Crystal Lake Mining Corp (CVE: CLM) (OTCMKTS: SIOCF) Surging After High-grade Gold-Silver Discovery

Crystal Lake Mining Corp (CVE: CLM.V) (OTCMKTS: SIOCF) sentiments and prospects in the mining industry have started edging higher following the conformation of a hydrothermal system at its key project. Exploration works at the Chachi Corridor at Newmont Lake Gold Corridor came out positive, showing the presence of high-grade gold, silver, copper, nickel, cobalt, among other metals spread over a massive area.

Crystal Lake Mining Stock Analysis

The discovery came just days after the mining and exploration company confirmed the copper-gold porphyry mineral zone as part of the Burgundy Ridge mineralization at the Newmont Lake project. The discoveries have helped strengthened the stock’s sentiments in the market, helping trigger a bounce back.

Crystal Lake Mining has been under immense pressure since the start of the second half of the year. The stock has lost more than 50% in market value amidst soaring short-selling pressure. However, if recent price action activity is anything to go by, then a string positive news could be the catalyst to help fuel a bounce back from current lows.

Hydrothermal Discovery

Newmont Lake Project is at the heart of Crystal Lake Mining prospects. The company is aggressively expanding known mineralization zones at the mine as it also continues to discover new expansive footprints. Two-diamond drill rigs at the Burgundy Ridge and the Gold Corridor Trend underscore the project’s tremendous potential in driving the company’s growth metrics and long-term prospects going forward.

The multi-element system discovery in Chachi Corridor is a major breakthrough for the company as it is the most underexplored area with tremendous potential. In addition, the discovery of high-grade nickel, copper, cobalt, and zinc was unexpected, all but validating the exploration works. Buoyed by the results Crystal Lake mining intends to carry out an aggressive exploration program to expand IP coverage as well as utilize Electro-Magnetic geophysics to study the area further.

Capital Raise

In a bid to accelerate exploration works at the flagship project, the mining and exploration company has also moved to strengthen its balance sheet in the recent past. The company has already closed two private placements with strategic investors and in the process, raised $1.29 million in gross proceeds. Proceeds from the offerings will go towards the exploration program at the Newmont lake project as well as for general working capital purposes.

Crystal Lake Mining Peers

Just like Crystal Lake Mining, Bluestone Resources Inc. (TSXV:BSR) (OTCQB:BBSRF), is another small-cap mining stocks showing tremendous potential. The mining and exploration company owns one of the highest-grade underdeveloped gold projects set to go into production. With gold prices flirting with highs of $1400 an ounce, the company could be on its way for a big cheque as it eyes a production rate of 146,000 ounce per year.

Eldorado Gold Corporation (TSX:ELD) is another Canadian mining company with diverse gold and base metals mining and exploration projects. The company is currently working on projects in Turkey, Canada, Greece, Romania, and Brazil. In Canada, the company operates the Lamaque underground gold mine, which is in the process of expanding as it seeks to increase throughput from 1,800 tonnes per day to 2,500 tonnes per day.

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This article by Money News National is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Money News National has no position in the stocks mentioned. Thank you for reading.

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This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.

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