The Next Exploration Titan: Have We Found It?

22nd April 2024

Commodities have once again taken center stage. The combination of money printing, wars, and persistent inflation has created a notably favorable environment for commodity prices in recent times. You only need to visit a supermarket or gas station with a receipt from two years ago to observe the tangible impact of these forces.

Among commodities, gold always stands out as the most widely used form of currency in the history of humanity. Despite the Federal Reserve’s aggressiveness in raising interest rates, the price of gold has remained strong and is close to historical highs.

Can you imagine what might happen when the interest rate hike cycle comes to an end?

Coincidentally, Showcase Minerals Inc. (CSE: SHOW +7.77%), burst onto the exploration scene in the last few years. The company, although relatively young, managed to capture the attention of investors and mining professionals, leading to a successful public listing.

Five Reasons Why Showcase is a Solid Bet:

  • Showcase (21MM $CAD market cap) is conveniently situated right next to where industry leaders are investing their money and valuing their projects in hundreds of thousands of dollars.

  • The areas where Showcase maintains its rights have a proven track record of success, with operational mines already in place, like Newmont Corporation (NYSE:NEM).

  • The feasibility studies conducted by industry peers show great prospects in close proximity to where Showcase holds property rights.

  • Showcase Minerals Inc. has completed two initial exploration programs on its projects and is ready to start drilling.

  • Based on peer competitors’ performance, even the slightest occurrence of minerals may bring significant upside to Showcase stock.


A Neighborhood Full of Opportunities

One of the most important features of Showcase Minerals is that its properties are located less than a mile and a half away from the established projects of major players in the mining market. One example worth mentioning is Orla Mining, 8.0 million tonnes of ore per annum.

After recently acquiring the South Railroad project from Gold Standard Ventures for $242M, Orla Mining is now a key player in the Carlin Trend, the place where Showcase projects are located, which is also one of the world’s most prolific mining jurisdictions.

What insights do the industry leaders possess that elude others?

In 2022, Orla conducted a feasibility study in the area, revealing promising results for gold and silver extraction. The payback period is under two years after production launch, with an eight-year mine life and an after-tax internal rate of return of 44%.

After the assessment of Orla, the NPV of the project was valued at $839M. In the vicinity of Orla’s project is Showcase Minerals, and they are looking to develop two projects located in the Carlin Trend.

The Showcase Minerals Locations

Location Matters: Showcase Projects are Specifically in the Carlin Trend

Showcase Minerals Inc. keeps its exploration center and mining rights in the Carlin Trend, a geological feature in northeastern Nevada that already hosts multiple operational gold mines.

The Carlin Gold Trend stands out as one of the world’s wealthiest and most renowned gold mining districts. Its significance is such that it has even lent its name to a specific type of gold formation known as Carlin-type gold deposits, also coined “invisible gold” deposits.

The gold deposits in the Carlin Trend are primarily sediment-hosted, and they’re often associated with the presence of arsenic, antimony, mercury, thallium, and most importantly, Vanadium.

Many major mining companies, including the multinational heavyweight Barrick Gold, operate in the Carlin Trend, and it continues to be a hotspot for gold exploration and production, with new deposits and mining projects regularly being developed.

Showcase Minerals has the Right to Acquire 100% Interest in Projects that Include: Dixie Flats-North Star Gold Project & Woodruff Gold-Vanadium Project.

Dixie Flats-North Star Gold Project

The projects start from a fundamental idea: to find mineralization similar to those of mines already in operation in the area. Exploration on the Dixie – North Star Property aims to identify extensions to regional structures controlling mineralization at the Rain and Emigrant Mines.

Spanning a considerable area, the Dixie Flats-North Star Gold Project encompasses a diverse array of terrains and geological formations, each holding clues to the gold deposits lying beneath.

These are two separate areas that together constitute a total of 236 unpatented mineral claims covering 1,671 hectares of Federal land administered by the US Bureau of Land Management (BLM).

Dixie – North Star is located three miles south of Newmont Mining Company’s concluded Emigrant Springs Mine (2018) and about 4.5 miles southeast of the previously operational Rain Mine.

The property exhibits rocks known for hosting gold mineralization. Surface sampling has revealed elevated anomalous levels of gold, silver, arsenic, antimony, and mercury, representing a characteristic geochemical signature of Carlin-type gold deposits.

The promise of gold beckons, and this project is a pivotal chapter in the narrative of gold exploration and mining as well as extended growth for Showcase Minerals.

Woodruff Gold-Vanadium Project

The Woodruff Gold-Vanadium mining zone represents a dual opportunity. The occurrences of gold in the area suggest the possible existence of this mineral in the Carlin-type deposit format, or alternatively, the occurrences of syngenetic vanadium also open up that possibility.

This project encompasses approximately 150 hectares with 18 unpatented claims on private ground, featuring a significant amount of under-explored territory and geological formations similar to those in mines developed in the area.

Woodruff is located adjacent and to the northwest of the largest, highest-grade vanadium deposit in the United States.

Showcase Minerals Inc. has completed two initial exploration programs on its Projects, which consisted of a two-dimensional seismic survey and a CSAMT (controlled-source audio-frequency magnetotellurics) survey of five lines over 7.3 miles.

An important factor to consider is that even the slightest occurrence of either of these minerals in Woodruff or Dixie-North Star could potentially bring significant upside to Showcase stock.

Did we find the Next Big Exploration Titan?

An Opportunity Ready to Be Taken

According to company executives, the preliminary exploration is nearing completion and is yielding promising results regarding the occurrence of gold and vanadium. The company is poised to commence drilling work in the coming months.

The exploration entailed a comprehensive collection of 1,033 soil samples and 145 rock samples, accompanied by 46 stream sediment samples.

Additionally, the investigation involved an examination of 2 historic drill holes. This robust approach was further augmented by the implementation of gravity and magnetic surveys, conducted by the United States Geological Survey (USGS).

– Showcase Minerals Investment Overview

Thanks to the funding received from its recent private placement and its strategic property locations, the company has the potential to discover mineralized zones similar to those of adjacent mines in the Carlin Trend.

Showcase Minerals Inc. (CSE: SHOW +7.77%) offers an entry opportunity into the mining sector at the early stages. Similar projects in the area have yielded excellent results, with some mines already developed and others in the final stages of exploitation.

Social Exposure about Showcase Minerals

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