Fury Gold Mines, optionality unlike any other Gold explorer

[Music] hello we're at Beaver Creek and I'm with Tim Clark the CEO of Fury gold mines Tim goodty good to see you um Kick things off really brief company overview uh quick overview we're a junior exploration company focused on high grade gold exploration in Canada uh we're about 75 to 80 million market cap depending on the day we hold positions out in BC as well as up in noon event but our focus in mining is really in Quebec um okay just just also a bit of housekeeping just cover off the capital structure as it is at the moment the capital structure we've got about 145 million shares outstanding uh our share price is about 50 cents in Canadian uh tickers f-u-r-y and we were both listed in the U.S and Canada which is unusual for a small cap Junior okay and something that I've really wanted to go into in your caption your cash balance and your equivalence was um obviously from last day did you had around 12 million cash in the bank was that right yeah we got about 11 a little over 11 million in cash in the treasury right now um our expectation is when we finish our project this year we'll have between six and seven million uh plus we um also have this dolly Garden position it's worth somewhere between around 45 to 50 million dollars uh it's free free trading stock we own 59.5 million shares of Dolly Varden which is 23.5 percent of the company and we have two board seats on the company good because as it stands obviously with the current cash position and the dollar and shares your Enterprise Value minus obviously yeah that's the market cap sitting anywhere between around 10 million Canadians 20 million Canadian depending on the day right right so I guess which is which is which is what it is but no this is this is the issue that I find interesting coming from the Capital Market so I spent 23 years basically selling stock to investors to the large investors of this the institutional Market um and these were opportunities that I always hope to jump on because I think what you have here um is a disconnect because we own so much of Dolly Varden a lot of investors are very short-term focused and they they're looking at the payout today and the payout today is If Dolly Varden gets bit away and the scenario with with that is it's a really interesting project in silver there's not too many of them it's in British Columbia it's in the Golden Triangle it's a hot area to be in Heckler mining happens to own 80 or 90 of the property around it there will likely take out but they're not the only ones the stock has been of a high interest for the last year and a half so what that does is it detracts from what we're doing for the rest of the company when I came in here two years ago we were under financed they didn't have a lot of institutional they did have Newmont as a as an owner six or seven percent uh but since that time we've brought in another producer we've also short up our balance sheet we brought in a large institutional one of the largest in the U.S and we brought a lot new players to the market in terms of investing in the company but again it's it's back to Dolly Varden and it's back to what's new discovery and what we've done is cleaned up an old mine that I think was mismanaged and we've put a pathway for that mind to be sort of heading towards the two million ounce scenario and that's a big big big tick the bach box if you get 200 million or 2 million ounces you get like potentially in production you get a couple hundred thousand ounces a year for 10 years and that's a pretty nice gig right as a base but what what people are missing is is the big package the big geography package and the big Discovery our Eau Claire mine happens to sit right near the Canard deformation Zone it runs for 100 kilometers we own 30 of it uh and we have another project that's about 14 kilometers to the west to the east uh it was a 2018 Discovery we've gone back we had a big hit there last year we're waiting for results the next couple weeks but further out we've developed a lot of spent a lot of time doing survey work and we've developed 14 anomalies near Percival another six in La Clarke property which is next door and if we can show that there's a string of pearls that run along the Canard deformation Zone uh it could be really great really fun what about in such obviously with the Enterprise Value obviously where it is at the moment is it's obviously Dolly garden and the cash position is that's fixed in you everyone knows about you with that I guess what you'd need to do is convince people or explain to people why your projects are obviously worth more than the remaining intent which which I believe they are it's you know listen it's uh I've had investors ask me this like how do you how do you value these things and and a lot of these are in pea studies and they put huge enormous numbers on them and I think ours was like 400 million dollars originally but the reality is think about what we put in like a noon event we own a property new event there we put 60 million into that and we bought it after someone else put 100 million into it that's not worth zero it's got 1.3 million ounces huge prospecting up there we got a camp for 100 people up there we got uh you know a thousand barrels of oil and gas ready to go anytime we want to what we're waiting for is a partner to go up there with in a better market and we're starting to see interest so that's that's not worth zero and then you look back at the joint venture the joint venture we Consolidated that joint venture with Newmont a year and a half ago and and bought out Azimuth that property was valued at 10 million bucks right there so we have five million dollars in minimum that's before we even get in there and start looking for Discovery and it happens to sit right next to the alien or mine which is their Mill is only working half capacity if we found something there it's worth a lot yep so we go back to uh the Eau Claire property which is 55 000 hectares we got 1.3 million ounces right there plus we've drilled for the last couple years but it's also quite high grade as well it's high grade it's also I think with what everybody focuses on too is drill results drill results and what are your drill results well it's the drill results are meaningless unless you look at the underlying cost that if they have to actually go build that mine if you find incredible grade in the Andes Mountains well good luck you know good luck getting up there but if you find it in James Bay you can find you know we have a lot to work with because we have such good infrastructure you can drive an 18-wheeler right up to the edge of our property you can drive a truck into Camp you can drive a truck up on top of the resource itself it just it just doesn't happen too many places so that lowers the bar for other big Majors to come in and so I actually brought in our chairman um Brian Christie uh a month ago up there he spent 10 years at agnico and he just couldn't believe it he's like we don't have anything like this and you actually have to drive over an electric Dam and literally five feet is our driveway and so it's it's pretty impressive when you sit down with the bigger companies because I think obviously there you'll you'll call focus at the moment right um you mentioned there the amount of ounces I wouldn't mind you just recapping what these projects look like but what's with that if they're at what sort of Mind plan potentially could could they come under and why you're targeting persevere what's exciting about those sure sure um well Eau Claire um again one 1.3 million uh ounces and what we've done is what we wanted to come in is reconfigure and show that this thing gets bigger when I first showed up the previous CEO wanted to do a development project and they were trying to go out and raise a lot of money but they hadn't finished Drilling and we didn't know how big it was and so we've added 25 percent to the strike length just by going out to the West on on the hinge which is a really prolific area we've done the majority of our drilling is going to be out there and into the east side of the of that project this summer but it's open to the West it's open to the East and open all below it that we haven't gone past 650 meters so I think it's got potential to grow a lot more and again you know you want to show a pathway to the majors of how big it can get and right now we haven't been cut off um when you go out to Percival there's a winter road that goes out there so you can get to it you can the chemistry of of that property uh of the war there is they'll be able to use it and put in the same Mill um and effectively it was a 2018 Discovery it was a random in mine are kicked over a rock it was 18 or 15 grams and they stuck a drill right behind it and voila they had a nice Discovery but what they did was they went to the west and the East thinking it was hopefully going to be an open pit and they went too shallow and they just didn't use the data they had and when we went back and did 3D imaging it showed it was plunging down and we went back and put a whole couple holes there last summer and voila were in it and so you know stock went up a hundred percent at that point and it was exciting and I think we're we're I mean obviously the first one of the first things we wanted to do was get back there but we had forest fires out there for them you can't put any more barriers in front of these things you know it's hard enough as it is to find but anyway put nine holes in there and we're expecting the first set of holes to come back in the next two to three weeks before we actually move on to I guess what the future looks like I wouldn't mind talking about the present in terms of the current market environment because I think I think everyone realizes that the equity Market in mining is is obviously a bit soft but um I think and as we were sort of talking about that there seems to be a lot of corporate interests at this conference right yeah that's right yeah and I guess from your view I mean what does that tell you in terms of it seems like the corporates are actually here looking looking to actually start doing some doing some m a right no it's um it's actually dramatic Improvement um so again uh being on the capital markets for as long as I've been you watch these Urban flows in the market and your job is to pick good companies the biggest money you can make though is buying at the dip at the low and it's the hardest thing to do um but uh especially when you get into an industry as sort of tight as this one uh there's there's not a lot of liquidity so the problem for investors is if they don't if they don't dabble in it they'll wait and it'll come back and it'll it can shoot up like if we get a if we get a couple drill holes in the next two three weeks I would expect our stock to behave like last year and what happens is it goes up 30 40 percent and now you're like oh my God now what do I do so I I'm always under the pretense that you should seed a couple of half a dozen ideas whatever you want to do and sprinkle it around and try and catch some of this stuff and then monitor what you think are the better companies and the News flow that's coming out um but with the regards the corporate side effectively you know these guys have sat on things for a long time and I think they're smelling that these juniors are kind of at the end of their rope within terms of financing and they're easy pickings for great assets we've been lucky because we've been able to finance in bad markets not everybody is we've been lucky we have good assets that have new discovery potential and all of our assets happen to sit next to majors and we've got big property so and if there's a consolidation Rush it'll be good for us in the conferences we've had here it's been less about Investors and much more about corporate companies and some of them have been approaching us and actually saying to us that for the first time they've got a mandate to explore and develop a pipeline for their companies that and this is things that only a few companies have been doing the last 10 years so that is huge yeah I know about time they start doing that um just talk us through the next six 12 months obviously got personal drilling coming out of nase coming back which is exciting but what else can we expect past then uh well look I mean obviously we're waiting to figure out what's going to happen on the daily Warden yeah um uh my my position on that is uh you know I just was up at the mine with a site visit I'm on the board I like what they're doing I like I saw the core I'm not a seller right now I'd like to watch and see what it is and I'm optimistic I'm a mining guy so they have 90 percent of their drill results yet to come out and they've got five drills going all summer they had a huge project they had 35 million dollars to spend this year um and then at the same time we've got 90 percent of our results ready to come out too so I think what it is is we all want to see where our share price ends up the next couple months and then we've been out looking at other companies and trying to decide what we want to do because uh you know you don't want to sit as a too small company without the liquidity of a larger company position and it in my you know sort of background I'm an Institutional guy and I can't get a lot of my relationships in because we're not liquid enough yeah uh so and we just added Brian Christie to our board who's our chairman Brian has spent the last 10 years at ignico walking through every major investor office in the world with Sean Boyd at ignico and uh he's a real institutional you know name and I think we would be able to grab some attention that way and get some good meetings and I like our optionality I think the best part about Fury for me is I'm not worried about the share price because that Enterprise Value will close and people will recognize that but um we have a lot of levers we have a lot of levers where we can win we can win in Discovery we can win on a deal we can win on Dolly Varden we can win if we get another participation from a bigger institutional account or producer and you know we're in front of all these guys and this is a great time in the market to be best of class and I think we are no it's good it's there's a lot of stories in this market where it's a very similar one project development sort of go through the studies but you've got so much optionality it's it's actually quite the cash we've there's probably nobody who has more cash than we do for the size we are yeah no Tim thank you for your time yeah no thank you good questions cheers appreciate it

Channel: Mining Network

Views: 1,755

Keywords: Gold investing, Precious metals, precious metal investments, mining investing, Peter Gadsdon, Mining Network, Crux, Mining news, mining journal, crux investor, proactive, best gold stocks

Id: oopB6xGQtlI

Length: 15min 39sec (939 seconds)

Published: Fri Sep 22 2023