GFG Resources

Website: www.gfgresources.com/home
Primary ticker: TSXV:GFG; OTCQB:GFGSF
Stage of development: Exploration
Commodity: Gold
Project to promote: Pen Gold Project, Rattlesnake Hills Gold Project
Project location: Canada, USA
Company presentation: Click here

Live financials

Cash: C$7.4M
Debt: Nil

Major shareholders:
Alamos Gold – 9.9%
SSI Asset Management – 9.9%
Delbrook – 6%
Probe Metals – 6%
Gold 2000 – 4%
Management ownership – 5%

GFG Resources is a North American precious metals exploration company focused on district scale gold projects in tier one mining jurisdictions, Ontario and Wyoming. In Ontario, the Company owns 100% of the Pen and Dore gold projects, two large and highly prospective gold properties west of the prolific gold district of Timmins, Ontario, Canada. The Pen and the Dore gold projects have similar geological settings that host most of the gold deposits found in the Timmins Gold Camp which have produced over 70 million ounces of gold. The Company also owns 100% of the Rattlesnake Hills Gold Project, a district scale gold exploration project located approximately 100 kilometres southwest of Casper, Wyoming, U.S. The geologic setting, alteration and mineralization seen in the Rattlesnake Hills are similar to other gold deposits of the Rocky Mountain alkaline province which, collectively, have produced over 50 million ounces of gold.

View Eight Capital Report View Agentis Report 6 April 2020 View Agentis Report 21 April 2020

Management Profile

Brian Skanderbeg – President & CEO

Mr. Skanderbeg was most recently President and CEO of Claude Resources Inc. since November 2014 – which was acquired by Silver Standard Resources Inc. for $337 million. Mr. Skanderbeg is also a director of Wesdome Mines. He previously worked for Goldcorp, Inco Ltd. and Helio Resources, holding positions in both exploration and operations. He holds a B.Sc. from the University of Manitoba and an M.Sc. from Rhodes University, South Africa. He brings extensive experience in the exploration and evaluation of gold systems, operational management, cost and asset optimization and strategic analysis.


What is your rationale for attending 121 Mining Investment?

We are a relatively new company and have recently made several new discoveries at our Pen Gold Project, located west of the prolific Timmins Gold District. We are looking for investors that are looking for a significant growth investment. Most recently in April 2020, we have made a new discovery at our Pen Gold Project (71.72 g/t Au over 8.5 metres) and completed a C$6M financing which was led by Alamos Gold taking a strategic 9.9% ownership. We have our largest exploration program in our Company’s history to follow-up on the recent discoveries in Timmins.


What recent news would you like to highlight to investors attending?

April 6, 2020 – Significant gold discovery at our Pen Gold Project – 71.72 g/t Au over 8.5 metres
May 6, 2020 – Closed an over-subscribed $5.9M financing which was led by Alamos Gold Inc. becoming a strategic investor (9.9%).


What are your key goals for the next 3, 6 and 12 months?

3 Months:

Execute summer field exploration program and begin 8,500 metre drill program at the Pen Gold Project to follow up on recent discoveries including the Nib Target where we hit 71.72 g/t Au over 8.5 metres
Advance the Rattlesnake Hills Gold Project by bringing in a partner via JV

6 Months:

Follow-up on our recent discovery from April (Nib Target) – drilling is expected to begin Q3
Test several other targets at the Pen Gold Project
Complete partnership on the Rattlesnake Hills Gold Project

12 Months:

Execute drill programs at both the Pen Gold Project and the Rattlesnake Hills Gold Project
Complete 15,000 metres of drilling at the Pen Gold Project


What do you see as the key risks and challenges facing your company at the moment and how are you overcoming these?

Covid-19 – we have implemented significant protocols to ensure the safety of our people and all stakeholders
Market/Finance/gold price – low risk in the next 18 months to fund the Company however should the market change, there is risk to finance the project. Since we have secured a strategic partner, Alamos Gold, risk is reduced significantly


What do you think makes your company such a compelling investment?

Highly experienced and disciplined management and board with a significant track record of success in exploration, development, production and M&A. We own 3 district scale assets in tier 1 mining jurisdictions. We are the second largest land owners in the Timmins Gold District (Newmont being the largest). We are fully financed and backed by Alamos Gold. We have recently made a significant gold discovery near the world-class Timmins Gold District. We allocate nearly 90% of our annual budget on exploration.

Analyst Insight – provided by Independent Investment Research

GFG Resources is a TSX-V-listed precious metals exploration company focused on district-scale gold projects in tier-one mining jurisdictions – Ontario and Wyoming.

In Ontario, the company owns 100% of the Pen and Dore gold projects, two large and highly prospective gold properties covering 680 sq km, west of the prolific gold district of Timmins. The Pen and Dore gold projects have similar geological settings that host most of the gold deposits found within the Timmins Gold Camp, which have produced over 70 million ounces of gold.

During April 2020, the company announced that it had intersected a significant high-grade gold system at the Nib Prospect, located within its Pen Gold Project. Hole PEN-20-47 intersected 71.27 g/t Au) over 8.5 metres, including 511.00 g/t Au over 1.15 m at a vertical depth of approximately 50m below surface. This exceptional intercept, along with the multiple mineralized intervals further down-hole, demonstrates that the Nib Prospect has the potential to host a large-scale gold system.

The Rattlesnake Hills Gold Project encompasses the Rattlesnake Hills Gold District nearly in its entirety and is a district-scale gold exploration project comprising of 1,573 unpatented lode mining claims as well as eight Wyoming State mining leases covering an area of approximately 30,400 acres. The geologic setting, alteration and mineralization seen in the Rattlesnake Hills are similar to other gold deposits of the Rocky Mountain alkaline province which, collectively, have produced over 50 million ounces of gold.

During September 2018, GFG signed an option and earn-in agreement whereby Newcrest Mining (ASX: NCM)has the right to acquire, in multiple stages, up to 75% of the project by completing a series of exploration and development expenditures and making staged option cash payments to GFG.

Within the Rattlesnake Hills Gold Project, four significant zones of alteration and precious metal (gold and silver) mineralization have been identified that are associated with Eocene-age alkalic intrusions at North Stock, Antelope Basin, South Stock and Blackjack. All four zones have been drilled and broad zones of low-grade gold mineralization, as well as narrow discrete zones of high-grade gold mineralization, have been intersected.