The Mining Play

Other Mining Stocks

Admittedly I have not been following Bob Moriarty that long (Rick introduced me a few months back), but I’ve never seen the guy smile or be so jocular or self-deprecating as he was with this cute blonde, Michelle Holiday:

If you can cut through some of the bravado, there’s some good information there.

Kairos Minerals Annual Report is now posted.

Anyone still into the “other” Pilbara plays? I’ve mostly been preoccupied with Novo, Karora and Artemis lately. Artemis is really beginning to show promise after being largely dormant for so long. I moved some ARTTF shares I bought much earlier from my IRA to a ROTH account as I expect it will do quite well these next few years in the PM and commodity bull market that is just beginning. I’ll post a chart on the Charts for Metals and Stocks thread to see what it looks like and compare to the two I post here. I mentioned what happened with my De Grey position. I had sold nearly 90% before I decided to keep my remaining free shares. Charts didn’t do the DD legwork needed to see what I was actually taking a profit on. My remaining position I bought for a nickel is up 15X in a year! I’ve finally taken a position in Kairos, even though it is up 800-900% in the last 6 months or about 2000% in a year. Will it go up to a dollar in a year or two? I don’t know. Call it FOMO, but traditional charts didn’t help much with De Grey. Will things repeat with Kairos? Chart says it will likely pull back, at which point I will add incrementally.

The weekly 1 year chart on DEG looks like this:

The Chairman’s report in the 1st few pages of the 2020 annual report made me decide to finally take a position. After not looking at Kairos since April of this year, the report is worth reading if you have not kept up with Kairos.

NOVO RESOURCES
Recently, QH did a short 11 1/2 minute overview of the forthcoming Novo projects for anyone who might not be following this company closely. I moved a few shares into my ROTH account as I expect NVO will be multiples of today’s price in a few short years.

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Karora Generates Strong Third Quarter Free Cash Flow With Gold Production of 24,717 Ounces Boosting Quarter End Cash Balance by 34% to $67 Million

TORONTO, October 14, 2020 – Karora Resources Inc. (TSX: KRR) (“Karora” or the “Corporation") is pleased to announce another strong quarter, with consolidated gold production of 24,717 gold ounces during Q3 2020 from its Beta Hunt and Higginsville mines in Western Australia. Gold sales for the quarter were 22,912 ounces. The difference in ounces sold vs. produced was due to timing of gold deliveries to the Perth Mint.

Karora’s consolidated cash balance increased to $67.3 million as at September 30, 2020, a 34% increase from $50.2 million on June 30, 2020.

Paul Andre Huet, Chairman & CEO, commented: "I am extremely pleased with our solid progress during the third quarter both operationally and on the corporate level. Our operations continued the now well-established trend of consistent and reliable gold production against the backdrop of the challenges we have all faced associated with the prudent precautions in place during the COVID-19 pandemic. This is now our fifth straight quarter of strong gold production results since acquiring Higginsville in June of 2019. These results are a testament to the dedication and talent of our operations team.

Production for the first three quarters of 2020 was 73,612 ounces, which is in line with our 2020 gold production guidance of 90,000-95,000 ounces and AISC1 of US$1,050-$1,200 per ounce sold.

Most importantly we continue to add significant cash to our balance sheet, with $17 million added to our cash position during the quarter, bringing our total to $67.3 million in cash as of September 30, 2020.

On the corporate side, we completed a number of important milestones during the quarter that position us well to continue our positive momentum going forward. We completed a 4.5 to 1 share consolidation, closed the Maverix Metals transaction to reduce the Beta Hunt gold royalty by 37%, closed the acquisition of the Spargos Reward High-Grade Gold Project, announced new gold and nickel discoveries at the Beta Hunt Mine and, on the back of ongoing drilling success at Higginsville and Beta Hunt, increased our 2020 exploration budget across our Western Australia operations by 50% to A$15 million.

We remain confident that we will reach our target of reducing AISC cost to US$1,000 per ounce by the end of 2020, despite the cost and disruption associated with the temporary measures we’ve put in place to mitigate the risks of the COVID-19 pandemic and the highly competitive market for mining talent and services in Western Australia.

Overall, I could not be happier with both the corporate transformation and operational turnaround we have executed this year. Heading into the final quarter with an aggressive drilling program backed by strong free cash flow generating assets has us excited to deliver on our remaining internal targets.”

  1. Non-IFRS: the definition and reconciliation of these measures are included in the Non-IFRS Measures section of Karora’s MD&A dated August 10, 2020.

About Karora Resources

Karora is focused on growing gold production and reducing costs at its integrated Beta Hunt Gold Mine and Higginsville Gold Operations (“HGO”) in Western Australia. The Higginsville treatment facility is a low-cost 1.4 Mtpa processing plant which is fed at capacity from Karora’s underground Beta Hunt mine and open pit Higginsville mine. At Beta Hunt, a robust gold mineral resource and reserve is hosted in multiple gold shears, with gold intersections along a 4 km strike length remaining open in multiple directions. HGO has a substantial historical gold resource and highly prospective land package totaling approximately 1,800 square kilometers. Karora has a strong Board and management team focused on delivering shareholder value. Karora’s common shares trade on the TSX under the symbol KRR. Karora shares also trade on the OTCQX market under the symbol KRRGF.

Cautionary Statement Concerning Forward-Looking Statements

This news release contains “forward-looking information” including without limitation statements relating to the potential of the Beta Hunt Mine, Higginsville Gold Operation and Spargos Reward Gold Project.

Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance, or achievements of Karora to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Factors that could affect the outcome include, among others: future prices and the supply of metals; the results of drilling; inability to raise the money necessary to incur the expenditures required to retain and advance the properties; environmental liabilities (known and unknown); general business, economic, competitive, political and social uncertainties; results of exploration programs; accidents, labour disputes and other risks of the mining industry; political instability, terrorism, insurrection or war; or delays in obtaining governmental approvals, projected cash operating costs, failure to obtain regulatory or shareholder approvals. For a more detailed discussion of such risks and other factors that could cause actual results to differ materially from those expressed or implied by such forward- looking statements, refer to Karora 's filings with Canadian securities regulators, including the most recent Annual Information Form, available on SEDAR at www.sedar.com.

Although Karora has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Forward-looking statements contained herein are made as of the date of this news release and Karora disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws.

Cautionary Statement Regarding the Higginsville Mining Operations

A production decision at the Higginsville gold operations was made by previous operators of the mine, prior to the completion of the acquisition of the Higginsville gold operations by Karora and Karora made a decision to continue production subsequent to the acquisition. This decision by Karora to continue production and, to the knowledge of Karora, the prior production decision were not based on a feasibility study of mineral reserves, demonstrating economic and technical viability, and, as a result, there may be an increased uncertainty of achieving any particular level of recovery of minerals or the cost of such recovery, which include increased risks associated with developing a commercially mineable deposit. Historically, such projects have a much higher risk

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of economic and technical failure. There is no guarantee that anticipated production costs will be achieved. Failure to achieve the anticipated production costs would have a material adverse impact on the Corporation’s cash flow and future profitability. Readers are cautioned that there is increased uncertainty and higher risk of economic and technical failure associated with such production decisions.

For more information, please contact:

Rob Buchanan
Director, Investor Relations T: (416) 363-0649 www.karoraresources.com

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I posted this on the other site :

A couple of points… regarding ARV. I don’t give Carlow Castle much credence, may or may not hit some deep assays. I don’t think it will do anything for the price for quite a while.

Like you I started investing in ARV a while back when it was at $0.126. Total buying since in 3 accounts : ARTTF U$0.143 C$0.184 = -$2,158
ARTTF U$0.0637 C$0.084 = +$4,371
ARTTF U$0.058 C$0.078 = + $4,098

Thankfully the 2 later investments are now up after a long wait. I really wanted to add some share when they first acquired pptys near the Havieron properties on July 16, 2019 when the stock was U$0.02, but alas lack of funds and/or commitment.

“Artemis Resources has acquired Rincon Resources and its South Telfer project, which lies 12 kilometres from Newcrest Mining’s Telfer mine in the Pilbara, Western Australia.
The move comes as Artemis looks to expand its holdings within the highly prospective Paterson Province, taking its total land ownership in the region to 1140 square kilometres.
Artemis is now one of the largest landholders in the Paterson Province, a region which has seen Rio Tinto’s recent gold and copper Winu development as well as Greatland Gold and Newcrest’s Havieron discovery.”

Havieron is an amazing drill site. How many pptys have these kind of assays ?
121m at 2.93g/t Au** and 0.23% Cu
HAD039: 86.6m @ 2.8g/t Au, 0.37% Cu from 693m
HAD039W2: 148m @ 2.7g/t Au, 0.45% Cu from 668m
HAD052: 234m @ 1.7g/t Au, 0.29% Cu from 563m
HAD044: 83.3m @ 5.0g/t Au, 1.1% Cu from 489.5m
HAD049: 82m @ 6.1g/t Au, 0.41% Cu from 461m
etc…

If ARV hits 1 very good intercept out of the 5 they are drilling, this stock will start to move like DEG did initially.

More than 1 very good intercept and it could start following DEG’s rise.

This is one stock that I think will be a bagger if that happens. From $0.10 easily to $0.25 to $0.40.

https://artemisresources.com.au/our-projects/major-projects/278-armada

Happy investing,
Rod

PS : you should start investing in the options we talked about.