Which US presidential candidate does gold prefer?
Gold loves chaos and should be hitting new highs, especially with inflation coming down and with it, two rate cuts likely before year’s end.
Ascot Resources (TSX: AOT) has entered into non-binding letters of intent for a total of approximately C$200 million ($146m) in project financing for the construction of its Premier gold project, located on Nisga’a Nation Treaty Lands in the Golden Triangle of northwestern British Columbia.
The proposed financing package consists of a $110 million gold and silver streaming agreement with Sprott Resource Streaming and Royalty and/or its affiliates and an equity investment by Ccori Apu SAC of C$45 million, a portion of which will be structured as Canadian development expenditures flow-through shares, such that the total gross proceeds to the company is C$50 million.
Ccori Apu’s shareholders are the majority shareholders of Compañía Minera Poderosa SA, which owns and operates a high-grade gold mine in northern Peru that produces approximately 300,000 oz. of gold per year.
Ascot is also projected to provide an update on the construction plans for Premier gold project and the path towards production, which is anticipated in early 2024.
The Premier underground mine opened in 1918 and was the largest gold mine in North America until its closure in 1952, producing 2 million oz. of gold and 45 million oz. of silver.
The Premier gold property comprises a land position of 8,133 hectares with three key deposits and a number of exploration targets. The key deposits are Premier, Silver Coin and Big Missouri, all of which had historical mining activities and underground access.
In 2020, Ascot released a feasibility studied that outlined an 8-year mine life producing an annual average of 151,000 oz. of gold equivalent at an all-in sustaining cost of $769 oz gold.
