Giant Mining Corp. (CSE: BFG; OTCBB: BFGFF; FSE: YW5) has announced the commencement of diamond core drilling at its Majuba Hill Copper Deposit, a project that includes copper, silver, and gold located in Pershing County, Nevada.
The drilling is being done by Big Sky Exploration, LLC, and the initial phase of this drilling program involves a minimum of 1,600 feet (488 meters) of diamond core drilling within the established exploration target area. This phase aims to expand the mineral potential at the Majuba Hill Copper Deposit, providing detailed and accurate data crucial for understanding the extent and continuity of copper, silver, and gold mineralization. According to David Greenway, CEO of Giant Mining Corp., this program is pivotal in expanding their understanding of the deposit and advancing the project.
As Greenway remarked, "We are excited to commence the core drilling program at Majuba Hill. This phase of drilling is pivotal for expanding our understanding of the deposit and enhancing the resource potential. We believe the drill data collected will be instrumental in advancing the project and driving value for our shareholders."
Additionally, the recent project review by renowned geologist Richard H. Sillitoe, who examined the drill core, underground workings, and surface geology at the Majuba Hill Project, brought valuable insights. His observations will be incorporated into the ongoing exploration program, further supporting the project's advancement. According to the company, the insights from Sillitoe, coupled with the high-quality drill data, are expected to significantly enhance Giant Mining's strategic decisions and potentially drive value for shareholders.
Why Copper?
As reported in the Financial Times on July 20, Copper miners predict an industry overhaul as end users rush to secure supply.
"Ultimately, those that will be utilizing the copper — whether that is for charging stations, grid buildout or vehicles — will start to get more interested in how they access this copper," said Jonathan Price, chief executive of Teck Resources, a Canadian copper and zinc producer.
Copper demonstrated strong potential. As Reuters reported in May, "Equipment manufacturing is currently the largest end-use sector for copper, followed by construction and infrastructure. Global apparent use of refined copper rose from 10 million metric tons in the late 1980s to 26.5 million tons in 2023 as Asia became the largest consumer with a 70% share of consumption."
In July, the National Post discussed the necessity of new copper mines to meet EV transition goals. Dr. Lawrence Cathles from Cornell University stated, "There's a disconnect between the intentions to meet global warming challenges and the reality of the materials required." The copper mining sector has been buoyed by significant investments and a bullish outlook, driven by increasing demand for copper in various industries and challenges posed by declining production rates from legacy mines.
A May report from the University of Michigan highlighted the escalating need for copper. Adam Simon, a U-M professor, stated, "A normal Honda Accord needs about 40 pounds of copper. The same battery electric Honda Accord needs almost 200 pounds of copper. Onshore wind turbines require about 10 tons of copper, and in offshore wind turbines, that amount can more than double." He pointed out, "The amount of copper needed is essentially impossible for mining companies to produce," illustrating the immense challenge in meeting future copper demand.
Michael Ballanger of GGM Advisory Inc. highlighted the strategic shifts within major mining companies in his July 8 article. He observed, "Even the senior gold stocks like Barrick Gold Corp.'s CEO (and resolute gold bug, Mark Bristow) have shifted to a copper-bias and now aggressively seek out copper-gold porphyry deposits over straight gold deposits as part of their new strategy."
Some Giant Catalysts
As the company indicated in its news release, the commencement of the Core Program at the Majuba Hill Copper Deposit is a significant milestone for Giant Mining Corp., as it aims to gather comprehensive data to refine the geological model of the deposit. This data will play a crucial role in enhancing resource evaluation efforts, providing a more detailed understanding of the deposit's size, structure, and mineralization patterns. This, in turn, will allow the company to update its resource estimates with greater precision, reducing geological uncertainties and boosting confidence in the project's potential.
Additionally, the recent project review by renowned geologist Richard H. Sillitoe, who examined the drill core, underground workings, and surface geology at the Majuba Hill Project, brought valuable insights. His observations will be incorporated into the ongoing exploration program, further supporting the project's advancement. The insights from Sillitoe, coupled with the high-quality drill data, are expected to significantly enhance Giant Mining's strategic decisions and potentially drive value for shareholders.
Experts Are Saying...
Streetwise Ownership Overview*
Giant Mining Corp. (BFG:CSE; BFGFF:OTC; YW5:FWB)
Technical Analyst Clive Maund also provided a favorable evaluation of Giant Mining Corp. in May. He pointed out several factors that made the company an attractive investment, stating, "The substantial financing that was announced as closed on the first of the month was oversubscribed, and any future ones are expected to be as well." This indicated strong investor confidence and financial support for the company.
He concluded, "Giant Mining is expected to continue to advance, and as there is no significant resistance until the CA$2.75 area is reached, it continues to be rated a Strong Buy, especially on any minor dips."
Ownership and Share Structure
According to Giant Mining Corp., approximately 18.6% of its shares are held by insiders. The remaining shares are held by retail investors.
Giant Mining Corp. has a market capitalization of approximately CA$14,547,126.
The company's shares are traded on the Canadian Securities Exchange (CSE) under the ticker BFG, on the Deutsche Boerse AG (DB) under the ticker YW5, and on the OTC Pink Sheets in the U.S. under the ticker BFGFF, with these listings active since December 2017.
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Important Disclosures:
- Giant Mining Corp. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000. In addition, Giant Mining Corp. has a consulting relationship with an affiliate of Streetwise Reports, and pays 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 Giant Mining Corp.
- 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.
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