The last fourteen months has seen a spectacular turnaround for Stroud Resources Ltd. Just over a year ago, the Company had $98 in the bank, liabilities of $1,580,000 and a market capitalization of $982,000.
Today, the Company has over $4M in cash, its liabilities are under $100,000 and its market capitalization is over $30M. The Company reduced the NSR royalties carried on its properties by 50% and lowered the maximum royalties payable from $4,200,000 to about $1,400,000.
Stroud submitted its drilling permit application in respect of its Santo Domingo Property in Jalisco, Mexico and has prepared its mining camp for a drilling program. As soon as the drilling permits are issued, we are ready to drill.
Our modelling of the Santo Domingo Property had identified additional mineralized zones running parallel to the resource we had initially drilled. It is also our expectation that the grades of silver and gold in these zones would be higher as no one has accessed them beyond 80 metres from surface. We are now ready to execute on those plans upon receiving our drill permits.
The Company’s initial drill program during the remainder of 2020, will set out to prove the presence of the additional mineralized veins and to increase the grades of silver and gold on the property. We have sufficient funding to follow this up with a drill program in 2021 that would allow the Company to update the resource with a new Technical Report and to complete a Preliminary Economic Assessment.
Gold and Silver prices have appreciated over 30% since 2018 and are exciting investors today.
This an exciting time for Stroud also, as we get ready to make the “big reveal” on our Santo Domingo Project.