Recent Drilling and Exploration Developments for Sandstorm Gold
Sandstorm Gold Royalties (NYSE: SAND, TSX: SSL) is pleased to provide updates on recent drilling and exploration activities across its diverse portfolio. This report highlights important developments from several companies where Sandstorm holds royalty interests, showcasing significant discoveries and advances in various projects.
Progress on Lundin Gold's Bonza Sur Discovery
Expanding Near-Mine Drilling Efforts
Lundin Gold Inc. has made significant progress with its near-mine drilling program at the Fruta del Norte mine (FDN). The recently uncovered Bonza Sur gold deposit, located just south of the main mine site, has shown great potential. This deposit has a notable mineralized envelope that extends 1.8 kilometers along strike, spans 100 meters in width, and reaches depths of at least 500 meters. To date, over 50 drill holes have been drilled, uncovering a high-grade core characterized by hydrothermal alteration and quartz veins.
Due to these promising results, Lundin Gold has increased its 2024 drilling program by 10,000 meters, bringing the total to 56,000 meters. As of August, they completed approximately 26,056 meters, focusing mainly on Bonza Sur. The anticipated total cost for this combined effort is around $44 million, greatly driven by enhancements to the drilling initiatives.
Insights into Future Development
A metallurgical study is scheduled for 2024 to better assess the potential of Bonza Sur, alongside expectations for a maiden Mineral Resource Estimate by mid-2025. During Lundin Gold's recent Investor Day, the prospects of Bonza Sur were further emphasized, indicating it could become their second producing deposit within the La Zarza mining concession, with a Preliminary Economic Assessment slated for completion by late 2025.
Bonterra Resources' Phoenix Joint Venture Update
High-Grade Drill Results from Moss Target
Bonterra Resources has shared exciting news from its Phoenix JV project, where they are working under a solid partnership in an agreement with Osisko Mining. This collaboration includes a commitment from Osisko Mining to invest up to C$30 million over the next three years. So far, 60,000 meters have been drilled, with an impressive 37,000 meters focused on the Moss Target.
Noteworthy drill highlights reveal outstanding results, including grades like 38.33 g/t gold over 1.1 meters from deeper intervals of exploration. Continued significant mineralization has been confirmed, fostering optimistic prospects as Bonterra prepares to ramp up exploration later this year.
Awalé Resources' Significant Findings in Côte d'Ivoire
High-Grade Intercepts at Odienné
Awalé Resources has reported encouraging findings from its Odienné project, particularly from the Charger and BBM zones, following multiple high-grade intercepts earlier this year. In January, they announced a new discovery at the BBM Zone, with additional drilling confirming substantial shallow gold and copper potential. Results from April showcased exceptional intercepts of 45.7 g/t gold over 32 meters.
This ongoing program aims for a total of 25,000 meters of drilling by year-end, intending to explore the continuity and potential of these new mineralization zones and boosting the prospects for this exciting project.
Progress at Antipa Minerals' Minyari Dome
Exploring Near-Surface Gold Mineralization
Recently, Antipa Minerals wrapped up an extensive Phase 1 drilling program at its Minyari Dome project, achieving positive intersections that uncover high-grade gold mineralization. Initially set for 71 holes, the program expanded to 81 thanks to promising early results, especially from the GEO-01 discovery site.
This project is strategically located near significant mining operations, including key players such as Newmont Mining and Rio Tinto, which enhances exploration opportunities within Antipa’s realm.
Sandstorm Gold Royalties holds a 1.0% net smelter return royalty on the North Telfer project, covering the Minyari Dome project, thereby reinforcing its involvement in these optimistic developments.
Troilus Gold Corp.'s Feasibility Study and New Gold Zone
New Discoveries Boost Project Value
Troilus Gold has achieved critical advancements after conducting its feasibility study, which details a potential mining operation along with the discovery of a new gold zone, known as the West Rim Zone. This discovery significantly enhances the project's prospects, with drilling set to continue into 2024. Troilus has reported noteworthy high-grade drill results, including 1.64 g/t gold over 20 meters, showcasing the area's promising mineral potential.
Sandstorm is also well-positioned, as it holds a 1.0% NSR royalty on the Troilus project, benefiting as the project continues to mature.
In Conclusion
In summary, Sandstorm Gold Royalties is committed to becoming a leading player in the precious metals sector through strategic partnerships and expanding its royalty portfolio. Developments from Lundin Gold, Bonterra, Awalé, Antipa, and Troilus not only add value to Sandstorm's interests but also underscore the evolving potential within the mining industry.
Frequently Asked Questions
What does Sandstorm Gold Royalties do?
Sandstorm Gold Royalties is a royalty company focused on precious metals, providing upfront financing to mining companies in exchange for a share of their production.
What recent projects has Sandstorm been involved with?
Some of the recent projects include Lundin Gold's Bonza Sur, Bonterra's Phoenix JV, and Awalé's Odienné project, to name a few.
How does Sandstorm profit from these projects?
Sandstorm earns revenue by holding net smelter return royalties on these projects, which allows them to receive a portion of the minerals produced without incurring the costs of mining.
Why is Bonza Sur considered significant?
Bonza Sur is a recently discovered gold deposit showing promising exploration results, indicating the potential for substantial gold production soon.
How does Sandstorm's portfolio impact its overall business strategy?
With a diversified portfolio of royalties, Sandstorm mitigates risk and can tap into multiple revenue streams from various projects at different development stages.