Gold erased 2021 losses yesterday as signs of inflationary pressures in addition to a cryptocurrency meltdown has investors returning to risk-off assets.
It was reported 2 weeks ago that consumer prices increased at its fastest pace in more than 12 years as the consumer price index rose to 4.2% from a year earlier. Shortages are still everywhere as this coincides with a period of extreme volatility in the cryptocurrency space due to a mining crackdown in China. Which I persistently warned on Twitter.
A new company I will begin covering is Blackwolf Copper & Gold. The company trades on the TSX-V: BWCG and OTC: BWCGF. We recently published a corporate infographic on the company here.
The Niblack Project is endowed with volcanogenic massive sulphide (VMS) mineralization, including the Lookout and Trio deposits which host 43-101 compliant resources of copper, gold, silver, and zinc.
Niblack hosts six known VMS zones (the Lookout and Trio deposits and the Dama, Lindsy, Mammoth, and historic Niblack Mine site) within a 6,200-acre property that includes 250 acres of patented lands.
At a US$50 net smelter return cutoff, the November 2011 estimate comprises:
- 5.6 million tonnes in the Indicated category grading 0.95% copper, 1.75 g/t gold, 1.73% zinc, 29.52 g/t silver; and
- 3.4 million tonnes in the Inferred category grading 0.81% copper, 1.32 g/t gold, 1.29% zinc, 20.10 g/t silver.
The company is well-capitalized for the remainder of the year as it closed a $5.4 million private placement in April, which had no warrant attached to it, which only solidifies its tight equity structure of 31.1 million fully diluted shares outstanding.
The company plans to issue an updated resource estimate in Q2 2021 and recently reported excellent results from its recent program, which included 7.59 meters averaging 5.2% copper, 2.7 g/t gold, 145.1 g/t silver, and 6.5% zinc 10.7% copper-equivalent in massive sulphides at Niblack. (click here for full release)
The system is large with a 5km trend which has showcased bonanza grades in numerous zones on the property historically:
Today I am pleased to be joined by the Company’s CEO and President, Robert McLeod, for a general update on the company:
Hi Rob, thank you for taking the time to give the Gold Telegraph readers an introduction to the Blackwolf story.
To start, can you provide a bit of an overview/history of Niblack?
Hey Alex, I am grateful for the opportunity to discuss our Company and Project with you. Niblack is a high-grade, underground copper-gold-silver-zinc project located near tidewater in southeast Alaska.
It was so high-grade, that copper ore was previously shipped directly to smelters. Over the past two decades, previous explorers invested heavily to delineated 5.6 million tonnes of indicated and 3.5 million tonnes of inferred massive sulphides on the Property.
The Property had been idled by the previous management for the past eight years. Our team took over in 2020 and restructured the Company and have brought new geological ideas based on our many years of successful exploration experience.
The company recently reported some significant results, which headlined 7.59 meters averaging 5.2% copper, 2.7 g/t gold, 145.1 g/t silver, and 6.5% zinc or 10.7% copper-equivalent in massive sulphides… can you elaborate and provide some color on the significance of these results?
Not only did we hit multiple, parallel zones of high-grade massive sulphide, but the most important aspect was that we proved our new geological model that we believe will result in growth of resources and new copper and gold discoveries on the Property. This is the type of breakthrough that the Project needed to take it to the next stage. This is a new area that we believe will have additional resources to add to those in the Lookout and Trio Zones on the Property.
Additional assays are currently pending from the Lookout Zone. When does the company expect to report these results?
Yes, we have drill samples at the lab from the Lookout deposit, the largest on the Property.
What I love about this Project is that it’s wide open for expansion, including some of the highest-grade holes on the Property. We stepped out both along strike as well as both up and down-dip from the highest grade section of the deposit, including intervals such as 12.2 meters of 4.1% copper, 10.4 g/t gold, 239.9 g/t Ag and 11.6% zinc. That is high value stuff. I’m hoping that we get the first results early to mid-June. Results from assay labs have been speeding up recently.
Now, the company recently closed a $5.4 million private placement with no warrant attached.
On a fully diluted basis, the company has 31.1 million shares outstanding, showcasing the clean equity structure.
What are some objectives and milestones the company is hoping to achieve in 2021 now that the company is fully financed alongside a rough estimate of how much drilling will take place for the remainder of the year?
We have some ambitious plans for the company. Our vision is for a future hub-and-spoke where Niblack and other deposits feed a centralized mill. So in addition to more exploration and resource expansion drilling at multiple areas of Niblack, we are looking at additional acquisitions in northwestern BC and Southeast Alaska, regions where I have spent the majority of my career exploring.
The upcoming assays results are important. If they show that the Lookout Zone continues to depth, we may extend the underground ramp with the objective of increasing the depth extent by 50%. This would require a lot of additional drilling to delineate the deposit. This zone is over 100 meters wide at its core and you can build a lot of tonnes quickly. We will also step-out from the high-grade assays we recently reported from surface drilling near the old mine.
We will also be following up on a single drill hole completed in 1994 that intercepted 19.2 meters of 6.4% copper plus precious metals at the Dama Zone. We would like to complete some geophysics there first to help refine targets.
We will announce the total meterage of the upcoming programs after we release assay results from the Lookout Zone.
Finally, Rob, can you give my readers an overview of yourself and your team?
Alex, I am third generation miner who grew up in the border towns of Stewart, BC and Hyder Alaska. I’m also a single dad to two teens and three Hungarian vizslas. Professionally, I’m a geologist by training spending the majority of my career in the Pacific Northwest. Two of the most recent companies that I founded and sold, Underworld Resources and IDM Mining were successful Companies where I learned a lot.
I am passionate about discovering high-grade precious and base metals, as well as responsible, inclusive exploration and development while delivering value to shareholders.
My team includes several of the best young geologists and engineers that have spent their careers in the Golden Triangle. They hustle and find high-grade. I would put this team up against any other junior in the region.
Thank you, Robert, for the time. I am looking forward to catching up with you again in the coming weeks.
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