General Precious Metals
NevGold Corp. (TSX-V: NAU)(OTC: NAUFF) CEO Brandon Bonifacio on Plans & Process for Attaining One-Million Gold Ounces in Nevada-based Resources by Q1 2022
Gerardo Del Real: This is Gerardo Del Real… live from the Beaver Creek Precious Metals Summit 2021. Joining me today is the CEO of NevGold Corp. — Mr. Brandon Bonifacio. Brandon, how are you today?
Brandon Bonifacio: Great, thanks for having me.
Gerardo Del Real: Thanks for taking the time. NevGold is a new story to our audience. And when you and I jumped on a call, I asked you about share structure… I asked you about the team… I asked you about the assets… I asked you about the jurisdiction. And you checked all the boxes. Before we get into all of that, can you give me a brief overview of your background?
Brandon Bonifacio: For sure. Yeah, so mining engineer with also a finance background. I used to work at Goldcorp in the corporate development group. On the back of the Newmont acquisition of Goldcorp was the right time for me to start getting more into the entrepreneurial side of the business and formed NevGold in Q2 of 2020.
And since then, we've acquired two projects in Nevada from McEwen Mining. And that is the base of our assets in Nevada as the namesake shows — NevGold Corp. So really happy with what we've been able to do. But a really strong team behind the company to-date and look forward to updating your audience on what we have currently.
Gerardo Del Real: Let's talk about that team. That was one of the things that stood out to me. Obviously, some success in the past. You're obviously young and hungry and looking to have some more success. You've had some already as well. But tell us a bit about the team and the people that you’ve got together.
Brandon Bonifacio: So my father, Giulio Bonifacio, who is also engaged and still a part of the mining business, is the executive chairman. We've also brought on Victor Bradley who was one of the original founders of Yamana Gold. He was director and chairman of Osisko for a long period of time. So he acts as a key independent director.
We've also brought together a very strong group of individuals in Nevada from a technical and environmental and social governance standpoint. So I think we do check a lot of the boxes from a board compilation and executive group.
Gerardo Del Real: Excellent. Walk me through the share structure. What does that look like right now?
Brandon Bonifacio: So currently, just under 50 million shares outstanding with about 15 million in dilutable securities. And with that, we're trading at around the C$0.60 price range today. Our financing was done at C$0.40 so we've had some really nice price appreciation since our first day of trading, June 29th. And our market cap currently is around C$20 to C$25 million.
Gerardo Del Real: Excellent. How do you plan on getting that share price up?
Brandon Bonifacio: Yeah, so I mean, that's one of the key drivers of the story.
Gerardo Del Real: The million dollar question, right?
Brandon Bonifacio: Yeah, the million dollar question, which dovetails into one of our key milestones, which is the million ounce marker.
Gerardo Del Real: Absolutely.
Brandon Bonifacio: So one of the assets is called Limousine Butte; it's on the southern part of the Carlin trend. It's had over 130,000 meters of historical drilling; over 900 holes. So we're working from an already established geological database. The path is we are going to try and deliver at a million ounces by Q1 of 2022. And that will drive that valuation and rerating in the market.
Gerardo Del Real: A million gold ounces in Nevada by Q1 of 2022… that's the goal…
Brandon Bonifacio: Yes, sir!
Gerardo Del Real: Excellent! Walk me through the next quarter or two to get there… catalysts… drilling…
Brandon Bonifacio: Yeah, so we've already lined up a drill rig contractor. Our permit is being submitted and is tracking according to plan. Our drill program should be starting in the next two weeks. That news release will be imminent. And then, we'll be conducting a 10,000-meter program at Limousine Butte. And that will then get folded into the resource update in Q1 of 2022.
Gerardo Del Real: What's the cash position look like?
Brandon Bonifacio: Currently about C$5 million in the bank after our C$6.3 million raise. So naturally, we are well-funded. The program budget is approximately C$2.5 million so we're going to be well cashed-up into 2022 and potentially beyond. But again, we will look to drive the catalysts in the marketplace and focus on drilling and putting dollars into the ground.
Gerardo Del Real: Management and insiders… skin-in-the-game?
Brandon Bonifacio: Yes, so in total, we probably own approximately 30% to 35% today. So naturally, the new investors coming in in that going-public financing round are about 35% of the float. So we do have a very large position and very engaged shareholders and owners of the business. We run an owner-operated model, and I think that's key to any investment for your audience. And I think it's important for us to be aligned with our shareholders.
Gerardo Del Real: Love it! It's Nevada… it's gold… you're hunting for a million ounces by Q1 of 2022…
Brandon Bonifacio: A million ounces interim resource update, Gerardo. I think the most important thing is we are going to be tracking to a larger resource base. And I think we are seeing a lot of opportunities exploration-wise at our Limousine Butte project but also at our other project in Nevada called Cedar Wash. So we do have a lot of opportunities to further build on that million ounces after Q1 of 2022.
Gerardo Del Real: Looking forward to seeing it happen. Brandon, thank you so much for your time.
Brandon Bonifacio: Thanks, Gerardo. Appreciate it!
Gerardo Del Real: Appreciate it.
Brandon Bonifacio: Thanks everyone.