Tombstone Gold Belt

Snowline and the management of Snowline got in, worked their ass off, drilled the crap out of the project, proved up a bunch of ounces, and I’m absolutely going to give credit, did a simply magnificent job and it woke everybody else up to the opportunity.

Of course we’ll be talking to Rackla, I’ve got a ton of respect for them, I’ve known Simon Ridgway for really the best part of 25 years, and he is absolutely one of the heroes of mining, he’s been successful, he’s been steady and he rode on the coattails of Snowline and I think that he’s come up with something extraordinary.

Sitka’s going do 15,000 meters of drilling this year, so you have lots of attention being focused to a small area and there’s 10 companies at least that are going to receive a lot of benefit, and quite bluntly investors want to see a 5 or 10 or 15-fold return.

I was buying Rackla at 8.6 cents in January and I was beating the table, I was telling people it was an incredible opportunity, and I think it’s $0.54 today. All you need is a couple of those in your lifetime and you could retire, so we have had great leadership in that area, and I think it’s going to ignite the junior resource market.

RM: I agree and yes you were, let’s get into the nitty gritty and since we’ve had such a great segue into Rackla let’s go there Quinton. You visited recently can you tell us about your visit to Rackla and your takeaway?

QH: I’m going to tell you Rackla (TSX.V:RAK) is one interesting story, it is not an exact replica of Snowline or something like that, and it all has to do with the mineralization itself. In many respects it is the same type of system, the way I’ve described is it’s a type of ice cream, it’s definitely chocolate ice cream just like Snowline, but it’s a little bit different flavor, maybe a mocha instead of a Rocky Road, but it’s basically the same type of system in that it is a reduced intrusion, there’s no question we ticked that box, but in the case of Rackla the veining that they’re finding, those stock work and sheeted veins have kind of a unique mineralogy.

They’re seeing occasional visible gold but not a whole lot. Ok, now does that mean it’s a bad thing. No, I don’t think so. I think the reason they don’t see as much visible gold or don’t see visible gold at all in much of the core is because it’s hidden by the fact that there’s a lot of bismuth in the system, there’s bismuth and tellurium in abundance.

And because of that, those minerals are basically hiding the gold in plain sight, so instead of walking up to a box of core like you do at Snowline line and seeing little specks of VG here and there in these sheeted quartz veins, on a regular periodicity, what you see is little hairline veinlets.

At Rackla’s Grad project you see little hairline veinlets, and you get your hand lense out, you look at them up close and they’re absolutely full of these mysterious grey minerals, real shiny grey specks. Logic dictates that’s likely bismuth and tellurium because of the trace element analysis that has been done today, and I think there’s so much bismuth and tellurium that it’s hiding the gold as alloys or as mineral compounds that simply don’t show us visible gold. So, it’s not a bad thing it’s a good thing.

Now people have said “Ah, is it refractory?” No, in any system like this the overall sulfide content is very low, so it’s not refractory in the sense that the gold’s going to get lost in the sauce of a bunch of sulfides or something, it’s not going to happen. You can likely make a concentrate out of this and actually you might be able to recover a significant amount of bismuth and tellurium, which could be appreciable byproducts.

High dollar value tellurium’s highly sought after these days, so it doesn’t bother me in the slightest there’s no VG, and again it’s a grain, there’s no carbon or anything like that, it’s just nutty, there’s no refractory nature at all to this rock, so in my view this is going to be really interesting because they’re drilling right now.

I have been fortunate to see some of the core and see these little. tiny grey specks and I see the little veins and I’m telling you it’s like Viagra for geologists; you get pretty stinking excited when you see these things, and in my view it could deliver bigly. I can’t promise it, maybe these grey specks don’t have anything, I don’t know but I don’t think so. I’m hoping that we’re all pleasantly surprised in a few weeks once we see assays.

RM: What’s the size of this thing shaping up to be? Is it as big as Snowline, or bigger do you think?

QH: That’s a good question. In terms of the geometry, it’s almost the inverse of Snowline because the deposit is sticking out of the ground whereas Valley is literally in a valley. So, Snowline’s in a broad, U-shaped glaciated valley. Because of that they basically have a flat area they can drill and find their deposit underneath the valley floor. Up at Grad you’re talking about a very steep relief, it’s a very steep mountain, they have to actually get geologists with specific skills to do repelling and stuff like that, but is it bigger?

I would say the intrusion is overall a similar scale to Snowline, but what they’re seeing is mineralization from one side of the mountain clearing the top to the other side, and if you look at the strike length of that, just like in plain view, if you’re looking down on it, that’s probably longer than Valley.

It’s probably 1.5 to two times the strike length of Valley, and then the area that I could see where there was the most intense sheeted veining, the width of it was probably about 200 maybe 250 meters, and that again is wider than the high-grade core at Valley. So, I would say yes, it’s likely bigger.

RM: Ok, what about infrastructure, same infrastructure problems? Easier access? Tell us a little bit about that.

QH: It’s the Yukon, it’s remote, it’s about 40 kilometers from the highway that goes over Howard’s Pass, it’s a daunting project in that it’s remote, but the fact of the matter is a big discovery like which I think this could be, a 10+Moz discovery, especially with grade, that would make it out there.

I think they might be on to that, can’t make any promises, but I think if they made a discovery like that it’ll be just like Snowline, it’ll be developed, it’ll become a mine.

RM: It’s grade and size conquer all, isn’t it?

QH: Yep, grade and size.

RM: Bob, do you have a disagreement with anything Quinton said, or do you want to add to it?

BM: I don’t have a disagreement with Quinton, primarily because he knows 100 times more than I do, but I’ve been in the Yukon and I’ve been in Alaska, looking at placer projects and strangely enough bismuth is a better indicator for gold than gold is, because of course gold’s very rare, but you could find bismuth and where you find bismuth you almost always find gold.

Now one of the things that Quinton didn’t mention and I’m not going to fault him for it; they have already tested a 550-meter sampling across the base of the ridge and came up with a couple of grams gold and that absolutely suggests giant potential. There are good things and there’s bad things. The bad thing is it’s very remote, it’s very expensive, however Simon Ridgway saw what was going on and he got a lot of really good property with lots of potential very easily and based on his credibility, was able to raise money for it.

And I’ll be blunt I told Quinton this a few days ago, I think this could be a one or two-hole wonder where it proves the theory in a couple of holes. This is not going to be like a project that takes 117 holes to figure out whether you’ve got a discovery.

Now I think Quinto told me the first hole was 200 meters, second hole was 300 meters, I think that we’re going to get some really valuable information from those holes, now that doesn’t mean that’s going to tell you you’ve got 10 million ounces of gold. That’s going to tell you whether your theory is correct, and I’m convinced it is correct, and I’ve invested a lot of money in that belief.

I think it’s a wonderful story, I’m really proud of Simon Ridgway and his whole team and I’m thrilled that Quinton was able to get up there and share that with our readers. Rick, you have said we’re in the process of booking an interview with Simon and that’s brilliant.

RM: I’ve got another question; we talked about grade a little bit here. What I’m interested in, this thing that you can tell it’s going to be good grade by the number of sheeted veins per meter, is there anything to that Quinton, and the veins at RAK’s Grad are different.

QH: Absolutely, the veins are what hosts the gold, so the more you see, the more likely you’re going to have better grade. They can count the veins at Snowline, and they can say “Ah, we’ve got X veins per linear meter of core” and they can kind of spitball how much gold they likely have in any given meter. So yeah, it’s absolutely critical.

One of the important things to understand here is the veining at Rackla. There are some bona fide quartz veins, and they do have bismuth minerals in them, but a lot of the veins are actually different, they have a distinct set of carbonate veins and those also have a lot of bismuth minerals in them, and then they have kind of an interesting vein, almost brownish black, they’re tourmaline veins and again there’s bismuth. So, they’ve got at least three sets of veins that I can see and all of them have these mysterious grey minerals speckled through them.

RM: What’s the relationship between tourmaline and gold, or is there one?

QH: There’s not necessarily a direct relation, tourmaline is a mineral that has a lot of boron it, so it says hey this intrusion probably has a fair bit of boron floating around it, but I can’t think of a direct relation, there’s some gold deposits where tourmaline seems to be common, by my recollection the Eastmain deposit in Northern Superior province has a lot of tourmaline, but I don’t remember seeing tourmaline at all at Snowline so it’s not super critical it just happens to be a unique character of this system.

RM: So, lots of bismuth, or maybe not, tourmaline yes, wait no. For sure always some bismuth and the more sheeted veins the better.

QH: Look, the bismuth in this one is kind of the top, it’s just so abundant, I’ve never seen anything quite like it. Now that said there is a deposit in China called Wulong, and it’s a massive gold deposit it’s over in northeastern China to the east of Beijing, that’s probably the best analog to this, to be frank.

Bismuth happens to be an important constituent in a lot of reduced intrusive deposits, sometimes it’s a relatively minor constituent, happens to be there, I would say Snowline is good example of that, in other cases like this it’s like, “Wow when God was handing out bismuth he gave two times to Rackla here, this thing is absolutely loaded,” so I don’t have an easy explanation for why some are richer than others but bismuth seems to be part of the overall party so to speak.

RM: Ok, Bob we’re going to move on, is there anything you want to say about Rackla?

BM: No other than they’ve drilled a couple of holes, they were on the third hole the last time Quinton and I spoke, and we’re probably six weeks away from assays.

RM: Let’s go to Sitka (TSX.V:SIG). They recently put out some drill results, now Sitka does have 3 million ounces of gold in the books at what a lot of people considered was a bit too low of a grade, a lot like Banyan’s old story.

Sitka and Banyan are now into higher grade zones. SIG is getting it from an area called Rhosgobel. Is this a third RIGS discovery Quinton that’s going to really put Sitka on the map as having the grade and very prospective for further discoveries?

QH: Yes, Rhosgobel is definitely one to keep an eye on, they’ve got several holes, I think they had a release about a week or two ago talking about specks of VG in two holes at Rhosgobel.

Looks like those holes hit abundant veining with specks of VG so in that case it’s an easy one to see compared to what we have at Rackla, it’s very easy to determine that you’re going to have grade at Sitka.

And yeah, I think it’s going to be a significant discovery, but I don’t think that’s all. I think the guys at Sitka are onto way more discoveries than that. They’re drilling 30,000 meters this year, basically you can’t swing a cat without hitting gold in that camp, I was absolutely blown away and I think there’s going to be a lot of discoveries there.

RM: They’re working on other targets; Blackjack, Saddle, Eiger and Rhosgobel and they think that Rhosgobel might be a third. You’re thinking that there’s more to come yet?

QH: I do think there’s more than this new discovery, I think Rhosgobel is just the beginning, they’re drilling 30,000 meters this year and there’s several targets that look really ripe.

They have Pokémon, which is the one next to Rhosgobel, and then they have this Bear Paw target which is kind of the southernmost one. I’m really intrigued with that one because it looks like they’re at the very tippy top of a big new reduced intrusive system. There are some high grades down there too in historic drilling. And then they have a target off to the east and I can’t recall the name of it, I think it’s called Meku or Miku or something like this, it’s off on another cluster of intrusions off to the east from the main cluster they’re drilling here, so it’s like a brand-new trend.

Again, you can’t swing a cat without hitting gold in this camp, it is absolutely unbelievable, I think it’s a district-scale gold discovery for sure.

RM: We’ve seen some money coming in and Quinton you’d know more about this working with Crescat, you’ve seen some money starting to come into the sector and some of it has come down to the junior sector.

Obviously, financing is getting a little easier, money is getting a little looser to pick up, but there’s a small financing window for juniors up north to do some drilling this year.

Do you think this shift from the money into the juniors is going to continue?

In your opinion is it a long-haul thing? Certainly, some discoveries would help. Do you think financing is going to get easier or do you think we’re at the level we’re going to see it continuing for awhile?

QH: That’s s a very good question, look in my career I’ve lived through at least four sustained bull markets where I was employed in the mining space and I witnessed how things unfolded, especially with capital coming in.

I would say that right now this looks like a genuine trend of increasing capital coming in and I do think it’s going to be a sustained thing, because it’s like a lot of things, when you under-capitalize stuff for a long time you almost have to overcompensate for it when it comes around again, so I think we’re in one of those situations. I think the money that’s coming in now is probably just the beginning, it’s trickling in and as you said it’s accelerating but I think on a sustained basis we’ll probably see a lot more money come soon.

Now part of what’s playing into this is the money that the big miners are making, like the margins for most of these mining companies are higher than they’ve ever been, and people see that, ok. In fact, even the big mining companies are part of the contribution of capital coming into the explorers.

When people know that there’s a bunch of hungry sharks, meaning big companies that are starting to cash up, they’re going to go after these juniors, and these district-scale plays like the Yukon.

I think you’re going to see it unfold very soon because the Eagle mine is in play, whoever picks up the Eagle mine is going to have the catbird seat in terms of ability to make a greater move in the Yukon. Yeah, exciting times, this is when dreams are made.

RM: Bob, we’ve got bonds melting down, stocks are melting up, Trump’s going to announce a bunch of fake tariff deals. Gold and silver are absolutely outperforming this year; majors are as Quinton said making unbelievable bank. Silver and gold we’ve called them the last safe haven standing, maybe you could expand on our little thesis a little bit and why we love these gold and silver juniors so much.

BM: Well, you’ve raised a really good point and I don’t know if you keep a list of all of our interviews in one place, but it would be really interesting for any of our readers to go back two or three months and we have called it exceptionally accurate.

Now I’d like to point out that Rick Rule has been pounding the table lately and he’s saying historically mining has been 3% of the total stock market and right now it’s under half a percent, so the mining stocks could go up fivefold or sixfold just to get back to the average and I don’t believe they will, I think that will overshoot. We’re seeing in gold and silver and platinum the markets exploding higher and this is the opportunity for people to retire.

RM: All the Under the Spotlight talks that we’ve done are all on one page.

Let’s move on to Banyan (TSX.V:BYN).

Banyans in the middle of doing a PEA and I’m excited to see because they’ve always been — even though they’re in Keno City, they’ve got infrastructure that nobody else has in the area — their grade has been considered on the low side. But they’re locked into this higher grade than they’ve been getting, and it seems to be several million ounces of 1 gram a tonne material, which I believe to be economic with the price of gold now.

And considering where they are at the end of the road with power and everything. I like this stock, I think it’s got a great future as potentially, Quinton you mentioned somebody coming in and buying Eagle, and I could see them taking Banyan as well, a major coming in and trying to consolidate the district much like they did in the White Gold area play when they bought Atac and Underworld. Quinton, can you tell us about Banyan please?

QH: Yeah, I was a full subscriber of the grades-have-been-too low thesis up until my trip last week. They put out a news release two weeks ago restating their resource and they’ve done a lot of work. I’m a big fan of Tara Christie by the way, I know Bob is as well and he actually introduced me to Tara many years ago.

Here’s the thing: They brought in some technical people like Kai Woloshyn and geologist Duncan Mackay. Duncan in particular I got to speak with at site and went over the whole effort to rejig their resource and what he’s done is he and his team have redefined the domains.

They based the resource on geology rather than just letting the computer kind of go ok, let’s distribute grade through a large volume of rock here, and what that means is the resource is now much tighter, it’s actually higher grade as it’s now just under a gram at about 0.96, 0.98 gram, and I think the indicated and inferred is something like 4.5 million oz now.

Let me give you an example, the Fort Knox mine I was there at opening day in 1996, August or September, and that deposit I stood on the first bench at Fort Knox, and I looked at it and I thought, “What the heck is this thing?” it’s a granite and it’s got a bunch of little dinky veins in it. How the heck do they mine something like this? Bear in mind this is 1996, the grade was 0.96 grams, and they had 2 or 3 million ounces of reserves at that time, and it made a fantastic mine.

Fort Knox has delivered millions and millions of ounces of gold, and it has been a profitable mine even through the ups and downs over the years, ok, so this is definitely a very interesting project in my view. I think they’ve got a good handle on it, I think there’s lots of room for expansion, like you said it’s very close to infrastructure, I had my phone there and I had cellular signal while at site, I mean how good does that get? They have a power line going right through the darn thing, this is a project that can be developed; I love it.

RM: Concerning the higher-grade section that they’ve been working on. In your opinion does it have continuity? Does it hang together as one open pit?

QH: At Banyan absolutely, there’s no problem with that.

RM: Ok, it used to be not that long ago, before quality gold deposits became scarce, and even in 2018 there were reports that Barrick’s reserves had fallen from a high of 164 million oz to 55Moz, so the majors are in a desperate search for reserves and it used to be that they needed to see — to make a difference in their bottom line — 5 million ounces.

That 5 million is no longer the target, it has actually gone below 2.5Moz, with some analysts reporting majors will take a 2Moz deposit, they are that desperate.

I believe Banyan is the key to consolidating this end of the Tombstone. Bob, can you tell us your thoughts and opinions on Banyan please?

BM: Yeah, strangely enough Quinton was very quiet about Tara Christie, we have known her for 15 years and we absolutely love Tara Christie, she’s wonderful.

Now let me point something out that nobody else has pointed out. Sitka had exactly the same grade problem that Banyan did, ok. Quinton and I started talking a year, year and a half ago with Sitka. Sitka had a lot of low-grade, near-surface gold. Yes, they had a lot of gold, but it was not particularly exciting, and Quinton told them to go deep, and they finally went deep and started hitting these home-run holes.

And their success, a lot of credit from Sitka should go to Quinton Hennigh for excellent advice.

Rick you and I have talked about the report that just came out, heap leaching is perfectly suitable for the Yukon, it can be done, yes mistakes were made, but I don’t think serious damage was done and I’ll be blunt, in my opinion I think the Yukon government and the native corporation over-reacted. That mine will be back in production and somebody’s going to make a lot of money of it. You’re absolutely correct, the first company to be taken out is probably going to be Banyan.

RM: Bob what you said about the tailing’s facility from the heap leach at Eagle is absolutely correct. That was not an engineering failure. I’m not going to get into it other than that, but there is basically no reason for thinking that heap leach in the north doesn’t work.

Quinton, will Banyan heap leach, mill or combine both in a very efficient recovery process?

QH: I’m going say that especially in this type of deposit where you’re not dealing with a lot of sulfide, in other words the tailings that you generate are not going to have much sulfide in them and there’s much less chance of acid generation both milling and heap leach are perfectly viable and not a huge hazard to the environment.

Yes, if a heap leach collapses or something like that it’s not a good thing I’m not pretending it is, but what I’m getting at is technologically the gold mining industry has employed milling of this type of deposit especially and heap leach. Look at Fort Knox — they have a mill, they have a heap leach, they have both. It’s all driven around the economics.

If you have a heap leach and can get 60-70% recovery from the low grade, in this case sub-0.7-gram material, you can heap leach no problem, you just stack it up and you heap leach it. But if you have higher grade material, and it makes more financial sense — you have to do the work right, you have to assess the capital you need and so forth in operating costs and stuff — but if it makes more sense to mill it then you mill it.

Fort Knox actually started as a milling operation back in the 1990s; it was a very large-tonnage mill. It was kind of unusual in the gold space at that time to see such a large mill. Amex Gold was really on the cutting edge in the gold space, but then over time they recognized, “Gee, we have a lot of 0.3, 0.4-gram rock here that we’re not getting any value out of. Let’s go ahead and heap leach it.” So, they now have a heap leach.

As for Banyan, look I can’t tell without a full economic study, but I can tell you this: the restated resource that they have, the 0.98 gram and 4.5Moz of that, to me that kind of grade that’s basically $100 rock. You don’t heap leach something like that. You want to get as much of that gold out as you can so almost certainly the economics are going to be in the favor of milling.  So, I think just the economics should drive the decisions, you always want to optimize the value of the project.

RM: Like Fort Knox it could be a combo.

QH: It could be absolutely, and it is big enough. Look the mathematical exercise I would encourage people to do is take the newly stated resource and subtract out the tonnage from the previous resource and then you can back-calculate the grade of that extra tonnage. So, in my view they have 4.5Moz now at about just under a gram, but they probably have another like 3Moz and kind of 0.3-0.4 gram. Well, it seems to me I’d want to do both milling and heap leach just like Fort Knox.

RM: Let’s talk about White Gold (TSX.V:WGO). Did you visit the White Gold Project, Quinton?

QH: Yeah, I got to see Shawn, we had several very long chats over the four or five days I was up there, and we went to White Gold, I’ve got to say that was the first time I made a site visit there and you know this is a very exciting project.

Back around 2010 I think, the last gold cycle, it’s kind of gone through an interesting history because it was what, bought by Kinross then spun out or whatever, like it’s been through the ringer so to speak. Anyway there was another project nearby called Coffee which was Kaminak, they’re not too far from one another, they’re actually part of the same belt in all respects, and this belt is south of Dawson, in fact if you look at the alluvial gold fields of Dawson, the belt goes all the way up to Dawson so in my view I have a much better understanding now of what’s going on there.

So, when I got to White Gold, I’m going to make a long story short, I was ready to see a typical orogenic gold deposit, meaning big, low grade, classic orogenic gold deposit. What does that mean? Ahh, don’t worry about it, geologist talk.

When I got there and I started looking at the geology, like the core and stuff, the light bulb went off. One of the great mysteries of the Dawson goldfields was where the heck did all this gold come from? What kind of a system could generate this much alluvial gold? And now I think I have a pretty good understanding ok.

The geology that I saw at White Gold resembles a couple of mines in the southwest US and northwest Mexico. One of them’s called Mesquite, that’s in Southern California, the second one is La Heradura, and it’s kind of northwest of Hermasillo. Those two deposits lie along the Mojave-Sonora megashear, so basically a giant shear zone, that’s kind of just torn the crust up through that region, and in doing so it’s also exposed a lot of deeper-level crustal rocks, they’re cooked-up rocks, hard crystalline rocks, high-ranked metamorphic rocks.

Well, when I got to White Gold and looked at the core, I’m like, “Holy smokes you could put a box of this core right next to core from La Heradura, which was a mine that we had at Newmont when I was there, and the suckers are a spitting image. They are the absolute replica of one another, so now I know what’s going on in the Yukon, ok. There’s a big megashear and you can see its structure.

I talked to Shawn Ryan about this too, there is at least one principal-like crustal-scale structured ripping right up through the Dawson camp, and these deposits, like White Gold’s various deposits and Coffee and stuff are more or less along this zone.

Now what does it mean? Well, look the mega shear in California hosts tens of millions of ounces of gold. What am I saying? Well, I’m saying that Dawson, the hard rock part of the Dawson camp, I’m not talking alluvial I’m talking the hard rock part of the Dawson camp, is way underexplored.

I think this is basically equivalent to, like you’re going to find some big deposits there, they’re going to be really big, like 10 million, 20 million ounces, and I think White Gold is quite frankly in the early stages of a discovery. Yet again this is a story where I didn’t have that high a view of it early on, but after seeing it now, I have a greater appreciation.

RM: I’ve got to ask, a decade and more ago this this whole area went through a major coming in and trying to consolidate it, it had many juniors working in the area, there was a whole area play built around this.

I said to my subscribers I’m buying Atac, I’m buying Underworld, I’m buying Kaminak this winter, that’s what I’m doing. So, Atac hit $8, Underworld was bought out, and the area’s back in play now.

I know project’s go through cycles, a property can be looked at 6 times before it’s figured out, you bring in new owners, different geo’s, new models, is that what this is?

QH: It’s a lot of it, look there’s a lot of cases where you see a discovery was made, usually for lack of capital or lack of priorities the thing kind of falls by the wayside, but then when the gold price picks up it becomes more interesting again. Part of that is geology, we have a greater understanding today of systems like Mezquite and La Heradura, like my brain cells are going holy cow this thing could be bigger than Ben Hur.

Here’s the key, they’ve got good geologists, there’s a young lad there Dylan Langille, Dylan is one smart cookie, he was with Great Bear and I was impressed ok, this kid is young, he can figure it out and that’s what you need ok, so the take away is these things languish, these deposits that we forget about, bring them off the shelf, you need somebody who’s going to really unwrap the thing properly and they’ve got it, so this young lad and his team are probably going to make White Gold a huge success.

RM: Interesting. Bob what do you think?

BM: Rick, I will admit a failure of my part and that is I am both old and lazy and I’m not smart enough or educated enough to visit projects the way Quinton does, however I’m good at copying people and I follow Crescat closely and when Crescat takes a position in a stock I’m quite happy to do that because Quinton’s done my homework for me, and that’s just as true of White Gold.

Kinross and Agnico Eagle have taken major positions in the stock, they each own about 12 or 13% of the shares and they’ve done their research into it, they believe it, and I think that Quinton’s analogy is excellent and White Gold is going to be one of the heroic stories of this particular cycle, but this cycle is going to go on for 5-10 years so it’s early days now and this is where you make all your money.

RM: Yeah, Shawn Ryan’s got ‘street cred’, Quinton likes it, Bob’s a copycat, Crescat’s backing it and two majors are already in. What else?

BM: White Gold has a 2Moz resource already, which means they’ve got a mine effectively and at a $60 million market cap that gives them $30 Canadian per ounce which is cheap ok, so relative value is just as important as cheap value. White Gold is cheap at $30 an ounce or 30 cents a share.

RM: Quinton, the last time we talked I asked you for a stock that was going to, I wasn’t asking for returns I was asking for news, which one was going to kick off this new cycle from the Tombstone. Well, Rackla and Sitka certainly did, the news that they’ve recently put out didn’t disappoint at all.

Do you have another stock for us that might pop off some exciting news, we’re going to go to continue to follow the Rackla’s story but is there another one?

QH: Out of the ones we’ve talked about I guess what I would say is the Sitka drilling, this 30,000-meter program that they have going, that thing is going to generate some very strong results I’m confident, I could be wrong, and I can’t promise anything but just from my understanding of the geology especially.

I saw that first hole drilled at Rhosgobel, and I’ll tell you that sucker has got some nuts, ok that’s a good discovery. I would say Sitka should have a steady stream of strong results that will include the announcement of multiple discoveries likely over the course of the next few months.

Rackla, I think my hope is to see Rackla come out — the assays might take a little while here because they’re focused on drilling right now and I can understand a tiny crew, they’re drilling as much as they can, getting the core in bags and down to the lab. I’m not saying it’s secondary in priority it’s just they were all hands-on deck when I saw them last week. I would say it might take them 4-5-6 weeks before the assays, but I also think they’re going to deliver. I think there’s going be some nice numbers out of there.

Other ones, we didn’t even talk about Snowline (TSX.V:SGD) today, but I think that’s also a very important story, like that Celestic target they have, I talked to Scott Berdahl when I was up there, that sounds very good, he was quite excited about it so you know Snowline might have a few tricks going here very soon too.

And then Banyan, I talked to Tara about their plans here, and they kind of have a mixed story but they’re going to have some drilling that will help upgrade their resource, there’s also going to have some drilling to explore new areas and extensions. I think that could very quickly become an exciting story.

White Gold too, I don’t know what White Gold’s plans are, actually it’s  interesting I didn’t get to talk to David D’Onofrio I got to talk to Sean Ryan, Shawn’s really not the guy that calls the shots there, he’s certainly the brains of the targets and the geology but he’s not calling the shots so I don’t know what their plan is for drilling, but assuming they get some money and get back in the saddle I think they could have some very good news too.

I don’t know what to tell you in this case because they’re all working their butts off, but I think they’re all going to have some good news.

RM: Well, that’s a great summary. I like the approach of a basket of them, it’s such an exciting area play with so much money being raised and being spent drilling, that’s the beauty of the this play, everybody’s drilling at the same time!

Did you visit Trifecta (TSX.V:TG) when you were up there Quinton?

QH: I did, we didn’t bring it up on the list today, but I did get a good visit to Trifecta. They’ve got the Mt. Hinton project, and I was very pleasantly surprised by how much gold there is across that thing, and they’re working hard to get their Rye project permitted, which is a reduced intrusion over on the east end of the valley towards Rackla and Snowline. So yeah, I think they’re earlier stage but very exciting.

RM: You like their Mt. Hinton and last we talked; you were very adamant that they needed to poke at least one hole into Rye.

QH: Yes, I think Rye looks like a ripe intrusive target, correct.

RM: We talked a little bit about your visit up there and to wrap this up, when you left the Yukon, and you had visited all these projects, and you were on your plane ride home what were you thinking about? Can you sum it up for us a little bit like you just did with the projects you visited, just your overall impression of everything.

QH: I’ve always liked the Yukon, but I think I came away from this trip liking the Yukon even more. I do think it’s going to be the center, you know like ground zero for this gold cycle, I think it’s going to deliver a district-scale golden opportunity.

I do think there’s going to be a lot of very interesting developments over the next few months specially when somebody buys the Eagle mine because it’s really going to set the stage for how this district unfolds, but I can see it’s going to be a very attractive camp in this gold cycle because it’s in Canada, it’s a stable, good jurisdiction and quite frankly these days that means a lot.

RM: Bob, you have the final say, take us home please.

BM: Well yeah, ok let’s talk about seasonality, we’ve got 10 more days in July and then seasonally the best time of the year for gold starts in August, and seemingly the best time of the year for silver starts in September. So, what I see happening between now and October is gold and silver starting now or shortly, the general stock market tumbling soon, I think the valuations are patently absurd, and we’re in for the ride of a lifetime with the junior lottery tickets.

RM: Thanks Bob, thanks Quinton, I appreciate your time this morning.

QH: Sure thing, happy to.

BM: Great stuff, bye.