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SISM Investors Issues TomaGold Corporation Summary

TomaGold Starts To Prove Up its Assets By An Expansion Drilling Program on the Obalski Property

Company Overview

Based in Montreal, Canada, TomaGold is a junior mining exploration company focused on maximizing shareholder value through the acquisition and exploration activities conducted in mining-friendly jurisdictions Quebec and Ontario. In 2020, TomaGold sold a minority interest of 25% to NYSE-listed Iamgold (IAG) for a transaction value of $8.5 million in cash and stocks, allowing LOT to move on to unlock the resource potential on their other properties. TomaGold owns 100% working interests in five gold properties in Quebec and one gold property in Ontario, with solid exploration potential. TomaGold’s focus is on the Obalski project, high-grade and promising results from winter 2020 drilling warranting a larger drilling program to define the project potential. The expansion 10’000-meter drilling program has started in July. TomaGold has more than $7 mil. in working capital and can finance the ongoing drilling program without raising capital and diluting its shareholdersThe share price trades for less than its book value and the true value of the Obalski project is not reflected in the stock price.

TomaGold Corp. Leaseholds in Quebec and Ontario

Drilling Information Obalski Project


♦️ TomaGold has interests in five gold properties near the Chibougamau mining camp in northern Quebec: Obalski 100% Working Interest (WI) on (345 hectares), Monster Lake East 100% WI (5,867 hectares), Monster Lake West 100% WI on (1,172 hectares), the Hazeur’s properties 70% WI on (2,975 hectares) and Lac Doda 100% WI on (4,478 hectares). In Ontario, LOT participates in a joint venture and hold a 24.5% working interest in the Baird property (90 hectares), near Red Lake.

♦️ TomaGold teamed up with impressive strategic partners, including two NYSE-listed companies Iamgold (IAG) and New Gold Inc. (NGD).In November 2020, the Company sold its remaining 25% of Monster Lake stake to IAG for $8,5 million. In Ontario, in the resource-rich Baird property near the Red Lake mining camp, LOT JV-partners include Australia-based Evolution Mining (ASX: EVN), a A$7.5B market cap company with a 24.5% WI, and New Gold Inc. a $1.1B market cap company, the operator on this project, owning the remaining 51% interest. 

♦️  The Company’s exploration focus is on the gold Obalski-project near the Chibougamau mining camp in Quebec.The Obalski discovery goes back to 1928, and the deposit produced between 1964 to 1972 100,273 tonnes at grades of 1.14% copper, 2.08 g/t gold, and 6.04 g/t silver from the A zone, and around 9,000 tonnes during 1984 at a reported grade of 8.5 g/t Au from the D zone. In December 2020, TomaGold initiated a three-month 2,500-meter drilling program on the property targeting A, C, D, and A-Po zones to unlock the mineral potential. TomaGold drilled seven holes, and excellent high-grade gold and copper values have been reported. Based on the history and new drilling results, the project has a significant chance for a substantial economic potential.

♦️ In July 2021, TomaGold initiated a large 10’000-meter expansion drilling program on Obalski, aiming to define the A-Po zone by drilling every 50m between sections 120 E and 450 E to a vertical depth of at least 500m, with some holes reaching a vertical depth of 650m. The A-Po Zone on sections 450 E showed strong winter drilling results with hole OBS-20-002 confirmed 47.4 g/t Au, 87.6 g/t Ag and 7.06% Cu over 1.1 meters, and 67.1 g/t Au, 40.1 g/t Ag, and 2.32% Cu over 0.5 meters. On section 120 E which is located 330 meters apart from 450 Em three holes were drilled in the winter drilling program 2020, and hole OBS-21-005 confirmed the following results: 23.7 g/t Au and 24.5 g/t Ag over 0.5 metersThese drilling results are an excellent indication of promising gold potential on this project.

♦️ TomaGold further strengthens its leaseholds around the Obalski and Monster Lake properties and we expect some drillings, once the work on Obalski is completed. TomaGold signed an agreement in April 2021 to acquire 46 claims located just south of the Obalski property. The company has 151 wholly-owned claims covering 8,304 hectares (83 km2) situated around the Iamgold deposit.

♦️ TomaGold recorded net earnings of $ 4,5 mil (or $0.031 per share) for nine months, resulting in selling exploration and evaluation assets to Iamgold. The Company has more than $7 million in working capital and can finance the ongoing drilling program without raising capital and diluting its shareholders. The share price trades for less than its book value, and the Obalski project’s true value is not reflected in the Company’s stock price. We start covering TomaGold and work on an extensive research report, available within the next twenty to thirty days.

Consolidated Statements of Operation(in C$)

Revenues 0 0 0
Gain on Assets 4,833,238 -787,061 1,431,009
Operating Profit 4,349,210 -1,035,498 1,199,707
Financial Exp. 6,960 0 0
Other Income 0 0 0
Net Loss/Profit 4,342,250 -1,035,498 1,199,707
EPS $0.031 -$0.007 $0.008

Consolidated Balance Sheets in (in C$)

Assets: August 31, 2020A May 31, 2021A
Cash 33,387 62,405
Term Deposit 20,019 20,019
Other Receivables 748,326 61,642
Marketabel Securities Mining Entities 1,339,410 8,116,788
Prepaid Expenses 3,451 125,404
  2,144,592 8,386,258
Non Current Asset    
Warrants in a quoted Mining Co. 103,824 446,517
Exploration & Evaluation Assets 3,951,761 3,346,003
Property and Equitpment 3,851 6,378
  4,059,436 3,798,898
Total Assets 6,204,029 12,185,156
Trade ad other Payables 709,550 205,149
Credit Margin   300,000
Loan 25,355 25,355
Total Liabilities 734,905 530,504
Total Shareholder,s Equity 5,469,124 11,654,652

TomaGold Research Summary to Download in PDF

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SISM Research Issues TomaGold Corporation Summary

TomaGold Starts To Prove Up its Assets By An Expansion Drilling Program on the Obalski Property Zurich, Switzerland and Montreal, Canada, August 18, 2021  — Ernest C. Schlotter, a senior analyst with Zurich, Switzerland-based SISM Investors, and a four-star analyst according to StarMine, a Thomson Reuters Company,has issued a one-page Summary on TomaGold Corporation. (TSXV: …

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