March 19, 2023

BMR Evening Alert!

6:15 pm Pacific

(Exclusive to BMR subscribers – Not for Distribution or Posting on any Board.

Orford Mining Has Nunavik’s First Mover Advantage

There’s a MAJOR resource story brewing in Nunavik, a massive area in the far north of Quebec comprising about one-third of the province’s landmass, and Orford Mining (ORM, TSX-V) is in the heart of it with first mover advantage.

We’re talking Gold, Nickel and Lithium – potential world class deposits. This under-explored and geologically prolific area boggles the mind in terms of its vastness and possible mineral endowment. It already hosts 2 Nickel mines near a deep sea port, including 1 of the lowest cost producers in the world (Raglan mine) operated by Glencore.

But that’s just the tip of the iceberg for a region of Canada, overlooked until now, that could play a key role in North America’s critical minerals strategy.

Not only is Orford on a path to bring the next Nickel mine to Nunavik, through its partnership with Wyloo, but the company is on the cusp of Gold and Lithium discoveries that could make this the hottest junior in Canada in 2023.

The early trend is highly encouraging and bullish: ORM, which closed at 16 cents Friday, is up 167% over the past 30 sessions on total volume of 46 million shares. Long-term moving averages have all reversed to the upside. Furthermore, the chart shows a 4-year horizontal channel up to 25 cents with all technical indicators suggesting the stock is on track to obliterate that channel. Once that happens, kaboom – ORM will be unstoppable because it has suddenly become the TRIFECTA of resource juniors.

Gold. Nickel. Lithium.

ORM has early-stage discoveries and bulls eye targets for each of the above across more than 1,500 sq. km of landholdings in Nunavik (28.3 m grading 3.2% Ni, 1.32% Cu, 2.4 g/t Pd, and 0.7 g/t Pt at its Nickel project tells you this is serious stuff).

With respect to Lithium, this is brand new and particularly significant. If the hard science is proven out, Nunavik hosts a sea of Lithium deposits that could make James Bay – as exciting and valuable as it is – look like a tea party. And this would put ORM on the lips of resource investors around the globe (see Friday’s Morning Alert, with much more to follow). Geochemically, this is without question the most Lithium and Cesium-enriched part of Quebec, and the area is also littered with pegmatites. ORM kicked off the staking rush.

But the Gold hunt is also incredible.

The Orford Gold Story – Alamos Is All In

Alamos President & CEO John McCluskey, Director of Orford.

Orford’s biggest shareholder and backer is Alamos Gold (AGI, TSX; NYSE), 1 of our favorite Gold producers subscribers are profiting from handsomely with the stock trading at multi-year highs (closed Friday on the TSX at $15.56) for a market cap of $6.1 billion.

Alamos thinks big and is watching events in Nunavik very, very closely, particularly with respect to the Gold and Lithium scenarios (Wyloo has the Nickel play locked up with a commitment to spend $25 million for an 80% interest).

Orford is in the driver’s seat to deliver Nunavik’s first major Gold deposit and possibly several of them along an eye-popping 40-km-long belt that has delivered high-grade samples from 1 end to the other.

This reminds us of the Eskay Camp, prior to Eskay Creek and Brucejack.

This is potentially so big, it’s overshadowing the clear upside of Orford’s Joutel Property in the Abitibi region which is progressing toward an initial resource estimate after a game-changing winter drill program just completed by the company.

So let’s look at the highlights of ORM’s 405 sq. km district-scale and 100%-owned Qiqavik Gold-Copper Project beginning with location:

Strategically positioned along the same belt (Cape Smith) as the world class Raglan Nickel mine just 60 km to the east
Think of the Eskay Rift in NW B.C. and how you can have multiple deposit types, from Gold to Copper to Nickel, in the same district
Gold districts with similar tectonic and age setting to the Cape Smith Belt include Ashanti (West Africa), Tanami Goldfields (West Australia), Tapajos-Parima (Brazil), and Flin Flon-Snow Lake (Canada).

Gold is Everywhere Along a 40+ Km Trend

In less than 20 weeks of Gold exploration (field work), Orford has identified over 10 high-grade boulder trains and showings at surface over the 40+ km length of the Qiqavik Property;
More than 12 significant mineralized areas have already been discovered across the property in a variety of geological environments, but much remains unexplored;
Limited drilling has confirmed shear-hosted Gold mineralization along several trends in various structural zones on the property including Esperance, Interlake, Gerfaut and the newly discovered IP Lake Shear Corridor (IPLS);
The untested IPLS is 1 of the widest observed structures on the property, has been traced for 7 km, and may be the source of several high-grade visible Gold boulder trends. It is proximal to a major deep-rooted structure, the Bergeron Fault. Gold grain counts from heavy mineral concentrates from till samples along the IPLS are the highest observed on the property to date. The morphology of these Gold grains suggests a proximal source while the magnitude of them is similar to what is observed down ice from some major operating mines;
Successful 2022 work produced a transformative understanding of the Gold environment and a super exciting targeting approach for 2023.

ORM Long-Term Chart

Volume is 1 of the best indicators of all, and we’ve seen record volume come into ORM since early February. This trend should continue.

The next measured Fibs. on John’s 10-year monthly chart are interesting: 38 cents (61.8%); 57 cents (100%); and 90 cents (161.8%).

That’s for starters.

All indicators have a lot of room to strengthen before technically overbought conditions emerge.

The moment there’s a breakout above the top of the 4-year horizontal channel at 25 cents, ORM will fly like a peregrine falcon.

Three huge opportunities here – Gold, Nickel and Lithium – with even just 1 of them capable of adding hundreds of millions of dollars to Orford’s market cap.

And management is solid and proven, as we’ll get into in 1 of our next pieces in the coming days.

We’ve come up with this find well ahead of the herd, so don’t procrastinate and end up paying 2 or 3 times what this is trading for now.

The herd is coming.

Downside is limited to what we saw last week, a successful test of rising long-term moving averages between 13 and 11 cents.