StrikePoint/SKP

StrikePoint Gold Inc. released initial results from its spring drilling campaign at its flagship Hercules gold project in Nevada's prolific Walker Lane, including one hole that returned 32.04 meters of 0.54 grams per tonne gold (g/t Au) and 4.62 g/t silver (Ag) starting at surface.

The company said it has completed seven holes totaling about 1,400 meters of reverse circulation drilling. It released the first four holes on Monday. The final three holes remained at the lab and are expected shortly.

"Results received so far show broad zones of near surface gold mineralization on the Hercules Gold Project," President and Chief Executive Officer Michael G. Allen said. "This is in line with our recently announced exploration target for the property. The near surface nature of the mineralization leads the company to anticipate that Hercules could potentially be an open pit-heap leach type operation."

Hole H25004 referenced above also returned 4.57 meters of 1.14 g/t Au and 10.53 g/t Ag, 6.1 meters of 1.5 g/t Au and 11.75 g/t Ag, and 18.29 meters of 0.3 g/t Au and 3.12 g/t Ag.

Further results released Monday include:

Hole H25001: 4.57 meters of 022 g/t Au and 7.37 g/t Ag, with 28.93 meters of 0.45 g/t Au and 6.05 g/t Ag, 6.09 meters of 1.04 g/t Au and 14.27 g/t Ag, 18.27 meters of 0.61 g/t Au and 4.66 g/t Ag, and 6.09 meters of 1.33 g/t Au and 10.38 g/t Ag.

Hole H25002: 18.29 meters of 0.3 g/t Au and 1.68 g/t Ag and 25.91 meters of 0.55 g/t Au and 2.73 g/t Ag.

Hole 25003: 3.05 meters of 0.23 g/t Au and 1.6 g/t Ag, 6.1 meters of 0.43 g/t Au and 2.28 g/t Ag, 30.48 meters of 0.37 g/t Au and 3.57 g/t Ag, 3.05 meters of 0.97 g/t Au and 4.5 g/t Ag, and 13.72 meters of 0.25 g/t Au and 2.37 g/t Ag.

All of the holes were drilled into the Hercules target, the company said, and near-surface gold and silver were found in all holes.

"Comparing cyanide soluble gold assays to fire assays showed that cyanide solubility ranged between 89% and 32% on a per hole basis," StrikePoint's release said. "As expected, shallower gold intercepts showed higher cyanide solubility than deeper intercepts. With drilling and subsequent test work showing abundant near-surface cyanide soluble gold, the company is optimistic of the potential of an open pit heap leach operation at the Hercules Gold Project."

New Technical Report Released

Earlier this month, StrikePoint announced it had filed its first National Instrument 43-101 technical report for Hercules.

The report included a "drill-defined, bulk-tonnage exploration target prepared in accordance" with the 43-101 guidelines for Hercules that ranges between 819,000 ounces and 1.018 million ounces (Moz) gold (Au) within 40.3 million to 65.6 million tonnes of mineralized material at an estimated grade between 0.48 and 0.63 grams per tonne (g/t) Au, the company said.

The company announced the start of the infill and expansion drilling program, which is meant to build on the exploration target, in March. That was when Jeff Clark of The Gold Advisor noted that he was looking forward to StrikePoint's exploration plans. StrikePoint noted in its Monday release that it expects results from the final three holes of the drilling program shortly, which could be an important catalyst for the stock.

"Based on the prospectivity of Hercules, especially given this new exploration target report, I expect this project to receive the lion's share of StrikePoint's attention in 2025," he wrote on March 6.

The company's other Walker Lane project, Cuprite, covers 44 square kilometers and encompasses 574 unpatented claims.

*"Cuprite was off limits for exploitation up until relatively recently, and so by Walker Lane standards, it is relatively 'virgin' territory with big discovery potential," Technical Analyst Clive Maund wrote in a recent contributor opinion.

Maund described StrikePoint as a stock with big upside and very little downside.

The Catalyst: Gold Hitting 'Record After Record'

According to Aly J. Yale writing for CBS Money Watch on Monday, "It seems like the price of gold just keeps hitting record after record."

In March, gold prices surpassed the US$3,000-per-ounce mark for the first time ever. Now, they're sitting around US$3,300 per ounce and climbing.

"The reasons are many, but economic uncertainty, geopolitical instability, and unpredictable market performance are all part of it, driving consumers to safe-haven assets that protect their wealth," Yale wrote. "And gold? It's the No. 1 safe haven in many investors' eyes."

"While there is likely a ceiling for gold prices at some point in the future, many experts are predicting further growth in the near term. But just how high could they climb? Could gold prices reach the $4,000 price point?" Yale asked.

According to experts Yale asked, they did not see gold's prices dropping any time soon.

"Investors are reacting to the flood of contradictory signals coming out of the White House on tariffs, debt, and global trade," says Ben Nadelstein, head of content at Monetary Metals, according to the article. "That uncertainty is shaking confidence in stocks and bonds and sending capital into gold since it's an asset that doesn't rely on political stability."

He said, "there's a growing appetite for stable, yield-generating, non-sovereign assets."

"Confidence is increasing that we will see gold break another record in the near future," Brett Elliott, director of content at precious metals marketplace APMEX, told Yale.

And according to an April 10 post on Goldfix, Goldman Sachs has revised raised the upper boundary of its forecast range for gold for the end of the year to US$3,520 an ounce and even introduced a "tall-risk scenario" as high as US$4,500 an ounce.

"The revision stems primarily from upside surprises in ETF inflows and persistent, large-scale central bank gold purchases," the article noted.

Ownership and Share Structure

According to Refinitiv, Executive Chairman Shawn Khunkhun owns 0.28% of the company, President and CEO Allen owns 1%, Director Ian Richard Harris owns 0.07%, and Director Adrian Wallace Fleming owns 0.02%.

Refinitiv reported that institutional and strategic investors own approximately 13.47% of the company, including 2176423 Ontario Ltd. with 7.17%, and Pathfinder Asset Management Ltd. with 4.81%.

According to Refinitiv, the company has 41.59 million shares outstanding and a market cap of CA$6.02 million. It trades in a 52-week range of CA$0.12 and CA$0.85.