Gold Explorer With Strong Support to Start Phase 5 Drilling Program
Dryden Gold Corp. (TSXV:DRY; OTC:DRYGF) announces details of its upcoming Phase 5 drilling program at the Gold Rock project, its strategic 60,000-hectare (ha) land package outside of Dryden, Ontario. Read why one analyst thinks its big backers make it a big value.
Dryden Gold Corp. (TSXV:DRY; OTC:DRYGF) announced details of its upcoming Phase 5 drilling program at the Gold Rock project, its strategic 60,000-hectare (ha) land package focused on the Manitou-Dinorwic deformation zone outside of Dryden, Ontario.
Drilling is set to start late this month. The company said 11 holes totaling about 1,300 meters were planned. To date, the company has drilled four phases of the project.
"We are set to build on the impressive results from our previous drilling phases," said Chief Executive Officer and Director Trey Wasser. "This program represents a crucial step in our strategy to unlock the full potential of the Manitou-Dinorwic deformation zone."
According to Dryden, the first four phases of drilling confirmed the orientation, structural controls, and expanded a historically delineated high-grade shoot with hole KW-23-016 returning 3.81 grams per tonne gold (g/t Au) over 7 meters, including 71 g/t Au over 0.3 meters; and hole KW-23-018 returning 6.66 g/t Au over 4.3 meters, including 44.8 g/t Au over 0.27 meters.
The results also confirmed the orientation, structural controls, and expanded the Elora high-grade zone with hole KW-24-008 returning 14.1 g/t Au over 7.54 meters, including 43.81 g/t Au over 1.42 meters and 92.10 g/t Au over 0.30 meters, Dryden said. Hole KW-24-003 returned 53.51 g/t Au over 1.05 meters, including 181 g/t Au over 0.3 meters.
That drilling also successfully intersected another new high-grade shoot with hole KW-23-009A returning 26.11 g/t Au over 3.16 meters, including 79.8 g/t Au over 0.33 meters.
Technical Analyst Clive Maund wrote that Dryden is "a most interesting advanced-stage gold exploration company with an extensive land package in mining-friendly Ontario where infrastructure is excellent."*
"The fact that industry legends Eric Sprott and Rob McEwen have significant shareholdings in the company speaks for itself," Maund wrote.
The company's properties are in a prolific gold region, he noted, and have many similarities with the Red Lake Mine and Timmins camp.
Coming Catalysts: Fieldwork, Results, Fall Drilling
Dryden Gold Corp. is an exploration company focused on the discovery of high-grade gold mineralization and controls a 100% interest in a dominant strategic land position in the Dryden District of Northwestern Ontario.
Its property package includes historic gold mines that have seen limited modern exploration. It hosts high-grade gold mineralization over 50-kilometers of potential strike length along the Manitou-Dinorwic deformation zone, the company said. It has excellent infrastructure, enjoys First Nations support and proximity to an experienced mining workforce.
Technical Analyst Clive Maund wrote that Dryden is "a most interesting advanced-stage gold exploration company with an extensive land package in mining-friendly Ontario where infrastructure is excellent."Dryden said the Gold Rock Camp area extends about 25 kilometers along strike of the Manitou-Dinorwic deformation zone and is centrally located in the Dryden Gold land package.
Geologically, the area is hosted by mafic volcanic flows that were intruded by syn-deformational felsic dykes with orogenic gold occurrences largely occurring within approximately 5 to 10 kilometers of major east and northeast trending deformation zones.
The Phase 5 drilling program will continue to advance the high-grade gold potential of the region by concentrating on the Big Master gold system, the company said. The planned holes are preferentially focused on the plunge extension of the historically defined high-grade shoot, the newly identified shoot from phases 1-4, and along strike extensional drilling to the southwest.
"A key objective we have at Dryden Gold is to find and expand additional high-grade shoots within our growing footprint in the Gold Rock Camp," Wasser has said. "Our drill program has been designed to take bold step-outs, not simply drill near known high-grade mineralization."
The company's coming catalysts include a summer field program, results from the drilling and field programs, and a fall drilling program.
A Golden Bull?
Gold hit its highest price ever of US$2,483.35 last week, and many believe it is already in a bull market.
Some experts, like Bloomberg Senior Commodity Strategist Mike McGlone, have predicted that it will only be "a matter of time" before gold hits US$3,000.
Having a major effect is the increasing role of central banks buying the metal. The World Gold Council's 2024 Central Banks Gold Reserves Survey showed four in five respondents expected reserve managers to increase their gold holdings in the next year, the website reported, according to a report by Stockhead on June 18.
Seventy central banks were polled by the Council. Nearly 30% said they are planning to add to their own gold reserves this year and 57% said gold will account for a higher proportion of global reserves within five years.
Streetwise Ownership Overview*
Dryden Gold Corp. (DRY:CVE;DRY:TSX)
*Share Structureas of 1/22/2024Source: Dryden Gold"Extraordinary market pressure, unprecedented economic uncertainty, and political upheavals around the world have kept gold front of mind for central banks," the Council's global head of central banks and head of Asia-Pacific, Shaokai Fan, said, according to Stockhead.
According to analysts at J.P. Morgan, the "bull case for gold remains intact."
"Gold's resurgence has come earlier than expected, as it further decouples from real yields," said Gregory Shearer, head of base and precious metals strategy at J.P. Morgan.
"We have been structurally bullish (on) gold since the fourth quarter of 2022, and with gold prices surging past $2,400 in April, the rally has come earlier and has been much sharper than expected. It has been especially surprising given that it has coincided with Fed rate cuts being priced out and U.S. real yields moving higher due to stronger labor and inflation data in the U.S."
Ownership and Share Structure
Maund said the company's shareholder breakdown "illustrates that there is a lot of confidence in the company." Alamos Gold Inc. (AGI:TSX; AGI:NYSE) has an almost 15.4% stake in it, Eric Sprott owns 4.26%, Rob McEwen owns 3.55%, and other important stakeholders including management and insiders own 11.87%. Less than half of the 93.89 million shares are available to retail investors.
According to Reuters, Euro Pacific Asset Management also owns about 8.48% of the company.
Its market cap is CA$11.27 million, and it trades in a 52-week range of CA$0.40 and CA$0.10.
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Important Disclosures:
Dryden Gold Corp. 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 Dryden Gold Corp.Steve Sobek 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 source May 20, 2024
For the quote (sourced on May 20, 2024), 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 expressed.Clivemaund.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.