An incredible group of geologists and mining investors have circled Kaminak Gold for its Coffee gold deposit in the Yukon which is heap leachable. Based on the backing of the people involved, it looks like it will be one of the world's next major gold mines.
CEO Eira Thomas is one of the most respected mining developers in Canada, having helped turn Aber Resources, Lucara Diamond and other junior miners into successes. At Kaminak she is flanked by Chairman John Robbins, an equally admired and successful Vancouver-geologist. The company also owes its discovery to explorer Rob Carpenter. Consider these three a modern day geology brain-trust.
The merits of the project have attracted two of the most accomplished mining investors in the world, namely billionaires Ross Beaty and Lukas Lundin (Zebra Holdings and Investments S.à.r.l.). These two men subscribed to the entire $13.52 million dollar July 2014 private placement. Lundin and Beaty each own 9.98% of the company on a partially diluted basis. The investing track records of these men is reason enough to pay attention to Kaminak.
Led by CEO Eira Thomas, Kaminak is working to complete its feasibility study following a robust Preliminary Economic Assessment (PEA released in June). This involves infill drilling, metallurgical sampling, condemnation sampling and drilling, geotechnical studies, environmental baseline studies, and further assessment of the potential all-weather access road to the Coffee gold project.
Using $1250 gold, the June 2014 PEA showed robust after tax economics:
- NPV of $330-million;
- IRR of 26.2 per cent;
- Payback of 2.0 years.
The company is also excited about a new gold discovery, Kona North.
Kaminak remains well funded with $23 million in cash (September presentation).
Eira Thomas, chief executive officer, commented: "After ramping up from one to six drills in the third quarter, feasibility activities are now in full swing with steady news flow anticipated through to year-end. Kona North, our new gold discovery of 2014, remains a priority for our phase II exploration drilling campaign, which continues to highlight the potential for significant resource upside at Coffee."
Here's a look at the upcoming catalysts:
- Drilling results from infill and condemnation drilling (6 drills active)
- Drill results from Kona North (new discovery)
- Metallurgical sampling results (early 2015)
- Feasibility field programs (March 2015)
- Feasibility Study completion (Q4 2015)