Thursday, December 27, 2012

Barrick Hits 118.9 meters of 2.33 gpt gold at Spring Valley, Nevada

Spring Valley looking South from Terraco Gold's Moonlight Project (Click to Enlarge)
Barrick Hits 118.9 meters of 2.33 gpt gold at Spring Valley, Nevada

Midway Gold Corp. (TSX.V: MDW | AMEX: MDW) reported on the development at Spring Valley, where Barrick Gold Exploration Inc. ("Barrick") (TSX: ABX | NYSE: ABX) is earning into Midway's multi-million ounce gold project in Nevada.

Drilling Highlights

"...An infill drill program within the existing deposit boundaries has continued to increase the certainty of the current resource, including several intercepts well in excess of the current resource grade. Highlights included:

  • SV12-561c 18.6 meters of 6.79 gpt gold
  • and 118.9 meters of 2.33 gpt gold, including 17.1 meters of 8.06 gpt gold

  • SV12-583c 58.8 meters of 1.06 gpt gold, including 1.5 meters of 12.00 gpt gold
  • SV12-584c 36.3 meters of 1.92 gpt gold, including 3.2 meters of 14.67 gpt gold
  • SV12-594 27.4 meters of 1.68 gpt gold, including 1.5 meters of 12.79 gpt gold

Additionally, drilling at the northerly extent of the resource area indicates the potential for expansion of the resource to the north and at depth.

Earn-In Update

Barrick has accelerated their rate of expenditures to earn-in to Midway's Spring Valley project, where Barrick can earn a 60% interest in the project by completing expenditures totaling US$30 million before December 31, 2013. Projected expenditures by Barrick in 2012 amount to $10.2M, which combined with spending through 2011 of $17.7M at Spring Valley (see April 11, 2012 press release), would bring total cumulative expenditures by Barrick to approximately $27.9M by the end of 2012. Based on the rate of expenditures through the third quarter of 2012, it is expected that Barrick will complete their earn-in of 60% of the Spring Valley project by early 2013. Barrick may further elect to spend an additional $8 million on or before December 31, 2014 for a total expenditure of $38 million to increase their ownership interest in Spring Valley to 70%.

Please see Barrick Gold Corporate video below:

Development Activity

Within the quarter, additional development drilling has gathered metallurgical, hydrological and geotechnical data to be used in a scoping-level economic evaluation. Metallurgical samples were collected for a second round of metallurgical testwork that is currently in progress. Hydrological work is underway to better characterize groundwater conditions for a potential open pit. Further development activities included potential pit slope stability studies, mine facility design, seismic hazard analysis, and humidity cell tests..."

December 6th, 2011 Spring Valley advanced from Barrick's Exploration team to their Mine Development Group:

Barrick Gold Weekly Chart 2012-12-27
Q3 Drill Results

"...During the third quarter, Barrick completed 3,072 meters of reverse circulation (RC) and 2,387 meters of core drilling. This drilling included four core holes used for metallurgical sampling, four holes for geotechnical testing (SV12-611c to 614c), and eight water-monitoring wells (SV12-600w to 608w). Total drilling for the year through the third quarter is 11,834 meters of RC and 6,240 meters of core..."

The link below shows the locations of drill holes in relation to the current Spring Valley resource estimate:

Please see May 24th, 2011 Midway Gold Corp. NI 43-101 Technical Report for Spring Valley below:

Please see Midway Gold Presentation from the Denver Gold Forum contained in the video link below:

Midway Gold Weekly Chart 2012-12-27

Johnston-Sequoia Commentary:

"What you see depends on what you thought before you looked."
--- Eugene Taurman

I was recently sent a copy of a Bob Bishop interview with a very famous Nevada Geologist the late Dr. Ralph Roberts (who is credited with the discovery of the Carlin and Battle Mountain Gold Belts, the richest gold-mining region in United States) from September 1988.  (Dr. Roberts published a very famous report titled "Alignment of mining districts in north-central Nevada" which posed a theory that when tested by then Newmont Geologist John Livermore led to the discovery of the Carlin mine in 1961).  Dr. Roberts discusses with Bob Bishop his vision of the evolving nature of the Carlin trend (in 1988) & when cross referenced with what we now know today of the Carlin trend - his accuracy truly incredible.

Interestingly Dr. Roberts discussed the implementation of deeper drilling which ultimately led to the discovery of both the Betze-Post (now Barrick's Goldstrike mine);

Barrick's Goldstrike mine, Nevada

and Newmont's lowest cost producing mine - the Ken Snyder "Midas" mine:

Newmont's Ken Snyder "Midas" mine, Nevada
Gathering each piece of the puzzle is what makes the Discovery process so fascinating.  When I was first introduced to this evolving Humboldt district in May 2008 Midway Gold still controlled 100% of the project and Barrick was simply an equity investor in Midway with approximately 10% ownership in MDW.  At that time the NI 43-101 resource was  "just" 993,000 ounces of gold in the measured, indicated and inferred ("MI & I") categories.  Today Spring Valley sits at 4,100,000 ounces in the MI & I categories (which is based on a May 2nd, 2011 resource estimate).  The evolution of this district has been truly remarkable and we have now seen the single best intercept to date at Spring Valley {which lends itself to Dr. Roberts deeper drilling discussion as hole SV12-561c mineralized zone starts at 1,061 feet (323.4 m) and ends at 1,451 ft (442.3 m)}:

  • SV12-561c 18.6 meters of 6.79 gpt gold and 118.9 meters of 2.33 gpt gold, including 17.1 meters of 8.06 gpt gold

*** "Drilling at the northerly extent of the resource area indicates the potential for expansion of the resource to the north and at depth."

Terraco Gold Royalty Option on the Spring Valley Project***

"Terraco has royalty coverage on claims covering the Spring Valley Gold Project located in Pershing County, Nevada. Spring Valley is a joint venture between Barrick Gold Corp. and Midway Gold Corp., where Barrick has the right to earn 60% interest in the project by completing work expenditures totalling US $30 million before December 31, 2013.

Terraco's net smelter returns ("NSR") royalty coverage includes the option to acquire a 2.5% NSR royalty (by December 2016) on claims covering the majority of the Spring Valley deposit and an additional direct ownership and option for a 1% NSR royalty covering the remaining portion of the Spring Valley deposit."

Terraco Gold Royalty Option on Spring Valley, Nevada (Click to Enlarge)

Nano-cap Terraco Gold Corp. (TSX.V: TEN | US: TCEGF) has positioned itself very well in this evolving district with a 2.5% & 1.0% NSR royalty options on the Barrick Gold - Midway Gold Spring Valley Project and 100% ownership of the 35 sq km (Terraco's Moonlight Project) which adjoins the north side of this evolving Nevada discovery.

The History of the Evolving Humboldt District - Pershing County, Nevada

The Evolving Humboldt District looking south over Terraco`s Moonlight Project (Click to enlarge)

History of the Barrick Gold/Midway Gold Spring Valley Project:

"Placer gold was discovered in Spring Valley Canyon in the 1880’s and has been mined intermittently since that time. A gold dredge operated in the eastern portion of the project area in the 1910’s and 1920’s. The current Spring Valley resource lies in an alluvial-filled valley immediately west and upslope from the placer workings. Modern exploration at Spring Valley began with 4 holes drilled by Kennecott in 1996. Echo Bay acquired the property in 2000 and drilled the discovery hole in 2001. MGC gained control of the property in 2003, and immediately began a drill program that continued through 2008. MGC signed the Exploration Agreement with Barrick in 2009. During the earn-in period Barrick is conducting exploration pursuant to the terms of the agreement while MGC maintains 100% control of the property. Barrick has drilled 72 drill holes through the end of 2010 to better define the known mineralized area while continuing to test mineralized controls along strike to the north..."

Terraco Gold's Moonlight Project History & Production

"John Livermore (discoverer of the original Carlin Deposit) of Cordilleran Exploration (CORDEX) became interested in the Moonlight Mine and visited the area several times during the period between 1981 and 2003.... The samples range in value from (one sample) below detection limits up to 415 opt silver (non-NI 43-101 compliant). All samples returned only trace amounts of gold. John Livermore and CORDEX returned to the Moonlight in 1999, staking an unknown number of claims around the original Grant Patent and leasing the patented claim from John Heizer. A series of thirty samples were collected from the Moonlight Mine (the original Grant Patent) by geologists for CORDEX. Of those samples, the assay certificate from Legend, Inc., of Reno, Nevada, indicates that several samples were anomalous in silver and gold, with values up to 1,329 ppm (gpT) or 38.76 opt silver and 4.801 ppm (gpT) or 0.140 opt gold (non-NI 43-101 compliant)....

Recent History of Nearby Properties or Projects in the Humboldt District

...Nearby in the Humboldt Range, recent history includes developments at Coeur d’Alene Mining’s Coeur Rochester Mine and the Midway-Barrick Spring Valley Joint Venture. Coeur's 100% owned Rochester mine has produced more than 127 million ounces of silver and 1.5 million ounces of gold since production began in 1986 (Coeur website, Nov 2010)...  Proven and Probable reserves at Rochester, according to the Coeur website at year-end 2009, totaled 42.4 million tons containing 25.9 million ounces silver and 233,000 ounces gold..."

Please see Terraco Gold Corporate video below:

Will the evolving Humboldt District one day be recognized as a major Nevada Gold Trend? - only time will tell. What we do know is that Midway Gold and now Barrick have done (and are currently doing) a tremendous job of defining this new Nevada discovery.  

I am an advisor of Terraco Gold Corp. & own shares in the company. As always, please do your own due diligence.  To all of our readers - I hope you and your families have a safe and wonderful holiday season.

Your Editor standing along the Blackridge Fault on Terraco Gold's 100% owned Moonlight Project, Nevada

Sunday, December 9, 2012

Talison Lithium backs $848,000,000 Chinese Takeover Bid

Talison Lithium backs $848,000,000 Chinese Takeover Bid

“Talison Lithium Limited ("Talison" or the "Company") (TSX:TLH) announced that it has today concluded its discussions with Windfield Holdings Pty Ltd, an Australian incorporated wholly-owned subsidiary of Chengdu Tianqi Industry (Group) Co., Ltd (together "Tianqi") and reached agreement under which it is proposed that Tianqi will acquire the balance of the ordinary shares that it does not already own and options in Talison by way of schemes of arrangement for a cash consideration of C$7.50(1) ("Tianqi Schemes").


The Tianqi Schemes constitute a superior proposal(2);
  • C$7.50 cash offer for each Share
  • US$25 million cash deposit paid by Tianqi in an Australian bank as a reverse break fee
  • Minimal conditions
  • Talison Directors unanimously recommend Tianqi Schemes, in the absence of a superior proposal
  • Talison and Tianqi have entered into a Scheme Implementation Agreement ("Tianqi SIA") with minimal conditions, subject to Rockwood's 5 business day matching right
  • Rockwood has a 5 business day right to match, although Talison notes that on November 20, 2012, Rockwood made a "best and final offer" statement which, under Australian policy, is expected to limit Rockwood's ability to increase its offer
  • If the Rockwood SIA terminates, Talison expects to pay Rockwood a C$7 million break fee

Tianqi Proposal


On November 19, 2012, Talison received a non-binding, conditional proposal from Tianqi to acquire all of the Shares of Talison which it did not already own for C$7.15 per Share via a scheme of arrangement.

On November 21, 2012, the Talison Directors determined that to meet their fiduciary duties Talison would engage with Tianqi and its advisers to determine if the Tianqi proposal represented a superior proposal (as defined in the Rockwood Proposal).

On November 23, 2012, Tianqi received notification from the Australian Foreign Investment Board (FIRB) that it has no objections to Tianqi's proposed acquisition of Talison. Following receipt of this notification Tianqi would own 19.99% of Talison's issued share capital.

At the conclusion of negotiations between Talison and Tianqi an offer price of C$7.50 per Share was agreed. This values the equity of Talison at approximately C$848 million on a fully diluted basis.


The Talison Directors have now considered the Tianqi Scheme and determined that it represents a superior proposal (as defined in the Rockwood Proposal). The Talison Directors therefore unanimously recommend that Securityholders vote in favour of the Tianqi Schemes, in the absence of a Superior Proposal (as defined in the Tianqi SIA) and subject to an Independent Expert concluding that the Tianqi Schemes are in the best interests of Securityholders. Each of the Talison Directors intends to vote the Shares and Options held or controlled by them as at the registered holder record date in favour of the Tianqi Schemes.

The cash consideration of C$7.50 per Share offered under the Tianqi Scheme represents:
  • A 15% premium to the consideration under the Rockwood Proposal of C$6.50; and
  • A 77% premium to Talison's last closing price of C$4.24 on August 22, 2012, the day prior to the announcement of the Rockwood Proposal.
Resource Capital Fund IV L.P. and Resource Capital Fund V L.P. (collectively, the "RCF Funds") have each confirmed to Talison that, in the absence of an offer which the RCF Funds determine is superior, each of the RCF Funds intend to vote in favour of the Tianqi Share Scheme in respect of the Talison Shares held by them at the relevant time."

Talison Lithium Ltd. (TLH - TSX, $7.15)
Target Price: $7.50 ↑
Higher Bid from the Chinese Is Deemed "Superior"

Jonathan Lee, MBA
Battery Technologies and Materials Analyst: Byron Capital Markets

  • "Higher and Binding Bid from $7.15 to $7.50: Winfield Holdings Ptd Ltd (Winfield), which previously had a non-binding $7.15/sh all-cash bid for Talison Lithium Ltd. (Talison) increased the bid to a "superior proposal" of $7.50/sh in cash. Talison's board of directors and the largest shareholder, Resource Capital Funds, recommended the bid and stated they would vote in favour of the new offer in the absence of a higher bid. We find this as positive news, and it gives comfort in the acquisition being completed. Additionally, as previously stated, Winfield received all Chinese approvals for the acquisition and also received Australian Foreign Investment Review Board (FIRB) approval. The expected timeline to finalize the deal is the end of February 2013, or three months from now. We maintain our TENDER rating and raise our target price to $7.50 as the new binding offer price is released. 
  • Bidder Showing Commitment: As a sign of Winfield's commitment to completing the deal, the company will put US$25 million in a trust fund in an Australian bank. The capital is paid to Talison if Winfield is unable to reach an agreement. We believe this additional US$25 million added to the already 19.99% ownership stake in Talison shows a significant commitment of over $150 million in the company. This gives us comfort that Winfield is serious about the strategic asset to build its existing lithium processing business. We believe that the company may vertically integrate Talison's operation with its downstream lithium processing company, Tianqi Lithium Industries (SZE:002466, Tianqi).
  • A Higher Bid Is Doubtful: Strategically, this acquisition for Winfield makes sense. Its related company, Tianqi, is currently dependent on Talison for its raw material and is also a marketer of Talison's material in China. With a market cap of US$575 million, $30 million in cash and US$7 million in income, the acquisition will be significantly accretive to Tianqi's Chinese lithium operations. This is why we believe Winfield is willing to bid $7.50/sh. Additionally, with Rockwood's final and best offer of $6.50/sh, we believe there is limited room to submit a higher bid.”
---Jonathan Lee, MBA
Battery Technologies and Materials Analyst: Byron Capital Markets

Johnston-Sequoia Commentary:

"Patience and perseverance have a magical effect by which difficulties disappear & obstacles vanish"
--- John Quincey Adams

As a student of the market I have to say that I am extremely impressed with the chess game that Sichuan Tianqi Lithium Industries Inc. (CH: 002466) ("Tianqi") has played in its pursuit of Talison Lithium Ltd (TSX: TLH).  Going head to head with NYSE specialty chemical giant Rockwood Holdings Inc. (NYSE: ROC) (which announced its own unsolicited $724,000,000 all cash bid for TLH back in August) -  Tianqi (Talison's largest buyer of Lithium concentrate) quietly acquired 15% of TLH for approximately $6.50 per share.  Following this announcement Talison received a non-binding, conditional proposal from Tianqi to acquire all of the Shares of Talison for $7.15 per share on November 19, 2012.  Negotiations between Talison and Tianqi resulted in an offer price of C$7.50 per Share. This values TLH at approximately C$848 million on a fully diluted basis.

Tianqi's bid of C$7.50 per Share represents:
  • A 15% premium to the Rockwood bid of C$6.50; and
  • A 77% premium to Talison's last closing price of C$4.24 on August 22, 2012, the day prior to the announcement of the Rockwood bid.
To all of our Salares Lithium Inc. (TSX.V: LIT) and Talsion Lithium Ltd. (TSX: TLH) readers and shareholders who stuck with this story - congratulations.  This is again, Discovery Investing 101.  The Tianqi bid represents approximately a 1,671% ROI (557% per year ROI) in the past three years for Salares Lithium Inc. shareholders who held there shares since December 9th, 2009.

I am an advisor of Talison Lithium Ltd. (and formerly of Salares Lithium Inc.) and own shares in the company.  As always please do your own due diligence.

Sunday, September 16, 2012

Temex: Abitibi 90210

Temex: Abitibi 90210
Temex Announces Initial NI 43-101 Resources of Measured and Indicated & inferred resource of 1,031,000 oz Gold at Upper Hallnor, Whitney Gold Project, Ontario
Temex Resources Corp. (TSX.V:TME) announced "an initial National Instrument   43-101 ("NI 43-101") compliant mineral resource estimate on the Upper Hallnor portion (top 550 metres) of the Whitney Gold Property located in Timmins, Ontario. Temex holds 60% and Goldcorp Canada Ltd. holds 40%...

... Mineral Resource Upper Hallnor In-pit at 0.30 g/t Au cut-off grade
  • Measured ("M"): 232,100 ounces contained in 2,964,000 tonnes at a grade of 2.44 g/t gold
  • Indicated ("I"): 544,000 ounces contained in 8,664,000 tonnes at a grade of 1.95 g/t gold
  • TOTAL M+I: 776,100 ounces Measured and Indicated at a grade of 2.07 g/t gold
  • Inferred: 231,900 ounces contained in 4,024,000 tonnes at a grade of 1.79 g/t gold
  • Wide open for expansion
"...We are particularly pleased with the high gold grade of the resources, amenable to open pit mining, which exceeds those that have been recently mined directly along strike to the east at lower gold prices. Furthermore, excellent potential for expansion of the resource has been demonstrated by our drilling along a 1.5 kilometre strike length to the west including the Upper Broulan Reef Mine where we have intersected gold mineralization with drill results up to 37.90 g/t gold over 8.80 metres...."
--- Ian Campbell, President & CEO of Temex Resources Corp.
Please click on image to enlarge 3 year chart - TME.V

Ian Gordon
"Every now and again, one is lucky enough to discover a precious metals company with outstanding assets that has been overlooked by the investment community. Temex Resources is, in my opinion, one such company.

The company’s most prospective properties are all situated in Northern Ontario along the prolific Abitibi greenstone belt which has already produced more than 150 million ounces of gold.
Juby Lease Property-Gowganda NE Ontario. Temex 100%
The Juby Main Zone has an indicated resource of 14.1 Mt grading 1.36 g/t gold (614,000 oz) and an inferred resource of 18.3 Mt grading 1.14 g/t gold (602,000 oz). The total is, therefore, in excess of 1.2 million oz gold. These grades are similar to the grades at Detour Gold’s massive Detour Lake gold deposit (17.7 million ounces gold). The indicated resource exists above 350 metres and feasible to open pit operation.

There is an excellent opportunity to grow this resource in newly discovered gold zones along strike and in parallel structures.

Juby Joint Venture Property. Temex 60%, Goldeye 40% (Temex is the operator)

This joint venture property surrounds the Juby Lease Property and Temex is the operator. The company recently announced that multiple new priority targets have been identified as a result of ongoing and expanded surface work.

According to Ian Campbell, Temex’s President and CEO, "our intent is to discover new gold zones that will add to the gold resources already established on our 100% owned Juby main zone deposit where we are currently drilling." Oct 19th, 2010.

The Shining Tree area, where these two properties are situated, is highly prospective as evidenced by increased exploration activity that is currently proceeding throughout the area.

Whitney Joint Venture Property, Timmins, Ontario. Temex 60%, Goldcorp 40% (Temex is the operator)

This property historically produced 2.3 million gold oz with 1.7 million ounces of that production coming from the Hallnor mine with an average grade of 0.40 oz per ton. This was the highest grade from the 1 million plus oz gold producers in the Timmins camp. These past mines included the Hollinger mine, which produced gold for 59 years, the McIntyre mine with a production life of 77 years, the Dome mine which is in its 100th year of operation and the Pamour mine which produced gold for 64 years. The production life of the Hallnor mine was 32 years. Gold production from the Timmins camp has already produced in excess of 70 million ounces.

The lower Hallnor Mine is wide open at depth and the joint venture partners have determined to work aggressively to advance the exploration around and at the depth of the old mine workings.

In addition to the Hallnor Mine, there are another two past producing mines on the Whitney property. These are the Broulan Reef and the Bonetal mines and the joint venture partners expect to aggressively conduct exploration in these two locales as well.

Gowganda Silver Property, situated between Timmins and the Juby property. Temex 100%
This property historically produced 41 million ounces of silver at an average grade of 22 opt and has a pre-NI 43-101 inferred 2.6 million ounces of silver in the tailings. There is excellent exploration potential for additional vein discoveries in several areas of the property; one drill hole completed by Temex intersected 12,541 g/t (403 opt) over 0.3 metres while others reported up to 32,316 g/t (1,039 opt) over 0.30 m.

The current market cap of Temex is about $40 million (CAD), which effectively values the gold in the ground on the Juby property at about $33 per ounce and gives no added value for any of the other outstanding properties. We have recently noted a report from a major Canadian brokerage firm that values gold in the ground at $100 per ounce. By that measure alone Temex’s current share price is trading at about one-third of its value and that doesn’t take into consideration any value for the other excellent properties.

 Please click on the image to veiw Temex Corporate Video
Ian Gordon

Temex Resources (TSX.V:TME) Closing price Thursday September 6th. – $0.215. Market cap equals $27 million (CAD).

"On Wednesday September 5, 2012 Temex Resources released a NI 43 101 resource for the upper Hallnor deposit on the Timmins, Whitney property, of which it owns 60% and Goldcorp 40%. This is an open- pit deposit and reaches to a depth of 550 meters. In the measured and indicated category the resource totaled 776,100 au ounces grading 2.07 grams and in the inferred category there are an additional 231,900 ounces grading 1.79 grams. Ian Campbell, President and CEO commented, "This is an important milestone for the company since it is the initial resource estimate based on our exploration efforts on this highly prospective property. The high-grade near surface gold resource announced today is just from the upper Hallnor Mine area, the portion of the property acquired in July 2010 and validates our thesis that Temex controls a very attractive asset strategically located in Canada’s most prolific gold mining district. We are particularly pleased with the high grade gold of the resource amenable to open pit mining, which exceeds those that have been recently mined directly along strike to the east at lower gold prices. Furthermore, excellent potential for expansion of the resource has been demonstrated by our drilling along a 1.5 kilometre strike length to the west, including the Upper Broulan Reef Mine where we have intersected gold mineralization with drill results up to 37.90 g/t gold over 8.8 metres." Wow, that’s great, but would you believe it the stock price fell $0.05 following the news announcement. Anyway, with the 600,000 gold ounce which Temex owns on the Whitney property (60% of 1 million ounces) and its 100% owned 1.8 million ounces on the Juby property, Temex has a combined gold inventory of 2.4 million ounces. The market is assessing Temex a value of just $11.25 (U.S.) per ounce in the ground. In other words, the stock price is very cheap. I own shares in Temex Resources."

Please click to enlarge 6 month chart - TME.V

Johnston-Sequoia Commentary:

"The secret of success is to know something nobody else knows"
I have been following TME for quite some time now.  I was first introduced to the story at the Cambridge House Pheonix Silver Summit in 2010.  I've always been impressed at the entire property portfolio that even at present (+190% in the past 4 months) seems to be heavily undervalued by the market. 
The closest comparison in terms of assets alone that I can draw for our readers is Midway Gold Corp. (AMEX: MDW).  In fact Temex it is essentially the Canadian version of Midway.  Like MDW Temex has an embarrassment of riches in terms of its ounces in the ground vs. its share price.  Although, unlike MDW Temex is the operator on the Whitney Joint Venture.  This is of course positive because they own 60% of the project vs. MDW's 40% (Barrick 60%) of Spring Valley, however the financing for advancing the project at the current 122,388,760 shares issued & outstanding (139,354,189 fully diluted) may be the only concern I have with TME at the moment.

It's been accurately stated that "you're only as strong as your shareholders" -  Sprott Asset Management owns 11.83% of TME (14,482,780 shares) along with a gentlemen that (as many of our readers know) I have a tremendous amount of respect for Mr. Ian Gordon.

Timmins Gold Project:

Whitney Joint Venture with Goldcorp. Summary

Temex holds a 60% interest in a joint venture with Goldcorp in the Whitney Property. The property includes the past producing Hallnor, Broulan Reef and Bonetal mines. The Hallnor Mine was the highest grade gold mine in the Timmins gold camp, having produced 1.7 million ounces of gold at an average grade of 0.40 opt (13.71 g/t). The Whitney Property is located on a 4 kilometre long, 10 million ounce mine trend. 

Drilling Highlights:

Broulan Reef

  • TW08-67: 33.46 g/t gold over 5.40 metres including 204.00 g/t gold over 0.70 metres

Hugh Pam

  • TW05-11: 8.41 g/t gold over 27.50 metres including 17.17 g/t gold over 12.00 metres and 141.28 g/t gold over 1.00 metre

Lower Hallnor 19 Vein

  • TW08-77: 21.10 g/t gold over 6.55 metres including 270.62 g/t gold over 0.50 metres

Q Zone

  • TW09-78: 17.71 g/t gold over 2.90 metres including 90.35 g/t gold over 0.50 metres
  • TW10-94: 180.00 g/t gold over 0.50 metres
  • TW11-154: 122.85 g/t gold over 0.50 metres
I've made the choice to "initiate coverage" on Temex Resources Corp. at this time - simply because I would like to begin to add to my portfolio of Canadian based Assets.  In my opinion TME  is the best Gold exploration and development story in Canada's prolific Abitibi Greenstone Belt from a pure value investors standpoint.

I do not currently own shares of Temex Resources Corp. & I am not an advisor of the company - however I reserve the right to buy TME  on weakness below $0.26.  As always please do your own due diligence.