RSS SubscribeHarvest Gold: Writing an emerging gold story in Quebec – Richard Mills
2024.08.19
Through EGR Exploration (TSX.V:EGR) I’ve been given a chance to learn about Harvest Gold (TSX.V:HVG) and reconnect with an old friend, Harvest’s CEO Rick Mark.
When I first met Rick he was CEO of VMS Ventures (TSX.V:VMS) which was focused on acquiring, exploring and developing copper-zinc-gold-silver massive sulphide deposits in the Flin Flon-Snow Lake VMS Belt of Manitoba.
In 2010 VMS Ventures entered into a joint venture and four option agreements with Hudbay Minerals (TSX:HBM) respecting HudBay’s Reed Lake copper property and a series of adjacent mineral properties held by VMS in Manitoba’s Flin Flon Greenstone Belt.
The Company’s VMS project property portfolio consisted of the Reed Lake Mine which VMS and their partner HudBay Minerals (TSX:HBM) brought into commercial production.
VMS Ventures was bought out by Royal Nickel in 2016.
Harvest Gold (TSX.V:HVG)
Fast forwarding, on Dec. 18, 2023, Harvest Gold entered into an option agreement with Vior Inc. (TSXV:VSR), whereby Harvest can earn up to a 100% interest in Vior’s Mosseau gold project, now Harvest’s flagship property. Mosseau lies at the western boundary of the Urban Barry Greenstone Belt, an area renowned for both historic and current mining activities, including the Windfall deposit. Notably, Osisko Mining and the well-known prospector, Shawn Ryan (White Gold), hold neighboring claims.
On Dec. 19, 2023 Harvest Gold entered into an option agreement with EGR Exploration (TSXV:EGR) to acquire 100% of the Urban Barry property in the Eeyou Istchee James Bay/Abitibi region of Quebec. Urban Barry is situated on the southwestern edge of the Urban Barry Greenstone Belt and has a strike length of approximately 19 kilometers. From November 2019 to March 2020, EGR flew an airborne drone magnetic geophysical survey over the property. The results confirmed the northwest extension of rock units and fault structures hosting the nearby Windfall gold deposit.
On March 12, 2024 Harvest Gold acquired, through map staking, a continuous block of 60 mining claims southeast of its Mosseau project. The La Belle property overlays the same geological contact as Mosseau and Urban Barry and covers an area of 3,394 hectares.
This recent staking brings Harvest Gold’s total land position in the Urban Barry region to 329 claims covering 17,539 ha in three projects.
Urban Barry Greenstone Belt
“One of the many things that attracted us to Urban Barry was the confidence Gold Fields had in this greenstone belt, as indicated in Osisko’s May 2, 2023 announcement that said their partner Gold Fields will sole fund expenditures for regional exploration up to a maximum of C$75 million. This mining-centric region in Quebec is gaining renewed attention worldwide.”
In April of this year Harvest raised $150,000 through a private placement led by Crescat Capital. By taking down about 40% of the private placement, Crescat became a 14.19% owner in Harvest Gold.
“We are delighted to see Harvest Gold secure a district-scale land package in an underexplored greenstone belt on strike with one of the more notable new gold camps to emerge in the Superior Province of Quebec,” said renowned geologist Dr. Quinton Hennigh, technical and geological director of Crescat Capital. “They have stealthily assembled a project with excellent potential, and we are quite anxious to see what some boots-on-the ground prospecting delivers.”
GOLD FIELDS TO ACQUIRE OSISKO MINING FOR C$2.16 BILLION
The world-famous Abitibi region, within the Urban Barry Greenstone Belt, is a geological formation now dominated by Goldfields Limited (NYSE:GFI). Harvest Gold controls 3 large prospective land packages (Urban Barry, Mosseau and La Belle) all overlaying the same geological contact within the Urban Barry Greenstone Belt.
Conclusion
Harvest Gold has three elements I like to see in an early-stage junior: excellent management team with a proven record of success; properties in a safe and mining-friendly jurisdiction close to already-established deposits or mines; and a tight share structure of just 47.5 million shares outstanding.
Harvest Gold offers investors the opportunity to own 100% of three gold projects with significant size and depth potential in a region of world-class deposits, the Abitibi Greenstone Belt.
Quebec is mining-friendly and politically stable, with road access to Harvest’s properties, nearby infrastructure and workforce, and low drilling costs.
Osisko had agreements with Gold Fields and Bonterra Resources (TSXV:BTR) for the joint development of the Windfall and Gladiator deposits, demonstrating potential discovery upside.
Osisko/Gold Fields/Bonterra have committed to spend $105 million in the next six years on regional exploration of the Urban Barry Belt.
(Of course, any properties owned by Osisko Mining will become Gold Fields’.)
The bottom line? Harvest Gold is a well managed, well located. low-cost early entry opportunity to possibly participate in the leverage associated with a world class discovery.
Harvest Gold Corp.
(TSX.V:HVG)
Shares issued:46,751,342
Market Cap: $2.1m
HVG website
Richard (Rick) Mills
aheadoftheherd.com
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Richard does does not own shares of Harvest Gold Corp. (TSX.V:HVG).HVG is a paid advertiser on his site aheadoftheherd.com
This article is issued on behalf of HVG
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VIDEO: There’s a “disconnect between junior equity prices and the gold price”
The move expanded Gold Field’s asset portfolio in the Americas, where it already has mines in Chile and Peru, and made it the sole owner of one of Canada’s most promising gold projects – Windfall in Quebec, which it had been developing in a 50/50 joint venture with Osisko. — Gold Fields CEO
“Its a world class project in a great jurisdiction with a huge land package…we were looking for a pathway to consolidate 100% of this asset,” CEO Mike Fraser said in an interview with MINING.com.
https://www.mining.com/theres-a-disconnect-between-junior-equity-prices-and-the-gold-price-says-gold-fields-ceo/ #Gold $HVG $GFI
Gold is seemingly breaking records almost daily. Silver is threatening to bust out. Copper is, despite recent negativity, in a structural supply deficit that is only going to grow. China is threatening more, and tougher, trade restrictions on critical metals.
We live in a finite supply world.
Yet our demand is infinite.
And juniors, the owners of the world’s future mines, cannot get financed, or are doing them at lows we’ve never seen.
I’m going to finance a couple of these Co’s, those with superior, imo, projects. Ones that own their projects 100% and of course have competent management
I’m also looking at (and already own one), juniors that have, very smartly and timely, done recent earn in or JV deasl with a major mining company.
Maybe financing for junior’s will turn around. But those that get financed now, ones w/o already blown out share structures, will have a huge lead in giving their investors what has been historically been the best leverage to rising metal prices – junior’s.
And those junior’s that have a project interesting enough to attract a major’s attention, as an earn in or JV partner, those jr’s whose shareholders will suffer property dilution, not share dilution, will also do well with their senior partners funding exploration & development of any discoveries.
Rick