Gold Explorer Uncovers High-Grade Nevada Hits
StrikePoint Gold Inc.'s (SKP:TSX.V; STKXF:OTCQB) Nevada drilling revealed impressive near-surface gold zones with strong grades and heap leach potential. Read more for key assay highlights.
StrikePoint Gold Inc. (SKP:TSX.V; STKXF:OTCQB) has released final assay results from its Spring 2025 drilling campaign at the Hercules Gold Project, located in Nevada's Walker Lane district. The company completed seven reverse circulation drill holes totaling approximately 1,400 meters, all of which intersected near-surface gold mineralization. Highlights include hole H25005, which cut 117.35 meters grading 0.45 grams per tonne (g/t) gold and 3.55 g/t silver, including 12.19 meters at 2.17 g/t gold and 9.55 g/t silver. Hole H25006 intercepted 10.67 meters of 1.17 g/t gold and 18.13 g/t silver starting at surface, alongside an additional 44.20 meters at 0.35 g/t gold and 4.34 g/t silver.
Company President and CEO Michael G. Allen stated in the news release, "This drill program successfully demonstrated that the Hercules Gold Project has a predictable, large, epithermal footprint hosting abundant near-surface oxide gold. Our geological model for the project has been confirmed, and we believe that the mineralization at Hercules shows the grade and consistency to move forward with the project."
The Hercules Project, acquired in August 2024 for US$250,000, covers approximately 100 square kilometers and contains an Exploration Target, as defined by NI 43-101 standards, of 40.3 to 65.6 million tonnes grading 0.48 to 0.63 g/t gold. The site has historical data from over 306 drill holes and 121 surface trenches. Notably, cyanide solubility tests on the recent drill samples showed soluble gold ranges between 32% and 89% per hole, underscoring the potential for heap leach extraction methods.
Located roughly an hour from Reno, Nevada, a region that has produced more than 218 million ounces of gold historically, the Hercules site sits among globally recognized mining operations such as Barrick/Newmont's Nevada Gold Mines, Kinross, SSR Mining, and McEwen Mining.
Shifting Economic Winds Shape the Gold Sector's Landscape
According to a May 2 report from FX Street, gold prices gained positive momentum and moved away from a two-week low as the U.S. Dollar weakened slightly. This movement came ahead of the U.S. Nonfarm Payrolls (NFP) report, with traders increasingly betting on aggressive Federal Reserve policy easing. FX Street noted that the U.S. Dollar had initially climbed to a three-week high on optimism over possible U.S.-China trade negotiations but later turned cautious after U.S. economic data showed unexpected contraction. Traders anticipated that the Federal Reserve could deliver as many as four quarter-point rate reductions by year-end, following signs of easing inflation reflected in the Personal Consumption Expenditures (PCE) Price Index. FX Street reported, "The U.S. ADP report on private-sector employment suggested that the U.S. labor market is cooling," adding that the increase in initial jobless claims to 241,000, the highest since February, contributed to the cautious tone. As a result, investors looked to gold as a safe-haven asset amid growing uncertainty in the broader economic outlook.
Stockhead's Barry FitzGerald wrote, also on May 2, that record gold prices, notably more than AU$5,000 per ounce in Australia, created a rare window of opportunity for junior explorers to bring small brownfield gold projects into production. FitzGerald explained that such market conditions allowed companies to pursue cash flow generation and reinvest in exploration to expand resources. He quoted Javelin Minerals' executive chairman Brett Mitchell, who emphasized that with established mineralized systems, "it is not a question of finding more gold at the projects, it is how much can be found and at what grade." FitzGerald highlighted that rising gold prices provided juniors the chance to achieve market capitalizations several times over by capitalizing on existing indicated resources.
Ahead of the Herd reported on May 4 that the U.S. economy faced growing stagflation risks, defined as simultaneous high inflation and slowing economic growth. The report cited economist Stephen Roach, who wrote that the reversal of global trade efficiencies, alongside President Trump's tariff policies, threatened to drive the U.S. into a prolonged period of stagflation. Historical data showed that stagflationary periods were favorable to gold, with the report noting, "Gold outperforms other asset classes during times of economic stagnation and higher prices."
According to Ahead of the Herd, during the stagflationary 1970s, gold surged from US$100 per ounce in 1976 to approximately US$650 in 1980, as CPI inflation reached 14%. The report referenced Forbes data showing that gold returned 32.2% during stagflationary periods, outperforming U.S. Treasury bonds and equities.
Expert Assessments Highlight Positive Outlook for StrikePoint Gold
*According to Technical Analyst Clive Maund in an April 21 assessment, StrikePoint Gold Inc. was rated an "Immediate Strong Buy" due to its improving technical condition and its strong positioning within Nevada's Walker Lane trend. Maund highlighted that "downside for the stock is very limited, whilst upside is relatively unlimited after its long bear market from its early 2021 highs, when it was almost 20 times the current price."
He pointed to StrikePoint's progress, noting that the company had advanced its goals with key acquisitions, including 152 claims at the Cuprite property and the Hercules Gold Project, both in Nevada, purchased at favorable prices. Maund emphasized that the company's recent NI 43-101 technical report outlined an exploration target for Hercules ranging between 819,000 and 1,018,000 ounces of gold within 40.3 million to 65.6 million tonnes of mineralized material at an estimated grade range between 0.48 and 0.63 grams per tonne, marking a major step forward.
According to Technical Analyst Clive Maund in an April 21 assessment, StrikePoint Gold Inc. was rated an "Immediate Strong Buy" due to its improving technical condition and its strong positioning within Nevada's Walker Lane trend.Maund's analysis underscored that StrikePoint's share structure remained reasonable, with 41.6 million shares outstanding, and noted that significant holdings by investors such as Eric Sprott and Pathfinder Asset Management strengthened its profile. He explained that there had been "a marked buildup in upside volume since mid-February that has driven the Accumulation line quite steeply higher," indicating that knowledgeable investors had been accumulating shares in anticipation of a potential breakout. Maund set his first target for an advance at CA$0.40, followed by CA$0.90 and then CA$1.20, supported by technical chart patterns and volume trends.
Clark noted that the 100-square-kilometer Walker Lane project hosted multiple previously drilled low-sulphidation epithermal gold targets. He highlighted that results from the 1,400-meter reverse circulation program included 32.0 meters grading 0.54 grams per tonne (g/t) gold and 4.62 g/t silver, with intervals such as 4.6 meters at 1.14 g/t gold and 10.5 g/t silver, and 6.1 meters at 1.5 g/t gold and 11.8 g/t silver.
While Clark acknowledged that these were not high-grade intercepts, he emphasized that the widths suggested potential for open-pit mining scenarios. He stated that StrikePoint remained a pre-discovery story and added, "We'll keep StrikePoint on Hold until we see what management can do to advance the story at Hercules in the latter half of 2025," signaling that further progress could shift investor attention.
Upcoming Drivers: Advancing Hercules and Cuprite Exploration
StrikePoint's investor presentation emphasizes the company's unique positioning with one of the five largest land packages in Nevada's Walker Lane, an area near the significant AngloGold Ashanti "Expanded Silicon" discovery. CEO Michael Allen, known for advancing the Sterling Project prior to its sale to Coeur Mining and later to AngloGold Ashanti for US$150 million, leads the company's strategy. The Hercules Project benefits from over 300 prior drill holes, multiple drill-ready targets, and 45 untested geophysical zones, some containing visible gold. Current permits, including a Plan of Operations and two Notice Level exploration permits, allow StrikePoint flexibility to expand large-scale drilling.
Streetwise Ownership Overview*
StrikePoint Gold Inc. (SKP:TSX.V; STKXF:OTCQB)
*Share Structureas of 4/3/2025Source: RefinitivThe conceptual Exploration Target ranges between 819,000 to 1,018,000 ounces of gold at grades between 0.48 and 0.63 g/t, all open for expansion. Additionally, StrikePoint holds the Cuprite Gold Project, which features geological similarities to the Expanded Silicon discovery and has delivered reportable gold-silver mineralization in four of its first five holes. With a cash position of approximately CA$1.95 million as of December 31, 2024, and a market capitalization of roughly CA$5.0 million, StrikePoint is focusing on advancing its Nevada projects alongside its British Columbia assets. Management sees Nevada's combination of infrastructure access, historical production, and underexplored districts as key to potential shareholder value.
Ownership and Share Structure
According to Refinitiv, Executive Chairman Shawn Khunkhun owns 0.28% of the company, President and CEO Allen owns 1%, Director Ian Richard Harris owns 0.07%, and Director Adrian Wallace Fleming owns 0.02%.
Refinitiv reported that institutional and strategic investors own approximately 13.47% of the company, including 2176423 Ontario Ltd. with 7.17%, and Pathfinder Asset Management Ltd. with 4.81%.
According to Refinitiv, the company has 41.59 million shares outstanding and a market cap of CA$6.24 million. It trades in a 52-week range of CA$0.12 and CA$0.85.
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Important Disclosures:
StrikePoint Gold Inc. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000.As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of StrikePoint Gold Inc.James Guttman wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer.Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.For additional disclosures, please click here.
* Disclosure for the quote from the Clive Maund article published on April 21, 2025
For the quoted article (published on April 21, 2025), the Company has paid Street Smart, an affiliate of Streetwise Reports, US$1,500.Author Certification and Compensation: [Clive Maund of clivemaund.com] is being compensated as an independent contractor by Street Smart, an affiliate of Streetwise Reports, for writing the article quoted. Maund received his UK Technical Analysts' Diploma in 1989. The recommendations and opinions expressed in the article accurately reflect the personal, independent, and objective views of the author regarding any and all of the designated securities discussed. No part of the compensation received by the author was, is, or will be directly or indirectly related to the specific recommendations or views expressedClivemaund.com Disclosures
The quoted article represents the opinion and analysis of Mr. Maund, based on data available to him, at the time of writing. Mr. Maund's opinions are his own, and are not a recommendation or an offer to buy or sell securities. As trading and investing in any financial markets may involve serious risk of loss, Mr. Maund recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although a qualified and experienced stock market analyst, Clive Maund is not a Registered Securities Advisor. Therefore Mr. Maund's opinions on the market and stocks cannot be only be construed as a recommendation or solicitation to buy and sell securities.