NIA's #1 most important rule for the gold exploration industry is: The larger a gold resource, the better a company's odds of success, because for one of the largest gold miners like Newmont (NEM), Barrick (GOLD), Agnico Eagle (AEM), or AngloGold Ashanti (AU) to be interested in developing a standalone project it must have 5 million+ oz of gold resources or it won't even be on their radar as something worth considering. Snowline Gold (TSXV: SGD) has gained over 1,000% over the last few years to a market cap of $957 million because it has established an Indicated Mineral Resource of 4.05 million oz gold grading 1.66 g/t Au and an Inferred Mineral Resource of 3.26 million oz gold grading 1.25 g/t Au. Goldshore Resources (TSXV: GSHR) has established an Indicated Mineral Resource of 1.54 million oz gold grading 1.23 g/t Au and an Inferred Mineral Resource of 5.2 million oz gold grading 1.11 g/t Au and has hired G-Mining to conduct a PEA!
NIA's #2 most important rule for the gold exploration industry is: If you don't have 5 million+ oz of gold resources, the only thing equally good is having a gold resource in the middle of a massive 10-20 million oz gold district being rapidly consolidated by one of the largest gold miners. Augusta Gold (TSX: G)'s fully permitted Reward Gold Project in Nevada has a Proven & Probable Mineral Reserve of 370,000 oz gold grading 0.86 g/t Au. Augusta Gold (TSX: G)'s past producing Bullfrog Gold Project in Nevada has a Measured & Indicated Mineral Resource of 1,209,290 oz gold grading 0.53 g/t Au and an Inferred Mineral Resource of 257,900 oz gold grading 0.48 g/t Au. AngloGold Ashanti (AU) at its directly adjacent North Bullfrog Gold Project in Nevada has a Proven & Probable Mineral Reserve of 1 million oz gold grading 0.43 g/t Au. AngloGold Ashanti (AU) at its directly adjacent North Bullfrog, Silicon, Merlin, Mother Lode, and Sterling Gold Projects in Nevada has a Measured & Indicated Mineral Resource of 5.37 million oz gold grading 0.75 g/t Au and an Inferred Mineral Resource of 11.21 million oz gold grading 0.89 g/t Au. By AngloGold Ashanti (AU) acquiring Augusta Gold (TSX: G) before year-end it will increase its Nevada gold reserves by 37% while increasing its Nevada measured & indicated gold resources by 22.51%. Even if AngloGold Ashanti (AU) has to pay $5-$6 per share in cash to acquire Augusta Gold (TSX: G) it will be well worth every penny because they will establish a total Nevada gold reserve/resource of 19.5 million oz all in the same district!
Past performance is not an indicator of future returns. NIA is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. NIA has received compensation from GSHR of US$30,000 cash for a three-month marketing contract. NIA's President has purchased 224,200 shares of G in the open market and intends to buy more shares. This message is meant for informational and educational purposes only and does not provide investment advice.