Junior gold investors will have their eye on Barkerville Gold Mines (TSXV:BGM) today, when the Vancouver-based gold company resumes trading after a 14-month hiatus.
The BC Securities Commission ordered that Barkerville stop trading in August 2012, following perceived irregularities with a resource estimate from its Cow Mountain gold project in northern British Columbia.
According to Barkerville, the property contained 10.626 million contained ounces of gold in the indicated category. The news doubled Barkerville’s stock price from 81 cents to $1.67, but it wasn’t long before some observers questioned the numbers, since they differed considerably from previous historical drilling estimates.
That caught the attention of the BCSC, which upon examination of the technical report, “identified a number of disclosure and filing issues.” The commission then issued a cease trade order, to be lifted when the company files an NI-43101 compliant report that is acceptable to the regulator. That cease trade order remains in effect.
In June of this year Barkerville announced a revised resource estimate from Cow Mountain, saying it shows 17.7 million tonnes of gold ore grading 2.00 parts per million (2 grams per tonne), or contained gold of 1.04 million ounces in the measured and indicated categories.