Dolly Varden Silver (TSX-V: DV)(OTC: DOLLF) CEO Shawn Khunkhun on Bonanza Grade Silver & Gold at Multiple Targets


Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the CEO of Dolly Varden Silver, Mr. Shawn Khunkhun. Shawn, how are you? Great to have you back on and congrats by the way, the last two news releases have been absolutely stellar.

Shawn Khunkhun: Gerardo, I was doing well, but to hear your enthusiasm, I'm doing even better now. I'm doing well. Really good. Thanks for having me on.

Gerardo Del Real: Listen, I appreciate it. It's hard not to be enthusiastic when on the 30th of January you hit 46.31 grams per tonne gold and 70 grams per tonne silver over 25 meters. That included 1,145 grams per tonne gold and 826 grams per tonne silver over 0.48 meters. You followed that up with a release today, hitting 15.94 meters, averaging 1,499 grams per tonne silver. That included an intercept of 0.35 meters of 23,997 grams per tonne silver at the Wolf deposit. The release from the 30th, of course, was from Homestake Ridge. Congratulations. I mean, nothing short of spectacular.

Shawn Khunkhun: Yeah. Just looking at the Homestake release, we've got something special that happens on the property where there's multiple mineralizing events. And so what ends up happening is maybe that first pulse brings in 20, 30 grams per tonne of gold mineralization. So whether it's an epithermal or maybe it's a breccia. And then we have a term that we use called rebrecciated breccia. So a second event will come in and bring in another, it could be 60, 70 grams. So when we had that kilo gold, 1,145 gram per tonne gold and 862 grams silver, it's not just one mineralizing event. That's actually at least three that we're aware of. So it's a special project. And you look around the neighborhood and you look at Brucejack and you look at the grades of Brucejack, and we're starting to come up with some really, really out of this world numbers.

That's at Homestake. And then let's go five kilometers south at Wolf. And this has been a year about us talking about this southwest plunge where we've, over 400 plus meters away from the main deposit and another 400 meters down dip. We're growing it. But today's announcement, the headline hole anyways, was in the east direction, in the northeast direction. So 50 meters out to the east, we hit the best silver hole in a hundred-year history on the property with grades up to 24,000 grams per tonne silver. But what I'm more interested in is that consistency over 16 meters, where we had an average grade of 1,500 grams per tonne.

So we're hitting out to the east, we're hitting out to the west, and that's at Wolf. We've got Homestake numbers that are giving us a lot of confidence in grade and continuity. And then what's been lost in all this stuff, and there was two areas in these two news releases. One last week was we had a 200-meter step out hole at an area that we refer to as Homestake Silver. So we had two and a half kilos of silver discovered on a 200-meter step out. And then today, 85 meters below the Kitsault Vein, which is part of Torbrit, we hit 15 meters of 300 grams of silver. So we're having a lot of success on multiple fronts. It's been incredible.

Gerardo Del Real: Some of the prettiest looking rock that I've seen in quite some time. I encourage everyone to go through the last two news releases and have a look and have a dig. Listen, silver pulled back here recently after getting on a pretty good run. Regardless of that, Dolly Varden stock has responded well. I think everyone is starting to recognize the significance of the discoveries, plural. And I, for one, am excited to see what comes next. And with that, let me ask you, what comes next, Shawn?

Shawn Khunkhun: Well, we've got the results in hand now. It's time to start planning for our next program. So the next announcement will be around our plans, and high level, I'm envisioning a phase one 40,000 meter program, which is about a $15 million spend. We've got about $26 million today in the bank and 50/50 ratios, so 50% exploration, 50% around known resources. And so the next step is outlining our plans and then executing once again. And if we have a year in 2023 like we did in 2022, I think we're going to see similar performance in our share price, which has been exceptional, especially considering what gold and silver are doing now. Since September, we've now got a bid in the space and we've been on a tremendous run like gold and silver, but there's a reason we're growing the deposit.

Gerardo Del Real: Well, and we're seeing significant capital now starting to be allocated to the M&A space. We saw Newmont coming in and making a bid for Newcrest. That is no small deal. That's going to provide a lot of momentum in the space. I think this is the beginning of what's going to be an M&A cycle that should be a fun one, especially when you have the types of discoveries that Dolly Varden is sitting on. Any comments on the Newmont purchase of Newcrest, or the attempted purchase, I should say, of Newcrest?

Shawn Khunkhun: Yeah. Listen, I think it highlights a few things. I'm a Newmont shareholder, number one, and I think what it highlights is we're so early in this whole M&A cycle that the big boys aren't done merging with one another. They're not even looking down at the little guys yet. So it's early days, but I think consolidation's the key. And whether you're Dolly Varden consolidating the Kitsault Valley by getting Homestake Ridge, or you're consolidating different camps, I applaud the work that Agnico Eagle has done in the Abitibi with consolidation of Malartic and other projects in the Abitibi. And I think this is great, and I think for the Golden Triangle specifically, where we are, what's home to us, both Newmont and Newcrest are the big players in the camp. Yeah, I think it's fantastic for the industry.

Gerardo Del Real: Looking forward to the news flow this year. Should be fun. Should be exciting. Shawn, pleasure as always.

Shawn Khunkhun: Okay. Thanks so much, Gerardo.

Gerardo Del Real: All right, chat soon.

Shawn Khunkhun: Okay.

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