Batero Gold (BAT.V), which has been semi-dormant in the past few years, has now completed an infill drill program at its Batero-Quinchia project in Colombia. This drill program was designed to increase the confidence in and define the depth of the oxide and transition zones of the project (we think it’s a good move to just focus on these zones as we still don’t see a large open pit mine being permitted in Colombia).
As you can see on the previous image, it shouldn’t be too difficult to ‘shave’ the oxide and transition zones off the sulphide zone which could remain untouched until the gold price and permitting climate improves. It will be interesting to see the company’s next few steps as it will very likely try to advance the project whilst keeping an eye on the cash burn rate as well. Batero Gold is running a very tight ship as in the first nine months of the year it spent C$1.5M on the property and less than C$300,000 on corporate expenses. Batero Gold is currently trading below its net cash position (estimated at C$0.095/share), so you basically get the project for free.