Alicanto MineralsASX:AQI Stock Report

Full year 2021 earnings released: AU$0.024 loss per share (vs AU$0.008 loss in FY 2020)

Full year 2021 results: Net loss: AU$7.36m (loss widened 351% from FY 2020). Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has increased by 36% per year, which means it is tracking significantly ahead of earnings growth.

Virgin Gold Corp. entered a sale agreement to acquire Arakaka Gold Project in Guyana from Alicanto Minerals Limited (ASX:AQI) for CAD 4.8 million.

Virgin Gold Corp. entered a sale agreement to acquire Arakaka Gold Project in Guyana from Alicanto Minerals Limited (ASX:AQI) for CAD 4.8 million on June 1, 2021. The acquisition includes cash and shares. Under the sale agreement, Alicanto will receive CAD 750,000 cash and rights to Goldblock shares to a value of at up to CAD 4 million, subject to the satisfaction of milestones. The transaction is subject to conditions precedent, including that Virgin Gold complete due diligence on the Arakaka Project, obtain any necessary third party consents, complete a reverse takeover of Goldblock Capital Inc. (Goldblock Capital), an entity listed on the Canadian Stock Exchange (CSE), and procure that Goldblock Capital complete a capital raising of not less than CAD 5 million through the issue of shares at a price to be determined (Listing Price). Alicanto will be required to seek shareholder approval for the disposal of the Arakaka Project.

Alicanto Minerals Limited Announces Drilling to Start At Historic Sala Silver Project in Sweden

Alicanto Minerals Limited advise that drilling at the high-grade Sala silver project in Sweden will start this week. Sala and Alicanto's Greater Falun Project are both located in the Bergslagen region, which hosts world-class base and precious metals projects such as the Garpenberg mine owned by Boliden and the Zinkgruvan mine owned by Lundin. These are operating mines. Greater Falun and Sala are 100km apart and connected by a major highway and national railway. Bergslagen is widely viewed as a Tier-1 jurisdiction based on its large mineralised systems, highly developed infrastructure and pro-mining regime. The now-closed Falun mine in Bergslagen has a long-established mining history dating back almost 1,000 years, producing 28 million tonnes of high-grade ore at 4% copper, 5% zinc, 4 g/t gold, 35 g/t silver and 2.1% lead3. The key findings of the review include: The Sala and Prince lodes are separate odes, the Prince being recently discovered. The Sala and Prince lodes are not parallel as historically thought, but intersect each other; This is important because it completely changes the exploration approach. The historical Bronas Mine (mined by Avesta Jernverk AB from 1945 to 1962 with 171 kt at 350g/t Ag, 2% Zn and 4.2% Pb) 300m north of Sala is believed to be part of the same mineralised zone that hosts the Prince lode (which extends for at least 2km near surface). Historical diamond drill holes into the Prince lode located only 300m south of Sala returned multiple mineralised drill hits including 15.9m at 157 g/t Ag and 4.2% Zn as well as 37.2m @ 50 g/t Ag and 6.1% Zn. A detailed study of old mining maps of Sala has revealed multiple large open stopes up to 20m wide and 100m long were mined targeting high grade silver-lead veins. Re-interpretation of historic data suggests that one hole targeting the Prince lode has likely intersected the down-plunge extension of the Sala deposit at approximately 100-150m below old workings. This intersection was 6m of 185 g/t Ag, 1.0% Pb & 0.4% Zn. Another historical drill (0.67m at 844 g/t Ag and 16.3% Pb) is believed to have intersected the strike extension of Sala (200m from the existing workings).

First half 2021 earnings released: AU$0.018 loss per share (vs AU$0.004 loss in 1H 2020)

First half 2021 results: Net loss: AU$4.33m (loss widened 450% from 1H 2020). Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth.

Alicanto Minerals Limited (ASX:AQI) acquired Sala silver project in Sweden.