New Gold Discoveries Unveiled in British Columbia's Mining Legacy
Golden Cariboo Resources Ltd. (GCC:CSE; GCCFF:OTC; A0RLEP:WKN; 3TZ:FSE) has announced additional results from its 2024 field campaign at the Quesnelle Gold Quartz Mine Property in British Columbia. Read more about promising gold grades revealed during the latest exploration efforts in British Columbia.
Golden Cariboo Resources Ltd. (GCC:CSE; GCCFF:OTC; A0RLEP:WKN; 3TZ:FSE) has announced additional results from its 2024 field campaign at the Quesnelle Gold Quartz Mine Property in British Columbia. This follows updates provided in the company's November 5 press release. Recent efforts focused on sampling in the Halo zone and the newly acquired Washburn Lateral claim, revealing promising gold grades in previously underexplored areas.
In the Halo zone, panel samples returned significant results, including a highlight of 5.15 grams per tonne (g/t) gold over a 1 x 1-meter area from an exposed outcrop. These samples were collected to ensure representative data following earlier grab sampling results of up to 8.47 g/t gold.
The Washburn Lateral claim also yielded a notable grab sample containing 1.27 g/t gold, collected from an area 137 meters southeast of the QGQ24-08 drill collar. This location features altered andesitic volcaniclastics with quartz-carbonate-pyrite veining, similar to mineralization observed in the property's Main, Halo, and North Hixon zones. The results indicate potential southeastern continuity of the North Hixon zone onto the Washburn Lateral claim, a parallel trend from the property's Main zone.
Golden Cariboo's President and CEO, Frank Callaghan, remarked in the news release, "This year's field campaign was highly successful in extending the surface footprint of our multi-kilometer gold system. These results further suggest that significant potential remains on the property yet to be tested with the drill bit, including the southeastern extension of the North Hixon zone, which remains a high-priority target for the company."
The Quesnelle Gold Quartz Mine Property, located 4 kilometers northeast of Hixon in central British Columbia, covers 3,814 hectares and is accessible year-round via an industrial road. Historic mining in the area dates back to the 1860s, with placer and hard rock operations contributing to a long-standing legacy of gold production.
Gold Mining: Rising Demand and Strategic Value
On November 13, Joe Vidueira, writing for the Mises Institute, highlighted the central role of gold in navigating economic and geopolitical uncertainties. He cited data from the World Gold Council showing central banks purchased 1,037 tons of gold in 2023, the second-highest annual total in history, and noted that 29% of surveyed central banks planned to increase their gold reserves in 2024. Vidueira also remarked on gold's ascension as "one of the best-performing assets of 2024," attributing its rise to "persistent economic as well as geopolitical uncertainties."
In a report dated November 26, Egon von Greyerz observed the increasing demand for gold as central banks in Eastern and Southern regions aggressively boosted their holdings. Von Greyerz stated, "The combination of Eastern/Southern Central Bank gold buying and all CBs replacing their dollar reserves with gold will lead to unprecedented demand for gold for many years." He emphasized that limited annual gold mine production of approximately 3,000 tonnes could not meet this growing demand, likely driving gold prices "up by multiples."
David Brady, writing for Sprott Money on November 28, analyzed positioning trends in gold futures markets. Brady explained how "bullion banks" and "money managers" influence price movements, noting that a reduction in net short positions by banks coincided with a sharp gold price decline. However, he pointed out that these adjustments often signal future price stabilization or increases as market dynamics shift.
Most recently, in a November 30 Citizen Watch article, the site examined the potential for a significant gold revaluation due to de-dollarization, increasing national debt, and central banks stacking gold. Their analysis suggested that under scenarios such as significant currency devaluation or hyperinflation, gold prices could escalate dramatically, with estimates ranging from US$7,500 to US$50,000 per ounce in extreme cases.
Golden Cariboo's Exploration Advancements and Growth Opportunities
Golden Cariboo Resources has outlined an ambitious exploration program for 2024, with plans to build on the successes of this year's field campaign. According to the company's investor presentation, Phase 2 of its exploration program will include a 2,500-5,000-meter drill program targeting high-priority zones identified through recent sampling and mapping activities. These include the Halo zone, where the discovery of additional gold mineralization suggests open potential in all directions, and the North Hixon zone, where continuity with the Washburn Lateral claim presents a compelling opportunity.
Management's experience, particularly in developing the nearby Cariboo Gold Project, demonstrates Golden Cariboo's strategy of leveraging similar geology to advance its Quesnelle Gold Quartz Mine Property. The company is also focused on producing an NI 43-101 compliant resource estimate upon completion of the 2024 exploration programs.
The project's strategic location, encircled on three sides by Osisko Development Corp., enhances its attractiveness. Road access enables year-round exploration, and the property's proximity to significant infrastructure supports logistical efficiency. With an insider ownership of approximately 30%, the management team demonstrates strong alignment with shareholder interests.
Third Parties on Golden Cariboo
In a September report, Ron Wortel, senior mining analyst with Couloir Capital, provided a positive outlook for the company's ongoing projects at the Quesnelle Gold Quartz Mine Property. Wortel emphasized that the company is "led by a team that restarted the gold rush in the Cariboo mining camp of BC," demonstrating the historical significance and continued potential of the region.
The report also highlighted the property's geological parallels to Barkerville, a historical hard rock gold mine, suggesting substantial exploration potential. Wortel noted, "Recent drilling intervals of gold mineralization over 260m show potential for bulk tonnage targets on the project," and visible gold in current drilling "indicates potential for high-grade assays from mineralized targets."
Couloir Capital assigned a "Buy" recommendation to Golden Cariboo Resources, citing the company's exploration initiatives as a unique opportunity for exposure to gold resource discovery in a Tier 1 jurisdiction. The report assigned a fair value of CA$0.40 per share, projecting an upside of 286% from the current share price at the time of the report. While the perceived risk was categorized as high, the potential reward was deemed significant, especially in light of record-setting gold prices.
Streetwise Ownership Overview*
Golden Cariboo Resources Ltd. (GCC:CSE; GCCFF:OTC; A0RLEP:WKN;3TZ:FSE)
*Share Structureas of 10/3/2024Source: Refinitiv and Golden CaribooOwnership and Share Structure
According to Golden Cariboo, management and insiders own 30% of Golden Cariboo Resources.
President and CEO Frank Callaghan owns 16.45% or 6.93 million shares; Elaine Callaghan has 0.97% or 0.41 million shares; Director Andrew Rees has 0.79% or 0.33 million shares; and Director Laurence Smoliak has 0.3% or 0.13 million shares.
Retail investors hold the remaining. There are no institutional investors.
The company said it has 50.3 million shares outstanding, 24.83 million warrants, and 3.8 million options.
Its market cap is CA$12.37 million. Over the past 52 weeks, Golden Cariboo has traded between CA$0.08 and CA$0.36 per share.
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Important Disclosures:
Golden Cariboo Resources Ltd. has a consulting relationship with Street Smart an affiliate of Streetwise Reports. Street Smart Clients pay a monthly consulting fee between US$8,000 and US$20,000.As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Golden Cariboo Resources Ltd.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.