At The Heart Of The Golden Triangle

The Golden Triangle has become the hottest exploration play of the year — and for good reasons.
Some explorers here have multiplied 10-fold in value based on their exploration results.
Now Metallis Resources (MTS.V) — with one of the most prospective properties and a highly experienced technical team — could soon catch up to the value of its neighbors, generating huge returns for shareholders.

Dear John,

The Golden Triangle of British Columbia has already turned up more gold than the fabled Carlin Trend of Nevada.

But now it’s gotten red-hot. Several companies working in the Golden Triangle have seen their share prices skyrocket this year alone, in some cases by 10-fold or more.

Now investors looking for the next big winner in this district are starting to discover Metallis Resources (MTS.V).

Here’s why: The company has a massive property in the heart of this prolific region. Years back, while no one else was paying attention to the district, a renowned geological expert spent years quietly assembling the most highly prospective ground.

Those hand-picked gems are now in good hands, all encompassed within the company’s 10,000-hectare Kirkham Property. And at this very moment, a highly experienced geological team is working toward multiple discoveries.
You see, the gold and other riches of the Golden Triangle are hosted in a variety of geological environments: high-grade veins, porphyry gold-copper deposits and precious metal-enriched VMS deposits.
The Metallis property has ALL those geological environments…and more.
As an added bonus: The company holding an adjoining property appears to have made a substantial nickel discovery, propelling its share price by more than 20-fold, from C$0.16 in July to a recent C$3.57.
That discovery does not end at the line on the map: Ground truthing, including drilling, confirms that the geological system hosting that nickel discovery continues well onto the Metallis property.

The adjacent company, Garibaldi Resources (GGI.V), now has a market value of C$308 million, nearly nine times the value of Metallis, mainly based on that discovery.

Even though Metallis could have a big piece of that nickel-bearing system, it is only a side show to the main events: The company remains primarily focused on its gold and gold-copper prospects.
For anyone who hasn’t been keeping up, a little background on the Golden Triangle will help in understanding why further results on the Metallis prospects could propel the share price — as has happened with other companies in this prolific region.

The Emergence Of The Golden Triangle

The enormous mineral wealth of the Golden Triangle was recognized for decades, but the area was largely passed over due to the lack of infrastructure.
The district came alive in 1989 with the Eskay Creek discovery. Drill hole 109 on that project returned one of the best intersections ever reported: a 682-foot interval grading an average of 0.87 ounces per ton gold with credits of silver, lead and zinc. That spectacular hole generated huge gains for shareholders.
In short, it rocked the mining world, leading to a staking rush. Literally hundreds of companies explored small, scattered claims in the area, hoping to repeat the Eskay success.
Eskay quickly became a mine, which was soon taken over by Barrick and produced 3 million ounces of gold and 160 million ounces of silver from ore with a spectacular grade of 49 g/t gold and 2,406 g/t silver.

It took a couple of decades for a few serious companies to pull together those hundreds of small land holdings in order to carry out proper exploration programs. Metallis is one of the beneficiaries of that consolidation.

In the meantime, the Snip Mine produced a million ounces, at a grade of 27.5 g/t. The Red Chris gold-copper deposit is now a mine.
More recently, Pretium Resources (PVG-T) has begun operations at their Brucejack mine. With production ramping up to the target level of 504,000 ounces of gold per year, Pretium has a market value of C$2.2 billion. Not bad for a company that was a start-up just seven years ago.
But here’s the important point: As a result of all these discoveries and development, the Golden Triangle now has good road access and a connection to the provincial power grid, which gives mines the benefit of cheap hydropower.
Savvy investors know that this region hosts incredible mineral wealth. With world-class mines in production and now with excellent infrastructure, investors are becoming aware that discoveries have real value, as they can and will become mines.
So, it isn’t too surprising that GT Gold (GTT-V) is up 1200%, to a market value of C$137 million, on good assay results. Or, Garibaldi is up 20-fold. And it isn’t surprising that legendary mining investor Eric Sprott took a personal position in Metallis.
After his geological team looked closely at the Metallis information, Sprott made a personal investment in Metallis of C$2.2 million (at C$1.10), which gave him a 10.2% stake. Sprott has made a fortune by recognizing promising exploration companies early.
What did that geological team see that led this seasoned resource investor to put his own money on the table?

Metallis — One Discovery And Counting

Drilling by another junior in 2009 identified a porphyry deposit on what is now part of the Metallis property.
The previous operator drilled a few shallow holes from a ridge, where they had good access, with their results confirming the presence of gold and copper values in a porphyry setting. The grades were good, but were not enough to excite investors at that time, as the junior market was falling apart.
Enter Metallis, which acquired those claims and integrated them into their larger geological picture.

Earlier drill holes on the Cliff target were located high in the porphyry system, as that company did not have access to the lower portions.

It is now clear from the abundant geological evidence that the earlier drilling tested only the peripheral portion of a large porphyry system. Metallis, with the benefit of claims that cover the entire system, recently drilled three holes on the Cliff Target, located 1.5 kilometers down-slope from the old holes.
Based on visual examination of the drill core, those holes feature potassic alteration and abundant chalcopyrite (copper sulphide), demonstrating that the gold-copper porphyry system extends well beyond the depths of historical drilling and over a considerable strike length.
Assays, which are due shortly, will begin to quantify the grade and extent of this system.
Elsewhere on the Kirkham property, drilling on the Thunder North target has confirmed that the nickel discovery on the adjacent Garibaldi property does not end at the line on the map.
In short, a substantial part of the geological system lies on the Metallis ground.
And yet, there’s more to be excited about. The company was also able to get one hole into the King target before the end of the season. Geophysics and other evidence points to an intrusion-related gold-pyrrhotite vein-type system, similar to that which hosts the nearby high-grade Snip deposit.
There wasn’t time to test the Eskay-like target this season, but that will happen in the spring. The company is now well-funded to quickly advance all these high-potential targets.
One person who appreciates the significance of what Metallis is finding is Lawrence Roulston — one of the leading sector analysts throughout the mining and metals bull market of the early 2000s.

While at Resource Opportunities, Roulston developed a reputation for identifying massively undervalued junior mining companies — and doing so well before anyone else.

Earlier this year, Roulston, who now heads WestBay Capital Advisors, published a comprehensive research report on Metallis. (CLICK HERE to read that report.)
With so much on the go, Metallis management, for the first time in the company’s history, have decided to make a concerted effort to build an investor audience: They want to be certain that investors are watching closely as the exploration results become available over the coming weeks.
The Metallis share price has begun to move over the past few months, but this company still has a value that is only a fraction of its neighbor, and of other comparable companies in that district.
Metallis has chosen the New Orleans Investment Conference for the debut of their investor awareness campaign. The company CEO Fiore Aliperti and Advisor Lawrence Roulston will be in New Orleans to present this story first-hand.
With drill results coming from three different targets on a property located in the midst of the hottest exploration region of the year...this is the time to hear their story.
You may also want to act soon, as companies have a habit of using the New Orleans Conference as a platform for blockbuster news that can drive share prices.

CLICK HERE
To Read The WestBay Capital Advisors Report On Metallis Resources (MTS.V)

CLICK HERE
For Metallis Resources’ Corporate Presentation