Proactiveinvestors USA & Canada Black Dragon Gold Corp https://ca.proactiveinvestors.com Proactiveinvestors USA & Canada Black Dragon Gold Corp RSS feed en Mon, 22 Apr 2019 00:04:52 -0400 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - Black Dragon Gold's positive PEA for Spanish gold project confirms 14-year mine life ]]> https://ca.proactiveinvestors.com/companies/news/214321/black-dragon-gold-s-positive-pea-for-spanish-gold-project-confirms-14-year-mine-life-214321.html Black Dragon Gold Corp (ASX:BDG) (CVE:BDG) has received a positive Preliminary Economic Assessment (PEA) for its Salave Gold Project in northern Spain.

Results confirmed a 14-year life of mine potential for the project at an assumed gold price of US$1,250 per ounce.

79,200 ounces of gold

Average daily mining and processing throughput is targeting 2,000 tonnes with average annual production of 79,200 ounces of gold in concentrate at an average grade of 59.7 g/t.

Key PEA outcomes include:

Pre-tax net present value at 5% discount rate ranges between US$239.2 and US$353.2 million with the base case at US$296.2 million;

After-tax net present value ranges between US$184.7 and US$273.9 million with the base case at US$230 million;

Life of mine sustaining capital cost of US$19.3 million;

Pre-production capital cost including continency of US$95.3 million

Potential for over 1.1-million-ounce production

Black Dragon CEO and managing director Paul Cronin said: “The completion of the PEA is a major milestone on the path to development of the Salave project and the metrics support our belief that Salave can potentially generate strong returns for shareholders.

“This study concludes that Salave can produce over 1.1 million ounces providing a number of marketing options for export and refining, minimising the need for additional plant and equipment, and hence reducing the project’s footprint.

“The relatively low upfront capex also opens alternative financing opportunities which will ensure that both shareholders and the local community benefit from the success of this project.”

Next steps

Black Dragon aims to submit a project description for the Environmental and Social Impact assessment later this month with additional geophysics over the entire investigation permit at the project expected for completion for April 2019.

Soil geochemistry testing on potential drill targets will be completed in June with a pre-feasibility study set for October 2019.

- Jessica Cummins 

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Sun, 10 Feb 2019 22:13:00 -0500 https://ca.proactiveinvestors.com/companies/news/214321/black-dragon-gold-s-positive-pea-for-spanish-gold-project-confirms-14-year-mine-life-214321.html
<![CDATA[News - Black Dragon to shortly demonstrate economic viability of 1.6mln ounce Salave gold project in Spain ]]> https://ca.proactiveinvestors.com/companies/news/210682/black-dragon-to-shortly-demonstrate-economic-viability-of-16mln-ounce-salave-gold-project-in-spain-210682.html If it takes a certain knack to operate a mining company successfully in Spain, Black Dragon Gold Corp (ASX:BDG)(CVE:BDG) appears to possess it in spades.

The company is now just a few weeks away from the release of a preliminary economic assessment on the Salave project in Asturias, following on from the successful delineation of a 1.6mln ounce gold resource grading at just under five grams per tonne.

READ: Black Dragon will shortly demonstrate the economic viability of the 1.6mln ounce Salave gold project in Spain

It’s a remarkable turnaround from the situation that pertained two years ago when the company owed a South African bank US$10mln and was completely shut out of the equity markets.

At that point, it seemed there was nowhere else for Black Dragon to go, but up stepped Paul Cronin and Jo Battershill with US$8.5mln in rescue financing and a new vision for taking the company forward.

So it was all change at the top. Cronin came in as chief executive and Battershill as non-executive chairman, and old stager Alberto Lavandeira brought on as key Spanish point man.

Those who follow the Spanish mining scene will recognise Lavandeira as the man who transformed the troubled beast that was EMED Mining into the successful copper producer that is now Atalaya.

And he’s not the only Spanish face involved with the development of Salave. In fact, the project is held through a local operating company called EMC. This is entirely staffed and run by Spanish industry professionals.

“All we do as Black Dragon is basically provide funding, guidance and governance,” says Cronin.

And it’s an approach that’s already paying off. The heavy Spanish contingent and the rapid pace of development that we’ve seen to date go hand in hand and look set to continue.

“The first thing we did when we took over is to ask for a drilling permit,” says Cronin. “Normally it takes a year, but for us, it took three months.”

READ: Black Dragon Gold roars higher as first two holes at Salave deposit in Spain impress

Now, with the PEA almost in the bag, Black Dragon is in the process of applying for more permits, and there’s every confidence that these will come through pretty quick too.

The company is on good terms with the government in Asturias and, with the help of Lavandeira knows its way around the Spanish mining scene at a national level too.

The hope is that once the PEA comes in and provides a solid economic base case for Salave, Black Dragon can then set the drill rigs turning again and move the resource forward once again.

“Our view is that we can grow it to at least 2.5mln ounces with a drilling campaign,” says Cronin.

“We’re doing the structural work now, but we’re pretty sure we know where to drill. There’s the potential really to expand it out and grow it quite dramatically.”

If Black Dragon Gold does manage to move the resource up towards the 2.5mln ounce mark it will establish Salave as one of Europe’s most attractive gold projects, given the grade.

“It’ll be a relatively easy project to mine,” says Cronin, “and the economics of the project will look pretty good. We’ve got grades that make most projects look ordinary.”

With all that in mind, it’s no wonder that some serious institutional investors have already taken an interest in Black Dragon.

Over in Australia Hartleys has taken a significant position in the company, and what’s more the Hartleys broker most closely involved, David Michael, has taken a sizeable personal position too. As if that wasn’t enough Blackrock, one of the biggest financial institutions in the world, also holds a significant block.

Despite that heavy-hitting support, it remains a tough market for companies moving projects through development at the moment, and Black Dragon’s shares have weakened over the past year or so.

But with the economic parameters of Salave about to be revealed, and a major resource upgrade now just beginning to appear on the horizon, it may now be time for a re-rating.

After all, if you can make Spain work it’s as good a jurisdiction to go mining in as any, and with the gold price still holding strong at above US$1,230 it’s surely only a matter of time before the wider market wakes up to the disconnect between Black Dragon’s current market capitalisation and the value that’s on offer in the ground.

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Thu, 06 Dec 2018 13:00:00 -0500 https://ca.proactiveinvestors.com/companies/news/210682/black-dragon-to-shortly-demonstrate-economic-viability-of-16mln-ounce-salave-gold-project-in-spain-210682.html
<![CDATA[News - Black Dragon Gold receives extensions to mining and exploration permits at Salave Gold Project ]]> https://ca.proactiveinvestors.com/companies/news/210631/black-dragon-gold-receives-extensions-to-mining-and-exploration-permits-at-salave-gold-project-210631.html Black Dragon Gold Corp (ASX:BDG) (TSX-V:BDG) has received extensions to the mining and exploration permits at its Salave Gold Project in the Asturias region of Spain.

The government of Asturias has extended the Ampliacion a Figueras mining permit for 30 years and the Salave investigation permit for three.

Black Dragon considers the investigation permit extension a significant opportunity to expand the project as the permit covers a 2,765-hectare area south of the Salave deposit where little or no exploration has been undertaken.

Potentially identify other deposits

Black Dragon managing director & CEO Paul Cronin said: “The extension of the permits is a great outcome for the company and will allow us to expand our exploration program at Salave.

“The current mineral resource at Salave is confined to a 25-hectare area and the investigation permit offers us over 2,765 hectares of unexplored ground.

“Our improved geological dataset will assist us to identify the potential for other deposits in this highly prospective region of Spain.”

Expanded exploration program

Black Dragon will soon begin an expanded exploration program following high-grade drilling results at Salave.

Two drill holes outside of the current mineral resource model returned substantial high-grade gold mineralisation, with one hole returning a broad intersection of 23.3 metres at 29.1 g/t gold from 164 metres.

This intersection also included samples of 9.1 metres at 65.1 g/t from 171.8 metres and 3.4 metres at 148 g/t from 176 metres.

Results from the second hole included: 4.8 metres at 16.3 g/t from 230.7 metres; and 14 metres at 10 g/t from 209.9 metres, including 4.1 at 24.5 g/t from 219.8 metres.

Preliminary economic assessment

The company recently updated Salave’s mineral resource estimate and began a preliminary economic assessment (PEA).

Salave’s combined measured and indicated mineral resource is now 8.21 million tonnes at 4.58 g/t containing 1.21 million ounces of gold.

The PEA will incorporate the new mineral resource and a new underground mine plan to develop an economically robust mine plan that has a minimal footprint.

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Thu, 06 Dec 2018 00:51:00 -0500 https://ca.proactiveinvestors.com/companies/news/210631/black-dragon-gold-receives-extensions-to-mining-and-exploration-permits-at-salave-gold-project-210631.html
<![CDATA[News - Black Dragon Gold roars higher as first two holes at Salave deposit in Spain impress ]]> https://ca.proactiveinvestors.com/companies/news/194376/black-dragon-gold-roars-higher-as-first-two-holes-at-salave-deposit-in-spain-impress-194376.html Shares in Black Dragon Gold Corp (CVE:BDG) surged 20% on Thursday in Toronto as it posted encouraging gold grades from early drilling at its Salave deposit in northern Spain.

The program is targeting the current resource model in a bid to confirm the presence of vertically oriented zones of high grade gold.

Results from remaining holes ...

The results today come from the first two diamond holes.

Highlights included an interval of 6.79 meters (m) with 30.27 g/t (grams per ton) gold and another of 10 meters at 13.43 g/t of the yellow metal.

"Whilst the results published today only represent a small number of the holes in the current program, the orientation of the intercepts support our view that Salave is indeed open to the SE and NW, and at depth," said chief executive and managing director of Black Dragon, Paul Cronin.

He added: "We look forward to seeing the results from the remaining holes once completed, but at this stage we are thrilled with the additional exploration potential that these results indicate."

Shares gained 20% to C$0.090 in Toronto.

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Thu, 05 Apr 2018 15:47:00 -0400 https://ca.proactiveinvestors.com/companies/news/194376/black-dragon-gold-roars-higher-as-first-two-holes-at-salave-deposit-in-spain-impress-194376.html