BARU:CC - Fundamental & Technical Developments On The Mining Front
2023-05-29 11:00:13 ET
On a relatively quiet Monday, with U.S. investors taking the day off for Memorial Day, the Canadian newswires were lit up with several %Mining developments.
Two of the one’s that caught our eye, for differing reasons were %BaruGold (TSX-Venture: ) (OTC: ) and %ChampionElectricMetals (CSE: ) (OTCQB: ).
In the case of Baru Gold, the Company and its subsidiary PT. Tambang Mas Sangihe announced the receipt of an official correspondence from the Director of Engineering and Environment at the Ministry of Energy and Mineral Resources of the Republic of Indonesia. The letter affirms the Company’s legal status to operate and produce gold on Sangihe Island and states that the Company’s license is active and valid. Furthermore, in the letter, MEMR officially requests that police cooperate with the Company, and stop all illegal mining on Sangihe.
As one can see from the text above, the company has had issues with illegal mining and lawsuits while trying to move forward with the Sangihe property.
Mr. Terry Filbert, CEO of Baru Gold, commented, “We are very pleased to receive the letter from the MEMR affirming our legal status to operate and produce gold on Sangihe Island. The Company is the largest single employer on Sangihe and we appreciate the support from police, government officials, and local residents. Securing the previously announced financing is progressing well and the Company is looking forward to entering into production. Not only does the letter validate the hard work of our team in Indonesia but it also satisfies a prerequisite for the financing that will fund the Company into production.”
Investors are equally relieved by the news, with shares up over 14% to $0.04 in early morning trading.
From fundamental news to technical analysis charting, we take a closer look at shares of Champion Electric Metals (CSE: LTHM) (OTCQB: GLDRF) and like what the chart is potentially indicating. While the company did announce their commencement of trading on the CSE exchange, it was the technical setup that caught our attention.
Shares of LTHM have been trending upwards since late-August, 2022. Back then, a share could be purchased for $0.035. Fast forward to today, shares are up to $0.15, a substantial 329% at last glance. The key for us appears to be a significant resistance right at $0.15 that this stock has been trying to break through on multiple occasions over the last few months. We think this technical breakout is imminent. If we’re right, a new leg up could be in the works with $0.19 and $0.24 as key resistance levels on the horizon.