Not many people realize that California ranks 4th for mineral production among US states, and mineral production makes a US$13.5 billion economic contribution to the state that includes 99,000 jobs (direct and indirect). The California border with Nevada and Arizona is a region rich in mining history and multiple present day operating mines including Equinox Gold’s Mesquite Gold Mine (EQX:NYSE) in Imperial County and Rio Tinto’s Boron Complex (RIO:NYSE) in Kern County, California.
While the Mesquite Mine is coming to the end of its production life, another gold developer/explorer stands to bring two large scale gold projects into production in the next decade while creating hundreds of jobs and a substantial economic contribution to the state of California. KORE Mining (TSX-V:KORE, OTCQX: KOREF) holds 100% ownership of the Imperial and Long Valley Gold Projects, two development stage projects that host a combined total of 2.1 million ounces of gold measured & indicated, and 1.8 million ounces of gold inferred.
KORE is not resting on its laurels despite having nearly four million ounces of gold in the ground at its two development stage projects in California. KORE recently staked an additional 4,600 acres of mineral claims, bringing KORE’s total to approximately 31,000 acres in the Mesquite-Imperial-Picacho District. The new staking extends KORE’s control of the prolific historic mining district and captures a trend including several recently discovered dry stream bed gold anomalies associated with a regional fault. KORE is continuing with a systematic exploration program of the district that was announced in early March.
KORE has discovered gold in several dry stream beds between Imperial and Picacho with grades as high as 1 gram/tonne gold. In addition, several additional outcrops have been discovered in this area with anomalous gold rock chip samples.
Additional exploration is underway including:
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Satellite multispectral survey to identify alteration associated with gold mineralization
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Additional ground geophysics surveys to extend structural interpretation
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Further mapping and geochemical sampling on new target
KORE’s Imperial gold resource is located ~9 miles (15km) to the southeast of Equinox’s Mesquite Mine and KORE’s claims extend all the way to the edge of Mesquite:
Imperial is a district scale project that stands to benefit a county with a history of mining and one of the highest unemployment rates in the state of California. Imperial has road access to site, fairly flat terrain, and cohesive ore bodies that are near surface and amenable to heap leaching.
The ongoing exploration program at Imperial includes further detailed soil sampling grids, detailed geological mapping, additional IP geophysics and a satellite multispectral survey of the entire claim area. More targeting results are expected in the coming weeks and months including a first look at prospecting work on the eastern, Imperial to Picacho, part of the District
Drilling on several of the high priority western targets is planned in mid-2021 once permits have been received. KORE is also planning to move the Imperial PEA mine plan into permitting in mid-2021 once drilling permits are received.
KORE shares have declined 60% from their December 2020 peak at C$2.01 and the chart is showing some subtle signs of accumulation and bullish momentum divergences near an important area of price memory near C$.80:
KORE.V (Daily)
At today’s C$.83 share price KORE’s gold ounces in the ground are being valued at less than $20 per ounce (highly discounted to its peers) as the company embarks upon an important summer of exploration at both Imperial and Long Valley. In addition, the initiation of mine permitting at Imperial is an important milestone for the company.
Disclosure: Author owns KORE.V shares at the time of publishing and may choose to buy or sell at any time without notice.
Disclaimer
The article is for informational purposes only and is neither a solicitation for the purchase of securities nor an offer of securities. Readers of the article are expressly cautioned to seek the advice of a registered investment advisor and other professional advisors, as applicable, regarding the appropriateness of investing in any securities or any investment strategies, including those discussed above. Kore Mining Ltd. is a high-risk venture stock and not suitable for most investors. Consult Kore Mining Ltd.’s SEDAR profiles for important risk disclosures.
EnergyandGold has been compensated to cover Kore Mining Ltd. and so some information may be biased. EnergyandGold.com, EnergyandGold Publishing LTD, its writers and principals are not registered investment advisors and advice you to do your own due diligence with a licensed investment advisor prior to making any investment decisions.
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