Investorideas podcasts on iTunes, Google Play Music and potcasts - cannabis news and stocks to watch plus insight from thought leaders and experts crypto corner    Play by Play – the latest sports headlines and sports stock news    420 Cannabis Investor Ideas Call us 800 665 0411


Join our smart investors - Get the best stock directories in  blockchain, cannabis, crypto, AI, IoT, cleantech. Daily podcasts in cannabis and crpto. Just $99  a year

Precious Metals Explorer to Acquire 'District-Scale Gold Properties'

Source: Jack Chan for Streetwise Reports


December 15, 2017 ( Newswire) Craig Stanley, an analyst with Eight Capital, took a look at the terms and potential of this mining company's prospective transactions in Ontario.

A Dec. 12 Eight Capital research note indicated that GFG Resources Inc. (GFG:TSX.V; GFGSF:OTCQB) entered into agreements to acquire three mining projects, for a total of 560 kilometers squared (560 km2) of mineral rights west of Timmins, Ontario, which analyst Craig Stanley described as "one of the most gold-endowed regions on the planet." The assets are Rapier Gold's (RPR:TSX.V) Pen, Probe Metals Inc.'s (PRB:TSX.V) West Porcupine and Osisko Mining's (OSK:TSX) Swayze.

Stanley concluded that "once the acquisitions close, GFG Resources will hold nearly 700 km2 of highly prospective, district-scale gold properties in tier one mining jurisdictions (Wyoming and Ontario)." He added that despite the projects being early stage, they are "positive for the company as they offer prospective, easily accessible ground that can be explored year-round."

As for the acquisition of Rapier Gold and its 19,000-hectare Pen project, the price is 15 million (15M) shares, or CA$0.08 per Rapier share based on GFG's price at market close on Dec. 7, 2017, Stanley noted. Thirty-four holes totaling 8,330 meters (8,330m) have been drilled at Pen, none deeper than 310m.

Regarding the West Porcupine deal, the price is 6.5M shares, or an implied ~$3.5M, reported Stanley. Twelve holes have been drilled on the property, which consists of two blocks that span about 245 km2 and flank Pen on the east and west.

In terms of Swayze, the transaction cost is 1.1M shares, or an implied ~$600,000, Stanley wrote. No drilling has been done at Swayze, but induced polarization and magnetic surveys have. The project is 40 km east of Goldcorp Inc.'s (G:TSX; GG:NYSE) Borden project.

The research note also relayed that GFG Resources announced a nonbrokered private placement to raise up to $7M. It consists of "$2M in flow-through common shares at $0.55/share and $5M at $0.50/unit (one common share and one-half of a warrant with each whole warrant exercisable at $0.75 for 24 months)," Stanley explained.

With respect to upcoming catalysts, results from 23 holes drilled at the Rattlesnake project are expected and, subsequently in H1/18, an initial resource estimate. GFG Resources hopes to commence drilling on the newly acquired properties as early as Q2/18. "Management has budgeted $2.5M for Rattlesnake Hills and $2M for the Ontario projects in 2018," the analyst added.

Eight Capital has a target price for GFG Resources of CA$1.60. The stock is currently trading at around CA$0.50.

Read what other experts are saying about:


1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the 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: GFG Resources Inc. Streetwise Reports does not accept stock in exchange for its services. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.

3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers.

4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.

5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article. As of the date of this article/interview, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of GFG Resources Inc., a company mentioned in this article.

Gold Mining Stocks - Gold Mining Stocks Directory, Gold Stocks News, Research and Resources - investing ideas in gold and mining stocks

Like Gold Stocks? View our Gold / Mining Stocks Directory

Get News on Mining Stocks

More Info: Newswire

This news is published on the Newswire - a global digital news source for investors and business leaders

Disclaimer/Disclosure: is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investment involves risk and possible loss of investment. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Contact each company directly regarding content and press release questions. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. More disclaimer info:

Additional info regarding BC Residents and global Investors: Effective September 15 2008 - all BC investors should review all OTC and Pink sheet listed companies for adherence in new disclosure filings and filing appropriate documents with Sedar. Read for more info: Global investors must adhere to regulations of each country.

Please read privacy policy:

Questrade Democratic Pricing - 1 cent per share, $4.95 min / $9.95 max

Join Investor Ideas Members to access the Renewable Energy stocks directory, water stocks, biotech stocks, defense stocks directories and the Insiders Corner