Proactiveinvestors United Kingdom Group Eleven Resources Ltd. https://www.proactiveinvestors.co.uk Proactiveinvestors United Kingdom Group Eleven Resources Ltd. RSS feed en Fri, 14 Dec 2018 01:08:58 +0000 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[Media files - Group Eleven sitting on more than a billion pounds of zinc and lead at Ballinalack ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/11394/group-eleven-sitting-on-more-than-a-billion-pounds-of-zinc-and-lead-at-ballinalack-11394.html Fri, 30 Nov 2018 13:01:00 +0000 https://www.proactiveinvestors.co.uk/companies/stocktube/11394/group-eleven-sitting-on-more-than-a-billion-pounds-of-zinc-and-lead-at-ballinalack-11394.html <![CDATA[Media files - Group Eleven Resources announces drilling program on zinc project in Ireland. ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/10946/group-eleven-resources-announces-drilling-program-on-zinc-project-in-ireland-10946.html Wed, 24 Oct 2018 07:40:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/10946/group-eleven-resources-announces-drilling-program-on-zinc-project-in-ireland-10946.html <![CDATA[News - Group Eleven has the largest land position of any explorer in Ireland, and the financial support of a major Canadian silver developer ]]> https://www.proactiveinvestors.co.uk/companies/news/207283/group-eleven-has-the-largest-land-position-of-any-explorer-in-ireland-and-the-financial-support-of-a-major-canadian-silver-developer-207283.html It was early 2015.

Bart Jaworski, one-time mining analyst with Raymond James in Vancouver and latterly ensconced at Irish broker Davy, knew that the zinc market was turning.

The question was: what to do about it?

Jaworski had relocated to Ireland, his wife’s homeland, some years earlier. He’d taken up coverage of Rio Tinto, Randgold, Centamin and the like for Davy, but had come to feel that he was straying further and further from his geological roots.

Jaworski’s heart was in exploration. And now, here he was in one of the world’s great zinc jurisdictions with the zinc market starting to turn.

There was only one thing for it: strike out and form a new company.

“Lisheen had already shut down and I knew that there was going to be a supply crunch,” he recalls. “And here I was in zinc country.”

He got together with John Barry and David Furlong, both formerly of Rathdowney Resources, and started calling private equity groups to try to secure funding.

“One of them came and backed us,” he explains, “so we said ok, let’s go and try to talk to everybody in Ireland and get a deal going.”

Group Eleven Resources Corp (CVE:ZNG) was on the road.

Still, there were plenty of struggles still ahead.

“We were able to raise seed, but it wasn’t easy,” says Jaworski. “The smallest money is the toughest to raise – especially when all you have is an idea and nothing else.”

To top it all, at that time the wider mining equity markets were enduring a spate of panic selling, Glencore’s share price was below 100p, and sentiment was poor.

As it turned out though, those poor market conditions played to Group Eleven’s advantage. The company raised its first C$500,000 and set to work.

“It was a rare window of opportunity when the majors started dumping a lot of their long-held ground,” says Jaworski, “and we just hopped right on it.”

And it was at that moment that an old friend, Peter Megaw, the chief exploration geologist at MAG Silver (TSE:MAG), presented Jaworski with a sage piece of advice that has since shaped the subsequent development of Group Eleven.

“He said: If you believe in zinc and you believe in Ireland, own Ireland,” says Jaworski.

That galvanized Group Eleven’s already emerging strategy and the company went out and acquired as much quality Irish ground as it possibly could, turning itself into the biggest holder of mineral licences in the country, and thereby attracting the official as well as the friendly interest of MAG.

“They liked the idea of controlling entire geological basins and of potentially overlooked more silver-rich deposit types,” says Jaworski. Jaworski had covered MAG during his time as an analyst so a level of trust was in place at the outset of the relationship, and MAG duly came in for C$750,000, providing cornerstone funding for a full C$1.5mln raise.

At that point the pace really began to pick up. With the endorsement of MAG, Group Eleven now began to look interesting to other companies too.

“Once we had MAG’s support, Teck tapped us on the shoulder,” says Jaworski. Teck was looking to monetize its Stonepark asset after several years of stop-go work, and Group Eleven was only too happy to oblige.

“It was thought to be one of the largest undeveloped zinc assets in the country at that stage,” says Jaworski, and would clearly provide Group Eleven with the cornerstone asset that it needed to list on the Canadian Venture Exchange.

“We started marketing at Halloween of 2017,” says Jaworski. “We raised C$5mln and IPOed, as a company with 3,200 square kilometres of ground under license, the largest landholder in Ireland.”

The next step was to produce a meaningful resource at Stonepark, a milestone that was duly passed in 2018 when the company revealed the presence of 5.1mln tonnes of mineralization grading 11.3% combined zinc and lead, with the project open towards Glencore’s (LON:GLEN) sizeable Pallas Green deposit, located immediately to the east.

Subsequent drilling has also revealed the presence of high grade mineralization running up to 32% zinc and lead combined, on trend towards Pallas Green.

These are highly encouraging results as Irish mining wisdom has it that for a zinc project to break-even economically, it needs to be at least 10mln tonnes of ore grading 10%. Group Eleven is hitting the grades without difficulty, and is already more than half way there as far as the tonnage is concerned.

The Irish government is lending a hand too, at least to Group Eleven’s wider objectives, with the much-lauded Tellus airborne geophysical survey, now in its seventh year. Tellus is undertaken by the Geological Survey in Ireland and aims to promote mining and exploration across the country with the provision of up-to-the minute geological data on a very broad scale.

The current programme includes coverage of 2,500 square kilometres of Group Eleven’s ground, primarily in the Limerick and Silvermines Basins, and the information it produces will be plugged directly into Group Eleven’s own “Big Think” exploration effort.

This “Big Think” involves the deep and methodical re-evaluation of more than 70 years’ worth of geological data that has built up around Ireland’s mining industry, and represents a unique approach to the potential identification of new tier-one zinc discoveries.

The thinking is that the “Big Think” will lead onto a “Big Drill” some time next year, when targets that have already been identified and new ones thrown up by the Tellus work will be the subject of a drilling campaign.

“We are particularly interested in where hidden mineralizing mega-structures may lie in relation to the known mineralization at Stonepark, Pallas Green, Gortdrum, Carrickittle and Silvermines, and most importantly, what it tells us about where to drill next,” says Jaworski.

So, there’s everything to play for, and with C$3.2mln cash in the bank Group Eleven has plenty of firepower to get to work on the next round of value creation.

]]>
Wed, 17 Oct 2018 11:16:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/207283/group-eleven-has-the-largest-land-position-of-any-explorer-in-ireland-and-the-financial-support-of-a-major-canadian-silver-developer-207283.html
<![CDATA[Media files - Group Eleven Resources: Stone Park in Ireland has 'sprung into life' ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/9111/group-eleven-resources-stone-park-in-ireland-has-sprung-into-life--9111.html Thu, 19 Apr 2018 15:57:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/9111/group-eleven-resources-stone-park-in-ireland-has-sprung-into-life--9111.html <![CDATA[News - Group Eleven Resources kicks off drilling at Ballinalack project in Ireland ]]> https://www.proactiveinvestors.co.uk/companies/news/192618/group-eleven-resources-kicks-off-drilling-at-ballinalack-project-in-ireland-192618.html Group Eleven Resources Corp (CVE:ZNG) has made a major leap - and kicked off diamond drilling its Ballinalack zinc project in Ireland, it revealed, as the group updated on progress.

The resource firm has 60% of the joint venture, while Shenzhen Zhongjin Lingnan Nonfemet Company Ltd, one of the largest zinc producers in China, has a 40% stake.

Second rig coming..

Drilling will initially focus on better understanding the Pale Bed target. One rig is currently operating, with a second to be added in the next few weeks.

Ballinalack lies 50 km west of Boliden's world-class Navan zinc mine where mineralisation is hosted in the Pale Beds limestones along a major regional fault and several holes previously sunk in the Pale Beds at Ballinalack found strong to weak mineralisation.

"We are excited to be undertaking our first drill program as a public company, and I'm particularly pleased our recent 3D computer modelling has allowed us to start testing the Pale Beds at Ballinalack well ahead of our original timeframe" said chief executive Bart Jaworski.

"Fieldwork on our other projects is just starting to kick into high-gear, but it is gratifying to see that preliminary work at the Castlemaine prospect is yielding positive results..," he added.

The 'Irish Orefield'..

The Castlemaine prospect is part of the Tralee project, in which the group owns 100%, and which the firm  regards as one of the most overlooked parts of the 'Irish Orefield'.

A grab sample from surface float at Castlemaine was recently assayed and returned 223 g/t (grams per ton)  silver, 13.5% zinc and 17.9% lead,  representing the highest silver grade observed to date on the Tralee project, the firm highlighted.

Elsewhere, at the Stonepark project, which is a joint venture between Group Eleven (76.56%) and Connemara Mining plc (23.44%), drilling is scheduled to start in the next few weeks at the North prospect to improve the understanding of the geology.

The project lies next to major Glencore's (LON:GLEN) Pallas Green, which is one of the world's largest undeveloped zinc deposits, and has   a JORC inferred resource of 44mln tonnes grading 8.0% zinc and lead.

Group Eleven aims to determine if exploration success at the adjacent Pallas Green can be replicated within the same Waulsortian limestone units at Stonepark.

]]>
Mon, 05 Mar 2018 10:27:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/192618/group-eleven-resources-kicks-off-drilling-at-ballinalack-project-in-ireland-192618.html
<![CDATA[News - Group Eleven, Ireland’s biggest mining license holder, to list in Canada later this year ]]> https://www.proactiveinvestors.co.uk/companies/news/176291/group-eleven-irelands-biggest-mining-license-holder-to-list-in-canada-later-this-year-176291.html Who holds more ground under license for mining exploration in Ireland than anyone else? Glencore? Teck? Boliden?

Step forward Group Eleven, a privately-held vehicle that’s less than two years old but which already has over 2,700 square kilometres under license.

Run by ex-Raymond James mining analyst and geologist, Bart Jaworski, the company was seeded late in 2015 and early 2016 which, as anyone who follows capital markets knows, was an interesting time in mining.

CLICK HERE: For a daily round-up of all the Proactive news ...

“The Chinese market was crashing, the majors were divesting and juniors were looking the other way,” says Jaworski.

“And that made it a really good time to get in. A lot of ground was made open, a lot of ground was being let go.”

That included 1,000 square kilometres of ground neighbouring Glencore’s famous Pallas Green project, and projects on two other of Ireland’s most famous mineralised trends, the Rathdowney Trend and the Navan-Silvermines Trend.

It’s enough to have attracted the billion dollar Canadian company MAG Silver (TSE:MAG) onto the share register. MAG came in for half of Group Eleven’s C$1.5 mln placing in the autumn of last year. The company will list in Canada later in the year.

But given that Ireland is famously prospective for zinc and gold, wherein lies the interest of this major silver company? The answer, perhaps, lies in the silver which is commonly associated with Irish zinc.

Geological model changes ...

But there may be more to it than that.

Down in the southwest, on the Navan-Silvermines Trend, Group Eleven has opened up a series of licenses that have been closed for exploration for the better part of a generation.

And it may be that the traditional model of mineralisation used to define Irish zinc deposits may be in need of modification here.

“It could be that we have CRD or ‘carbonate replacement deposit’ type systems as well,” says Jaworski.

“The story in Ireland has traditionally been that deposits match the Mississippi Valley-style. But the big idea here is that if you go to the south west of the country the geological model changes to a more intrusive one.”

It’s an intriguing proposition, and one that may start to gain a lot more traction now, as mining markets finally start to recover from the fall-out of the global financial crisis and investors begin to look for new inspiration. MAG has already bought into the story, as have other European and Canadian investors.

With Jaworski’s background allied to that of his co-founders John Barry and David Furlong, and with MAG’s Peter Megaw as an advisor, the company ought to be able to pick up speed pretty quickly.

It appears that over the way, on Glencore’s Pallas Green project, things are pretty quiet. But Group Eleven plans to liven things up in the area. It will be interesting to watch.

 

]]>
Tue, 11 Apr 2017 10:47:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/176291/group-eleven-irelands-biggest-mining-license-holder-to-list-in-canada-later-this-year-176291.html