Source: sandsun.

Recession, supply and currency devaluation fears are returning mining companies to the spotlight.

This is evidenced by the materials sector accounting for over 70 per cent of the $1.6 billion raised on the TSX year to date, which is motivated by:

  • Higher metals prices, due to the aforementioned fears stemming from monetary tightening and excessive COVID-related government stimulus
  • The scarcity of certain critical minerals like lithium and copper, which are essential to achieve the United Nations’ goal of global net-zero emissions by 2050

Copper and gold are currently hovering around all-time-highs, while lithium has lost approximately 50 per cent YoY, reflecting spiking but likely temporary market doubt about renewable energy‘s staying power.

Silver, for its part, has been flat over most of the last decade, in contrast to its current multi-hundred-million-ounce deficit for everything from electronics to solar panels, to jewelry and investing.

Whether it’s gold and silver’s applications as non-fiat currency alternatives, or the fact that EV production requires a currently unsustainable amount of minerals, mining companies of all stages are benefitting from the sector’s undeniable role in evolving the status quo to greener, more efficient technological heights.

Such fervent investor enthusiasm, far from acting as a tide that lifts all boats, has left many smallcap and microcap mining companies untouched due to lack of wider market coverage. Based on historical stock performance, this seems to be the case for the following three miners, all of which received considerable reader attention over the past week:

ION Energy (TSXV:ION) acquires new lithium pegmatite project in the Yellowknife pegmatite province

The acquired Bliss Lake Lithium Project measures 5,798 hectares, contains five contiguous licences, and is less than 15 km from Li-FT Power’s Road Access Group and 20 km from Patriot Battery Metals, where numerous lithium-bearing pegmatites have sampled with over 1 per cent Li2O.

Numerous pegmatite occurrences have been identified at the Northwest Territories-based project – the largest interpreted to be over 300 m in strike length – with exploration slated to begin as soon as possible.

CEO Ali Haji spoke with Coreena Robertson about the news.

The acquisition follows the mining company’s recent progress at its Urgakh Naran project in Mongolia.

ION Energy (TSXV:ION) is down by approximately 12 per cent since inception.

Heritage Mining (CSE:HML) announces corporate and exploration update for the Drayton – Black Lake project

The first few weeks of phase 1 exploration drilling at Heritage’s flagship Drayton – Black Lake project in Ontario have yielded:

  •  A 5 m-wide orogenic load gold style sheeted quartz vein with grab sample assays pending
  • Significant galena, pyrite, chalcopyrite and sphalerite associated with a 15 m corridor of primary and secondary quartz veins
  • Improved access thanks to logging activities in the northeastern portion of the property, as well as the sourcing of important equipment for mapping and exploration and coreshack facilities

CEO Peter Schloo spoke with Shoran Devi about the news.

The updates follow a recent private placement, record gold assays on the project, and Schloo’s longer-form interview with Simon Druker about Heritage’s overall business strategy.

Heritage Mining (CSE:HML) is down by approximately 46 per cent since inception.

Ridgeline Minerals (TSXV:RDG) is cashed up and ready to drill

The mining company focuses on development and exploration, primarily in Nevada, with exposure to high-grade silver, gold, lead and zinc.

It boasts a US$30M earn-in agreement with Nevada Gold Mines (Barrick and Newmont JV), the notoriety and approval of having the one and only Rick Rule as a lead investor, on top of a prospective pipeline of projects.

Exploration at its Selena project is slated for July 2023 to follow up on intercepts as high as 1,200 g/t silver equivalent.

President and CEO Chad Peters spoke with Shoran Devi about the news.

The update follows last month’s closing of an oversubscribed private placement and the uncovering of high-grade gold and silver at Selena.

This is sponsored content issued on behalf of ION Energy, Heritage Mining and Ridgeline Minerals, please see full disclaimer here.


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