Savvy investors in today’s mining resource sector know that low commodity prices are not necessarily a bad thing. The important thing is knowing the benefit-cost ratio (BCR) of getting the mineral out of the ground and into the smelter. And as we dig deeper into 2019, investors also need to dig into value & opportunity assets that don’t come around every day in an admittedly deflated market.
The question of what is and isn’t an undervalued asset can be complicated. In a Forbes article from late 2017, Stockhouse contributor and CEO of US Global Investors Inc, Frank Holmes, explains why gold, in particular, is extremely undervalued right now. It also demonstrates how a junior mining company like New Carolin Gold Corp. (TSXV: LAD / OTCBB: LADFF) meets or exceeds all of the explained criteria of an undervalued precious metals & mining asset.
In a recent press release, the Company has laid out in detail its exploration plans for this year. New Carolin Gold says its assay results from 2018 along with projections and for 2019 are “very promising.”
“We are very excited to begin drilling. The discovery of the new zone by drill hole 18NC10 has added considerable potential to the Project. It’s exceptional to find a land package of this scale that has both considerable historic gold production with an existing gold resource and is also relatively unexplored with modern techniques. We expect that our next round of drilling will more than justify our enthusiasm.”
The Ladner Gold Project
New Carolin Gold Corp. is a Canadian junior-stage exploration and mine development company engaged in the evaluation and development of several gold properties collectively known as the “Ladner Gold Project”. These properties are located in the mountainous area of Southwestern BC, and, in many ways, echo the long and storied history of the region.
New Carolin Gold believes it’s found a hidden gem in the Coquihalla Gold Belt, which is host to several historic small gold producers including the Carolin Mine, Emancipation Mine and Pipestem Mine, and numerous gold prospects. Not far from Hope, B.C., the Ladner Gold Projects spans 144 square kilometers along the productive Hozameen Fault Zone and boasts 30 known high-grade occurrences of gold.
To advance the project, New Carolin Gold has assembled an experienced management and advisory team with expertise in exploration, development, and operations. The Company says, “the team functions with integrity to create a performance-driven culture for stakeholders with competent corporate governance, as well as being dedicated to safety and proper environmental and community stewardship.”
For more details regarding the Company’s Ladner Gold Project and Mineral Resources, see the Company’s National Instrument 43-101 Technical Report for the Ladner Gold Project dated May 29, 2015 (the “Company’s Technical Report”) and filed on SEDAR.