Goldshore Resources Inc. (GSHR:TSX; GSHRF:OTC:F:8X00) recently increased the size of its brokered private placement from $7 million to up to $10 million. The offering is scheduled to close on or about November 23, 2021 and is subject to all necessary regulatory and other approvals, including, but not limited to, the listing of the offered shares on the TSX Venture Exchange.
The offered shares will be subject to a hold period of four months and one day from the closing date in accordance with applicable securities laws.
The company said that funds from the offering will be used for future exploration at its Moss Lake gold deposit in northwestern Ontario, Canada. In October, Goldshore released gold assay results from the first three holes drilled at the site to validate gold mineralization. The three holes represent 2.3% of the planned 100,000 meters of drilling scheduled to be completed by the end of the second quarter of 2022.
"We are finding that Moss Lake is a highly altered and well-mineralized system that is much wider and deeper than previously known,” said Peter Flindell, the company’s Vice President, Exploration.
About Goldshore Resources Inc.
Goldshore Resources Inc., formerly Sierra Madre Developments Inc., is a Vancouver, British Columbia-based mineral exploration company that acquires, explores, and develops mineral properties in North America. It currently is focused on its Moss Lake project, which consists of mining claims, mineral leases, mining licenses of occupation, and patented mining claims in three claim blocks — the Moss Lake deposit, the Osmani deposit, and the Hamlin zone, all of which occur over a mineralized area exceeding 20 kilometers in length in northwestern Ontario.
The property has 1.47 million ounces of indicated gold resources and 2.5 million ounces of inferred historical gold resources. The company is led by a management team with extensive experience in the mining industry, including Brett Richards, President and Chief Executive Officer, Peter Flindell, Vice President of Exploration, and Marlis Yassin, Chief Financial Officer.
View From the C-Suite at Goldshore
With more than 34 years of experience in mining and metals including senior positions at Banro Corp., Roxgold, Avocet Mining plc, Katanga Mining, Kinross Gold, and Co-Steel, Brett Richards joined Goldshore as its CEO in January 2021.
“I got excited when I first looked at the company last year,” he said, “which is why I decided to heavily participate financially. I believe gold is rising to a new trading range of $1,800 to $2,200 an ounce, up from the $1,100 to $1,800 range of the past five to 10 years. There’ll be spikes up and down, of course, but I believe we’ll be in that new range.”
The Moss Lake project, he says, “works at $1,500 to $1,600 gold, and will do exceptionally well if gold goes up. When I invest, I look for size and scale, and Moss Lake ticks both boxes in a big way.”
Currently he says, Goldshore “has $10 million in the bank and soon will have $20 million, which de-risks the project” and will fund additional exploration.
“Our shares currently are trading at one-third of our project valuation and at one-third the level of its peer group, so I see a lot of potential,” Richards said. “In my experience, the best way to serve shareholders is to add value as quickly as possible, which I believe we will do within 24 months.”
“We’ve created a solid vehicle, and when we complete our strategy, we will endeavor to look for an offramp for shareholders,” he concluded.
Disclosure:
1) Evan Cooper compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor/employee. He/she or members of his/her household own securities of the following companies mentioned in the article: None. He/she or members of his/her household are paid by the following companies mentioned in this article: None. His/her company has a financial relationship with the following companies referred to in this article: None.
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