This is a very large land holder who has proven over and over that he can get results. I'm impressed with how cheap David has managed to develop these properties. (See their financials). Today we get news on the Tungsten and as well, the new Abbott property that he got for a song.
The vendor of the Abbott property was putting in roads and noticed green rocks. So on close inspection he realized it was copper. The next logical step was to show this to David Blann of Happy Creek.
Of the 57.5 M shares outstanding 12% are held by an institution. In the last 3 months they bought almost another million shares. There's no short interest and the company has held up well despite all the dirty games being played by the regulators, TSX and the HFT's. (See articles on the death of the Venture Exchange).
I expect HPY will make a nice discovery adding to their already good property. No one is going to notice this stock and it will remain cheap for a little while longer. But... What will happen is the results will reach a critical mass and the sp should go up. If it doesn't that hardly matters.
What the average investor doesn't know is that Teck and Newmont and others have been eyeing the ongoings with increasing interest. They are not the only ones. The virgin Tungsten has envious eyes on it. What this means for us is cheap stock that suddenly pays a big payout. Once that happens it will attract the attention of the Johnny-come-lately's. That will create volatility for a while but their interest will wan. Then there will be another big payday and it will repeat. This is the beauty of this stock. It flies under the radar allowing us to take up big positions and should have a huge payout in 18-24 months.
The Company has explored the Fox from an early stage. Outcrops, trenches and drilling have returned strong tungsten grades over considerable thickness that are at or near surface, and over a distance of three kilometres.
On November 19, 2012, the Company announced final drill results including 19.4 metres of 0.82% W03 (tungsten trioxide) and 24.7 metres of 0.68% W03 in the RC prospect.
Drilling located a km to the north returned 5.0 metres of 0.68% W03. A kilometre to the south of the RC prospect, F12-27 returned 4.1 metres of 1.78% W03, 14.8 metres of 4.08% W03 and 24.0 metres of 0.79% W03.
If you are following the news on Woulfe and Malaga you know why I like Happy and Blackheath.
The big advantage of Happy Creek is that the deposit is virgin.
During 2012, approximately 900 kg of drilled and "non-ex" blasted muck was collected from the BN, RC and BK trenches. A composite sample used for test work averaged 1.04% W03, 0.27% zinc, 0.09 g/t gold, 1.58 g/t indium and 1.19 g/t silver.
David Blann, President and CEO of Happy Creek states: "We are learning more about the mineralogy and geology of the Fox tungsten skarn and the initial metallurgical characteristics are positive. More definitive results from phase 2 work is expected in about 10 weeks. We now have our 2013 exploration drilling permit in hand and anticipate advancing this new, near-surface and high-grade tungsten discovery".
The Company also reports that title of the Abbott property has been transferred 100% into the Company. Refer to news release dated June 5, 2012. The Abbott property adjoins the Company's West Valley property which adjoins Tecks Highland Valley copper property. During 2012 the Company completed an airborne magnetic and spectral survey on the West Valley and Abbott property, along with prospecting of newly constructed roads. Several new copper showings and historical trenches were located and sampled. Samples consist of Nicola Group volcanic and Guichon Batholith intrusive rocks. K-feldspar, quartz, epidote, sericite and kaolinite/clay occur with chalcopyrite-bornite copper minerals. The presence of these alteration and copper minerals are thought to be positive vectors for porphyry copper deposits. Sample 3593627 (1.5% copper) consists of epidote and magnetite rich volcanic rocks that appear similar to that found at the Craigmont mine, 15 kilometres to the southeast.
Pay attention to the above.
The table below shows the results from scraping the bottom of trenches. When it's that good that close to the surface you're onto something. As a porphyry follower I'm up to speed on what the descriptions mean. I can add this to my mental picture and to me it suggests that David has very good reason to acquire the 100% title. This is not a guess. He's not doing the work to create news for nothing but driving up the sp. That won't work in today's environment.
June 5 news highlight:
Happy Creek has acquired an option to earn a 100% interest in the Abbot property. The Abbot property consists of 2911 hectares (29.1 square kilometres) that adjoin the south side of the Company's West Valley property. Several weeks ago the Abbot property owner was prospecting these claims and noticed that very recent and on-going road construction, including blasting, had uncovered several zones of chalcopyrite and malachite (copper minerals). These new and encouraging copper showings occur in part within younger phases of the Guichon Batholith, believed to be Bethlehem, Skeena or Bethsaida, that host five major copper deposits to the north. The rocks appear to have variable propylitic, phyllic to argillic style alteration. This area also covers the southern extension of the Lornex fault, a key feature found at the Lornex and Valley mines to the north. The Company is pleased to have the first opportunity to evaluate these new copper showings. The West Valley and Abbot properties total approximately 124 square kilometres containing numerous copper prospects within a prolific and active mining camp.
So the road work appears to have stumbled on high grade results. When I say high grade I remind you we are talking surface dirt. This is what sparked the jump in price for Gold Reach. At GRV.v they noticed the wheels on the trucks were green!
2012 Abbott property rock sample results
-------------------------------------- |Sample-ID|Easting|Northing|Cu %|Ag | | | | | | g/t| |------------------------------------| |3593625 |636070 |5574000 |0.38|1.68| |------------------------------------| |3593626 |636013 |5573914 |0.09|0.38| |------------------------------------| |3593627 |638199 |5572157 |1.51|15.7| |------------------------------------| |3593628 |638147 |5572111 |0.45|2.24| |------------------------------------| |3593629 |638144 |5572126 |0.50|2.84| |------------------------------------| |3593630 |641228 |5571724 |0.43|0.55| |------------------------------------| |3593631 |638659 |5571085 |0.09|0.53| |------------------------------------| |3593632 |642268 |5573165 |0.08|0.55| |------------------------------------| |3593633 |638895 |5571952 |0.01|0.07| |------------------------------------| |3593635 |638669 |5571085 |0.55|1.45| |------------------------------------| |3593634 |638134 |5572116 |0.04|0.24| --------------------------------------
We should note: To earn a 100% interest in the Abbot property, the Company must pay to an arm's length vendor a total of $15,000 in cash and issue 350,000 shares by May 30th 2013. The vendor retains a 0.5% Net Smelter Return (NSR), with the Company having the right to purchase the NSR for $1,000,000.
This does mean 350K was added to the sp float. The $15k is small and the vendor really sold it for the NSR. A nice payday when this becomes proven and sold.
On the Abbott property, the new copper showings together with a favorable geological setting and airborne geophysical results are positive additions to the Company's property in the Highland Valley area. Several priority areas are apparent and geological mapping and prospecting has commenced to assist in outlining future drill targets. As the Abbott property is now 100% owned by Happy Creek Minerals Ltd., it will be included within the West Valley property, totaling approximately 124 square kilometres in area.
On behalf of the Board of Directors,
"David E Blann"
____________________
David E Blann, P.Eng.
President, CEO
FOR FURTHER INFORMATION PLEASE CONTACT:
David Blann, President, CEO
Corporate Office:
Phone: 604.662.8310
Email: Info@happycreekminerals.com
Email: Info@happycreekminerals.com
Website: www.happycreekminerals.com
Registered Investor Relations:
James Berard Phone: 604-687-2768 Toll free: 1-877-459-5507
James Berard Phone: 604-687-2768 Toll free: 1-877-459-5507
Yes this is great news! Excellent steal. I am watching this company closely, as I will add to my position when Copper Fox pays out, in the meantime adding small amounts to my position.
ReplyDeleteOver $1.00/share possibly if they continue to hit amazing drill results and expand resources? I too like the low costs to develop these properties. When summer concludes,this might be the best time to buy into this company.
I've been adding and plan to make some bigger buys over the summer. I'm buying for shares right now and not share price since I expect the TSX to completely destroy itself through the continued corruption we've witnessed since the elimination of the uptick rule.
ReplyDeleteI'd like to accumulate about 2 million shares this year.