Latest news for Zonte Metals (OTC:EREPF) Stock

Zonte Metals Inc is a mineral exploration company engaged in locating and acquiring mineral projects and exploring for mineralization and has not yet determined whether its exploration and evaluation assets contain mineral reserves that are economically recoverable.

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Mineral Exploration Co. Makes Important Discovery

ZONTE METALS INC ORD by Zonte Metals, Inc.

Zonte Metals Inc

Zonte Metals

Source: <a href="https://www.streetwisereports.com/article/2024/07/09/three-strange-golden-amigos.html?utm_medium=feed">Ron Struthers 07/09/2024</a>

Ron Struthers of Struthers Resource Stock Report believes that the vast majority of investors would have no clue that Zonte Metals Inc. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/EREPF#OTC">EREPF</a>), B2Gold Corp. (AMEX:<a class="ticker" href="https://www.benzinga.com/stock/BTG#AMEX">BTG</a>), and Victoria Gold Corp. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/VITFF#OTC">VITFF</a>) have so much in common. He compares them and explains why he believes two are Buys.

A lot of news on Zonte Metals Inc. and on numerous fronts.

B2Gold Corp. released a pre-feasibility on Gramalote.

Victoria Gold Corp.&nbsp;is exploring the area adjacent to Zonte, which will probably go under, and Zonte started drilling at Cross Hills.

Let&#39;s start with. . .

<h2>B2Gold Corp.</h2>

Recent Price - $3.75

Entry Price - $4.45 

Opinion - Buy 

B2Gold Corp. has pulled back in the last couple of months, like most gold stocks. On June 19, they released a very strong pre-feasibility report on the Gramalote Project in Colombia.

As most readers of this newsletter are aware, Zonte Metals holds disputed claims right over the middle of the Gramalote proposed open pit. This has been stuck in the Colombia courts for many years, First, previous Gramalote partner and operator, AngloGold Ashanti Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AU#NYSE">AU</a>) tried to get Zonte&#39;s claims dismissed and with no success they recently dealt their 51% interest in Gramalote to B2Gold. This does give B2Gold potentially better economics with 100%.

Anglo Gold promised a full feasibility study, and now B2Gold is promising a full feasibility study by mid-2025. The problem is that full feasibility cannot be completed if they do not have a clear title to all the claims, or perhaps they could put a disclaimer in the report that it relies on a settlement with Zonte.

B2Gold will probably drag this out, but judging by how good this pre-feasibility study is, they will want to push this towards production.

Highlights:

<ul>
	<li>Significant gold production profile with low-cost structure and favorable metallurgical characteristics: </li>
</ul>

&bull; Open-pit gold mine with an initial life of mine of 10 years, with mill processing over 12.5 years;

&bull; Average grade processed of 1.26 grams per tonne gold over the first five years, benefiting from the processing of the higher-grade core at the Gramalote project; life-of-project average grade processed of 1.00 grams per tonne (g/t) gold;

&bull; Life-of-project gold production of approximately 2.3 million ounces with an average gold recovery of 95.9% from conventional milling, flotation, and cyanide leach of the flotation concentrate; &bull; Average annual gold production of approximately 234,000 ounces per year for the first five years of production;

&bull; Average annual gold production of approximately 185,000 ounces per year over the life of the project;

&bull; Projected lowest-quartile all-in sustaining costs of $886 per gold ounce over the life of the project;

&bull; Annual processing rate of 6.0 million tonnes per year;

<ul>
	<li>Strong project economics: </li>
</ul>

&bull; Life-of-project after-tax free cash flow of $1.38-billion;

&bull; Assuming a discount rate of 5.0%, net present value after tax of $778 million, generating an after-tax internal rate of return of 20.6%, with a project payback on preproduction capital of 3.1 years;

&bull; Estimated preproduction capital cost of $807 million (includes approximately $93 million for mining equipment and $63 million for contingency);

Gramalote has a long history of studies and technical reports that support the existing mining permit that is currently in place. The existing mining permit is currently in place for a larger-scale project, so this permit will require modification to reflect the new medium-scale project contemplated in the PEA. B2Gold anticipates the permit modification time frame will be between 12 and 18 months from submission to the permit authorities.

The PEA includes indicated mineral resources of 192.2 million tonnes grading 0.68 gram per tonne gold for a total of 4.21 million ounces of gold and inferred mineral resources of 85.4 million tonnes grading 0.54 g/t gold for a total of 1.48 million ounces of gold. The PEA assumptions include revenues using a gold price of $2,200 per ounce for the first three years of production and $2,000 per ounce over the remaining life of the project.

This is a large deposit at nearly 6 million ounces, and the limits have not been reached yet. Rough numbers show Zonte has close to 10% of the claims at Gramalote, and 10% of the US$778 million net present value in the report would be US$77.8 million or about C$106 million. That is about 15 times Zonte&#39;s current Market cap.

<h2>Victoria Gold Corp.</h2>

Recent Price - $0.80 

Victoria Gold Corp.&nbsp;was once on the Selection List but we were stopped out in 2022 at $13.70. Zonte had great benefits from Victoria Gold because VGCX was exploring right to Zonte&#39;s McConnell Jest border in the Yukon with their Raven project. In essence, Victoria Gold increased the value and potential of Zonte&#39;s project without Zonte spending a dime.

Those days are over for the foreseeable future as Victoria Gold reported a heap leach pad failure, basically a landside outside containment banks at its Eagle mine. It is located 375 kilometers north of Whitehorse and 85 kilometers north of the village of Mayo, Yukon. The site employs around 500 people.

Thankfully, nobody was hurt, but this is a massive problem that will be costly to remedy. I heard one analyst estimate of $70 million.

The big problem is Victoria is a one-mine company, and this is their only source of cash flow. They have under $30 million in cash and a lot of debt. About $180 million of debt, plus about $34 million in equipment debt facility with Caterpillar.

There will be massive dilution in the stock at best, and most likely, the company will go bankrupt, and shareholders will be left with nothing. Perhaps a White Knight arrives and buys the company for the asset, but that will depend on repair costs and probably environmental liabilities we don&#39;t know of yet. Here is a picture of the landside in a Yukon news article.

<img alt="" class="No_img_class" src="https://www.theaureport.com/images/auto_up/20247952953_1.png" style="height:667px; width:1000px" />

This has no negative effect on Zonte; only Victoria Gold will no longer be exploring Raven next to Zonte&#39;s border.

Fortunately, Victoria Gold had already made the discovery there.

<h2>Zonte Metals Inc.</h2>

Recent Price - $0.08

Entry Price - $0.09

Opinion &ndash; Strong Buy 

Most important, Zonte Metals Inc. has started its next phase of drilling at the K6 target on its Cross Hills project in NFLD. The last round of drilling hit some decent copper numbers, but Zonte needs to find longer intercepts, higher grades, or both.

In yesterday&#39;s news, it was highlighted, and I believe this is an important point. The company has conducted additional multi-faceted exploration to aid in better understanding the mineralizing system. The Fall 2023 K6 drilling demonstrated that the integration of the new exploration data with the initial datasets has provided a better understanding of the mineralizing system. All drill holes from the Fall 2023 program intersected copper mineralization with 11.2m averaging 0.42% copper (Cu) in the deepest drill hole, suggesting possible increasing grades with depth. The Summer 2024 drilling program aims to test extensions of this mineralization along strike and to depth.

The Cross Hills Copper Project is an IOCG system with 12 identified targets across its 25 km extent, K6 being the smallest. These targets are defined by coincident geological, geophysical, and geochemical data. Depending on the results from the current phase of K6 drilling, further drilling will continue at K6, and additional targets will be prepared for drilling using the same advanced exploration methods that led to the copper discovery at K6.

I have a Strong Buy on the stock because it started drilling where I expect more success, and the stock is cheap and near a bottom. Considering there is strong shareholder support from three major groups, there was heavy volume when it bottomed last year. The stock has been on a long downward trend, like most junior exploration stocks.

We need to see a close at $0.10 or better to break the down trend channel and than a close above $0.135 to break resistance, This could happen any time as the drill is now turning. Most investors will now hold for hopeful results.

<img alt="" class="No_img_class" src="https://www.theaureport.com/images/auto_up/20247953020_2.png" style="height:543px; width:830px" />

Important Disclosures:

<ol>
	<li>As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of B2Gold Corp.</li>
	<li>Ron Struthers: I, or members of my immediate household or family, own securities of: B2Gold Corp. and zonte Metals Inc. I determined which companies would be included in this article based on my research and understanding of the sector.</li>
	<li>Statements and opinions expressed are the opinions of the author and not of Streetwise Reports, Street Smart, or their officers. The author is wholly responsible for the accuracy of the statements. Streetwise Reports was not paid by the author to publish or syndicate this article. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Any disclosures from the author can be found below. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.</li>
	<li>This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports&#39; terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.</li>
</ol>

Struthers Resource Stock Report Disclosures

All forecasts and recommendations are based on opinion. Markets change direction with consensus beliefs, which may change at any time and without notice. The author/publisher of this publication has taken every precaution to provide the most accurate information possible. The information &amp; data were obtained from sources believed to be reliable, but because the information &amp; data source are beyond the author&#39;s control, no representation or guarantee is made that it is complete or accurate. The reader accepts information on the condition that errors or omissions shall not be made the basis for any claim, demand or cause for action. Because of the ever-changing nature of information &amp; statistics the author/publisher strongly encourages the reader to communicate directly with the company and/or with their personal investment adviser to obtain up to date information. Past results are not necessarily indicative of future results. Any statements non-factual in nature constitute only current opinions, which are subject to change. The author/publisher may or may not have a position in the securities and/or options relating thereto, &amp; may make purchases and/or sales of these securities relating thereto from time to time in the open market or otherwise. Neither the information, nor opinions expressed, shall be construed as a solicitation to buy or sell any stock, futures or options contract mentioned herein. The author/publisher of this letter is not a qualified financial adviser &amp; is not acting as such in this publication.

Source: <a href="https://www.streetwisereports.com/article/2024/04/18/mineral-exploration-co-makes-important-discovery.html?utm_medium=feed">Ron Struthers 04/18/2024</a>

Ron Struthers of Struthers Resource Stock Report takes a look at the hundreds of M&amp;A agreements recently signed, the current state of copper as it is breaking out, and Zonte Metals, a company that recently made an important discovery.

A sure sign of a market bottom and turnaround in mining is increased merger and acquisition M&amp;A) activity, and this is going through the roof. It does two major things that are very bullish:

<ul>
	<li>Shareholders of acquired companies get higher prices and cash;</li>
	<li>It reduces the number of mining companies on the market to buy.</li>
</ul>

So, basically, it increases demand and reduces supply at the same time.

How active has M&amp;A been?

Literally, hundreds of agreements have been signed, with most flying under the radar of mainstream media and retail investors. Just the last quarter of 2023 is amazing:

<ul>
	<li>In the global mining industry, there were 298 M&amp;A deals announced in Q4 2023, worth a total 
	value of $33.9 billion, according to GlobalData&#39;s Deals Database;</li>
	<li>In value terms, M&amp;A activity increased by 142% in Q4 2023 compared with the previous 
	quarter&#39;s total of $14 billion;</li>
	<li>In the Canadian mining industry, there were 100 M&amp;A deals announced in Q4 2023 worth a 
	the total value of $8.1 billion, according to GlobalData&#39;s Deals Database;</li>
	<li>According to Fitch Ratings &mdash; The rise in M&amp;A activity across the mining industry over the past 
	year is likely to continue into 2024.</li>
</ul>

<img alt="" class="No_img_class" src="https://www.theaureport.com/images/auto_up/202441875948_1.png" style="height:429px; width:838px" />

Those in the industry know the market best, and they have been buying hand over fist for the last two years at the bottom and turnaround. We should be buying, too. 

A lot of junior explorers are being bought out as well. I was surprised this week when Great Pacific Gold announced a buyout of a private copper junior, Tinya Valley Copper, for $16 million in stock. What surprised me is how grassroots the project is, as it has not had one drill hole yet. It is in a known copper belt, though, to its credit.

The key reason for this is that copper is in high demand, there will be shortages, and prices are rising. All the major mining companies are scrambling, trying to find more copper. I did a major dive into the copper market in December, which you can review&nbsp;on my Substack. I picked Capstone Mining CS, and it is our top-performing producer, up almost +50%. 

In that report, I showed the next two levels of resistance on the chart, and copper just took out the 2nd resistance level this week. Copper is in a steep rising projection and will soon reach all-time new highs around $5. And copper is going to double digits. It is not a matter of if but when.

<img alt="" class="No_img_class" src="https://www.theaureport.com/images/auto_up/202441880014_2.png" style="height:506px; width:1000px" />

About 15% of copper supply comes from scrap, and usually, higher prices will bring out more scrap, but a lot of this has already happened in the past couple of years with the recent price rise. Copper mining is different and unique.

Copper mining is very rare in Canada as only about 1% of the world mine supply is from here. That means if Zonte or other juniors in Canada prove a copper deposit, it is quite unique and will be sought after.

Another huge factor is there is really no junior copper producers, small production is coming as a byproduct of other mines such as zinc, gold and silver mines. There are a lot of junior and small gold producers that major gold miners can buy, but not so with copper. The majority of growth and acquisitions will be with juniors who have exploration projects. They are about the only real target for the big producers. That is why we see a deal like Great Pacific; more of these will come. The big producers of copper are spread out among many, many miners, as this chart reveals. The biggest producers just have around 6% of the market.

<img alt="" class="No_img_class" src="https://www.theaureport.com/images/auto_up/202441880042_3.png" style="height:549px; width:706px" />

This copper market is a once-in-a-lifetime opportunity. Never before has there been such a strong rising demand and price for copper and mining companies at such low valuations. There are going to be 10-fold increases and more with junior copper explorers.

My two favorites right now are Zonte Metals Inc. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/EREPF#OTC">EREPF</a>), with a very low valuation, and Midnight Sun Mining Corp. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/MDNGF#OTC">MDNGF</a>), with their deal with Kobold Metals and proximity to large copper mines. I am looking at others and plan on adding to the list this year. I am also planning a video interview with Zonte and Midnight Sun.

For today, Zonte had very strong news. It is mostly technical, and I will do my best to explain.

<h2>Zonte Metals</h2>

Recent Price - $0.09 

Entry Price - $0.09

Opinion &ndash; Strong Buy 

Metal deposits all have one main mineralization event in their history, and many have two events over time. Three events are not as common in the same place, and that is what Zonte Metals Inc. (ZON:TSX.V) has proven in this news. The more events of mineral injection over time means higher grades and concentration.

What is more, the third event at Zonte&#39;s Cross Hills was Chalcocite, the strongest type of copper mineralization. I talked about the types in my January 8 newsletter.

I was aware Zonte was doing more analysis on the drill core and have been eagerly waiting for this. In preparation for the follow-up drill program at the K6 target, Zonte commissioned a thin section (TS) and Scanning Electron Microscope (SEM) analyses of select samples from the recent drill core. These analyses were conducted by Hamilton Geoconsulting of Hamilton, Ontario. I am pasting Terry&#39;s comments as they explain this pretty well. It might be a bit technical for some, so read over twice. Hypogene refers to an event below the surface.

Terry Christopher, President and CEO, comments, &quot;A number of samples from the recently completed K6 drill core were analyzed via thin section and scanning electron microscope. The findings from this examination, coupled with characteristics derived from core logs, reveal several significant aspects of the copper system at K6. Firstly, there were up to three distinct pulses of mineralization, with the final one manifesting as a hypogene chalcocite event that overlaid earlier mineralization. This observation is significant as these late overprinting chalcocite events can lead to elevated grades. Moreover, changes in the overall character of the mineralization offer insights into the copper system, suggesting a potential increase in grade with depth. These features are evidenced by a progressive increase in copper grade with depth in the drill holes, along with a notable augmentation in chalcocite content, particularly evident in the deepest drill hole, CH23-05. This hole exhibited higher mineral contents, with recorded grades in individual samples reaching up to 2.64%, as noted in our February 29, 2024 press release. These observations will be used to vector in on stronger parts of the mineral system in the up coming drill program.&quot;

<img alt="" class="No_img_class" src="https://www.theaureport.com/images/auto_up/202441880115_4.png" style="height:528px; width:672px" />

Mineralization looks to start about 50 meters below surface, and higher grades begin at around 100 to 150 meters. Remember this is just early days and higher grades could come closer to surface elsewhere on the K6 target, plus there are 11 more targets to drill.

I know many have lost patience with this stock and other juniors, but you have to look ahead, not backward. History is just that, and too many project history into the future, which is quite unreliable. I find the best use of history is resistance levels on charts, and that is because too many investors judge by history, so it is good to know and make use of.

The most common comment I hear is: &quot;When it gets back to this price, I am selling.&quot;

These investors are making emotional trades based on a price that relieves their past anguish. The majority of investors trade on emotion, mostly fear and greed, and this is not easy to overcome. It took me many years.

I have a strong buy because of the low valuation and a new future now that a discovery has been made and some of Mother Nature&#39;s secrets at Cross hills now revealed.

Looking at the history on the chart, I expect resistance to be around 15 cents and then around 23 cents. There is some resistance around 10.5 cents, but 15 is more important because it would be a breakout.

<img alt="" class="No_img_class" src="https://www.theaureport.com/images/auto_up/202441880143_5.png" style="height:543px; width:830px" />

Important Disclosures:

<ol>
	<li>Ron Struthers: I, or members of my immediate household or family, own securities of: Capstone, Zonte Metals, and Midnight Sun. I determined which companies would be included in this article based on my research and understanding of the sector.</li>
	<li>Statements and opinions expressed are the opinions of the author and not of Streetwise Reports, Street Smart, or their officers. The author is wholly responsible for the accuracy of the statements. Streetwise Reports was not paid by the author to publish or syndicate this article. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Any disclosures from the author can be found below. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.</li>
	<li>This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports&#39; terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.</li>
</ol>

Struthers Resource Stock Report Disclosures

All forecasts and recommendations are based on opinion. Markets change direction with consensus beliefs, which may change at any time and without notice. The author/publisher of this publication has taken every precaution to provide the most accurate information possible. The information &amp; data were obtained from sources believed to be reliable, but because the information &amp; data source are beyond the author&#39;s control, no representation or guarantee is made that it is complete or accurate. The reader accepts information on the condition that errors or omissions shall not be made the basis for any claim, demand or cause for action. Because of the ever-changing nature of information &amp; statistics the author/publisher strongly encourages the reader to communicate directly with the company and/or with their personal investment adviser to obtain up to date information. Past results are not necessarily indicative of future results. Any statements non-factual in nature constitute only current opinions, which are subject to change. The author/publisher may or may not have a position in the securities and/or options relating thereto, &amp; may make purchases and/or sales of these securities relating thereto from time to time in the open market or otherwise. Neither the information, nor opinions expressed, shall be construed as a solicitation to buy or sell any stock, futures or options contract mentioned herein. The author/publisher of this letter is not a qualified financial adviser &amp; is not acting as such in this publication.

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