Resources Top 5: Sierra Nevada Gold strikes it lucky with… silver; G88 looks flash on Quicksilver news

Sierra Nevada Gold has jackpotted some silvery gains today
G88 is looking flash on Quicksilver nickel-cobalt project news
Diamonds are forever for GIB, while gold is in like Flynn in Tassie
And the more you ignore Morrissey, the closer it gets – BMO up on peggies

Here are some of the biggest resources winners in early trade, Tuesday May 21.

Sierra Nevada Gold (ASX:SNX)

SNX says it will follow up a pre-IPO drill hole which returned up to 1270g/t silver at Endowment mine, part of its Blackhawk epithermal project in Nevada, US.

A good time to dust off the project as silver prices hit their highest point in 11 years. The bulls are frothing.

Are the Days of Sub $30 an Ounce Silver Prices Over?

The price of #silver is undergoing a rapid breakout move in a hot precious metals + commodity market environment!

The fundamentals and technicals are converging into a supercell of support for higher for longer Silver prices. pic.twitter.com/5i4pmg9X9b

— Peter Spina GoldSeek | SilverSeek (@goldseek) May 20, 2024

Before it listed on the ASX in 2022 SNX punched in a hole below the historical Endowment mine, intersecting 5m at 0.73g/t gold, 479g/t silver, 6.96% lead, and 19.84% zinc from 256m including a 50cm chunk grading 1270g/t silver.

The hit is about 150m below the deepest level of the historical mine, which produced 70,000oz gold equivalent, mostly between 1860-1880.

The area has seen little modern-day exploration. Prior to SNX, last exploration occurred in the mid to late 1980s, the company says.

A drill program is permitted and ready to go.

“These results which returned up to 1270g/t silver from Blackhawk are very promising, coming from a vast and extensive vein network,” SNX boss Pete Moore says.

“We’ve identified 22.5-line kilometres of veins at Blackhawk, but this known mineralisation has sat largely untouched since mining ceased in the area in the 1920s.

“We have two shallow oxide resources which have not been defined to a JORC-compliant level but this provides us the opportunity to deliver value from an existing project with further drilling and mineral resource definition.

“Our 20-hole drill program is permitted and ready to drill, providing us with the opportunity to use modern exploration techniques to potential to return further high-grade results and shape this as a company-making discovery for Sierra Nevada.”

SNX share price

Golden Mile Resources (ASX:G88)

Western Australian focused explorer Golden Mile Resources is into hunting critical metals, base metals and gold.

It’s well up today after announcing the completion of Stage 3 metallurgical test work at its flagship Quicksilver nickel-cobalt project near Lake Grace, WA.

That testing has outlined an initial “process beneficiation flowsheet”, which the company says has the potential to target 75% nickel recovery from the deposit.

Quicksilver is an oxide clay-hosted deposit with a resource of 26.3Mt grading 0.64% nickel and 0.04% cobalt along with valuable by-products gold, rare earths and scandium.

Previous metallurgical test work by the company had improved its understanding of the unique mineralisation and demonstrated the potential to develop a low energy, multi-product beneficiation process.

The company has earmarked a multi-products flowsheet to produce nickel-cobalt and iron-nickel-cobalt-chromium concentrates, as well as industrial products.

Additionally, this work found nickel within a chromium-magnetite, paving the way for testing large magnetic targets along strike of the resource.

G88 share price

Gibb River Diamonds (ASX:GIB)

Multi-commodity explorer GIB has burst on up more than 75% this morning at the time of writing. There’s gotta be a reason for that, and yep, there is.

It’s diamonds. Specifically, ones at the company’s Ellendale diamond project in the West Kimberley region of WA.

GIB has this morning announced it’s been granted three mining leases on the project’s land and these are licences considered key to developing the project further with a view to re-establishing its production.

The Ellendale Project has, in the past, been one of the world’s largest diamond producers, with previous operators reporting a combined market capitalisation of over $690 million in 2006 on leases now held by GIB.

Notes the company, Ellendale’s production once included the annual supply of more than 50% of the world’s ‘Fancy Yellow’ diamonds, which were “the subject of a special marketing agreement between former operators and Tiffany & Co”.

GIB’s overall aim here is to re-establish diamond mining production at Ellendale, and at the moment, it’s considering various financing options with a view to potentially building a mining operation.

The granting of the mining leases certainly won’t hurt the chances of brining in some decent funding.

Source: GIB

GIB share price

Flynn Gold (ASX:FG1)

FG1 has sampled up to 64g/t gold at the Link Zone prospect, part of the Golden Ridge project in Northeast Tasmania.

It’s talking high-grade assays here from its underground grab sampling of mineralised veins, including 64.4g/t, 37.6g/t and 15.9g/t gold.

The Link Zone prospect is located between the company’s Trafalgar and Brilliant prospects, with all three prospects now defining a corridor of high-grade gold mineralisation with a potential strike length of 2.5km and a vertical extent of at least 500m.

Previous diamond drilling at Trafalgar and Brilliant have also returned impressive results with multiple intersections over 100g/t Au recorded at the Trafalgar prospect, where follow-up drilling is in place.

Flynn’s MD and CEO Neil Marston said:

“Our confidence in Golden Ridge as an extensive, high grade intrusive-related gold system continues to grow with these Link Zone results confirming that high grade mineralisation exists within an increasingly well-defined corridor that has the potential to link the Brilliant and Trafalgar prospects over a strike length of 2.5km.”

Source: FG1

FG1 share price

Bastion Minerals (ASX:BMO)

A day after bursting on up on the sighting of “widespread visible uranium” at its Morrissey project in WA, Bastion is surging again.

It’s also related to Morrissey. Heaven knows, it’s not miserable now. And so forth.

BMO hinted at this yesterday in its uranium-based announcement actually, but it brings it front and centre today.

It’s also discovered extensive new lithium-bearing pegmatites towards the north end of the Central pegmatite target and potential new pegmatite corridors prospective for lithium have been confirmed.

Double whammy, then. Two hot commods for the price of one at Morrissey – uranium and lithium.

Importantly, says Bastion, the field program discovered outcropping and subcropping pegmatites showing similar characteristics to other areas of the regional ‘Ti Tree’ shear zone where advanced lithium pegmatite projects are located.

The project is surrounded by tenure held by Delta Lithium (ASX:DLI) and also immediately abuts tenure subject to the $12 million Joint venture earn-in with Voltaic Strategic Resources (ASX:VSR).

Reach Resources (ASX:RR1) also has an earn-in JV activity with Delta going on next door.

Source: BMO

Exec chairman Ross Landles is buoyed by all this, noting:

“Recent fieldwork has confirmed the area hosts abundant pegmatite outcrop and subcrop and it is exciting to map and sample these to assess their lithium grades.

“We have a total of 211 rock chip samples in two sets, evaluating Lithium, Uranium and REE mineralisation and to evaluate what other elements are elevated within the property.”

Rock on:

Source: BMO