@Polyus Confirms #SukhoiLog As World's Biggest #Gold Deposit

Polyus has published the first ore reserves statement done under international JORC standards for #SukhoiLog.

The report states that the #SukhoiLog #Gold Deposit in Eastern Siberia—about 6000 km from Moscow—contains 540 Million Tonnes at an average grade of 2.3 grammes of gold per tonne (g/t), for a total of approximately 40 MILLION OUNCES OF GOLD, making it the largest gold deposit in the world among both Greenfield and developed mines.

The deposit, which accounts for about a quarter of Russia's entire unmined gold, makes Polyus the world's second-largest gold miner by proven reserves, the company said on Thursday. 

The announcement (conveniently) comes a month after Polyus agreed to pay $128.2m to accelerate the buyout of its partner in Sukhoi Log, Russian State defense group Rostec, and take control of the 22 per cent stake in the deposit that it did not already own. 

Read the whole story on the @FT here: https://www.ft.com/content/8d60ed78-4bba-46fc-bdb0-f880428e7be1

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MasterMetals

@MasterMetals

The Case for #Gold. It’s Simply Math, says John Hathaway of Sprott

Great piece from John Hathaway of Sprott 

Gold, The Simple Math

The current pullback in the precious metals sector is a buying opportunity. Since trading at a closing high of $2,064 an ounce on August 6, gold bullion has declined 8.34% as of this writing.¹ Gold mining shares have followed suit, declining 9.26% since the August high.² It is possible that gold and related mining shares could continue to chop sideways to lower until the U.S. presidential election results are known and even into yearend as the implications are sorted out. Whatever the electoral outcome, the path towards monetary debasement is bipartisan. It is crucial for investors to focus on the long-term trend and to avoid the distractions of short-term timing considerations.

The very strong investment fundamentals for gold and gold mining shares are based on what has been a slow irreversible drift towards significant U.S. dollar (USD) devaluation. Paper assets, including equities, bonds and currencies, have underperformed the dollar gold-price since 2000, the dawn of radical monetary experimentation by central bankers. Until recently, gold's strength has attracted little notice from mainstream investors. Widespread disinterest can perhaps be ascribed to the stealthy, long-term character of gold's outperformance. In addition, the absolute performance of equities and bonds has been positive over the past two decades, so there has been little incentive to look elsewhere.

Figure 1. Gold vs. Stocks, Bonds and USD
Relative Returns for Period from 12/31/1999-9/30/2020

Source: Bloomberg. Period from 12/31/1999-9/30/2020. Gold is measured by GOLDS Comdty Index; S&P 500 TR is measured by the SPX; US Agg Bond Index is measured by the Bloomberg Barclays US Agg Total Return Value Unhedged USD (LBUSTRUU Index); and the U.S. Dollar is measured by DXY Curncy. Past performance is no guarantee of future results. You cannot invest directly in an index.

Lack of Crowd Recognition Provides Opportunity

ORENINC #MiningStocks Financings Index Falls to 26-week Low as deals fall off

.@ORENINC #MiningStocks Financings Index down as deals fall off

Posted by Semeion Wong

Tuesday, 13 October 2020

ORENINC INDEX - Monday, October 12th 2020

North America's leading junior mining finance data provider

Last Week: 57.95

This week: 35.85

The Oreninc Index fell in the week ending October 9th, 2020 to 35.85 from 57.95 a week ago as the number of deals fell away.

On to the money: the aggregate financings announced decreased to $49.69 million, a 26-week low, which included one brokered financing for $13.1 million, an eight-week low, and one bought deal financing for $13.1 million, a one-week high. The average offer size fell to $2.26 million, a six-week low, while the number of financings fell to 22.

Summary

• Number of financings decreased to 22.
• One brokered financing was announced this week for $13.1 million, an eight-week low.
• One bought-deal financing was announced this week for $13.1 million, a one-week high.
• Total dollars fell to $49.69 million, a 26-week low.
• Average offer fell to $2.26 million, a six-week low.

Financing Highlights

Denison Mines (TSX:DML) opened a bought deal private placement to raise US$10 million.

• Subsequently raised to US$17.4 million
• 47 million shares @ US$0.37.
• Cantor Fitzgerald Canada and Haywood Securities as co-lead underwriters and joint book-runners.
• Proceeds to be used to fund evaluation and environmental assessment activities on its Wheeler River uranium project in Saskatchewan, Canada.

Major Financing Openings

• Denison Mines (TSX:DML) opened a $13.12 million offering underwritten by a syndicate led by Cantor Fitzgerald Canada on a bought deal basis. The deal is expected to close on or about October 14th.
• Maple Gold Mines (TSXV:MGM) opened a $6.2 million offering on a best efforts basis. Each unit includes a warrant that expires in three years. 
• Sassy Resources (CSE:SASY) opened a $5 million offering on a best efforts basis. Each unit includes half a warrant that expires in two years. 
• Labrador Gold (TSXV:LAB) opened a $4.05 million offering on a best efforts basis. Each unit includes a warrant that expires in two years.

Major Financing Closings

• Wallbridge Mining Company (TSX:WM) closed a $63.83 million offering underwritten by a syndicate led by BMO Capital Markets on a bought deal basis.
• Trillium Gold Mines (TSXV:TGM) closed a $12.95 million offering underwritten by a syndicate led by Eight Capital on a best efforts basis. Each unit included half a warrant that expires in two years.
• Kodiak Copper (TSXV:KDK) closed a $12.68 million offering on a best efforts basis.

Desert Mountain Energy (TSXV:DME) closed a $9.12 million offering on a best efforts basis.

Read the full report on Oreninc here: http://oreninc.com/orenthink/entry/oreninc-index-down-as-deals-fall-off

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