Seeking Alpha

Kirill Klip's  Instablog

Kirill Klip
Send Message
Non Executive Chairman at TNR Gold Corp. and President at International Lithium Corp. MBA. Exploring for Gold, Copper, REE and Lithium in the Americas. International Lithium Corp. trades under symbol ILC:TSXV. TNR holds 25.5% of ILC.v. TNR Gold Corp. is a mineral exploration company focused on... More
My company:
International Lithium Corp.
My blog:
Kirill Klip.
  • TNR Gold Shotgun: NOVAGOLD Reports Major Progress In Advancing Donlin Gold Up The Value Chain. 0 comments
    Jul 10, 2014 7:13 AM | about stocks: ABX, TRRXF, MUX, GDX, GG, GLD, SLV, NEM, RGLD, AUY, SLW, FCX, RIO, BHP, TCK, VALE, SSRI, PAAS, NG, KGC, EGO, GDXJ, FXI, CU, BVN, PPP, GORO, ASM, HL, AEM, CDE, IAG, HDB, PKX, MT, X, NUE, SCCO, AZC, LIWA, KGHPF, AAUKF, GLCNF

    Please visit my blog for the legal disclaimer, videos and presentations:

    http://kirillklip.blogspot.co.uk/2014/07/tnr-gold-shotgun-novagold-reports-major.html#

    We have the major news for Alaska Gold mining industry from our neighbours - Donlin Gold is moving forward! NOVAGOLD and TNR Gold were developing Shotgun Gold project together and in 2010 our company has consolidated the project and now owns 100% of it. NOVAGOLD has received TNR Gold's shares and warrants. Greg Johnson - one of the founders of NOVAGOLD has joined TNR Gold board after our very impressive results from the drilling program in the Fall 2012. Please watch the video to find out his personal statement:

    "The mineralization style observed at Shotgun Ridge bears a strong resemblance to the 40 million ounce deposit at the Donlin Gold project operated by Barrick and NovaGold," stated recently appointed director Greg Johnson, "The similar age and host intrusive rocks suggest that, with continued exploration, there is significant potential to locate larger volumes of mineralization in and around Shotgun Ridge."

    This development by NOVAGOLD will put Alaska back on the radar screens of Gold investors as the safe mining jurisdiction and stronger Gold prices will drive the next stage of projects development. Please read my legal disclaimer.

     

    Gold Smells Bacon ... Sorry Inflation - Ready to Break Through $1,330.

    NOVAGOLD:

     

    NOVAGOLD Reports Major Progress in Advancing Donlin Gold up the Value Chain

     

    • REINFORCES STRONG PARTNERSHIP WITH DONLIN GOLD'S NATIVE CORPORATION STAKEHOLDERS
    • ADVANCES PERMITTING WITHIN BUDGET AND ON SCHEDULE, REACHING KEY MILESTONE IN PREPARATION OF DONLIN GOLD'S PRELIMINARY DRAFT ENVIRONMENTAL IMPACT STATEMENT (NYSEARCA:EIS)

    VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 9, 2014) - NOVAGOLD RESOURCES INC. (TSX:NG)(NYSE MKT:NG) today released its second quarter financial results and updates for its flagship 50%-owned Donlin Gold project in Alaska and its 50%-owned Galore Creek copper-gold-silver project in British Columbia.

    Details of the financial results for the three and six months ended May 31, 2014 are presented in the consolidated financial statements and quarterly report filed on Form 10-Q with the SEC that will be available on the Company's website at www.novagold.com, on SEDAR at www.sedar.com, and on EDGAR at www.sec.gov. All amounts are in U.S. dollars unless otherwise stated and all resource and reserve estimates are shown on a 100% project basis.

    In the second quarter 2014, NOVAGOLD reported the following accomplishments:

     

    • Donlin Gold secured extension of the Surface Use Agreement with The Kuskokwim Corporation (NYSE:TKC). The agreement now coincides with the terms of Calista Corporation's Exploration and Mining Lease and incorporates the projected mine life of Donlin Gold
    • The U.S. Army Corps of Engineers (the "Corps"), the lead agency for the Donlin Gold EIS, and cooperating agencies' completed the alternatives identification, a major step in the permitting process
    • Donlin Gold participated in a number of community-related activities, supporting local youth in leadership endeavors and executing on its workforce development strategy in the region
    • NOVAGOLD and its partner Teck Resources Limited continued the technical work related to evaluating opportunities to enhance the economics of the Galore Creek project. NOVAGOLD."

    The chart above provides you with idea why we need more Gold deposits now. Even if Major Gold Miners are squeezed on margins and divesting the projects now - it is these industry's fundamentals which will drive this market forward. Falling gold prices are the best cure from the low Gold prices. Gold miners are mining the "Gold Dust" by the 90s standards.

    Number of discoveries is going down and will go down even more with Junior Miners struggling to get access to the capital now to develop their projects. Grades and sizes of discoveries are going down as well - easy stuff is all already found or is located in not so friendly places. We have Peak Cheap Gold in place now, whatever the Gold market massaged by BIS will tell you.

    China's buying record amount of gold last couple of years will be the very strong confirmation of Gold monetary value and recent pick up in M&A activity provides very important signal for the bottom in this mining cycle:

    "China continues its buying spree of copper assets all over the Globe: last month the huge Las Bambas copper project in Peru was bought by Minmetals Group for $5.85 B and now Guandong is bidding for PanAust. Reuters reports on the deal and you can notice how the activity in M&A by Chinese companies is picking up during the "soft market". It is the very important indication of the major bottom in the mining cycle: it is cheaper "to dig" for Copper and Gold on the Stock Exchanges now, when valuations of assets in the ground of listed companies are discounted by the depressed mining markets. "
    This is another reason why I personally came into the TNR Gold - Shotgun Gold project in Alaska. Gary Schellenberg and John Harrop - our VP of Explorations, have done the great job over the years exploring this project with Nova Gold and now we have 100% of it and Nova Gold has become TNR Gold's shareholder. After our drilling results in 2012 Greg Johnson the founder of Nova Gold has joined our Board and we have published the first resource estimation on the Shotgun Gold project last May.
    It was the first confirmation of my personal dream to develop the important Gold deposit and even if it is still the very early stage of project development, this dream is not limited in size by the resource model at Shotgun Gold project at this time:
    "The mineralization style observed at Shotgun Ridge bears a strong resemblance to the 40 million ounce deposit at the Donlin Gold project operated by Barrick and NovaGold," stated recently appointed director Greg Johnson, "The similar age and host intrusive rocks suggest that, with continued exploration, there is significant potential to locate larger volumes of mineralization in and around Shotgun Ridge."
    We are working on the corporate structure now, which will allow to develop Shotgun Gold with the potential new strategic partner on J/V basis like we are doing with Ganfeng Lithium in International Lithium. You can find more information in the Shotgun Gold Project presentation below, on our website and give us a call to discuss it at any time.

    TNR Gold Shotgun Gold Presentation, Alaska - April 2014 from Kirill Klip

    Disclosure: The author is long TRRXF, ILHMF, MUX.

Back To Kirill Klip's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers

StockTalks

More »
Posts by Themes
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.