Gold's Bull Market Projected To Continue Into 2021

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Mar 31, 2021, 08:45 ET

PALM BEACH, Fla., March 31, 2021 /PRNewswire/ -- Experts, analysts and investors alike all seem to wonder, just how far will gold actually go in 2021. Some analysts say that it will soar again saying that the collapse of the US dollar could send gold prices soaring and this would allow Americans could book major gains in this safe haven in 2021. It's already being touted as "the best performing asset class of the 21st century"… And Goldman Sachs is also predicting a gold bull market in 2021… reporting they expect it to reach an incredible $2,300 per ounce in the months ahead. Many Americans are moving their money out of the sinking U.S. dollar and into the "safe haven" that's delivered gains over 7X greater than the stock market this year... physical gold and silver. An article in Market Insider, discussing what Goldman Sachs is predicting, said Gold's bull market will continue into 2021 for 3 reasons…. And In the near-term, gold will likely continue to consolidate sideways with no clear positive or negative catalysts, but expect more upside in the long term. The first of the 3 reasons is that Inflation expectations move higher. It said: "In this cycle, we believe the gold market, at least initially, is likely to follow the same path as after the Great Financial Crisis and grow strongly into the recovery phase of the business cycle as inflation concerns become central to the forecast. With policies surrounding the COVID-19 pandemic focused on fiscal spending, combined with household balance sheets at better levels than they were coming out of the 2008 recession, "the Fed appears more willing to tolerate a temporary inflation overshoot. This may well lead to market participant concerns over the long-term inflation rate and more inflows into gold in order to hedge it," Goldman said. Active stocks in the mining markets this week include Calibre Mining Corp. (OTCQX: CXBMF) (TSX: CXB), K92 Mining Inc. (TSX: KNT) (OTCQX: KNTNF), IAMGOLD Corporation (TSX: IMG) (NYSE: IAG), New Gold Inc. (TSX: NGD) (NYSE: NGD), B2Gold Corp. (TSX: BTO) (NYSE: BTG).

The 2nd reason is that the U.S. dollar may weaken. It said: "A breakdown in the correlation of gold and long term real rates has been pretty common with its correlation switching to the dollar and other commodities during these breakdown periods," Goldman explained. "The breakdown of negative gold price changes and real rates correlation typically happens when the positive rates-dollar correlation disappears. This is the environment which our FX and rates strategists expect in 2021," Goldman said.

The 3rd reason was that if emerging market retail demand continues to cover. It said: ""We see a strong rebound in EM gold demand which should support higher gold prices through the wealth effect," Goldman said, adding that gold demand from China and India is already displaying signs of normalisation. "Biden's election win and vaccine news should continue to push currencies of emerging market consumers higher as tariff risks are lower, supporting their purchasing power," Goldman added. "The strategic case for gold remains strong in our view," Goldman concluded. The firm has a $2,300/toz gold price target…"

Calibre Mining Corp. (OTCQX: CXBMF) (TSX: CXB) BREAKING NEWS: CALIBRE INCREASES MINERAL RESERVES BY OVER 200% TO 864,000 OUNCES OF GOLD - Calibre Mining Corp. ("Calibre" or the "Company") is pleased to announce the results of the Company's updated Mineral Reserves and Mineral Resources at our El Limon and La Libertad mining complexes in Nicaragua as of December 31, 2020. Calibre's 202% increase in Mineral Reserves supports a strong foundation for a multi-year "Hub-and-Spoke" production and growth strategy. With the largest Mineral Reserve base in the last 10 years, and the highest reserve grade on record, we have increased confidence in our ability to generate strong cash flow providing a platform to fund organic growth.

100% Owned Mineral Reserves and Mineral Resources highlights:

202% increase in Mineral Reserves to 864,000 ounces since year-end 2019 and after 2020 depletion;
Largest Mineral Reserve since 2010 with the highest grade on record, 4.49 g/t Au;
296,000 ounce increase in Libertad Mineral Reserves, from zero at year-end 2019;
137% increase in Limon Open Pit Mineral Reserves after depletion;
Total Indicated Mineral Resources of 1,532,000 ounces;
Total Inferred Mineral Resources of 1,314,000 ounces;
New discoveries at Atravesada and Panteon during 2020; and
60,000 metre, exploration and resource growth drilling program underway.

Darren Hall, President and CEO, stated: "Our investment in exploration in 2020 has resulted in the largest Mineral Reserve since 2010 and the highest reserve grade of 4.49 g/t Au on record which provides an excellent foundation for future growth. I am very pleased with how the team has integrated our assets utilizing our 'Hub and Spoke' operating model and positively exceeded production and cost guidance in our first full year of operation."

"These assets have produced over 5 million ounces and yet during 2020 we discovered two new zones at Limon demonstrating the continued upside discovery potential from this long lived and prolific epithermal gold district. With the largest Mineral Reserve base in a decade and a 60,000-metre discovery and resource expansion drilling program underway, Calibre is well positioned to execute and expand our multi-year 'Hub-and-Spoke' operating model including advancing satellite sources like our Eastern Borosi Project in northeastern Nicaragua." CONTINUED…. Read this entire release for the Calibre Mining Corp. news at: https://www.calibremining.com/news/2021

FOR ADDITIONAL INFORMATION, PLEASE ALSO VISIT: https://www.equedia.com/calibre-mining-price-target-shows-170-upside/

Other recent developments in the mining markets include:

K92 Mining Inc. (TSX: KNT) (OTCQX: KNTNF) recently announced results from its financial statements for the three and twelve months ended December 31, 2020. John Lewins, K92 Chief Executive Officer and Director, stated, "2020 represented another transformational year for K92. In terms of operations, Kainantu delivered record throughput, production and development, and finished the year particularly strong, with multiple quarterly records achieved in the fourth quarter. In the third quarter, K92 achieved two major growth milestones: the completion of the Stage 2 Plant Expansion commissioning, and; the Stage 3 Expansion PEA study. The Stage 2 Plant Expansion, has already delivered a notable step-change in terms of the capabilities of the operation, doubling throughput capacity from 200,000 tpa (~550 tpd) to 400,000 tpa (~1,100 tpd). The Stage 3 Expansion PEA has outlined a Tier 1 Asset, expanding to 1 mtpa throughput with run-rate production of ~318kozpa AuEq, LOM average AISC of $362/oz Au and capital costs funded from mine cash flow at $1,500/oz.

IAMGOLD Corporation (TSX: IMG) (NYSE: IAG) recently announced additional assay results from its delineation diamond drilling program at the Gosselin Zone discovery, located approximately 1.5 kilometres northeast of the Côté Gold deposit. The Gosselin delineation drilling program is being undertaken as part of the Côté Gold Joint Venture Project, a 70:30 joint venture between IAMGOLD and Sumitomo Metal Mining Co., Ltd. ("SMM"). Côté, located 125 km southwest of Timmins and 175 km north of Sudbury, Ontario, Canada, is currently under construction with first gold production anticipated in the second half of 2023 (see news release dated July 21, 2020).

In January 2021, IAMGOLD reported the completion of thirty-three (33) diamond drill holes totaling 13,735 metres as part of the resource delineation drilling program, completed between the fourth quarter 2019 and early December 2020. Assay results previously reported from the first twenty-four (24) diamond drill holes totaling 10,049 metres confirmed the continuity of broad gold bearing mineralized intervals associated with the Gosselin Zone (see news release dated January 21, 2021).

IAMGOLD is now reporting final assay results from the remaining nine (9) diamond drill holes totaling 3,686 metres. One drill hole was completed on Three Ducks Lake from a barge-based platform and eight (8) drill holes were completed from land-based drill pads on the Young-Shannon peninsula.

New Gold Inc. (TSX: NGD) (NYSE American: NGD) recently announced that it has agreed to purchase 154,940,153 common shares of Harte Gold Corp. (TSX: HRT / OTC: HRTFF / Frankfurt: H4O) pursuant to a private placement at a price of $0.16 per share for total consideration of approximately $24.8 million providing New Gold with a 14.9% strategic interest in Harte Gold's pro forma issued and outstanding common shares. Closing of the transaction is expected to occur on or about March 24, 2021 and is subject to certain conditions.

In connection with the closing of the transaction, New Gold and Harte Gold will enter into an investor rights agreement pursuant to which New Gold will, as long as New Gold holds not less than 10% of the issued and outstanding common shares of Harte Gold, have the right to: (i) participate in certain equity financings by Harte Gold in order to maintain its 14.9% interest in Harte Gold; and (ii) commencing at Harte Gold's 2022 annual meeting of shareholders, nominate one person (and in the case of an increase in the size of the board of directors of Harte Gold to 9 or more directors, two persons) to the board of directors of Harte Gold. Under the Investor Rights Agreement, New Gold will be subject to an 18-month standstill which will prohibit New Gold from taking certain actions, including acquiring more than 14.9% of the issued and outstanding common shares of Harte Gold, subject to certain exceptions.

B2Gold Corp. (TSX: BTO) (NYSE American: BTG) recently announced an update on the Menankoto exploration permit which forms a part of the Anaconda area and is located 20 kilometres north of the Fekola Mine license area. The Company's Malian subsidiary, Menankoto SARL applied for a one year renewal of the Menankoto Permit in early February 2021 and was subsequently advised in early March 2021that the new permit would not be granted to Menankoto. The Company strongly believes that Menankoto is entitled to a renewal of the permit under applicable law and is engaged in ongoing discussions with the Malian Government to clarify the situation.

Since the Company commenced its investment in Mali, B2Gold has enjoyed a positive and mutually beneficial relationship with the Government of Mali, including the ongoing grant and renewal of several exploration and other permits in the country. The current life of mine plan for the Fekola Mine, which is projected to produce 530,000 to 560,000 ounces of gold in 2021, does not include the Anaconda area Mineral Resource.

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