Rimrock Gold is the new name for Tucana Lithium Corp., whose solid footprint up in Canada’s mineral-rich Superior Province via their roughly 27.8k-acre Abigail property (222 claims in one block) next to major sector player Nemaska Lithium’s Whabouchi Lithium discovery, affords an ample backdrop to the new development potential added by their recently announced (Jan 31) definitive merger agreement, which will see the company acquiring a 100% interest in three prime Nevada gold properties.
Consequent with this major move by the company, the anticipatory name change to Rimrock Gold, after the flagship of the new properties (consisting of the Rimrock, West Silver Cloud, and Pony Spur), seemed very natural. The merger agreement stipulates a closing issuance by the company of 17.8M shares of common stock to the sellers. While FINRA approval of the name change is pending and the deal is still subject to customary closing conditions, this is a very solid deal for the company.
Before we take a closer look at the sweet underlying logistics of the new properties, which comprise some 2k acres on or near the legendary Carlin and Midas trends, it is important to recognize the agreement’s closing appointment of 35-year exploration and mining veteran, Richard Redfern, M.Sc., C.P.G. (NI 43-101 Certified Professional Geologist and Qualified Person), to director and VP of Exploration. This appointment is a hidden gem inside a larger deal so abundantly good it could easily be overlooked. Easily, if not for the considerable reputation Redfern has established for himself in the industry, having tackled some of the toughest digs around the globe with aplomb, from the Americas, to Africa, Australasia, and Europe.
Redfern, a 1977 graduate of UCLA with a Master’s Degree in Geology, helped sector heavyweight Barrick Gold with their Mexico operations and has been doing work for juniors and majors since 1975. Redfern has even made some important discoveries during his career, like those for the renowned Homestake Mining in the Keystone, South Dakota, gold district. Currently, Redfern is President over at Mexivada Mining Corp. and holds a director chair at Pepper Rock Resources. Redfern brings to the table with him a vast network of tight industry connections, both domestic and in countries all over the globe, having consulted widely throughout the industry due to his boots-on-the-ground expertise in the many areas of mining and exploration. Redfern also just so happens to be a long-time Fellow of the Society of Economic Geologists, as well as being a Member of the Northwest Mining Association, Mexico’s AIMMGM, and both the Prospector’s and Developer’s Association. Additionally, Redfern is a Certified Professional Geologist with the American Institute of Professional Geologists, clearly a huge asset for the company going into development of these hot properties.
And hot they are indeed according to President and CEO of TUCA, Jordan Starkman, who also took time to personally welcome the eminent Mr. Redfern, while underscoring to shareholders how critical his experience with the mineral geology of Nevada will be, not to mention how well he knows the requirements for maximizing overall production, or how vital his leadership on the company’s board shall prove. Starkman tipped his hand to investors that TUCA will be moving with all force to close this exceptional deal quickly, eager to get drilling at Rimrock and turn that geological potential into mounting shareholder returns as the precious metals continue their steady long-term climb. The profitability metrics from developing gold will even springboard the company’s other developable assets.
Let’s take a look at the soon-to-be-acquired properties in greater detail, which, as mentioned earlier, are in or proximal to the massive Carlin/Midas trends:
Rimrock Property – 1.08k acres (54 lode claims)
Right in the Midas trend and with consistently similar mineralization/geology, this property is ideally situated between Great Basin Gold’s Hollister gold-silver mine (5 miles southeast) and Newmont’s whopping Midas Mine (19 miles northwest). Look at the data on these sites for a second and consider the potential at Rimrock, with Hollister clocking in at upwards of 1M oz of high-grade gold in reserves at grades well over 1 opt and initial mineable reserve figures on the Midas Mine topping 3M oz of high-grade Au, with another 25M oz Ag. The site is believed by management to host a sizeable, high-grade underground Hollister/Midas target (low sulfidation silver-gold) that would provide exceptional profitability end points for the company, and the site is also right along a domed-up part of the Carlin trend. Considering the absence of any drill testing to depth for Hollister/Midas-type mineralization on-site and the three extant, historical mercury mines here, one of which is right on top of the core gold focus and which is situated at a major fault section (perfect secondary indicators), management isn’t just whistling Dixie; these are obvious leads.
West Silver Cloud Property – some 780 acres of claims
South of Rimrock and roughly 7.5 miles southeast of Hollister, this site sits next to the old Silver Cloud Mine, an open-pit mercury operation atop the Placer Dome’s primary target, which has been validated as carrying high-grade gold mineralization. Despite these extenuating facts, no real drill testing has been done here either and management again, looking at the regional geological portrait in conjunction with localized indicators, sees potential for a large, mineable underground resource.
Pony Spur Property – some 140 acres (7 lode claims)
Another obvious regional play, the Pony Spur shows dual mineralization types (Carlin-style sediment-hosted and low sulfidation breccia pipe) and rests comfortably in the southern Carlin-Rain gold trend. Roughly 1.4 miles northwest of Allied Nevada Gold’s adjoining Pony Creek deposit (1.5M oz Au) and lined up along the Jerritt/Carlin trends, right near the main cluster of the superb Rain deposits (Newmont and Premier Gold have their notable Rain, Tess, and Emigrant mines here), the Pony Spur property is in this beautiful yet undefined fault system parallel to the Rain fault which intersects the Pony Creek gold deposit just east of the property boundary. Also nearby is the high-grade Saddle deposit (2M oz Au) and Gold Standard Ventures’ currently under development Railroad-Bullion deposit. When one looks at the existing mineralization data, including two types of strong surface mineralization, in conjunction with the regional/trend data, it is obvious why TUCA is so excited. Even the last of these three properties alone could turn into a huge shareholder value engine, and Rimrock Gold will be chomping at the bit to seal the deal so they can get started drilling the high-priority targets.
For more information on Rimrock Gold, visit www.TucanaLithium.com
Let us hear your thoughts below: