Hedge funds slash bullish wagers on gold over Trump election win
Hedge funds and other large speculators boosted net-long positions by 11% to 197,362 as of Nov. 12, the lowest in 14 weeks.
McEwen Mining of Toronto has boosted both the indicated and inferred resources at its Grey Fox deposit, part of its Black Fox gold complex 60 km east of Timmins, Ontario. Gold ounces in the indicated portion are up 22%, and in the inferred resource up by 35%.
The Grey Fox deposit is now estimated to contain 567,000 oz. of gold in 2.5 million tonnes averaging 7.10 g/t gold in the indicated category. The inferred category is contains 135,000 oz. in 678,000 tonnes grading 6.29 g/t gold.
McEwen attributes the increases to a new geological and structural interpretation of the 147 zone and the maiden resource estimate for the 147NE zone.
Resources at Grey Fox occur in three zones – 147, Contact and South. The 147NE zone was discovered last year and has been traced from surface to a depth of 250 metres and over a 250-metre strike length. Highlights of core assays from 147NE include 33.0 g/t over 3.1 metres, 95.2 g/t over 0.8 metre, 47.4 g/t over 1.1 metre, 23.0 g/t over 1.8 metre, and 3.40 g/t over 36.8 metres. The mineralization widens up to 36 metres in areas where the structures intersect.
A study is now underway to evaluate the economics of mining the Grey Fox deposit via a central underground ramp system. Also in the study are the economics of mining the Froome deposit.
(This article first appeared in the Canadian Mining Journal)
