GFG Hits 33.77 g/t Gold Over 1.05 meters
I covered GFG Resources pretty well in a piece I did in early September. With a lack of news the shares price dropped about 45% based on shareholders not clearly understanding the incredible progress GDG has made.
The biggest problem GFG faced for the last couple of years was shareholders dying of boredom due to a seeming lack of progress and a certain lack of news. Management got it and worked on two fronts at the same time. They found one of the finest and best run gold companies in the world to finance and explore their keystone Rattlesnake Hills project. I first saw the project in 2008 and have always loved it.
They brought in Newcrest in September and while there won’t be a lot of news, Newcrest is spending up to $80 million advancing the project.
And the company picked up a suite of major potential properties near Timmins Ontario. This fall they began a Phase 1 drill program that has thus far completed 4,744 meters in nineteen holes. They have just released results from the first six holes. Over the coming weeks there will be more results from the remaining thirteen holes.
The initial 2019 drill program of 4,000 meters begins in February. That means there will be a steady flow of information for the next several months.
Rattlesnake has an implied value of over $100 million all by itself. GFG has a market cap of under $25 million. That’s absurd. The company has excellent management, is well cashed up and is working in elephant country. My bet is they will find at least a mid-sized elephant.
GFG is an advertiser. I own shares bought in the open market and in the last PP. I am biased. Do your own due diligence.