The 2022 Canadian Budget was announced yesterday. It seems to get a passing grade from trade groups such as the Steel Producers Association and Mining Association of Canada.
NorthIsle announced that it plans to delineate a resource at the Au-rich mineralized porphyry zone, Zone 1, at the NW Expo area of its 100%-owned North Island project. Earlier this year NorthIsle intersected 0.92 g/t Au and 0.19% Cu (1.20 g/t AuEq) over 84.8m including 1.30 g/t Au and 0.10% Cu (1.46 g/t AuEq) over 24.8m. This intercept compares favorably to the existing resource grade at Hushamu and Red Dog (~0.35% CuEq or ~0.51 g/t AuEq). In our view, a higher-grade component to the resource could positively impact the already compelling economics of the North Island project. We now include NW Expo in our estimates and slightly increase our target price to C$1.25/sh (was C$1.20/sh).
Last Friday, Red Cloud hosted the third and final day of its Very Pre-PDAC Mining Showcase, which featured 39 presenting companies including a keynote speech by Joe Mazumdar, Editor/Analyst and Publisher of Exploration Insights and had over 1,750 participants registered in advance of the event. With this note, we want to provide a quick recap of the highlights from the conference for those who were unable to attend the live event. Replays are available on the Red Cloud website.
NorthIsle announced the first assay results from its 2021 drill program at the NW Expo area on its 100%-owned North Island project on Vancouver Island. Drilling intersected 84.8m grading 1.20 g/t AuEq in hole NW21-03, confirming a zone of Au-rich porphyry mineralization ~3km northwest of the Red Dog deposit. This also validates the thesis we laid out in our Site Visit Report that exploration could redefine the project, as there are at least five zones that could host a buried porphyry. We believe this high-grade, Au-rich porphyry zone at NW Expo could potentially result in resource expansion. In our view, a higher-grade component to the resource could positively impact the already compelling economics of the North Island project.
December 14, 2021 NorthIsle Copper and Gold Inc. (TSXV:NCX, BUY, C$1.20 target, Taylor Combaluzier) announced that it intends to raise ~C$1.9M through a non-brokered private
November 24, 2021 NorthIsle Copper and Gold Inc. (TSXV:NCX, BUY, C$1.20 target, Taylor Combaluzier) provided an exploration update for its 100%-owned North Island Cu-Au project on
Yesterday, Red Cloud hosted the second day of its three-day 2021 Oktoberfest Fall Mining Showcase, which featured 28 presenting companies including our keynote speaker Matthew Watson, Founder and President of Precious Metals Commodity Management, and had over 1,000 participants registered in advance of the event. With this note, we want to provide a quick recap of the highlights from the conference for those who were unable to attend the live event (see our Day One recap here). If you would like to attend Day Three of Red Cloud’s Oktoberfest Fall Mining Showcase, register here. Replays are available on the Red Cloud website.
Q3 operating and financial results are to be announced over the next few weeks. While gold is out of favour, prices have been trading within a narrow window that have allowed companies to continue to turn profits, despite an uncertain outlook. Late summer was hard on most commodities as precious and industrial metals alike fell on a slowdown in global economic growth due to surging fuel prices, Chinese power restrictions, labour shortages, disrupted global supply chains and a stronger USD. Metal prices came under further pressure as major property developer Evergrande missed further bond payments, impacting iron ore and copper prices. With this update, we provide new commodity price and FX forecasts, updated coverage estimates, and a fresh set of top picks.
We recently visited NorthIsle’s 100%-owned North Island Cu-Au-Mo project, located on the northern tip of Vancouver Island. We were impressed with both the on-site and regional infrastructure as well as the vast exploration potential that the project features. It is clear to us that the company is starting to hit its stride as it has made positive additions to its management team, continues to refine and improve its geological understanding, and has budgeted $1M for critical path items to advance North Island to a PFS. Our view continues to be that North Island is a highly developable project in a tier-one jurisdiction, particularly given NorthIsle’s focus on ensuring ESG is at the core of its strategy. Following our visit, we are much more bullish on the opportunity for the company to make new discoveries and believe this significant exploration potential warrants fresh consideration by potential investors – NorthIsle has the potential to re-rate from both development and exploration catalysts.
NorthIsle announced drilling results from the Pemberton Hills target, part of its 100%-owned, North Island Cu-Au-Mo project located on the northern tip of Vancouver Island, BC. Overall, we view the 2021 program at Pemberton Hills as a technical success and believe that future drilling could potentially intersect a deeply buried porphyry given the promising indications seen closer to surface. In our view, Pemberton Hills offers pure exploration upside to North Island’s already sizeable resource estimate of ~8.68 lb CuEq (from the Hushumu and Red Dog deposits) and with drill permits in hand for Red Dog, there exists significant potential to expand the current resource base further. As outlined in our initiation report, we believe NorthIsle is an under-the-radar explorer, focused on maintaining ESG standards and advancing one of the best, undeveloped Cu-Au porphyry projects in Canada.