The management team at Green River Gold Corp. believes that the economics for placer mining in British Columbia are favourable and may remain so for some time. Historically, when the gold price is high relative to the oil price, as is the case at present, the potential for profit in gold mining increases. This can be especially true in Western Canada, where low oil prices have led to a slowdown in the energy industry. This in turn, has led to more favourable input costs for placer mining, not just for the energy itself, but also for manpower and equipment.
While global oil prices have recovered somewhat in recent months, the Western Canadian oil price remains constrained by excess supply and restricted pipeline access to global markets. We believe that these conditions may lead to a renewed interest in gold mining in B.C. and that the timing is excellent to acquire investments in the placer industry now.
Unlike hard rock gold mining, placer mining projects can be put into production within a year or as little as a few months. The amount of capital required to start an operation is also relatively low. The result of these two factors is that placer mining projects can generate cash flow within a short time frame.
Interested to learn more about investment opportunities with Green River Gold Corp? Do you have a placer mining opportunity that is looking for capital? Reach out today to learn more.