Australia’s James Bay Minerals Ltd (ASX: JBY), a company primarily focused on Canadian lithium extraction, will soon be mining Nevada gold.
James Bay signed a binding agreement on Monday to acquire a 51.54 per cent stake in north-central Nevada’s Independence gold project. The ASX-listed miner can acquire a 100 per cent interest within two years by meeting certain conditions.
The initial stake being acquired by James Bay was previously held by Nexus Uranium Corp (CNSX: NEXU). Nexus spun out its project interest into a subsidiary designated as “NewCo” in June before selling it off to the private operator Battle Mountain Resources last week.
The remaining 48.46 interest being optioned to James Bay is currently in the possession of the joint venture partner — Americas Gold Exploration. James Bay shares shot up by 65 per cent when the acquisition was announced.
“This is an exceptional opportunity for our shareholders and we are extremely fortunate to have secured this acquisition and earn-in,” James Bay Executive Director, Andrew Dornan, said in a news release. “The combination of existing high-grade resources, significant growth potential at both the near-surface and skarn deposits, and a location in one of the best mining districts globally presents a huge opportunity.”
Independence is situated adjacent to the Phoenix Mine Complex held by Nevada Gold Mines.
Recent core samples pulled from outside of the site’s mineral resource area have yielded high-grade assays. An intercept containing 12 grams per tonne gold and 30.7 g/t silver over 18.3 metres was one of the most notable.
Stockhead's Sarah Hughan sits down with James Bay Minerals' executive director Andrew Dornan to get the lowdown on its latest acquisition of the Independence gold project in Nevada. https://t.co/UUiel1CV3W @JamesBayMin #ASX $JBY
— Stockhead (@StockheadAU) October 16, 2024
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Gold set to continue rising for 1 year, UK metals trader predicts
The London Bullion Market Association just predicted that the yellow metal will be worth approximately US$2,941 per ounce by next October. This assessment was made at the metals trader’s annual gathering on Tuesday.
Gold is currently valued at US$2,661 per troy ounce — an already historic high. The commodity has ascended by about 29 per cent since Jan. 1.
In response to the ascension, gold bars have been continuing to fly off the shelves at Costco Wholesale Corporation (NASDAQ: COST) locations. The retail chain started selling 24-karat gold bars supplied by Switzerland’s PAMP last fall and is now offering traceable bars made via a PAMP & Newmont Corporation (TSE: NGT) collaboration.
Collective global gold holdings rose by 18 tonnes in September while gold assets under management worldwide increased by 5 per cent, according to the World Gold Council.
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rowan@mugglehead.com
