Rubicon Minerals

Toronto Stock Exchange Goldcorp Toronto
Rubicon Minerals
Public
Traded asTSXRMX
IndustryGold Mining
Headquarters,
Canada
Key people
George Ogilvie (President & CEO)
ProductsGold
Websitewww.rubiconminerals.com

Rubicon Minerals is a Canadian company active in gold exploration. Rubicon owns more than 65,000 acres (26,000 ha) of exploration ground near Red Lake, Ontario, Canada, and has made significant discoveries of gold on this property. The property is near to Goldcorp's Red Lake Mine.[1] As of August 2018 the company had a market capitalization of $80 million.[2]

Early years

In the late 1980s Rubicon explored what is now the McFinely property in the Red Lake area, finding gold along a historically gold-producing trend about 4 kilometres (2.5 mi) in length.[3] Rubicon Minerals' stock began trading on the TSX Venture Exchange in November 1997.[4] In September 1999 Rubicon announced encouraging assay results from a large sulphide discovery on the Palmer project near Haines, Alaska.[5] The company acquired the McFinely property in 2001 following several years of litigation and began drilling in November 2002. Drilling on the water-based part would be carried out in winter when the lakes were frozen.[3] In September 2003 Rubicon graduated to trading on the Toronto Stock Exchange, and was delisted from the Venture Exchange.[6] In September 2004 Rubicon was listed on the American Stock Exchange.[7]

Africa and Newfoundland

In February 2004, Rubicon made a partnership agreement with IAMGold Corporation through which IAMGold would invest in exploratory drilling at Rubicon's 140 square kilometres (54 sq mi) Avalon gold project in Newfoundland in exchange for a 55% interest.[8] In February 2006, Africo Resources, which was 38.8% owned by Rubicon, released results from drill holes at its Kalukundi copper and cobalt deposit in Katanga Province, Democratic Republic of the Congo. The inferred resource was now 12.15 million tonnes of ore grading 2.45% copper and 0.61% cobalt.[9] Later that year Rubicon spun off Africo and Rubicon's Newfoundland assets into two separate companies.[10] The Newfoundland gold and base metal assets were held by Paragon Minerals Corporation. Shortly after the spin-off was completed in December 2006 Rubicon's share prices dropped by 10%.[11]

Red Lake development

The headframe at Rubicon Minerals Phoenix Gold Project in Red Lake, Ontario

In February 2006 Rob McEwen, the former chairman and CEO of Goldcorp, said he was investing C$10 million in Rubicon, and was also selling 200,000 hectares (490,000 acres) of land near the Pogo gold mine in Alaska to Rubicon in exchange for additional shares. McEwen was to become a strategic advisor to the company. Shares rose by almost 40% when the news was released.[12] In May 2007 McEwen announced that he owned or controlled about 32.8% of Rubicon's current outstanding common shares.[13] In December 2009, Rubicon Minerals was added to the Toronto Stock Exchange's benchmark S&P/TSX Composite Index. At this time, in addition to the Red Lake property the company owned more than 590 square miles (1,500 km2) around the Pogo Mine in Alaska, and 350 square miles (910 km2) in northeast Nevada. McEwen's share was now 21.5%.[14]

In November 2010 Rubicon Minerals shares shot up after the company announced that part of their Phoenix project in the Red Lake area had an estimated inferred resource of 4 million ounces of gold. Drilling results indicated a grade of 20.1 grams (0.71 oz) gold per ton of ore.[4] In July 2011 Agnico-Eagle Mines made a CDN$70 million investment through non-brokered private placement of common shares.[15] Rubicon continued to develop the Phoenix gold project, and in October 2011 announced that it now had a grid power connection from Hydro One, replacing the former diesel generators.[16]

Rubicon reduced its gold reserves by 88% on January 11, 2016.[17]

In December 2016 Rubicon announced it had completed a restructuring transaction and shares in the stock would resume trading.[18]

References

  1. ^ "Rubicon Minerals Corp". The Gold Report. Retrieved 2011-11-14.
  2. ^ "Tuesday's analyst upgrades and downgrades". The Globe and Mail. August 14, 2018. Retrieved November 21, 2018.
  3. ^ a b "Gold exploration heightens: Rubicon Minerals advances exploration in gold camp. (Communities of the North: Red Lake)". Northern Ontario Business. 1 December 2002. Retrieved 2011-11-14.
  4. ^ a b Christopher Donville (November 29, 2010). "Rubicon Soars After 4 Million-Ounce Gold Estimate". Bloomberg Business Week. Retrieved 2011-11-14.
  5. ^ "Rubicon hits more sulphides at Palmer". The Northern Miner. September 27, 1999. Retrieved 2011-11-14.
  6. ^ "Rubicon Minerals graduates to TSE (10/03)". Northern Ontario Business. 2004-01-14. Retrieved 2011-11-14.
  7. ^ "American Stock Exchange Lists Common Stock of Rubicon Minerals Corporation". Rubicon Minerals. 8 September 2004. Retrieved 2011-11-14.
  8. ^ "Rubicon Minerals Options Avalon Gold Project, Newfoundland to IAMGold; $3 Million Earn in, $500,000 Firm Year One Commitment to Include Diamond Drilling". Rubicon Minerals. February 10, 2004. Retrieved 2011-11-14.
  9. ^ "Today Our Eyes Are On Rubicon Minerals Corporation". M2 Communications. 9 February 2006. Retrieved 2011-11-14.
  10. ^ "Rubicon set to spin off African and Newfoundland assets". The Northern Miner. 12 November 2006. Retrieved 2011-11-14.
  11. ^ "Rubicon Minerals Corp: Company Update". Pinnacle Digest. 18 December 2006. Retrieved 2011-11-14.
  12. ^ Craig Wong (2007-02-26). "Rubicon Stock Up 40% as Rob McEwen Invests C$10M". Resource Investor. Retrieved 2011-11-14.
  13. ^ "Rob McEwen Acquires Ownership Interest in Rubicon Minerals Corporation". McEwen Capital Corporation. May 23, 2007. Retrieved 2011-11-14.
  14. ^ "Rubicon Minerals added to S&P/TSX Composite Index". Rubicon Minerals. December 15, 2009. Retrieved 2011-11-14.
  15. ^ "Rubicon Minerals Corp. Announces Closing Of $70,000,000 Strategic Investment By Agnico-Eagle Mines Ltd". Reuters. 28 July 2011. Retrieved 2011-11-14.
  16. ^ "Rubicon Minerals Announces Grid Power Connection to Phoenix Gold Project, Red Lake Ontario". Rubicon Minerals. October 20, 2011. Retrieved 2011-11-14.
  17. ^ "Rubicon Minerals Corp shares plunge as miner slashes its gold resources by 88%". National Post. January 11, 2016. Retrieved 2016-01-16.
  18. ^ "Rubicon Minerals Completes Restructuring Transaction; Shares to Resume Trading on TSX". Junior Mining Network. December 20, 2016. Retrieved 2016-12-20.