The Deep Dive has assembled a company profile on that of Freeman Gold Corp (CSE: FMAN), an exploration-stage company currently focused on its flagship project, located in Idaho.
Freeman Gold Corp is a Canadian-based mineral exploration company. They own the Lemhi Gold Project, which is located in Lemhi County, Idaho, United States. The Lemhi Project comprises of 99 unpatented claims and 11 patented claims. It also owns the Comstock Property, located outside of Merritt, British Columbia in the Nicola Mining District. The Company is primarily focused on the exploration and development of the Lehmi Gold Project.
The Investment Thesis
Our investment thesis can be broken down into the following key points:
- The current macro environment has created a bullish catalyst for the price of gold with the world’s largest central banks expanding their balance sheets to fill the gap in GDP from reduced productivity.
- Freeman Gold has a large deposit with some historical estimates coming in over 1 million ounces of oxide, open-pit, heap leachable gold at the Lehmi Project in Idaho – and one that proves economic.
- The property already has 355 holes drilled into the deposit area, giving the company strong data to expand the resource.
- Mineralization is open at depth, with many holes being drilled to a max depth of 250m, often bottoming in mineralization, open along strike, and largely untested regionally.
- The Lemhi property has seen some drill large results including 1.8 g/t Au over 193.55 m and 4.28 g/t Au over 54.96m.
- Idaho was ranked No. 8 in the world on the 2019 Fraser Institute rankings of mining attractiveness index.
- At the time of publishing, Freeman has favourable comparisons relative to other mining companies in the area currently trading at less than $30/oz in the ground (market cap to inferred resource).
Overall, the Deep Dive sees a potential setup for the greatest gold rush in decades within the near term. Companies with large deposits, in safe regions, that trade at reasonable metrics, in our opinion have favorable risk/reward profiles for investors. We feel that Freeman gold fits this framework perfectly.
FULL DISCLOSURE: Freeman Gold Corp is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover Freeman Gold Corp on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.
