Honey Badger Exploration Ltd. [TUF-TSXV] and TomaGold Corp. [LOT-TSXV] emerged as the most actively traded stocks on the TSX Venture Exchange Wednesday March 28 as investors reacted to positive news from both companies.
After Honey Badger announced an update on its newly consolidated flagship Thunder Bay Silver Project in the Lakehead Region west of Thunder Bay, Ontario, its shares rose 60% or $0.03 to 8 cents on volume of 8.69 million shares, making Honey Badger the volume leader on the TSX Venture Exchange. The shares are currently trading in a 52-week range of 4 cents and 15 cents.
The Thunder Bay Silver Project is comprised of the Beaver Silver, Silver Mountain and Mink Mountain Silver properties, which are located between 25 km and 70 km southwest of Thunder Bay in northwestern Ontario.
The respective name of each property refers to the name of the main historical silver mine within or near the property boundaries. Over 5 million ounces of silver were produced in the region, mostly before 1900 and well before the advent of modern exploration techniques and mining practises.
Honey Badger is the early mover in consolidating key ground in this historic silver camp that has strong potential for polymetallic mineralization, the company has said.
There are two main vein groups in the Lakehead Region, the Mainland and Island Vein Groups. These vein groups are polymetallic veins, historically mined for silver, cobalt, copper, nickel, lead and zinc. Hence, the term Five-Element Veins. Some of the veins also produced gold.
The geological setting in the region parallels the other major silver district in Ontario, the Cobalt Silver District in and around the town of Cobalt. Historic grades from the Mainland vein groups include up to 1.4% cobalt and 25% nickel, according to historic assay results from Geological Survey of Canada Report, 1889).
Here are highlights from Wednesday’s press release:
Drilling has been initiated near the historic Beaver Mine with early success, the discovery of a previously unknown “Five Element” mineralized vein and the interaction with multiple mineralized veins with different orientations suggests a much larger system than previously recognized. Assays are pending
A review of historic unpublished channel samples taken on the floor of the Beaver Mine highlight the high-grade potential of the silver veins in the area.
Chief geologist, Jean-Francois Montreuil, Ph.D, discusses the Thunder Bay Silver Project and the prospects for Honey Badger in a new video that is posted on the company’s website.
Meanwhile, TomaGold Corp. shares were also active after the company reported results of an initial resource estimate by IAMGOLD Corp. [IMG-TSX; IAG-NYSE] for the Monster Lake project near Chibougamau, Quebec.
TomaGold shares were up 25% or $0.015 to 7.5 cents on volume of 6.2 million shares. The shares trade in a 52-week range of $0.055 and $0.105.
Monster Lake is joint venture held 50% by IAMGOLD, 45% by TomaGold and 5% by Quinto Resources Inc.
TomaGold said the resource estimate comprises 1,109,700 tonnes of inferred resources averaging 12.14 g/t gold or 433,300 ounces of contained gold.
This resource is contained in four discrete mineralized zones where geological and grade continuities have been demonstrated and has been estimated assuming an underground mining scenario.
The most significant zone is the 325-Megane Zone, which is characterized by its high-grade and remains open down plunge and at depth. The potential for adding additional resources along the identified shear structure is considered favourable and remains the focus of ongoing exploration programs, the company said.
“The first resource estimate is added support for what we have long suspected, which is that Monster Lake has the potential to become an important high grade gold deposit” said TomaGold President and CEO David Grondin.
“This is a milestone in the development of Monster Lake, especially because many targets and gold-bearing areas have yet to be explored,” he said.