Nevada Sunrise (TSX-V: NEV) Moves Forward on the Gold & Lithium Exploration Front
Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is President and CEO of Nevada Sunrise Gold (TSX-V: NEV)(OTC: NVSGF) , Warren Stanyer. Warren, thank you for joining me today.
Warren Stanyer: It's my pleasure Gerardo.
Gerardo Del Real: Excellent. I reached out because I wanted to touch base on two pieces of news that you recently released. The first is that you began exploration on the Roulette Gold Project, which is located in Nevada. I understand it's early stage, but I've love to get the details of that.
Warren Stanyer: Well Gerardo, the Roulette Project is in the Carlin Trend, but it's at the very southeastern extent. There were mines in that area historically for gold and silver, but it has been overlooked in recent years. We picked up the property in 2014. We did some geophysics on it because on the property there was some jasperiods with gold present in the jasperoids, which is pretty rare in Nevada. Often you'll find them in the Carlin Trend, but they're not mineralized. This one was, so people had poked around but nobody ever drilled holes in the past. Now there's a lot of activity in the area. Viscount Mining is drilling nearby, so we feel that this is perhaps a hidden gem in the Carlin Trend, and we're looking forward to this 2016 exploration. We're taking soil samples, we have the geophysics from before, we're going to add some more geophysics to that package that we already have, and that will help us to find the drill targets that we hopefully could drill this year.
Gerardo Del Real: Fantastic. Switching gears a little bit, a project that's a bit more advanced, it's actually ready for drilling now. You announced on September the 1st that Nevada Sunrise and Advantage Lithium (TSX-V: AAL)(OTC: AVLIF) your partner on this project would begin drilling lithium brine targets at Clayton Northeast, which if I'm not mistaken is right a stones throw near production wells. Could you share with us the details behind that program?
Warren Stanyer: Yes Gerardo. It's directly across from Albemarle's (NYSE: ALB) Silver Peak lithium brine mine. We picked up the property last year. At first we thought, "Well, it's a fairly small property." But the potential that it actually has, part of the brine pool that Albemarle's currently mining, is real. At this point we've got drill targets directly along the boundary, and we're also mapping with geophysics right now (today the guys are working) how far that brine pool would extend towards the Angel Island Fault, which should bound the entire system.
Gerardo Del Real: Fantastic. The way that I understand it Warren, is that that program should start here late September, late this month?
Warren Stanyer: That's right. We've got a driller lined up, it's just [inaudible 00:02:51] of the day that we say, "Go."
Gerardo Del Real: Excellent. The last point that I want to make, because it's an interesting one, there's actually two last points. The first is that Nevada Sunrise, and of course your partner now Advantage Lithium, you're the only lithium explorers in the Clayton Valley with access to certified water rights, other than Albemarle obviously, is that correct?
Warren Stanyer: That is correct. There may be some smaller rights around that somebody might be able to negotiate, but they're very small, usually for stock water for farms. The one that we have is large enough to support a lithium operation in the future should we be lucky enough to find an economic deposit and get it into the development stage. Without a water right you just can't progress at all.
Gerardo Del Real: Right. For those that aren't familiar with lithium exploration and mining, I assume that water is very important, much like in gold mining.
Warren Stanyer: It is in that when you're pumping water out of the ground, which the lithium brines fall into that category even though they're salt water and not fresh water, which of course in the desert that's your main concern for farmers and people. In this case lithium brines, these salt water deposits, fall into that category so they're governed by the state of Nevada as if they were fresh water. Having this right is very important, we're in the stage of moving it down to the desert, it's a process that we're involved in and we hope to be successful in that process within the next few months.
Gerardo Del Real: Wonderful. Speaking of your partner Advantage Lithium, it's my understanding that you currently own 4.9% of the outstanding shares of Advantage Lithium, so I understand that's approximately 2.1 million shares. Is that correct?
Warren Stanyer: Just under 2.1 million shares. We're very happy that we've closed this deal because that should provide future funding for us. This is something that will be released in stages, these shares in the next two years. We're looking forward to all the success that we could enjoy with this company, this well funded group, very well respected group, and we will be managing exploration on their behalf.
Gerardo Del Real: That's fantastic. Well they've had a lot of success with their projects, you have a funding option that won't require any dilution to existing shareholders. That's exciting. And of course we're still expecting drill results from your partner and operator Pilot Gold on Kinsley Mountain, so it sounds like it should be a pretty busy quarter for you Warren.
Warren Stanyer: We expect a lot of activity in this quarter, that's right Gerardo.
Gerardo Del Real: Fantastic. Warren, thank you so much for joining me on short notice. Is there anything you'd like to add that maybe I missed?
Warren Stanyer: Just that I think gold in Nevada is also starting to jump up again, and I know that the majors are busy staking claims all over the place, and a lot of the juniors aren't yet because it is an expensive proposition, especially for Canadian explorers, but we are embarking on some regional studies and we may be adding some new grassroots projects to the gold portfolio.
Gerardo Del Real: Fantastic. Well, hopefully we have you back on soon, as soon as that program develops and news flows from these other projects.
Warren Stanyer: I'll look forward to it. Thanks Gerardo.
Gerardo Del Real: Thank you Warren.