutional demand. Historically, when market-moving
institutional investors are bullish enough to buy gold, they usually buy
silver as an adjunct.
Another sign that should accompany gold’s next confirmed breakout is a
return to strength in the actively traded U.S. mining shares. Shown
below is the PHLX Gold/Silver Index (XAU), which remains below its
15-day moving average as of Oct. 3. To get a renewed buy signal for gold
stocks in the aggregate, we should see a two-day higher close above the
15-day in the XAU. Moreover, a gold stock rally tends to accompany a
rally in bullion prices due to the leverage factor of the miners, which
attracts precious metals investors.
In summary, a growing number of worries on the U.S. economic and
global trade fronts has provided gold with a renewed safety bid. The
evidence reviewed here suggests that gold prices are consolidating ahead
of another breakout attempt this fall. Confirming strength in the
silver price would increase gold’s bullish prospects in Q4, as would a
breakout in the leading gold mining stocks. With trade war threats on
the rise, however, gold is poised to benefit from safe-haven demand and
keep its bull market intact. Investors are therefore justified in
maintaining longer-term investment positions in the yellow metal.
On a strategic note, I’m waiting for both the gold price and the gold mining stocks to confirm a breakout before initiating a new trading position in the VanEck Vectors Gold Miners ETF (GDX), my preferred trading vehicle for the mining stocks. I’m currently in a cash position in my short-term trading portfolio
