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Solaris Resources (TSX:SLS) Reports 1,000m of 0.81% CuEq From Surface and Broadens Width of Warintza Central to North

Solaris Resources (TSX:SLS) (OTCQB:SLSSF) has reported new assay results this morning from its ongoing resource expansion drilling at its flagship Warintza…

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This article was originally published by Mining Feed
Figure 1 – Long Section of Warintza Central Drilling Looking Southeast. Source: Solaris Resources

Solaris Resources (TSX:SLS) (OTCQB:SLSSF) has reported new assay results this morning from its ongoing resource expansion drilling at its flagship Warintza project. The project is located in southeastern Ecuador and has been progression rapidly, with a focus on Waritnza Central. 

Mr. Jorge Fierro, Vice President, Exploration, commented: “Warintza Central continues to expand, with the limits of the zone to the north, south and east yet to be found.  Drilling planned over the coming months is focused on further extensional and step-out drilling, including establishing the potential link to the recently-discovered Warintza East zone, and discovery drilling at the other well-defined targets within the 7km x 5km Warintza cluster of porphyries.”

Highlights

  • Three additional holes at Warintza Central, as detailed below, have extended the drill defined envelope of high-grade mineralization to the north, northeast and south, with the highest-grade mineralization encountered in all holes starting at or near surface (refer to Figures 1 & 2)
  • SLS-30 was collared in the western portion of the Warintza Central grid and drilled into a partially open volume to the north, returning 372m of 0.82% CuEq¹ from surface, including 264m of 0.97% CuEq¹ from 42m depth, extending mineralization in this direction
  • SLS-31 was collared in the middle of Warintza Central and drilled into an entirely open volume to the southeast, returning 1,000m of 0.81% CuEq¹ from near surface, including 768m of 0.90% CuEq¹ from 44m depth, extending mineralization to the south in this area
  • SLS-32, stepped out approximately 165m northeast beyond the northern limit of drilling and drilled vertically into an open volume, returning 618m of 0.48% CuEq¹ from surface, including 372m of 0.64% CuEq¹ from 46m depth, broadening the width of the zone to the north
  • To date, 44 holes have been completed at Warintza Central with assays reported for 32 of these

 

Table 1 – Warintza Central Assay Results

Hole ID Date Reported From (m) To (m) Interval (m) Cu (%) Mo (%) Au (g/t) CuEq¹ (%)
SLS-32 Oct 12, 2021 0 618 618 0.38 0.02 0.05 0.48
Including 46 418 372 0.53 0.02 0.06 0.64
SLS-31 8 1008 1000 0.68 0.02 0.07 0.81
Including 44 812 768 0.75 0.03 0.08 0.90
SLS-30 2 374 372 0.57 0.06 0.06 0.82
Including 42 306 264 0.72 0.06 0.07 0.97
SLS-29 Sep 7, 2021 6 1190 1184 0.58 0.02 0.05 0.68
SLS-28 6 638 632 0.51 0.04 0.06 0.68
SLS-27 22 484 462 0.70 0.04 0.08 0.91
SLS-26 July 7, 2021 2 1002 1000 0.51 0.02 0.04 0.60
SLS-25 62 444 382 0.62 0.03 0.08 0.77
SLS-24 10 962 952 0.53 0.02 0.04 0.62
SLS-19 6 420 414 0.21 0.01 0.06 0.31
SLS-23 May 26, 2021 10 558 548 0.31 0.02 0.06 0.42
SLS-22 86 324 238 0.52 0.03 0.06 0.68
SLS-21 2 1031 1029 0.63 0.02 0.04 0.73
SLS-20 April 19, 2021 18 706 688 0.35 0.04 0.05 0.51
SLS-18 78 875 797 0.62 0.05 0.06 0.83
SLS-17 12 506 494 0.39 0.02 0.06 0.50
SLS-16 Mar 22, 2021 20 978 958 0.63 0.03 0.06 0.77
SLS-15 2 1231 1229 0.48 0.01 0.04 0.56
SLS-14 0 922 922 0.79 0.03 0.08 0.94
SLS-13 Feb 22, 2021 6 468 462 0.80 0.04 0.09 1.00
SLS-12 22 758 736 0.59 0.03 0.07 0.74
SLS-11 6 694 688 0.39 0.04 0.05 0.57
SLS-10 2 602 600 0.83 0.02 0.12 1.00
SLS-09 122 220 98 0.60 0.02 0.04 0.71
SLS-08 Jan 14, 2021 134 588 454 0.51 0.03 0.03 0.62
SLS-07 0 1067 1067 0.49 0.02 0.04 0.60
SLS-06 Nov 23, 2020 8 892 884 0.50 0.03 0.04 0.62
SLS-05 18 936 918 0.43 0.01 0.04 0.50
SLS-04 0 1004 1004 0.59 0.03 0.05 0.71
SLS-03 Sep 28, 2020 4 1014 1010 0.59 0.02 0.10 0.71
SLS-02 0 660 660 0.79 0.03 0.10 0.97
SLS-01 Aug 10, 2020 1 568 567 0.80 0.04 0.10 1.00
Notes to table: Grades are uncut and true widths cannot be determined at this time.

Table 2 – Collar Locations for New Drill Holes

Hole ID Easting Northing Elevation (m) Depth (m) Azimuth (degrees) Dip (degrees)
SLS-32 800383 9648303 1422 831 0 -89
SLS-31 799765 9648033 1571 1025 97 -80
SLS-30 799667 9648029 1499 552 0 -65
Notes to table: The coordinates are in WGS84 17S Datum.

 

(1) No adjustments were made for recovery as the project is an early-stage exploration project and metallurgical data to allow for estimation of recoveries is not yet available. Solaris defines copper equivalent calculation for reporting purposes only. Copper-equivalence calculated as:  CuEq (%) = Cu (%) + 3.33 × Mo (%) + 0.73 × Au (g/t), utilizing metal prices of Cu – US$3.00/lb, Mo – US$10.00/lb and Au – US$1,500/oz.

Source: Solaris Resources

Figure 2 – Plan View of Warintza Drilling Released to Date. Source: Solaris Resources
Figure 3 – Plan View of 7km x 5km Warintza Porphyry Cluster. Source: Solaris Resources

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.

The post Solaris Resources (TSX:SLS) Reports 1,000m of 0.81% CuEq From Surface and Broadens Width of Warintza Central to North appeared first on MiningFeeds.





Author: Matthew Evanoff

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6 Canadian Penny Stocks That May Take off in November 2021

If you’re looking for some of the hottest Canadian penny stocks on the market today, you’ve come to the right place. We’ve got 6 of the best penny stocks…

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If you’re looking for some of the hottest Canadian penny stocks on the market today, you’ve come to the right place. We’ve got 6 of the best penny stocks to be looking at in 2021. Continue reading to find out what they are!

What is the definition of a penny stock?

The definition of a penny stock is quite broad. You’ll get varying answers from different investors, but the general consensus is that a penny stock is a stock that trades below $5.

However, it’s important to note that a lot of popular stocks, ones that don’t have the volatility or market capitalization of a penny stock trade below $5. So here is a few more guidelines to help you narrow down your search:

  • Penny stocks are typically smaller companies, and their shares are often illiquid (not easy to buy and sell)
  • They have a small following, and typically are not covered by major analysts
  • They usually trade OTC (over-the-counter, more on this later) or through pink sheets.

Canadians often confuse the term small-cap stock with penny stock. Unlike numerous small-cap stocks, you won’t find penny stocks trading on the TSX.

This is often because they are too small to meet the requirements needed to list on major exchanges, and don’t file the proper paperwork needed.

How do I buy penny stocks in Canada?

The first box you need to check off if you want to invest in penny stocks is the ability to handle significant volatility. If you don’t think you can stomach the risk, simply head to our how to buy stocks page to get started investing in the major exchanges.

What I like to tell investors looking to start trading the pink sheets, is to set aside an amount you would be completely comfortable losing. I wouldn’t recommend anyone invest their whole portfolio into penny stocks. But a designated amount, say 10% of your total portfolio, is completely reasonable.

Once you’ve allocated some capital towards what I like to call “fun investing”, you’ll need a brokerage account.

If you already have one, you’re ahead of the game. If not, feel free to check out our Questrade review. In my opinion, they are the best brokerage to start with if you’re looking to invest in penny stocks.

Take advantage of our exclusive offer for $50 in free trades with Questrade today.

Keep in mind, most brokerages charge more than their standard commission rates to buy penny stocks.

This is simply due to the fact that the stocks are traded over-the-counter, which is a little bit different than processing a transaction on a normal exchange.

Is it bad to invest in penny stocks?

If you’ve developed the proper strategy no, it isn’t bad to invest in penny stocks.

Where people go wrong, is investing money that they simply can’t afford to lose, and in the end it puts them in a very difficult position both emotionally and financially.

Penny stocks are, in the end, a gamble. We don’t have enough fundamental research to form any sort of concrete conclusion about the company’s future. So, our opinion is that you should be purchasing penny stocks with money you would be completely comfortable taking to a casino.

Why are penny stocks so cheap?

Penny stocks are often companies that do not meet the requirements or have the funding to list on major exchanges. As such, they typically have low market capitalizations and less stringent requirements.

One requirement to list on major exchanges is a higher share price. With penny stocks, there is no minimum and as such, stocks can trade extremely cheap, sometimes in fractions of a penny. The key to judging a size of a company is not its share price however, but it’s market cap. This is a very important concept.

Can you get rich off penny stocks?

It is possible to become rich investing in penny stocks yes. But, it’s very important you understand that for every success story, someone striking it rich and retiring early off a penny stock, there is a dozen, if not more, disasters of people risking way more than they were comfortable with and losing it all.

You are more likely to go broke than strike it rich with penny stocks. So, keep this in mind and invest solid, blue-chip stocks with the majority of your portfolio and spend expendable capital if you wish on Canadian penny stocks.

Can you buy penny stocks on Wealthsimple?

Unfortunately with a brokerage like Wealthsimple Trade, you won’t be able to buy Canadian Penny stocks. Why?

Well, when companies aren’t listed on a normal exchange like the NYSE,NASDAQ or TSX, they are traded via a broker-dealer network. Transactions take place via a bulletin board (the OTCBB) and Pink Sheet listing services.

These broker-dealer networks communicate with each other and act as market makers. They will locate shares available for purchase or sale, along with negotiate a price for a fee.

Although most of the stocks trading over-the-counter cannot make it on the major exchanges due to regulations, they still need to meet requirements to trade OTC.

It’s not only penny stocks that trade over-the-counter either. For example, companies may also issue bonds over-the-counter.

If you want to find a brokerage that will let you trade Canadian penny stocks, you’ll need to stick to one that deals with OTC transitions like Questrade.

Tips when buying penny stocks

Before you get started, I’m going to drop you a few quick pointers you will need to be successful with buying penny stocks here in Canada. This is by no means a complete list, however I feel they are some of the most, if not the most important things you need to know so you don’t lose your money.

  • When buying penny stocks, be aware that smaller sized entities may not be required to file documents with the Securities and Exchange Commission (SEC), something that bigger companies are required to do. This makes determining the financial health of a company nearly impossible, which is often why purchasing penny stocks is often thought of as nothing more than a gamble.
  • In order to reduce your risk, try investing in companies listed on the OTCQX or OTCQB exchanges. These are essentially the top and middle tiers in terms of penny stocks, and companies listed on these exchanges will more than likely have accurate financial information, and will file it in a timely manner.
  • If you’re looking for some of the highest returns, albeit highest risk, the OTC Pink is the lowest tier of penny stocks in terms of financial information provided. These stocks are the most volatile, so they bring with them highest potential profitability. Keep in mind though, the higher the reward, the higher the risk.
  • There are a ton of penny stocks out there, and I would highly suggest using a screener to identify and narrow down your potential list of suitable companies.
  • Knowledge in technical analysis is absolutely crucial when trading penny stocks. Because limited or inaccurate financial information is available to most investors, fundamental analysis almost plays no part in picking stocks.
  • Analyze the management team. More than anything, they will be responsible for the inevitable failure or success of the company. With startups in particular, there will be a lot of key decisions made by the management team that can make or break an over-the-counter company.

FP Newspapers (TSXV:FP)

Hot Penny Stocks On The TSX - FP Newspapers

Speaking of terrible liquidity, you’ll want to be careful trading Canadian penny stock FP Newspapers (TSXV:FP) shares. This $0.63 stock sometimes goes a whole day without trading and has average daily trading volume of just a few thousand shares.

I’m the first to admit a company that owns 49% of the distributable cash of several newspapers in Manitoba – most notably The Winnipeg Free Press – doesn’t sound like a very exciting penny stock opportunity in 2021. But this stock is insanely cheap, and it seems to be turning a corner.

It earned approximately $0.32 per share in 2020, while shares trade for less than 2x that much. It’ll get a nice journalism tax break from the Canadian government in 2021, too.

It also could sell its headquarters in Winnipeg for a nice gain as well. Shares could see another boost when an important loan gets extended.

The stock could also pay a substantial dividend in a year or two once it starts to earn a little more money and it gets its balance sheet more under control. If this happens, you’ll be very happy you got in today.

Kodiak Copper (TSXV:KDK)

Kodiak Copper Stock

 

Kodiak Copper (TSXV:KDK) is a newer player on this list of top Canadian penny stocks primarily because of the rising price of copper.

If you haven’t been paying attention, the price of copper has launched over the last year, going from lows of $2.10 in 2020 to touching highs of $3.70 just recently in 2021. Obviously, with this company being essentially a copper pure-play, it stands to benefit from this increase in price.

In fact, in September of 2020, resource giant Teck Resources invested $8 million into Kodiak Copper, representing a 9.9% stake in the company, and showing strong signs of confidence and outlook for the junior exploration company moving forward.

The company generates no revenue and is largely a play on its exploration efforts and asset base which is located in British Columbia, Arizona and Nunavut.

The company actually recently went through a transition, as it changed its name from Dunnedin Ventures to Kodiak Copper at the start of 2020, and is probably one of the higher risk plays on this list. However, there’s always large potential in exploration companies in the very early stages. Just be wise, and invest with expendable capital.

Namesilo Technologies (CSE:URL)

Top Canadian Penny stocks - Namesilo

 

Namesilo Technologies (CSE:URL) is an internet services company in Canada that registers domain names, provides hosting, offers email services, and provides various other needs for the owners of websites.

In 2021, having your own website is imperative. Customers don’t bother picking up the phone if they have a question or concern; they’re just going to go straight to your website. If you don’t have a digital advertising strategy, good luck.

Namesilo is delivering blistering growth of late, more than doubling its top line on a year-over-year basis in 2019. Net income before taxes, meanwhile, grew more than 1,000% compared to the same period last year. Profit margins expanded as well, and the company reported strong customer retention rates.

The question is whether Namesilo can continue its blistering growth. It should benefit from new businesses (and individuals) becoming serious about building an online presence, as well as taking customers from competitors. Its focus on giving great deals and providing excellent service is a winning combination.

And at just $0.25 per share, Namesilo certainly qualifies as a penny stock. The stock only has a market cap of just under $23 million, so big-time investors might struggle with its lack of liquidity.

Fobi AI (Formerly Loop Insights) (TSXV:MTRX)

Loop Insights Logo

 

Fobi AI (TSXV:MTRX) has surged in value recently, but prior to this the company had a market cap of just over $40 million. It now sits at just under $190 million, but I’d still firmly place this company in penny stock territory.

Fobi AI, which recently changed its name from Loop Insights, provides retail and marketing solutions for digital and physical landscapes. They’re primarily situated in the AI sector, and the company’s primary function is to enable brick and mortar companies to analyze critical customer data, including customer spending habits and trends.

The company works in the casino, sports, hospitality, retail and education sectors and has signed multiple critical contracts with some major players here in Canada, including Telus, Amazon and Shopify. Although the company does not generate any revenue at the time of writing, this is still a company you’ll want to keep a close eye on moving forward.

As of right now, it’s very difficult to value this company considering it has no form of revenue generation or any sort of earnings. And because of this, we can expect the company to be, like many Canadian penny stocks, extremely volatile around earnings time and on news releases. There is a lot of speculation and forward earnings priced in to Loop’s price right now, so we’d stress extreme caution if you’re considering taking a position.

Athabasca Oil (TSX:ATH)

Canadian Penny Stocks - Athabasca Oil

Athabasca Oil (TSX:ATH) is a classic penny stock conundrum. It has huge upside potential, but there’s also a real possibility the company could go bankrupt. It’s almost like flipping a coin, except if you win, you’ll likely do far better than just doubling your money.

The company has light oil production in both the Motney and Duvernay fields in Alberta Canada, as well as heavy oil production near Fort McMurray. The heavy oil assets have a long reserve life, but the company isn’t making much from any of its production because of low oil prices.

Athabasca projects it’ll start earning free cash flow in the next couple of years, but in the meantime, it’s forced to spend approximately $125 million each year on sustaining capital. It has cash on the balance sheet, but it must also contend with refinancing some US$450 million worth of debt coming due in 2022.

You could make a lot of money if oil recovers and Athabasca Oil shares shoot higher. But this $0.22 stock is cheap for a reason. You’re taking some significant risk buying today, especially with the demand in oil plummeting due to COVID-19.

However, a quick recovery in the industry could lead to a quick recovery in this stocks share price as well. Prior to COVID-19, Athabasca’s share price sat in the low $0.50 range.

Redishred (TSXV:KUT)

Top Canadian Penny Stocks - Redishred

One of our favorite Canadian penny stocks is Redishred Capital (TSXV:KUT), which owns and operates the Proshred brand.

Proshred has two separate business models – it both owns mobile paper shredding trucks and it franchises out locations to interested franchisees. The company has either corporate or franchised operations in 40 different U.S. cities.

The mobile paper shredding model has a few interesting advantages. It allows Redishred to easily acquire competitors and then rebrand them. It’s more secure – and convenient — than bringing documents to a central location. And the multi-city business model allows brand recognition in an industry that’s currently very fragmented.

It’s well poised to keep growing, thanks to its clean balance sheet with almost zero debt. Top managers are major shareholders with an ownership stake of more than 40% of the company.

And unlike many penny stocks, this company generates plenty of cash flow. Remember, this company has a share price of $0.61 and a market cap of just over $48 million. It doesn’t take much to really move the bottom line.

Redishred is one of our top penny stock picks in Canada because it’s in a good business with great growth potential. It’s the kind of stock you’ll want to stick in your portfolio and own for a very long time.

However as with any other penny stock, you’ll want to keep a close eye on it incase anything materially changes.












Author: Dan Kent

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Northwest Copper drills 235 metres of 2.92% CuEq at Kwanika, B.C., shares up

  VANCOUVER – Northwest Copper Corp. [NWST-TSXV; NWCCF-OTCQX] reports drill hole K-21-217 has returned the highest-grade copper-gold interval ever intersected…

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VANCOUVER – Northwest Copper Corp. [NWST-TSXV; NWCCF-OTCQX] reports drill hole K-21-217 has returned the highest-grade copper-gold interval ever intersected at the Kwanika project that is easily accessible by road from the town of Fort St. James, British Columbia. The interval consists of massive to semi-massive copper and gold mineralization at moderate depth in the western half of the deposit. It expands the high-grade portion of the deposit, introducing a new style of mineralization.

The drill intercept returned the following mineralized intervals: 235.45 metres of 2.92% copper equivalent (CuEq) comprising 2.00% copper, 1.21 g/t gold and 5.3 g/t silver containing 153.25 metres of 4.13% CuEq comprising 2.84% copper, 1.69 g/t gold and 7.5 g/t silver, further containing 9.40 metres of 33.60% CuEq comprising 29.85% copper, 4.34 g/t gold and 70.5 g/t silver.

“This drill hole is a game changer for our Kwanika deposit and for the region,” said Peter Bell, president and CEO. “The very high grade within a larger porphyry system is very unusual and establishes a brand new and incredibly exciting target type. We drilled one of the highest-grade drill holes reported globally in 2018, when DDH18-SD-421 intersected 100 metres of 5.30% CuEq, at our adjacent Stardust deposit. This new Kwanika drill hole is even higher grade than drill hole 421 and occurs just seven km away. The presence of such extraordinary grades in multiple deposits is both surprising and rare and opens up multiple, very high-grade exploration targets over a substantial area.”

Northwest’s goals at Kwanika in 2021 included expanding the high-grade zone and improving the grade within it by drilling angled holes across mineralized structural zones with closer-spaced drilling. The results to date have exceeded the company’s expectations, both expanding and improving the continuity and grade.

Kwanika is held by Northwest Copper with a 65% interest, and POSCO Daewood, which owns the other 35%.

The company has entered into a market-making services agreement for Independent Trading Group (ITG) Inc. will provide certain market-making services to the company principally to assist in providing liquidity and stability to the company’s common shares trading on the TSX Venture Exchange.

In early trading on October 27, shares of Northwest Copper gained $0.29 to $0.92 on a volume of 7,181,000 shares traded.

 







Author: Editor

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Teck Gets Boost From Coal – Q3 Earnings More Than Tripled

Teck Resources Ltd. (TECK.B-TSX, TECK.A-TSX, TECK-NYSE) said earnings more than tripled in the third quarter…

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[nxtlink id="268709"]Teck Resources[/nxtlink] Ltd. (TECK.B-TSX, TECK.A-TSX, TECK-NYSE) said earnings more than tripled in the third quarter of 2021, thanks to an “extremely favourable commodity price environment – particularly for steelmaking coal.”

“Heading into the fourth quarter, we are focused on continuing to optimize sales and production to capitalize on high commodity prices and advancing our priority QB2 project,’’ said Teck President and CEO Don Lindsay.

The company said adjusted EBITDA (earnings before interest, tax and depreciation) was a record $2.1 billion in the third quarter, more than triple the same period last year. Profit attributable to shareholders was $816 million or $1.53 per share and adjusted profit attributable to shareholders was $1.0 billion or $1.91 per share in the third quarter, more than seven times higher than the same period last year.

Realized copper, zinc and steelmaking coal prices were US$4.25 per pound, US$1.38 per pound and US$277 per tonne respectively in the months of September (2021). As a result, Teck said its EBITDA for the month of September contributed approximately half of its adjusted EBITDA in the third quarter.

Sales of steelmaking coal were 5.9 million tonnes in the third quarter, with approximately 1.9 million tonnes or 32% sold to China significantly above FOB Australia prices. The FOB Australia price increased sharply in the latter half of the second quarter and continued to increase to unprecedented levels through the third quarter.

It is worth noting that these developments follow recent speculation that Teck was planning to unload its coal operations and increase the emphasis on copper production.

They also follow recent revisions to the company’s 2021 coal and zinc production forecasts. The revisions were driven by the impact of British Columbia wildfires and increased absenteeism associated with COVID-19 protocols.

Annual coal production is expected to be at the lower end of the annual guidance range of 25.0-26.0 million tonnes.

Due to the impact of wildfires, Teck trimmed its 2021 refined zinc production at the Trail, B.C. smelting operation by 3.0% and warned that copper sales at the Highland Valley operation, also in B.C., are unlikely to catch up to output due to logistical disruptions.

Meanwhile, the company has said it continues to makes solid progress at the Quebrada Blanca Phase 2 (QB2) copper project in Chile.

“Overall progress on our QB2 project is now past the two-thirds mark and we continue to expect first production in the second half of 2022,’’ Teck said.

QB2 is essentially as continuation of the existing Quebrada Blanca open pit operation, which is located in the Tarapaca Region of northern Chile, and is expected to produce up to 8,000 tonnes of cathode copper this year.

The copper growth from QB2 will, over time, help to balance Teck’s portfolio so that the contribution from the company’s copper business could be similar to its steelmaking coal business.

On October 26, 2021, Teck’s Class B common shares closed at $34.95. The shares are currently trading in a 52-week range of $37.00 and $15.81.

 

Author: Staff Writer

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