Home To One Of The Greatest Gold Endowments in the World

Oct 7, 2024 By MarketDepth

The following is a paid promotion for Clarity Metals Corp. (CSE:CMET). Please review the forward-looking statements and legal disclaimers at the end of this article for important details.

This early-entry explorer is unlocking a project in a region responsible for more than 200 million ounces of gold production.^{^[1]}

Find out why Clarity Metals Corp. (CSE: CMET, OTC: CLGCF) is perfectly positioned within major gold deposits – just as gold prices hit record highs.

Located in one of Canada’s most productive mining regions…

Sandwiched between IAMGOLD Corporation (IAG:NYSE) (“IAMGOLD”) and Osisko Mining Inc. (OSK:TSX) (“Osisko”)…

And next door to a massive 4.1 million ounce deposit…

Clarity Metals Corp. (CSE: CMET, OTC: CLGCF), has claim to over 14,000 acres of land within the Abitibi Gold Belt.

The Abitibi Gold Belt is a globally established gold endowment– having produced more gold than the historic Carlin, Cortez, and Walker Lane gold trends in Nevada combined^{^[2]}

Over 200 MILLION ounces of gold have been produced in the Abitibi since 1901^{^[1]}
21 deposits containing 3 million ounces or more are hosted here.^{^[2]}
And the region is responsible for 90% of Canada’s gold production^{^[3]} Mind you, Canada is the world’s 4th largest gold producing nation.

Clarity’s 100%-owned Facteau Gold Project could become the next property to draw attention to the region’s well-established reserves.

The company’s most recent drilling results showed the highest gold intercepts taken so far on the property.^{^[4]}

The high-grade mineralizations they identified – in combination with the property’s historic works – suggest further exploration is warranted.

However, Clarity Metals is only just starting to test the potential of this system…

Through additional drilling the company could define a potential geological model.

And we believe the timing couldn’t be better, as demand for new sources of gold peaks.

Gold Prices Shoot Past All-Time Highs, Outpacing the S&P

Over the past 5 years, gold has climbed 81.65% – beating even the S&P 500.^{^[5]}

The metal hit a record high price of $2,439.98 per ounce this past May.^{^[6]}

And we believe the price of gold should push higher, as a confluence of economic factors and central bank buying spark renewed interest in the safe-haven metal.

Citibank expects gold prices to reach $3,000 per ounce over the next 12 months^{^[7]}…
While Bank of America also predicts the price will jump to $3,000 by 2025^{^[8]}
Michael Oliver, founder and CEO of research firm Momentum Structural Analysis sees gold hitting $8,000.^{^[9]}
And Franco-Nevada Corp. (TSX:FNV,NYSE:FNV) founder and Chair Emeritus Pierre Lassonde sees gold potentially surging to $20,000 an ounce.^{^[10]}

Today, approximately 90%of global foreign exchange transactions are conducted in U.S. dollars – primarily flowing through U.S. and European banks.^{^[11]}

But all of that could soon change…

The intergovernmental organization BRICS is reportedly working on the formation of a new currency for the global markets – set to rival the U.S. dollar.

BRICS – originally named for the five long standing members of Brazil, Russia, India, China, and South Africa – is a group of major countries with emerging economies. It was founded as an informal club in 2009 (initiated by Russia…) to provide a platform for its members to challenge the world order dominated by the U.S. and its Western allies.^{^[12]}

15 years later, BRICS (now BRICS+) has expanded to include Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE – with another dozen nations – including
Thailand, Vietnam and Bangladesh – applying to join.^{^[13]}

Together, these countries account for…

40% of crude oil production and exports,
25% of global GDP,
40% of global trades in goods, and
Almost half of the world’s population.^{^[14]}

As you can see, BRICS+ is becoming a massive movement with some potentially serious power.

And the newly formed economic bloc is expected to have a major impact on the price of gold.

According to Forbes, the organization has settled on using gold as the basis for an international exchange.^{^[15]}

This could mark a shift from the U.S. dollar to gold as the currency-of-choice… triggering what we believe to be a rapid spike in demand.

Central Banks across the globe have since started stockpiling in an effort to diversify assets and shore up against a weakening dollar.

Central Banks Snap Up Gold At A Record Pace

“There is clearly an objective to increase gold exposure, with the rationale being diversification.”
Michael Bolliger, chief investment officer for emerging markets at UBS Global Wealth Management.^{^[17]}

In 2022, the World’s Central Banks set a new record: the highest net purchases of gold on record since 1950 – 1,136 tons worth.^{^[18]}

2023 purchases were near-record levels as well… coming in just 45 tons below 2022’s multi-decade record.^{^{^[17]}}

And according to the World Gold Council, the world’s central banks have already purchased 290 tons of gold during the first quarter of 2024 – which is the strongest start to any year ever.^{^[18]}

China is one of the frontrunners in this buying spree.

The world’s most populated nation has increased their gold reserves every month since October 2022, while decreasing their investment in U.S. Treasury securities.^{^[19]}

Russia and India are not far behind – with Russia adding 1 million ounces of gold to their reserves since the start of the Ukraine conflict,^{^[20]} and India increasing their holdings last month by the most in almost two years.^{^[21]}

Central Banks aren’t the only ones looking at gold, considering current economic conditions.

“Investors are seeking refuge in the time-honored stability of gold”
CBS News^{^[22]}

Both institutional and individual investors have long held gold to protect portfolios during times of high inflation. Gold traditionally performs well during market downswings, and has been known to help mitigate losses. ^{^[23]}

For example, in the 1970s when interest rates skyrocketed 13.82%, gold prices rose exponentially from $35 per ounce… to $850 per ounce.^{^[24]}

And during the 2007 to 2009 recession, when the S&P 500 index sank by 56.8%, the price of gold climbed 25.5%.

This is likely why analysts are already telling their clients to invest in gold. A panel of advisors for U.S. News recently recommended allocating up to 15% of your portfolio.^{^[25]}

The real upside, however, historically doesn’t lie in the metal itself.

Why Gold Mining Stocks Hold the Greatest Potential

Despite gold’s recent climb, gold mining stocks have yet to follow a similar trajectory.^{^[26]}

In fact, the VanEck Gold Miners exchange-traded fund (better known as ‘GDX’) is trading at roughly half of what it did in 2011, and is down 20% over the past 2 years.^{^[26]}

But this disparity we believe will likely be short-lived, as historically gold stocks move with the Federal Reserve.^{^[26]}

“Every Fed pivot has been followed by outsize gains in gold mining equities.”
John Hathaway, senior portfolio manager at Sprott Asset Management

From May 2000 to January 2008, the GDX was up 400%,
From January to August 2016, the ETF gained 238%, and
From March to July 2020, it was up 208%.^{^[26]}

It’s important to note, these periods all encompass Federal interest rate changes.^{^[27]}

So, with potentially large interest rate cuts looming by the end of the year, we could see another major change in the prices of gold stocks.

We believe established producers like Osisko and IAMGOLD are likely to do well over the next few years, as they produce the resources necessary to supply this rapidly expanding industry.

However, when small exploration companies find those resources, it tends to produce the largest, fastest increase in value over the life of a project.

This pattern is known as the Lassonde Curve.

And it is the reason why, if you want to take advantage of the new gold renaissance, you should look to smaller explorers operating in prime real estate. Like Clarity Metals Corp (CSE: CMET, OTC: CLGCF).

Untapped Assets in a Globally Recognized Mining District

Clarity Metals’ 100%-owned Facteau Gold Project sits squarely within the Urban-Barry greenstone belt of Quebec’s Abitibi gold region.

The Abitibi gold region is home to globally established gold endowment; one experiencing continuous production since 1901 with more than 200 million ounces of gold mined. ^{^[2]}

If you combine production-to-date along with the region’s known reserves – the total comes to over 300 million ounces of gold. ^{^[2]}

And while there are already over 50 known gold deposits in the Abitibi, major exploration of the region continues as new discoveries are still being made.

In fact, less than 20 miles away from Clarity Metal’s Facteau Gold Project are two other giants in the region – Osisko, and its Windfall Lake Project, and IAMGOLD with its Westwood Project.

The Windfall Lake Project is labeled as a ‘world-class gold deposit’… with 4.1 MILLION ounces of gold (measured and indicated), and a 2022 after-tax net present value of almost US$900 MILLION^{^[29][30]}

Meanwhile, IAMGOLD’s mineral resource estimate indicates a measured and indicated reserve estimate of 1.2 MILLION ounces.^{^[31]}

Clarity Gold’s Facteau Project has similar volcanic aged rock, and the company’s most recent drill results showed the highest-grades of gold discovered on the property to date.

In 2022, the company completed a substantial round of exploration, drilling 5,833 metres in 15 holes across 7 targets.

Highlights included high-grade mineralized zones up to 14.91 g/t Au over 1 metre.

A Major Find Just Waiting to be Proven Out

Clarity Metals has only just started to test the potential of this system.

Work-to-date has identified 11 showings, which – according to the company – all which they believe merit further evaluation and have the potential to expand.

Remember, this project is within Canada’s most prolific gold region, sits less than 20 miles from a world-class gold project AND it has similar geology.

Plus, Clarity Metals sits at a fraction of the market cap of its neighbors, Osisko or IAMGOLD.

In fact, Clarity Metals’ market cap sits at around 0.1% of IAMGOLD’s, and is only 0.09% of Osisko’s.^{^[32]}

What To Do Now…

If you believe that gold is set to continue climbing…

That BRICS+ implementing a new gold standard to rival the US Dollar could provide a major boost to demand…

That Central Banks are already loading up on the metal…

And that we could be on the verge of the next Fed pivot, with interest rate cuts potentially being the catalyst that triggers a big bullish move into gold…

Then you’ll want to take a deeper look into gold stocks today.

Put Clarity Metals Corp. (CSE: CMET, OTC: CLGCF) on your radar, and as always do your own due diligence by learning more about the company.

References

Full Disclaimer

Forward-Looking Statements and Legal Disclaimers – Please Read Carefully.

This newsletter contains certain forward-looking statements within the meaning of applicable securities laws. All statements that are not historical facts, including without limitation, statements regarding future estimates, plans, programs, forecasts, projections, objectives, assumptions, expectations or beliefs of future performance, are forward-looking statements. Forward-looking statements in this material include, but are not limited to statements concerning: the potential growth, increase in share value and other like statements related to possible increases in the business or operations of Clarity Metals Corp. (“Clarity Metals” or the “Company”); the projected growth of the gold market in Canada and abroad; any similarities between the Facteau Gold Project and the exploration properties of Osisko or IAMGOLD; that the Facteau Gold Project could become the next property to draw attention to the Abitibi gold region’s reserves; statements relating to the further exploration at the Facteau Gold Project and the company’s intentions to further define its geological model; statements relating to any bullish sentiments towards Clarity Metals, its business operations, the gold market and the price of gold; any advantages Clarity Metals may have over its competitors and, in connection therewith, its future sentiments of the prospectivity of its Facteau Gold Project; that the gold boom is just getting started and that the demand for gold will continue to increase globally; statements relating to the BRICS+ countries and the organization’s use of gold as the basis for an international exchange; and general statements regarding global economic trends, potential interest rate and any resulting changes in the price of gold stocks; that gold and gold-related stocks are immune from market volatility and the effects of an economic recession; and that Clarity Metals can obtain sufficient financing or cash flows to continue mineral exploration, property development and its current operations. These forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. Risks that could change or prevent these statements from coming to fruition include: that Clarity Metals may be unable to successfully complete further exploration or receive similar results from prior exploration on its Facteau Gold Project; that Clarity Metals may be unable to commercially extract gold from its Facteau Gold Project; that the anticipated gold boom may be ending and that demand for gold may decline due to other global trends and economic factors; that the growing demand by central banks to acquire gold may cease to continue and be a factor in the decline of gold prices; that Clarity Metals may fail to achieve exploration and development success similar to other companies within the gold mining sector, especially those located within the Abitibi gold region; statements relating to the BRICS+ counties and the organization’s use of gold as the basis for an international exchange may be untrue; that Clarity Metals may ultimately fail to successfully implement its business plans, raise capital or generate any significant revenues.

The forward-looking information contained herein is given as of the date hereof and we assume no responsibility to update or revise such information to reflect new events or circumstances, except as required by law.

This newsletter also includes references with respect to the Windfall Lake Project (4.1 Moz of gold (measured and indicated)) and Westwood Project (2.4 Moz of gold (measured and indicated) and 743,000 oz inferred), which are located near the Facteau Gold Project. Readers are cautioned that, notwithstanding their proximity of location, discoveries of minerals on such properties or any promising results thereof are not necessarily indicative of the mineralization of, or located on the Facteau Gold Project, or Clarity Metal’s ability to commercially exploit the minerals claims which comprise the property or to locate any commercially exploitable deposits therefrom.

LEGAL DISCLAIMERS

PAID ADVERTISEMENT. This communication is a paid advertisement and is not a recommendation to buy or sell securities. Equitrend Data Inc. is owned and operated by Sam Khabbazian and its owners, managers, employees, and assigns (collectively, “Equitrend”) has been paid USD$250,000 by Clarity Metals Corp. (the “Company”) for an ongoing marketing campaign including this article, as well as various digital and video marketing materials, landing pages, email, on-line banner and native ads, and social media investor marketing (the “Services”). This compensation is a major conflict with our ability to be unbiased. This communication is for entertainment purposes only. Never invest purely based on our communication.

SHARE OWNERSHIP. The owner(s) of Equitrend may be buying and selling shares of this issuer for its own profit. This is why we stress that you conduct extensive due diligence as well as seek the advice of your financial advisor or a registered broker-dealer before investing in any securities. This relationship and the compensation to be received by us is a major conflict with our ability to be unbiased. As of the date of this, Equitrend does not own any securities in the company.

NOT AN INVESTMENT ADVISOR. Equitrend and its principals and agents are not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation.

ALWAYS DO YOUR OWN RESEARCH and consult with a licensed investment professional before making an investment. This communication should not be used as a basis for making any investment.

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Home To One Of The Greatest Gold Endowments in the World

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