Fremont Gold Prepares to Drill Carlin Style System in Nevada
Another low market cap junior we just added as an advertiser announced on Friday that they closed a private placement for $1.48 million and are preparing a drill program for their lead Nevada gold project on the Cortez trend.
Fremont Gold (FRE-V) comes with a stable of five gold projects in the Carlin district of Nevada. They are giving Pilot Gold 9.9% of their shares and $325,000 over time for their lead project, Griffon. They announced the acquisition in December.
Griffon was last drilled in the 1990s. Owned by Alta Gold the company produced over 90,000 ounces of gold in an oxide heap-leach mine from 1997-1999. The low price of gold killed Alta and they went into bankruptcy in 1999. Pilot Gold, a subsidiary of Liberty Gold picked up several of the assets of Alta before vending it to Fremont Gold.
Clearly there is still gold left at Griffon. Before entering Chapter 7, Alta had drilled a 57.9 meter hole at 0.86 g/t gold in hole GR97-175. The project is target rich. The company hasn’t announced their drill program yet, the project is just too new. But Fremont has a solid management team who know how to raise money and advance projects.
The latest private placement gave them enough money to get started but also they issued 26 million warrants good for a year at $.10. It wouldn’t take much success on the part of Fremont to put those in the money. That would bring in an additional $2.6 million. That would be more than enough to either make or break Griffon.
Fremont is an advertiser. I have participated in the latest private placement. Naturally that makes me biased so please do your own due diligence.
Fremont Gold Ltd