New Pick Vanstar (VSR.V) Has The Making Of A Future Quebec Gold Mine

As readers of the reports know, I’m very bullish on gold and even more bullish on quality gold stocks. I don’t mean just any gold stocks, I mean quality which is harder to find. Vanstar Mining Resources (VSR.V) is a company I’ve been following for a few months. Today they announced an impressive initial resource, it is a pit-constrained inferred resource totalling 96,990,000 tonnes averaging 1.02 grams of gold per tonne for 3,193,900 ounces of gold.

The Nelligan project is a joint venture partnership between IAMGOLD with 51% and Vanstar with the remaining 49% of the project. IAMGOLD can earn an additional 24% for cash payments totaling C$2,750,000 to Vanstar and the delivery of an NI 43-101 compliant Resource Estimate and Technical Report before March 2022. That would give IAMGOLD a 75% interest, they can increase it to 80% by completing a feasibility study. If IAMGOLD increases their interest to 80%, then Vanstar would have a 20% carried interest through to commercial production and a 1% NSR royalty.

This kind of resource, especially in a pit-constrained shell, and multi million ounces at a healthy gold grade is not easy to find. Especially in close proximity to a mining town in Quebec. I’m a big fan of Quebec, it is one of the top jurisdictions worldwide for exploration and mine development, and this is shaping up to be a future mine.

They currently have 48 million shares issued, and at the current price Vanstar’s valuation is under $15 million. Based on the quality of the project, this resource that has room to grow, their partner and the reality of how hard it is to find quality juniors, I can see Vanstar’s getting a higher valuation in the near term.

In Closing

Gold is primed to go higher and quality gold stocks will outperform, have a look at Vanstar, I think their timing is ideal to outperform.

All the best,

Allan Barry Laboucan


Allan Barry Reports


Advance Gold (AAX.V)

Phone: 604-505-4753


P.S. my reports are for information purposes only, before making any investment decisions it is important to do your homework and speak with your financial advisers.

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