Portofino Resources Inc【POR】株式ニュース

Epstein Research - Portofino Resources; gold in Ontario, Canada + lithium brines in Argentina

http://epsteinresearch.com/2020/06/25/portofino-resources-gold-in-ontario-canada-lithium-brines-in-argentina/

Portofino Resources; gold in Ontario, Canada + lithium brines in Argentina

by Peter Epstein, MBA | posted in: Argentina, Gold, Lithium Brine, Portofino Resources, Red Lake mining district | 0

“Au” = Gold, “Cu” = Copper, “Zn” = Zinc [“Cu Eq.” = Copper Equiv. @ spot prices]
It has been a busy six weeks for Portofino Resources (TSX-V: POR), six press releases have been issued. I will reiterate the key takeaways, but first an update on Portofino’s South of Otter (“SOT“) property in the Red Lake mining district. Although SOT is a priority, all four properties in northwestern Ontario will likely see exploration this year.
South of Otter, ~9 km from Great Bear’s Dixie project
The 5,207-hectare SOT project is 40 km southeast of Red Lake, Ontario and about nine km east of Great Bear Resources’ (“GBR“) very high-grade Dixie project. In the past, SOT was the subject of large-scale geophysical surveys designed to target base metals. However, in 2001 Goldcorp completed a property-wide compilation & interpretation of prior ground & airborne magnetic data to assess the potential for gold. Due to a lack of outcrop rocks, minimal follow-up work was done.

Management just completed a field program of prospecting & geological mapping along strong conductors identified in the Company’s winter electromagnetic (“EM”) ground survey. A total of 32 samples were collected to test various styles of mineralization, lithologies & alteration.
The work program included prospecting, detailed structural mapping & outcrop channel sampling based on conductors found in the geophysical survey announced on May 14th. A lack of detailed historical work enables Portofino to undertake meaningful programs, guided in part by successes of neighboring exploration companies.
In addition to the collection of 32 samples, significant semi-massive to massive sulphide mineralization was discovered along a newly identified, 1.6-km long fault zone. This zone is located ~500 m south of previously identified gold soil sample anomalies & EM conductors. A total of 12 samples were collected along this (deformation) zone to test for the presence of Au, Ag, Cu & Zn.
Notice in the image below drill holes (“DH“) / historical resources including; DH: 1.5% Cu + 6.3% Zn (3.7% Cu Eq.) over 3.4 m; 110,000 tonnes @ 0.5% Cu + 12.5% Zn (4.9% Cu Eq.); DH: 1.4% Cu + 7.3% Zn (4.0% Cu Eq.) over 9.5 m; 100,000 tonnes @ 1.0% Cu + 10% Zn (4.5% Cu Eq.).

Further prospecting & geological mapping on the margins of this fault zone identified alteration in the volcanic wall rock. Many gold deposits in Ontario are either directly hosted in this mineralization or exist in close relationship to it and a fault zone. Other projects containing this type of mineralization along similar deformation zones include GBR’s Dixie and the Uchi Lake gold mine. Once additional permits are received, Portofino will proceed to trenching / drilling.
Three new gold properties secured in past month
These are exciting times for Portofino. Management had an opportunity to pick up additional low-cost properties with gold showings, so they did. All three properties are located in historical & current mining districts with ample infrastructure & easy access. In addition to Red Lake, management expects the Atikokan area to heat up this summer. A number of companies are increasing their exploration activities there.
Portofino began negotiating & planning to lock up gold properties in Ontario when gold was around US$1,400/oz. Today, [June 24th], August gold futures are at US$1,786/oz., a gain of ~28%. Therefore, without a single new drill hole on any of its four controlled properties, the value the Company’s assets has meaningfully increased.

On June 11th, Portofino announced the execution of a binding agreement to acquire six claims (869 hectares) in the Atikokan area of northwestern Ontario. The Melema West property is located 28 km northeast of the town of Atikokan, and 5 km north of the Quetico Fault. Agnico Eagle Mines’s Hammond Reef gold deposit is ~19 km northwest of Melma West. Hammond Reef hosts a large, near-surface Measured & Indicated resource of 4.5 million ounces gold.
Grab samples taken in 2019 assayed as high as 10 g/t gold. The Young-Corrigan vein-system ranges in width from 1 to 15 m and was mapped over a strike of at least 170 m. Positive gold values demonstrate that an additional undocumented gold-bearing structure potentially exists on the Melema West property.
CEO David Tafel of Portofino commented on the Melema West property,
“The gold-bearing structures in this area are extensive, well documented and traceable for > 30 km. Recent land acquisitions by Agnico Eagle contiguous to Melema West supports the idea that Portofino is well strategically placed. The undocumented & unexplored Young-Corrigan Shear Zone is a compelling exploration target.”
On May 27th, Portofino executed a binding agreement to acquire three claims totaling 1,147 hectares in the northwestern Ontario. The Sapawe West property is nine km northeast of Atikokan, just north of the Quetico Fault, and 2.5 km west along strike of the past producing Sapawe Gold mine. Portofino has initiated the compilation & reinterpretation of all available historic data on the property and is proceeding to develop exploration targets for a summer field program.
Hammond Reef, located ~13 km north of the Sapawe West property, is in a structurally active portion of the Steep Rock Greenstone Belt. Similar to the structure associated with Hammond Reef, Sapawe West hosts a possible northeast trending splay from the Quetico Fault.

CEO Tafel commented on the Sapawe West property,
“We are excited to acquire this strategically located property. The nearby past-producing Sapawe Gold mine, the visual results from Falcon Gold’s drill program along the same geological corridor, and the lack of drilling on the Property, makes for a compelling exploration target. We look forward to commencing initial field work.”
This news came just a week after executing a binding option agreement for the right to acquire a 100% interest in the Gold Creek property, also in northwestern Ontario. The block comprises three mining claims, is easily accessible by road, and covers ~1,010 hectares.
Historical activity at Gold Creek included:
From 1967 to 1973, prospecting, mechanical stripping / trenching & rock sampling of quartz vein occurrences in the district. In 1983, geological mapping, magnetic & VLF-EM surveys further assessed the area.
In 1985 & 1987 to 1989, Noranda Exploration conducted extensive work, they explored the area with an airborne magnetic & electromagnetic survey, ground magnetic & electromagnetic surveys, selective radiometric & gravity surveys, geochemical sampling, geological mapping / overburden stripping, & rock sampling.

Inco Gold conducted an exploration program in 1989-90 which consisted of grid line cutting, magnetic, VLF-EM & geological mapping surveys, trenching, rock sampling & two diamond drill holes. Two grab samples assayed 13.2 g/t & 64.2 g/t gold.
Significant gold mineralization has been traced along a 1.5-km strike length with grab samples returning values up to [759 g/t = 24.4 ounces / tonne] (from an OGS property visit) and diamond drill intersections in 2008 of up to 2.3 g/t over 8.3 m.
CEO Tafel commented on the Gold Creek property,
“This transaction allows us to continue to build our gold portfolio within the easily accessible, active & historic gold mining area of northwestern Ontario. Multiple visible gold occurrences reported by previous operators is very encouraging, and gives our technical crew a head start in planning initial exploration activities.”
Gold Creek is characterized by geology similar to that documented in the Kirkland Lake area, where numerous gold showings occur in a broad range of lithologies. Visible gold sometimes occurs within the mineralized veins. Management has initiated the compilation & re-interpretation of all available historic geochemical & geophysical data at Gold Creek to develop exploration targets for summer field work.

Portofino Resources (TSX-V: POR) is up 225% from its 3-yr. low, but its market cap is only C$3.2M. In addition to the four properties described above, the Company has lithium brine assets in Argentina that could be worth C$ millions once energy metals regain popularity. If management could farm out one or more gold / lithium properties, it could reduce already low cash burn to virtually zero. Shareholders would have a free option on the remaining controlled properties.
In looking at peer Red Lake properties (and companies with nearby Atikokan area properties), the average gain from 3-yr. lows is 1,640%. Even excluding GBR’s staggering performance, the average gain is 2.5 times that of Portofino. Perhaps not Great Bear, but others on the above chart could be interested in acquiring companies like Portofino to gain additional regional gold exposure.
Disclosures / Disclaimers: The content of this article is for information only. Readers fully understand and agree that nothing contained herein, written by Peter Epstein of Epstein Research [ER], (together, [ER]) about Portofino Resources, including but not limited to, commentary, opinions, views, assumptions, reported facts, calculations, etc. is not to be considered implicit or explicit investment advice. Nothing contained herein is a recommendation or solicitation to buy or sell any security. [ER] is not responsible under any circumstances for investment actions taken by the reader. [ER] has never been, and is not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and does not perform market making activities. [ER] is not directly employed by any company, group, organization, party or person. The shares of Portofino Resources are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they will consult with their own licensed or registered financial advisors before making any investment decisions.
At the time this article was posted, Portofino Resources was an advertiser on [ER] and Peter Epstein owned shares and warrants in the Company.
Readers understand and agree that they must conduct their own due diligence above and beyond reading this article. While the author believes he’s diligent in screening out companies that, for any reasons whatsoever, are unattractive investment opportunities, he cannot guarantee that his efforts will (or have been) successful. [ER] is not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article or future content. [ER] is not expected or required to subsequently follow or cover events & news, or write about any particular company or topic. [ER] is not an expert in any company, industry sector or investment topic.

February 2020 Streetwise Report On Portofino Resources Inc.

https://www.streetwisereports.com/article/2020/02/19/with-gold-price-soaring-portofino-resources-is-exploring-the-red-lake-mining-district.html

Last September Portofino Resources Inc. (POR:TSX.V; POT:FSE) announced a binding agreement for the right to acquire a 100% interest in mining claims in the famous Red Lake mining district of Ontario. Portofino joins both majors and juniors including Australia-listed Evolution Mining and Canada-listed Yamana, Great Bear Resources, Premier Gold Mines, Pure Gold, Rubicon Minerals, Pacton Gold, BTU Metals and GoldOn Resources.

Portofino's block comprises 14 mining claims covering ~5,120 hectares. The claims are near investment crowd favorite Dixie project, being drilled out by Great Bear Resources (GBR). GBR's latest results from a fully financed 200,000-meter drill program were impressive. One of several intervals was 48.7 grams per tonne (g/t) gold (Au) over 8.7 meters (m), including 1.2m @ 281.9 g/t Au.

Gold price had its best year (2019) in a decade….

So, ultra, high-grade Au mineralization, found at shallow depth (under 300m), across multiple drill programs in 2017–2019. GBR has a market cap of $440 million. Portofino's 5,120- hectare "South of Otter" property is less than 10 km east of GBR's 9,140-hectare flagship project.

If South of Otter hosts anything good, which remains to be seen, it might be high-grade Au, like Dixie, or high-grade copper (Cu) and zinc (Zn) mineralization, like that found on other nearby properties.

I'm shamelessly playing the close-olgy card here, but only because GBR is one of the best gold junior stories of the past decade, up ~5,600% from $0.165 in 4Q 2016 to $9.40 today. In fact, several juniors have done quite well. Pure Gold Mining is up ~1,020% since 4Q 2015. BTU Metals is up nearly 500% since 3Q 2018. One more, GoldON Resources, is up ~700% since 1Q 2019.

That's four Red Lake juniors with spectacular share price success. Four out of roughly 16 (25%) publicly traded companies with all, or substantially all, of their gold and/or base metals assets in and around Red Lake, Ontario. Portofino, with a market cap of just $1 million is perhaps the smallest player in the entire district. Yet, its under-explored property is both sizable and meaningfully prospective.

South of Otter is located within a geological setting that hosts the past-producing South Bay Mine (1.6 Mt @ 11.1% Zn, 1.8% Cu and 2.1 oz./t silver (Ag). GBR's Dixie project is also on this trend. In addition to being on trend, Portofino's property lies in a similar geological and structural setting.

Two historical operators, Goldcorp (recently acquired by Newmont) and Tri Origins, compiled a vast amount of geophysical data that mapped structures within the South of Otter claims. Portofino has commenced geophysical and geochemical surveys to further understand the geology and mineralization associated with past discoveries, which lie just north of the property but strike onto Portofino's claims.

Red Lake exploration program started last week

These surveys will provide Portofino with the data required to effectively target both gold and base metal mineralization and identify similar structures for exploration that are being explored along trend by companies including Great Bear Resources and BTU Metals. BTU recently reported an intercept of 44.3m of 1.14% Cu Eq, with intervals of up to 5.56% Cu, 99.6 g/t Ag plus 2 g/t Au.

Portofino's CEO David Tafel stated,

"We have been able to acquire a very prospective land package in a known gold mining camp proximal to the Dixie project which has recently produced multiple high-grade gold discoveries by Great Bear Resources. This acquisition allows us to diversify our project portfolio while we continue to advance our lithium projects."

The South of Otter property is ~40 km southeast of the town of Red Lake, Ontario, and less than 10 km east of GBR's Dixie Lake. Historical work on the claims included prospecting, sampling and limited diamond drilling.

With the gold price up US$300/oz (+24%) from the low of 2019, management is wisely seizing an opportunity to conduct meaningful programs that may, in part, be guided by ongoing successes at neighboring projects. Active drill programs are underway on properties in virtually every direction from Portofino's South of Otter property. In fact, one of the most aggressive drill campaigns in Canada (200,000 meters) is being done by Great Bear.

Portofino Resources' South of Otter Property

To earn 100% interest in South of Otter, Portofino has agreed to issue 500k shares and make payments over a four-year period totaling $70,000. The property vendor will retain a 1.5% Net Smelter Return (NSR), of which one half, (0.75%), can be purchased for $400,000.

Management has completed a review of all available historical assessment work on the South of Otter property and has announced an initial exploration plan starting this week. According to the press release,

"The first phase of Portofino's 2020 exploration program consists of ~25-line km of ground VLF/EM geophysics and soil geochemistry surveys. The objective is to delineate mineralized structures related to past gold and base metal discoveries in the region and outline targets for follow-up trenching and drilling. Multiple gold, copper and zinc deposits / prospects have been discovered both immediately to the north and south of the claim boundaries."

Utilizing historical geological and airborne magnetic surveys has enabled the company to advance its exploration program rapidly and cost effectively. Combined with the new data to be collected from the upcoming program, the company expects to delineate mineralized structures related to past gold and base metal discoveries and outline targets for follow-up trenching and drilling.

Portofino's property contains excellent targets for both Red Lake-style Au mineralization as well as gold-bearing base metal prospects. Historical work includes prospecting, sampling, plus limited drilling, as well as airborne magnetic geophysical surveys commissioned by a previous operator.

Portofino's brine lithium prospects in Argentina are highly prospective

Readers may recall that Portofino Resources is also known as a lithium play. It has locked up (through favorable option structures) three projects in the heart of the Lithium Triangle.

In the first half of 2019, Portofino continued to move the ball forward on two of its three projects. Although it's too early to know if the company has good lithium assets, one of its projects, Hombre Muerto West (HMW), is in the single best salar in Argentina—salar del Hombre Muerto.

Neighbors in and around Hombre Muerto include Livent Corp. (formerly FMC), Korean giant POSCO and Australia-listed Galaxy Resources. Last year, POSCO famously paid ~$364 million to Galaxy for 17,500 hectares, that's ~$20,800/ha. That land package reportedly had a 2.54 million tonne LCE Indicated + Inferred resource.

Over the past few months, a number of lithium juniors and producers have seen significant rebounds in their share prices. Eight well-known names—Neo Lithium, Advantage Lithium, Lithium Americas, Ganfeng, Livent, Wealth Minerals, Standard Lithium and Bacanora—are up an average of 125% from 52-week lows.

Gold sentiment is high and lithium sentiment might be turning. Portofino now has two segments (lithium and gold), each of which could be worth considerably more than the company's entire market cap of just $1 million.

It's early days, but a raging bull market in precious metals (underway?) and/or a bounce in lithium prices could draw attention to Portofino Resources (TSX-V: POR) this year and next.