Conglomerate Gold in the Pilbara – Part II
Part I was an introduction to conglomerate-hosted gold in the Pilbara, which included a brief comment on Novo Resources, by far the biggest player in the space. Part II is a brief commentary on some ASX listed companies with conglomerate gold interests in the Pilbara.
The companies range from those with actual discoveries to those without even evidence of conglomerates, let along gold. Most have other, more significant projects, but entry into the conglomerate space has done wonders for most share prices. I shall write further on CDT, RTR, SUH and any new entrants.
Artemis Resources Limited (ASX: ARV)
Market cap of $157M, the share price has run from about $0.08 in July to $0.30 in October. ARV has a large landholding in the Karratha (West Pilbara) region, including resources of gold, copper, nickel, zinc and PGE’s. It has its own conglomerate gold project along with a JV with Novo Resources.
Chalice Gold Mines Limited (ASX: CHN)
Market cap of $58M, the share price has run from $0.16 in September to $0.22 in October. CHN has gold projects in Canada, a copper gold project in the Northern Territory, a nickel project in WA and a “Carlin-style” gold project in the Pilbara. The company was late to the conglomerate party, announcing new tenement applications that may encompass basal conglomerates on 2 October.
It will be sometime before significant conglomerate news flow can be expected, although the company is very active on its other projects. Of interest is that at 15 September it held $43M in cash, not much less than its market cap.
De Grey Mining Limited (ASX DEG)
Market cap of $70M, the share price has run from $0.065 in September to $0.23 in October. DEG’s holdings in the Pilbara are about 100km east of the ARV/NVO discoveries, apparently covering the same conglomerate horizon. The company has already discovered numerous nuggets of the same style as those discovered by ARV/NVO. The project also hosts a 3.47Mt base metal resource and the company has an option to acquire a 1.2M oz gold resource on adjoining ground.
Kirkland Lake Gold Limited, the largest shareholder in Novo, recently subscribed for a $5M placement in DEG. Quite a vote of confidence.
DGO Gold Limited (ASX: DGO)
Market cap of $13M, the share price has run from $0.24 in August to $1.25 in October, having reached a high of $1.97 on 3 October. The company’s Pilbara project lies to the south of DEG and the conglomerate horizon has yet to be identified. The company has a number of gold and copper-cobalt proejcts in WA and SA.
Haoma Mining NL (ASX: HAO)
Market cap of $47M, the share price has run from $0.10 in September to $0.25 in October. On 5 October HAO announced that they had identified “pyritic conglomerate materials” on their tenements in the vicinity of Marble Bar in the east Pilbara. It is uncertain whether this conglomerate is gold-bearing. HAO has a number of projects in WA and in Queensland, the most notable of which is probably the historic Bamboo Creek gold mine. The company also has a small shareholding in DEG.
Impact Minerals Limited (ASX: IPT)
Market cap of $19M, the share price has moved from $0.013 in September to $0.019 in October. The company has tenements in the Marble Bar region, they are not granted and exploration has yet to commence. The company has several other projects, the most interesting of which is the Commonwealth gold-silver-base metal project in NSW.
Kairos Minerals Limited (ASX: KAI)
Market cap of $33M, the share price has run from $0.02 in September to $0.055 in October, hitting a high of $0.088 on 2 October. KAI holds several tenements in the central and eastern Pilbara which cover “at least ~100 strike kilometres” of prospective rocks. While conglomerate has been identified, no gold has been discovered. The company has several other projects in WA, including a 258k oz gold resource.
Kalamazoo Resources Limited (ASX: KZR)
Market cap of $10M, the share price has run from $0.07 in September to $0.155 in October. The company has options to acquire several tenements in the Karratha and Marble Bar regions. Gold nuggets have been discovered on a tenement in the Marble Bar region. KZR has several other projects in WA.
Venturex Resources Limited (ASX: VXR)
Market cap $59M, the share price has run from %0.00-9 in September to $0.017 in October. VXR holds the potential strike extension to DEG’s Louden Patch discovery in the western Pilbara. The company’s main assets are the Sulphur Springs, Whim Creek and Mons Cupri base metal deposits, all in the Pilbara.