“The leverage that we have been putting together is going to pay off big-time,” explained Steve Regoci (see video excerpt below), the Garibaldi Resources‘ (GGI, TSX-V) President and CEO who was extremely upbeat Friday afternoon and not just because Gold and Silver took off sharply to the upside.
There is no shortage of challenges facing all junior resource companies these days, but the uphill battle is made a whole lot easier when you have all-in drilling costs of less than $100 a meter and you’re hitting a high-grade structure within 50 meters of surface. Garibaldi’s early success at its Silver Eagle discovery in central Sonora State is clearly gaining momentum, given Friday morning’s announcement from the company, and now the next stage is to continue to grow that discovery while also boldly stepping out nearly 3 km to the southeast where hyperspectral ‘hot spots’ are lighting up the Tarichi Gold-Silver target like a Christmas tree.
Hyperspectral technology, and proprietary data gained from that, paid big dividends for Garibaldi in 2009 when it cashed in on its Temoris option with Paramount Gold & Silver (PZG, NYSE), and the same technology and data have been instrumental in defining no less than 11 high-priority targets at Rodadero North along a NW-SE trending corridor 10 km long and 5 km wide.
Significant producing mines are located in all directions around Rodadero. “Two decades from now, there will still be new deposits found in this region,” stated Regoci. “The geology is prolific and there’s still much to be discovered.”
Based on developments at Rodadero, Garibaldi will be doing more than its share to help maintain Sonora’s status as the most actively explored state (out of 31) in Mexico.
Click on the arrow (video) below for fresh comments and interesting new insight on Rodadero from Regoci following Friday’s news (should automatically provide high quality HD viewing – if not, simply manually adjust your setting at the bottom right corner of the video).
Note: John and Jon both hold share positions in GGI.
only problem with GGI is there is no volume.
Comment by dave — November 9, 2014 @ 12:43 pm
Dave, I appreciate the point you’re trying to make, though volume on GGI is a lot better than many of its peers….regardless, I think I’d take a double for the year in this market (as GGI is now) over a higher volume play that’s only doing high volume because of poor share structure and a whack of dilution over the last few years…if you’re a trader, of course you look for high volume; all depends on your investment strategy and approach…if you want to see really high volume on GGI, wait for higher prices after a drill hole into a bonanza shoot…more likely than ever as that’s really just a numbers game now and the # of holes is accelerating…
Comment by Jon - BMR — November 9, 2014 @ 1:19 pm
John and Jon how many share options has/will GGI pay you for this promotion on your website? I think its only fair that you disclose to the readers this information so that they are aware of any potential conflicts of interest. Cheers, Anonymous001
Comment by anonymous001 — November 9, 2014 @ 4:51 pm
Zilch, anonymous001, is the answer. Fair question but that’s not how we operate, so our hands aren’t tied with any company we track. Read our disclaimer (on the site and video). We each hold GGI shares we’ve purchased in the open market as we love the opportunity. We always disclose if we hold positions in any situations that are covered here. And I added to my GGI position Friday by the way. Our biggest reward, really, if any of the companies we closely follow succeeds in a huge way, is further growth in the popularity of the site and that will translate into potential opportunities down the road.
Comment by Jon - BMR — November 9, 2014 @ 4:59 pm
I like the way Regochi says BIG TIME!!
Comment by Greg — November 9, 2014 @ 5:06 pm
I do too, Greg. His energy was noticeably up a couple of notches. Body language can speak volumes.
Comment by Jon - BMR — November 9, 2014 @ 5:15 pm
I read someone was disappointed, well I’m not, extra million,maybe a extra drill or two, I’m with Jon, drill these targets and property to Swiss cheese,then very soon, start lighting the dynamite.volume should start picking up.
Comment by Tombc — November 9, 2014 @ 5:44 pm
Ok fair enough, thanks for the honestly Jon.
Comment by anonymous001 — November 9, 2014 @ 6:40 pm
Jon, did Steve give any indication as to a rough timetable of events for the forthcoming months. How many drills will they use?
Comment by Tom UK — November 10, 2014 @ 3:02 am
Tom, pretty much as they set out in their news Friday. I asked about a second drill – they have quick access to one, as conditions on the ground continue to evolve – so deployment of a second drill is something I do anticipate at the appropriate time…9 drill holes layed out at the moment for Tarichi, so continued drilling at Silver Eagle while things expand out there, while Tarichi is a high priority and that’s potentially what could be done concurrently….Tarichi should be very interesting as the system evolves from mainly very high-grade Silver at Silver Eagle to Silver-Gold and base metals at Tarichi……there are some different mineralogical packages at Rodadero, which is exciting, but many of these targets could be linked as part of a much larger epithermal system…when someone like Peter Megaw is intrigued and fired up by this, you know you’re on to something…it just screams to be drilled very aggressively as there are more discoveries to be made here I’m sure given the mounting evidence…the hyperspectral has been key in narrowing this all down in the first place…the sampling on the ground and the drilling are confirming what the hyperspectal data was saying….
On another note, interesting takeover this morning…New Gold is acquiring Bayfield Ventures…we’ll probably see more of this type of thing in the coming months…
Comment by Jon - BMR — November 10, 2014 @ 5:16 am