I really like Liberty Gold Corp (Ticker: LGD) based on the sum of its parts…

Liberty Gold has a decent PEA stage oxide gold project in the form of Goldstrike. It’s a low grade system that is amendable for heap leaching and currently sits at around 1 Moz. I think there is plenty of room to grow, which is the key to unlocking this project for real.

Then there is the oxide gold Black Pine project. This one could very well turn out to be a near surface monster of a deposit(s) and yesterday it was announced that Liberty Gold got their Plan of Operations approved. This includes the allowance for over 400 drill pads on a multi km2 target. Liberty Gold has stated that phase 1 of exploration at Black Pine will be as much as 100 drill holes, and given that this project has seen a lot of drilling already, they should be able to prove up ounces much faster than your typical greenfield project.

Liberty Gold also has multiple other projects in their pipeline, including Kinsley and Baxter Springs which are located in the US, and two advanced staged projects in Turkey (which they are looking to monetize) to name a few.

The company’s Enterprise Value currently sits at around US$78 M, and I think this number will look really low in a years time (when Black Pine is hopefully starting to get peoples attention etc). Goldstrike currently has an estimated value of C$129.5 M at a US$1,300 gold price according to the PEA done in 2018, and it is still growing.

In 12-24 months I think the potential split up value for Liberty Gold might be multiples of today’s Enterprise Value. For example I can see Black Pine having a low strip, open pitable, oxide gold resource of 3-5 Moz down the road. If that turns out to be true, I think the NPV of the project will be in the hundreds of millions of dollars. And again, that is for Black Pine, only. Furthermore, Liberty Gold has a team of proven mine finders, builders and project sellers.

All in all, I consider Liberty Gold to be one of very few cases that I know of that has good AND probable upside. Do you own due diligence, and I have a feeling some will agree with me.

  • Latest Company Presentation can be found HERE.
  • The latest video presentation by CEO Cal Everett is also a good watch:



Note: This is not investment advice. Always do your own due diligence. I am not a geologist or an investment adviser. I cannot guarantee the accuracy of the information in this article and encourage everyone to do their own due diligence. I did not get paid by any entity to write this article. I along with family members own shares in Liberty Gold Corp and thus I might be biased. I may buy or sell shares at any time. This is a high risk/high reward case and not for the feint of heart. Junior mining shares can have extreme volatility and have low liquidity. Do not bet the farm whatever you do!

Best regards,

The Hedgeless Horseman

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