Gold Co. Announces PEA of Flagship Project

Goldshore Resources Inc. (TSXV:GSHR; OTCQB:GSHRF; FWB:8X00) has released a corporate update on its ongoing activities.

The highlights of the report include a Preliminary Economic Assessment (PEA) on the company's flagship Moss Gold Project, which is scheduled to come out in the middle of Q4 of 2023. This PEA is being managed by an independent team at Ausenco Engineering Canada Inc and includes alternate processing options which highlight the flexibility of the Moss Gold Project. Future test work may unlock potential opportunities for upside on creating a different size scoped project in the future, with different recovery methods.

Base Metallurgical Laboratories Ltd. has completed a gold deportment study with positive results, and additional heap leach metallurgical test work is in progress at Kappes, Cassaday, and Associates (KCA) to maximize potential gold recoveries. This study included sixteen samples, which were composites from shear and intrusion domains, plus combined composites from the Main, Central, QES Zones, Moss Southwest Zone, and East Coldstream. Observed gold grains in all samples were ultrafine. The bulk mineralogy shows high amounts of quartz and plagioclase in all samples, correlating to the high competency and hardness seen in the comminution results.

An independent review of the May 5, 2023, Mineral Resource Estimate (MRE) for the Moss Gold Project recently completed by SRK Consulting Ltd. (SRK) confirms that the resource meets the CIM guidelines for the reporting of inferred mineral resources. Another independent review of project permitting paths by CSL Environmental & Geotechnical Ltd. (CSL) confirms that the permitting process is on-track for development with significant studies already completed and no major information or timeline hurdles expected.

Analysts have predicted that gold may be back up toward the record-breaking highs seen earlier in Spring. According to analyst Barry Dawes of Martin Place Securities, the market is expected to be "great for gold and all resource commodities."

Goldshore continues to take a proactive approach to community engagement. The company meets regularly with host indigenous communities and benefits greatly from feedback on all aspects of the PEA process.

The company has been approved to receive an Ontario Junior Exploration Program grant of CA$200,000. Over 8,000 ha of new mineral claims have been staked 15 to 25 km north of the Moss Gold Project.

According to the CEO of Goldshore, Brett Richards, "In the wake of this market turbulence, we continue to pursue our goals of establishing the economic viability of the Moss Gold Project, as well as increasing our footprint in the region in a responsible manner. We continue to see great potential for the Moss Gold Project to grow well beyond the scope of the PEA we are currently conducting, but we appreciate we need to establish the Project as an economically viable resource in its existing size, grade, and metallurgy. Initial indications are extremely encouraging, and we are looking forward to releasing the complete economic results in mid-Q4 2023."

In support of the project, Richards recently added to his position with a purchase of 1.256M shares in the market.

Gold Moving Back Toward Record Highs

Analysts have predicted that gold may be back up toward the record-breaking highs seen earlier in Spring. According to analyst Barry Dawes of Martin Place Securities, the market is expected to be "great for gold and all resource commodities."

According to Richard Mills of Ahead of the Herd, there are a number of factors driving up gold prices, including central bank buying and the gold-to-oil ratio. He reports a price target for gold between US$12,000 and US$15,000.

Mills concludes that the market will likely remain bullish on precious metals for the rest of the year, triggered by a pivot in the Federal Reserve's rate hikes.

A Gold Record

Goldshore has released very positive assay results and developed its flagship property, Moss Lake, which analysts find encouraging. According to a Velocity Trade Capital Report, the Moss Lake project is in an excellent region that has received international attention.

The report commented that "The region has the infrastructure to support a district scale mining camp (highway/road access, natural gas supply, power as well as the proximity of Thunder Bay, ON for labor, supplies)."

The report also highlighted the company's encouraging stock value: "The company trades at CA$3.11/oz Au Inferred of its Shear zone only and less than CA$2.00/oz Au for M&I, Inf. for its entire resource base — a deep discount to peer averages of CA$43/oz Au M&I, Inf."

Ownership and Share Structure

Management and insiders own 7.45% of the company. Brett Allan Richards owns 2.54% of the company with 4.39 million shares, Galen Stuart Mcnamara owns 2.36% with 4.09 million shares, Victor Cantore owns 1.13% with 1.96 million shares, Doug Ramshaw owns 0.90% with 1.57 million shares, and Shawn Khunkhun owns 0.52% with 0.90 million shares.

Institutions own 32.68% of the company. Wesdome Gold Mines Ltd. owns 22.20% with 38.42 million shares, Sprott Asset Management LP owns 7.93% with 13.72 million shares, Commodity Capital AG owns 1.65% with 2.85 million shares, US Global Investors, Inc. owns 0.58% with 1.00 million shares, and Ninepoint Partners LP owns 0.32% with 0.55 million shares.

Wesdome represents a strategic investor.

The company has CA$7 million in the bank, with a monthly burn rate of CA$1.2 million and a monthly drill cost of CA$1.1 million. 

The company reports no current potential negatives. 

There are 205.3 million shares outstanding. It has a market cap of CA$16.76 million. It trades in the 52-week period between CA$0.12 and CA$0.36.

Important Disclosures:

1. Goldshore Resources Inc. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000. 
2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Goldshore Resources Inc. 
3. Amanda Duvall rote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee. 
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