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Toronto-listed Goldshore Resources, is an emerging junior gold development company, which owns the Moss Lake gold project located in northwestern Ontario, Canada. Goldshore acquired the Project from Wesdome Gold Mines in January 2021 and subsequently raised C$25 million in February 2021 in support of the transaction and development of the project.

The various transactions by the company were approved by the TSX.V on May 31, 2021 and Goldshore was admitted for trading on June 4, 2021 on a C$65 million valuation. Wesdome commenced as a 29.9% shareholder and recently moved to 25.7% after the company announced a C$7 million private placement in November 2021 that was upsized to C$10 million, with the financing being completed on November 23, 2021.

Well-financed and supported by an industry-leading management group, board of directors and advisory board, Goldshore is well positioned to advance the Moss Lake gold project through the next stages of exploration and development, in an effort to create a path to becoming the next tier one gold asset in Ontario, Canada.

Often gold projects (globally) have captive resources that may or may not reach multi-million ounce status, yet are still economical and get placed into production. However, Goldshore acquired a 4M oz historical resource in the Moss Lake Project, and intends on developing it through its various phases of drilling in its initial 100,000m planned drilling campaign, towards Tier One status: 10M oz resource size; 500,000 oz per annum production profile; 10 year+ life of mine (mine plan) and lower half of the gold producers cost curve (c.$900/oz currently).

So Goldshore recognized the size and scale of the Moss Lake’s potential, and quickly prepared a comprehensive strategy to maximize this potential; and to a standard that is acceptable to a mid-tier or large market cap gold producers.

ABOUT THE MOSS LAKE GOLD PROJECT

The Moss Lake gold project is located approximately 130 kilometres west of the city of Thunder Bay, Ontario. It is accessed via Highway 11 (Trans-Canada Highway) which passes within 1 km of the property boundary to the north. The Moss Lake gold project covers 14,292 hectares and consists of 282 unpatented and patented mining claims.

The project land package contains the Moss Lake deposit, the Osmani deposit, and the Hamlin zone, all of which occur over a known mineralized area exceeding 20 kilometres in length, through three different types of geological occurrences: I.O.C.G. (iron-ore, copper-gold) style deposit; sheer zone hosted deposit and a V.M.S. (volcanic massive sulphide) style deposit). A historical PEA (preliminary economic assessment) was completed on Moss Lake in 2013 and published by Moss Lake Gold. An unpublished update of the historic PEA was done by Wesdome in 2020.

The total project area has 1.47 million ounces of indicated gold resources and 2.5 million ounces of inferred historical gold resources, primarily focused at Moss Lake. The company is led by a management team with extensive experience in the mining industry, including Brett Richards, president and chief executive officer, Peter Flindell, vice president of exploration, and Marlis Yassin, chief financial officer.

A VIEW FROM GOLDSHORE MANAGEMENT

Brett Richards joined Goldshore as its CEO in January 2021, and commented: ‘I got excited when I first looked at the Project last year during due diligence,’ he said. ‘The project ticked many boxes of potential size and scale, and it is why I decided to participate not only as CEO, but also financially. Given the current and forecasted outlook for gold price, I think the Moss Lake Project is quickly going to be defined as one of the next Tier One gold assets in Ontario - much like Detour Lake was many years ago.

When asked his view of the gold price, Richards noted: ‘I believe gold is rising to a new trading range of $1,800 to $2,200 an ounce, up from the $1,100 to $1,400 or the $1,500 to $1,800 range of the past five to 10 years. There will be spikes up and down, of course, but I believe we’ll be in that new range for a long time to come, given the macro-economic fundamentals that are before us causing an inflationary (and in some periods deflationary) economic environment, which is not transitory.’

Richards stated: ‘The Moss Lake project works at $1,500 to $1,600 gold, and will do exceptionally well if gold goes up, given the fact that these low grade / high volume / bulk tonnage projects are so leveraged to the gold price. When I personally look to invest, I look for size and scale, and Moss Lake ticks both boxes in a big way.’

Richards also added: ‘In my experience, the best way to serve shareholders is to add value as quickly as possible, which I believe we will do within 18 to 24 months. We have created a solid vehicle, and when we complete our strategy, we will endeavor to look for a possible way to realize that value by partnering with a strategic operator to lead the continuation and advancement of the project into permitting, financing, construction and production.” he concluded.

FIRST RESULTS FROM DRILLING CAMPAIGN

Commenting from the field, Pete Flindell had these comments: ‘These first drilling results confirm the caliber of results received since the start of the drilling program and confirm the significant widths of higher grade, +1 g/t Au mineralization.

‘Our plan to expand the drilling fleet over the winter will allow us to reach our targeted monthly meterage of 10,000m and allow us to test extensions to Moss Lake suggested by our airborne geophysical survey, as well as infill the gold deposit to support next year’s PEA.

‘Getting results of an intercept of 117.12m @ 1.26 g/t Au, essentially from surface, reaffirms our view that the Moss Lake gold project contains a significant volume of +1 g/t Au mineralization that can underpin a meaningful, economic gold deposit. The fact that we are continuing to intersect gold mineralization outside of the volume modelled in 2013 also affirms our belief that the deposit is much wider, much deeper and larger than previously interpreted.”

SUMMARY

With a historical resource of 4m oz of gold; a great team; a large land package in a jurisdiction such as Ontario, Canada; with Richards and Flindell driving the Company through its development; Goldshore Resources looks ready to deliver the next tier one gold asset in Ontario, Canada.

DISCLAIMER: This article was written by Goldshore Resources and published by Shares under a commercial agreement. It is not a recommendation to buy or sell the shares. The article originally appeared in SharesSpotlight report on 23 December 2021.

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Issue Date: 06 Jan 2022