QC Copper and Gold Inc. (QCCU:TSX.V; QCCUF:OTCQB) is moving forward with its past producing Opemiska Copper Mine Complex, located in the Chapais-Chibougamau region of Quebec. CEO Stephen Stewart states that Quebec is arguably the best mining jurisdiction existing today, with rule of law and a very pro-mining stance by the provincial government.
In September 2021, the company released its Maiden Resource Estimate with 81.7M tonnes @ 0.88% CuEQ pit constrained Measured and Indicated Mineral Resources and 21.3M tonnes @ 0.73% CuEq of Inferred Mineral Resources. On February 15th of this year QC announced significant results from several drill holes, most notable being OPM-21-122, which intersected 184.5 meters of 0.32% CuEq, including 49.5 meters of 0.70% CuEq, well above the 0.20% cut-off grade.
Even more significant, this mineralization included areas not sampled or included in the resource estimate. The company is planning step-out holes to the east and west of hole 122 in an effort to expand the resource’s Springer Perry deposit. Stewart intends to update QC’s resource estimate later in 2022.
QC is the envy of its peers, being extremely well-capitalized with CA$18 in the treasury, along with publicly marketable shares in a related company worth over CA$7 million at current market prices. Thus, this year’s 60,000-meter drill program is already financed; there’s no need to raise additional capital, an advantageous position considering the recent low valuations of this market sector.
CEO Stewart says he’s been receiving interest from potential partners, but has no interest in doing a transaction at this point in time. The prospectivity of its project is much too high and the stock price isn’t high enough. In Stewart’s view, QC has a compelling case and while the market has been slow to understand it, when the inevitable realization dawns, shareholders will profit handsomely.
Copper and gold prices have been holding up extremely well. Copper supply is heading towards deficit, if not there already. At some point in time, investors will rediscover the sector and redeploy capital en masse. QC has a highly valuable resource that it is quickly adding to in the best jurisdiction. It’s just a matter of time until QC’s valuation rises and investors will look back and realize the opportunity that was present.
(Kerry Lutz founded Financial Survival Network in 2011. He’s a retired attorney, author and publisher of thousands of podcast/YouTube episodes dealing with the resource sector, economic issues and investment concepts. He has been a devotee of the Austrian School of Economics since 1978 and currently resides in Palm Beach County Florida).
