In a February 7, 2025 research note, Agentis Capital analysts Michael Gray and Jake Savage provided positive commentary on Dakota Gold Corp. (DC:NYSE American) following the announcement of an updated S-K 1300 Initial Assessment mineral resource estimate for its Richmond Hill gold project in South Dakota.
The company reported a significant expansion in its leachable resource to 6.3 million ounces of gold, including 3.65 million ounces gold and 38.1 million ounces silver Measured & Indicated at 0.46 g/t Au, plus 2.6 million ounces gold and 22.8 million ounces silver Inferred at 0.35 g/t Au. Additionally, the sulphide resource contains 982,000 ounces gold M&I and 2.4 million ounces gold Inferred.
The 2025 resource estimate incorporates 90.4 kilometers (902 holes) of historical drilling and 45.5 kilometers (146 holes) of drilling by Dakota Gold since 2022. Compared to the 2024 mineral resource estimate, the company has expanded contained oxide gold by 581%, transition gold by 27%, and sulphide gold by 348%.
The project shows potential for a low strip ratio of approximately 1:1, which could suggest positive economics similar to Coeur Mining's nearby Wharf mine that generated approximately US$100 million in free cash flow in 2024. The resource assumes 89% gold recovery, though historical operations achieved less than 62% recovery.
Key upcoming catalysts include 33 kilometers of budgeted drilling at Maitland and Richmond Hill targets, and an initial economic study at Richmond Hill expected in Q2 2025. The analysts plan to transition from Prospect level coverage to Full Coverage in first half 2025.
The share price at the time of the report of US$2.51 represents a market capitalization of US$235.2 million.
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- Dakota Gold Corp. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000.
- As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Dakota Gold Corp.
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Disclosures for Agentis Capital, Dakota Gold Corp., February 7, 2025
This report has been prepared by Agentis Capital Mining Partners for general information purposes only. This report should not be considered a solicitation to purchase or sell securities, a recommendation to buy or sell securities or investment advice, and any opinions expressed herein are the views of the author as at the date of the report. This document does not take into account the particular investment objectives, financial situations or needs of individual recipients, or other issues which may exist for certain individual recipients. Recipients should rely on their own investigations and take their own professional advice before investment. Information contained in this report is derived from sources believed to be reliable, but its accuracy cannot be guaranteed. In the United States this product is only intended for distribution to major institutional investors. Agentis Capital Mining Partners and its affiliates and associates, and their respective partners, directors, officers, employees, representatives and family members may hold positions in, and may buy or sell securities of, the companies referred to in this report. Additionally, Agentis Capital Mining Partners and its affiliates and associates (collectively, “Agentis Capital”), may have in the past provided, and may in the future provide, financial advisory and other services to the companies referred to in this report and receive financial and other incentives from the companies as consideration for the provision of such services. The Author/Analyst of the report will not purchase or sell any securities within 48 hours of publishing a report.
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