Figure 1: Selebi North: Location of Reported Drill Holes with Underground Infrastructure, Historic Resources, Exploration Targets and modeled BHEM plates.

Premium Nickel Resources (TSXV:PNRL) (OTCQX: PNRLF) recently shared updates on its ongoing drill program at the Selebi North underground (SNUG) mine in Botswana, a site known for its nickel-copper-cobalt sulphide (Ni-Cu-Co) deposits. This follows previous announcements between November 14, 2023, and March 5, 2024, which reported results from 42 drillholes. The latest update includes results from an additional hole, bringing the total to 50 holes and 18,120 metres of drilling.

CEO, Keith Morrison commented in a press release: “By the end of March, we will have completed the underground drilling at Selebi North that will be included in our maiden Selebi NI 43-101 Mineral Resource Estimate. The objective of the Selebi MRE, expected in June, is to provide the basis to support the rapid redevelopment of these deposits using the existing shafts and infrastructure. The mineralization continues down plunge and down dip from beyond the drilling to be reported in the MRE, which is evidenced in recent drilling, BHEM results and historic drilling. The mineralization continues down plunge and down dip from beyond the drilling to be reported in the MRE, which is evidenced in recent drilling, BHEM results and historic drilling. News flow will continue with assay results from the latest phase of underground drilling.”

The company’s drill program aims to delineate mineralization beyond the existing mine workings, contributing data towards a Mineral Resource Estimate (MRE) that adheres to the National Instrument 43-101 – Standards of Disclosure for Mineral Projects (NI 43-101). The results from the latest hole, SNUG-23-069, drilled at the 880-metre level, are notable for two reasons: it is located on the limb between the N2 and N3 fold noses, where no historical resources have been identified, and it represents the first nickel assay to exceed 4% nickel concentration.

The drilling project is part of a broader exploration effort to assess the extent of mineralization, particularly in areas not covered by historical resources. The project involves three drill rigs operating from the 810-metre level, targeting regions further down plunge and beyond the known mineral resources. This setup allows for a more comprehensive evaluation of the site’s potential.

Additionally, Borehole Electromagnetic (BHEM) surveys are being conducted to further understand the continuity of mineralization. To date, surveys have been completed in 25 drillholes, including nine drilled in 2024 from the 810-metre level. These surveys provide critical data on the down-plunge potential of the South Limb and other areas, guiding the planning of future drilling activities with larger step-out intervals.

As of March 25, 2024, the drilling campaign has accumulated 28,574 metres across 80 drillholes, with three currently underway. The company plans to continue releasing assay results as they become available and are verified. This comprehensive exploration effort not only underscores the potential for further discoveries at the SNUG mine but also reflects Premium Nickel Resources Ltd.’s commitment to thoroughly evaluating and responsibly developing its mineral assets.

Figure 2: Selebi North: Location of Reported Drill Holes with Underground Infrastructure, Historic Resources and Exploration Targets

Highlights from the project are as follows:

  • Completion of $21.6 million financing to fund initial Mineral Resource Estimate (“MRE”) on Selebi Main and Selebi North (see news release December 2023).
  • More than 28,000 metres of drilling completed as of the date of this news release from seven underground drill bays at Selebi North.
  • Repeatedly encountering massive sulphide mineralization when drilling within the historic resource (see historic resource).
    • SNUG-23-053 (South Limb): 6.05 metres of 2.76% NiEq (1.95% Ni; 1.23% Cu; 0.11% Co)
    • SNUG-23-054 (N3 Limb): 6.85 metres of 3.97% NiEq (2.72% Ni; 1.97% Cu; 0.15% Co)
    • SNUG-23-055 (South Limb): 15.30 metres of 2.95% NiEq (1.84% Ni; 1.85% Cu; 0.10% Co)
      incl. 8.45 metres of 3.04% NiEq (2.15% Ni; 1.40% Cu; 0.11% Co)
      and 3.00 metres of 2.98% NiEq (2.13% Ni; 1.28% Cu; 0.12% Co)
    • SNUG-23-056 (South Limb): 30.45 metres of 2.85% NiEq (1.78% Ni; 1.81% Cu; 0.09% Co)
      including 15.80 metres of 2.97% NiEq (1.73% Ni; 2.15% Cu; 0.09% Co)
      and 12.10 metres of 3.12% NiEq (2.06% Ni; 1.73% Cu; 0.11% Co)
    • SNUG-23-057 (N3 Limb): 9.55 metres of 3.90% NiEq (2.72% Ni; 1.81 Cu; 0.16% Co)
    • SNUG-23-058 (N2 Limb): 12.95 metres of 2.45% NiEq (0.74% Ni; 3.23% Cu; 0.04% Co)
      including 10.40 metres of 2.76% NiEq (0.69% Ni; 3.94% Cu; 0.04% Co)
  • Frequently encountering massive sulphide mineralization when drilling down-dip and down-plunge of the historic resource at Selebi North.
    • SNUG-23-017 (South Limb, 180 metres down plunge of historic resource):
      18.15 metres of 2.21% NiEq (1.27% Ni; 1.65% Cu; 0.06% Co)
      incl. 6.25 metres of 3.23% NiEq (2.34% Ni; 1.40% Cu; 0.11% Co)
      and 3.50 metres of 3.22% NiEq (1.06% Ni; 4.08% Cu; 0.05% Co)
    • SNUG-24-089: (South Limb, 403 metres down-plunge and outside of the historic resource) intersected massive sulphide mineralization (assays pending, photos published see news release dated March 5, 2024).
    • *NEW SNUG-24-094 (drilled 400 metres down plunge of N2): intersected massive sulphide mineralization (assays pending).
  • New assay result with greater than 4% Nickel
    • SNUG-23-069: (between N2 and N3 fold noses, outside historic resources):
      5.85 metres of 1.63% NiEq (1.17% Ni, 0.70% Cu, 0.06% Co)
      incl. 2.25 metres of 2.50% NiEq (1.52% Ni, 1.64% Cu, 0.09% Co)
      incl. 0.45 metres of 5.86% NiEq (4.53% Ni, 2.10% Cu, 0.16% Co)
  • Significant Copper
    • SNUG-23-026 (N3):
      4.10 m of 3.49% NiEq (1.52 % Ni, 3.65% Cu, 0.07% Co)
      incl. 2.85 m of 3.56% NiEq (0.89 % Ni, 5.09% Cu, 0.05% Co)
    • SNUG-23-036 (N2):
      10.45 m of 1.44% NiEq (0.48 % Ni, 1.82% Cu, 0.02% Co)
      incl. 4.15 metres of 2.53%NiEq (0.48 % Ni, 3.97% Cu, 0.02% Co)
  • Consistently reporting world-class assay results from ongoing drilling at Selebi North (see Appendix 1 and 2 for tables of assays and collars released to date)
    • SNUG-23-064 (South Limb/N2): 102.80 metres of 2.20% NiEq (1.41% Ni, 1.30% Cu, 0.08% Co)
    • SNUG-23-067 (South Limb/N2): 110.75 metres of 2.52% NiEq (1.52% Ni, 1.70% Cu, 0.08% Co)
    • SNUG-23-057 (N3): 9.55 metres of 3.94% NiEq (2.72 % Ni, 1.81% Cu, 0.16% Co)
  • Successfully mapping mineralization using Borehole Electromagnetic (“BHEM”), aiding drilling to extend mineralization below the legacy Selebi North resource. To date, 100% of the high conductance modeled plates correlate to massive sulphides within, down-dip and down plunge of the Selebi North historic resource.
  • Exceptional initial hydrometallurgical test results demonstrating high leach rates of Cu, Ni, Co, and PGEs, with equally high extraction rates to precipitates (see news release dated February 22, 2024).
  • On track to publishing the maiden Selebi MRE Q2 2024.

Table 1: Assay Results Selebi North Deposit

Hole-ID From
(m)		 To
(m)		 *Length
(m)		 Ni
(%)		 Cu
(%)		 Co
(%)		 Limb **NiEq
(%)
SNUG-23-069 264.75 270.60 5.85 1.17 0.70 0.06 N2/N3 1.63
incl. 264.75 267.00 2.25 1.52 1.64 0.09 N2/N3 2.50
*incl. 266.55 267.00 0.45 4.53 2.10 0.16 N2/N3 5.86
SNUG-23-069 510.50 513.30 2.80 2.20 1.42 0.10 N3 3.09

*Length refers to drillhole length and not true width. True widths of the South Limb are unknown.

**NiEq was calculated assuming a price of $US 7.86/lb for Ni, $US 4.00/lb for Cu and $US 12.95/lb for Co with no adjustments for recoveries and payabilities.

Figure 3: Detailed view showing location of drillholes reported and mentioned in this release

Table 2: Drill Collar Information Selebi North Deposit

HOLE ID Mine East Mine North Elevation Dip Mine
Azimuth		 Hole Length Comment
SNUG-23-069 35082.7 84843.1 -8.9 -42.8 235.2 545.1 Rig #2 880mL
The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.


Forsys Metals (TSX:FSY) has announced the assay results from its Valencia 2023 drilling programme, which is part of the Company’s larger Norasa Uranium Project in the Erongo region of Namibia. The drilling programme, which consisted of fifteen boreholes with a combined total of 2,684.44 metres, had several objectives, including geotechnical drilling, testing the continuity of mineralization for resource modelling, confirming Mineral Resource Estimation (MRE) parameters, and sampling for metallurgical test work and processing design optimization.

The company completed drilling, geological and geotechnical logging, down-hole optical televiewer and radiometric scans on all fifteen holes. Eight hundred and nineteen samples from ten of the boreholes underwent assay with established quality control protocol and procedures. The chemical results were verified by an accredited lab and reviewed by a third party professional geologist. Borehole samples were selected for geochemical assay from the routine downhole radiometric scanning results and sent to Trace Elements Analysis Laboratories (Pty) Ltd (“TEA Labs”) in Swakopmund for sample preparation and analyses by XRF. TEA Labs conducts weekly round robins with independent laboratories at Rosh Pinah, Husab Uranium, and Langer Heinrich mine laboratories for internal quality control purposes.

Forsys employs an industry standard QA/QC program with Standard Reference Materials, blanks, coarse duplicates and pulp duplicates inserted into each batch of samples analysed. 4% of the samples sent to TEA Labs were sent for check analyses to SGS Laboratories in South Africa, which is an independent accredited laboratory. The sample results are further validated by comparison with the downhole radiometric survey results.

In addition to the assay results, Forsys Metals Corp. has also announced the commencement of a new drilling program at Valencia. The drilling program focuses on three target areas outside of the existing resource block model, including a favourable horizon identified at the Jolie Zone (~1km north of Valencia pit), Valencia West Extension, and Valencia South. Twenty-nine boreholes are scheduled for a total of 5,236m of drilling to assess mineralization to depths of up to 380 m below collar.

The three areas of mineralization potential were delineated from historic exploration work that included aerial photo interpretation, geological mapping, aeromagnetic surveys, airborne and ground scintillometer surveys and exploration drilling. Investigation by drilling is required to define the mine’s surface infrastructure development and also to explore for resource upside potential in these areas. Boreholes VA24-01 to VA10 are completed, awaiting down-hole surveys, detailed recording, and sampling for chemical assay. Additional drilling might be required to test at depth, dependent on the results to be obtained from the campaign.

The assay results from the Valencia 2023 drilling programme and the commencement of the 2024 drilling program demonstrate Forsys Metals Corp.’s commitment to advancing its Norasa Uranium Project in Namibia. The Company aims to further define and potentially expand its uranium resources through these drilling initiatives.

Highlights from the results are as follows:

  • Multiple zones of massive alaskite intrusions were intersected. Chemical assays confirm uranium mineralization in all six of the confirmation boreholes.
  • Best mineralized borehole PQ-5 intersected 77.34 m of continuous mineralisation, averaging 439 ppm U3O8, including 41.9 m of 683 ppm U3O8.
  • 2023 intersections of mineralization correlate with the neighbouring, historic drilling, intersections and down-hole gamma survey results.
  • No major zones of rock weakness, i.e. no concerning geological structures, have been intersected. This is a positive result for the ongoing geotechnical specialist work, as it indicates conducive conditions for pit slope optimization and overall mine design.

Table 1: Highlights reported from the completed 2023 drill campaign, minimum width of 5m and cutoff of 50 ppm U3O8

BHID FROM
m		 TO
m		 LENGTH
m		 U3O8
ppm		 FROM
m		 TO
m		 LENGTH
m		 U3O8
ppm
VA23GT001 23 29 6 108
VA23GT001 40 47 7 189
VA23GT001 77 82 5 66
VA23GT001 95 101 6 140
VA23GT002 38 77 39 106
VA23GT002 105.3 149 43.7 152 including 104 124.1 20.1 334
VA23GT004 1 103.2 102.2 164 including 73 103.2 30.2 216
VA23GT005 22 41 19 92
VA23GT005 51 63 12 218
VA23GT005 89 94 5 123
VA23GT005 101 106 5 114
VA23GT005 116.2 129 12.8 122
VA23GT005 141.8 147.11 5.31 241
VA23GT005 229.13 239 9.87 236
VA23GT005 244.77 272 27.23 184
VA23GT006 65 81 16 136
VA23GT006 100 105 5 143
VA23GT007 18 26 8 194
VA23GT007 33 38 5 194
VA23GT007 189 195 6 213
VA23PQ04 30 37.5 7.5 229
VA23PQ04 54 59 5 181
VA23PQ05 3.96 81.3 77.34 439 including 36 77.9 41.9 683
VA23RE001 50 100 50 90
VA23RE001 114 119 5 215
VA23RE001 128.73 178 49.27 201 including 142 169.05 27.05 275
VA23RE001 190 237 47 253 including 202.37 225 22.63 371
VA23RE001 302.75 414 111.25 134 including 322.88 345.24 22.36 331
VA23RE002 1 21 20 105
VA23RE002 95 124.1 29.1 271 including 104 124.1 20.1 334
VA23RE002 129.7 152 22.3 376 including 129.7 140.8 11.1 673
VA23RE002 160 180 20 162
VA23RE002 244 251.2 7.2 158
VA23RE002 258 268 10 171
VA23RE002 275 288 13 139

Geological context:

  • Boreholes GT-01 to GT-07 were drilled from within the planned Valencia Main mine pit, angled and directed away from the centre of the 2015 pit shell to investigate the ground conditions for the pit slope design.
  • Two boreholes, RE-01 and RE-02, were strategically positioned to confirm mineralization from the 2015 FS Mineral Resource Estimate at Valencia in a geologically unique zone.
  • Holes PQ-01 to PQ-05 were drilled at Valencia for a total of 285.31 m, providing approximately 3 tons of sample for metallurgical testing.

Table-2 below lists borehole intersections with minimum intersections of 50ppm U3O8 over 5m:

Table 2: 2023 drill campaign: drill type, assay, composites, downhole gamma survey

BHID X Y Z FROM TO LENGTH EOH RC CORE Gamma U Th U3O8
UTM UTM m amsl m m m m m m cps ppm ppm ppm
VA23GT001 523609 7528504 716.505 0 23 23 222 – 222 – – – 0
VA23GT001 523602 7528501 703.981 23 29 6 222 – 222 722 92 – 108
VA23GT001 523598 7528499 696.608 29 40 11 222 – 222 308 – – 0
VA23GT001 523594 7528498 688.796 40 47 7 222 – 222 702 160 – 189
VA23GT001 523586 7528494 672.673 47 77 30 222 – 222 235 – – 0
VA23GT001 523578 7528490 657.402 77 82 5 222 – 222 761 55 – 66
VA23GT001 523574 7528489 649.543 82 95 13 222 – 222 204 – – 0
VA23GT001 523570 7528487 641.25 95 101 6 222 – 222 – 119 – 140
VA23GT001 523541 7528475 585.825 101 222 121 222 – 222 – – – 0
VA23GT002 523526 7528889 697.146 0 38 38 203.8 102 100 108 – – 0
VA23GT002 523518 7528896 660.245 38 77 39 203.8 102 100 495 90 – 106
VA23GT002 523510 7528904 628.372 77 105.3 28.3 203.8 102 100 201 – – 2
VA23GT002 523502 7528914 594.818 105.3 149 43.7 203.8 102 100 744 129 36 152
VA23GT002 523496 7528926 561.152 149 177.95 28.95 203.8 102 100 214 – – 1
VA23GT002 523491 7528936 533.545 184 202.8 18.8 203.8 102 100 216 – – 0
VA23GT003 523841 7529328 692.427 0 102 102 102 102 – – – – 0
VA23GT003 523861 7529274 633.213 0 227.28 227.28 227.28 – 225 186 – – 0
VA23GT004 524440 7529153 734.567 0 1 1 152.26 50.26 102 – – – 0
VA23GT004 524467 7529148 690.761 1 103.2 102.2 152.26 50.26 102 1134 139 – 164
VA23GT004 524507 7529140 627.146 103.2 152.26 49.06 152.26 50.26 102 150 – – 1
VA23GT005 524189 7528751 729.233 0 22 22 275.47 102 173 – – – 0
VA23GT005 524187 7528755 709.298 22 41 19 275.47 102 173 421 78 – 92
VA23GT005 524185 7528759 695.341 41 51 10 275.47 102 173 265 – – 0
VA23GT005 524184 7528762 684.832 51 63 12 275.47 102 173 1185 185 – 218
VA23GT005 524181 7528767 667.017 63 89 26 275.47 102 173 252 – – 0
VA23GT005 524178 7528773 652.66 89 94 5 275.47 102 173 496 104 – 123
VA23GT005 524177 7528775 647.267 94 101 7 275.47 102 173 178 – – 0
VA23GT005 524176 7528777 641.914 101 106 5 275.47 102 173 574 – – 114
VA23GT005 524174 7528781 635.168 106 116.2 10.2 275.47 102 173 162 – – 0
VA23GT005 524172 7528786 624.989 116.2 129 12.8 275.47 102 173 653 – – 122
VA23GT005 524170 7528791 613.699 129 141.8 12.8 275.47 102 173 277 – – 9
VA23GT005 524168 7528795 605.732 141.8 147.11 5.31 275.47 102 173 1282 205 7 241
VA23GT005 524159 7528815 567.876 147.11 229.13 82.02 275.47 102 173 180 – – 0
VA23GT005 524150 7528836 528.09 229.13 239 9.87 275.47 102 173 1394 200 25 236
VA23GT005 524148 7528840 521.336 239 244.77 5.77 275.47 102 173 142 – – 0
VA23GT005 524145 7528847 507.084 244.77 272 27.23 275.47 102 173 977 156 51 184
VA23GT005 524142 7528854 493.825 272 275.47 3.47 275.47 102 173 – – – 0
VA23GT006 523928 7528337 693.644 0 65 65 225.14 100 125 251 – – 0
VA23GT006 523936 7528330 654.546 65 81 16 225.14 100 125 504 115 – 136
VA23GT006 523940 7528328 637.595 81 100 19 225.14 100 125 312 – – 0
VA23GT006 523943 7528327 625.965 100 105 5 225.14 100 125 734 121 28 143
VA23GT006 523957 7528323 566.26 105 223.14 118.14 225.14 100 125 242 – – 0
VA23GT007 524262 7529312 734.236 0 18 18 275.35 102 168 – – – 0
VA23GT007 524257 7529316 723.059 18 26 8 275.35 102 168 1141 164 – 194
VA23GT007 524254 7529318 716.725 26 33 7 275.35 102 168 350 – – 0
VA23GT007 524251 7529320 711.742 33 38 5 275.35 102 168 515 165 – 194
VA23GT007 524217 7529357 652.171 38 189 151 275.35 102 168 281 – – 0
VA23GT007 524182 7529394 592.48 189 195 6 275.35 102 168 773 180 5 213
VA23GT007 524162 7529417 561.769 195 275.35 80.35 275.35 102 168 – – – 0
VA23PQ01 523762 7528744 688.025 0 59.95 59.95 60 – 59.95 892 – – 0
VA23PQ02 523714 7529040 709.151 0 23.7 23.7 23.7 – 23.7 – – – 0
VA23PQ03 523869 7529019 702.407 0 61.27 61.27 60.27 – 60.27 – – – 0
VA23PQ04 523745 7529037 702.033 0 30 30 59 – 59 291 – – 0
VA23PQ04 523744 7529037 683.329 30 37.5 7.5 59 – 59 1230 194 46 229
VA23PQ04 523743 7529038 671.361 37.5 54 16.5 59 – 59 258 – – 0
VA23PQ04 523743 7529038 660.637 54 59 5 59 – 59 1019 – – 181
VA23PQ05 523722 7528668 721.02 0 3.96 3.96 80 – 80 – – – 0
VA23PQ05 523722 7528668 680.372 3.96 81.3 77.34 80 – 80 3138 372 48 439
VA23RE001 524309 7528910 724.265 0 50 50 419.72 102 318 512 – – 0
VA23RE001 524286 7528933 686.478 50 100 50 419.72 102 318 375 76 – 90
VA23RE001 524270 7528949 663.893 100 114 14 419.72 102 318 121 – – 5
VA23RE001 524265 7528954 657.753 114 119 5 419.72 102 318 1319 190 – 215
VA23RE001 524261 7528958 653.019 119 128.73 9.73 419.72 102 318 85 – – 0
VA23RE001 524244 7528974 634.211 128.73 178 49.27 419.72 102 318 1266 – – 201
VA23RE001 524227 7528991 614.788 178 190 12 419.72 102 318 156 – – 0
VA23RE001 524210 7529007 596.799 190 237 47 419.72 102 318 1892 215 – 253
VA23RE001 524178 7529038 563.102 237 302.75 65.75 419.72 102 318 83 – – 1
VA23RE001 524127 7529089 511.66 302.75 414 111.25 419.72 102 318 – – – 134
VA23RE001 524093 7529123 478.027 414 419.72 5.72 419.72 102 318 2 39 – 47
VA23RE002 524153 7529118 748.623 0 1 1 296.21 102 153 – – – 0
VA23RE002 524159 7529114 740.728 1 21 20 296.21 102 153 671 89 – 105
VA23RE002 524186 7529096 706.86 21 95 74 296.21 102 153 107 15 – 18
VA23RE002 524217 7529075 670.879 95 124.1 29.1 296.21 102 153 1980 229 – 271
VA23RE002 524228 7529068 659.428 124.1 129.7 5.6 296.21 102 153 330 15 – 17
VA23RE002 524237 7529063 650.437 129.7 152 22.3 296.21 102 153 2767 318 – 376
VA23RE002 524247 7529057 640.726 152 160 8 296.21 102 153 200 – – 0
VA23RE002 524256 7529051 631.919 160 180 20 296.21 102 153 1046 137 – 162
VA23RE002 524285 7529034 606.377 180 244 64 296.21 102 153 130 – – 0
VA23RE002 524309 7529019 585.009 244 251.2 7.2 296.21 102 153 1021 134 – 158
VA23RE002 524314 7529016 580.956 251.2 258 6.8 296.21 102 153 613 – – 12
VA23RE002 524319 7529012 576.141 258 268 10 296.21 102 153 1370 145 – 171
VA23RE002 524325 7529008 571.309 268 275 7 296.21 102 153 380 – – 0
VA23RE002 524332 7529004 565.685 275 288 13 296.21 102 153 786 118 – 139
VA23RE002 524339 7528999 559.753 288 296.21 8.21 296.21 102 153 – – – 0

Table 3: Below lists the holes planned for RC drilling. A diamond drill rig is available for extension of the RC drill section, as required by the ground conditions.

BHID Rig / Ranking X COLLAR Y COLLAR Z COLLAR EOH BRG DIP
    UTM UTM m m degree degree
VA24-01 VA_West 523370 7528883 724 150 330 60
VA24-02 VA_West 523303 7528855 725 132 330 60
VA24-03 VA_West 523165 7528783 729 126 330 60
VA24-04 VA_West 523178 7528750 721 150 330 60
VA24-05 VA_West 523100 7528754 731 144 330 60
VA24-06 VA_West 523113 7528729 726 180 330 70
VA24-07 VA_West 522990 7528722 735 98 330 60
VA24-08 VA_West 523015 7528674 727 132 330 60
VA24-09 VA_West 522912 7528692 735 168 330 60
VA24-10 VA_West 522818 7528684 736 120 330 60
Exp13 VA_West 522738 7528660 741 98 330 60
Exp14 VA_West 522763 7528616 734 172 330 60
Exp15 VA_West 523439 7528939 730 138 340 60
Exp04 VA_West 523139 7528852 743 84 330 61
Exp07 VA_West 523066 7528822 743 72 330 60
Exp10 VA_West 522885 7528741 750 120 330 60
Exp08 VA_West 523411 7528974 724 78 330 60
Exp17 VA_West 523493 7528994 721 98 330 60
Jolie01 Jolie 523883 7529918 680 120 330 60
Jolie02 Jolie 523917 7530008 694 66 330 60
Jolie03 Jolie 524046 7529973 705 150 330 60
VA_S_1 VA_South 523716 7528300 725 260 270 60
VA_S_2 VA_South 523796 7528300 725 300 270 60
VA_S_3 VA_South 523876 7528300 725 360 270 60
VA_S_4 VA_South 523956 7528300 725 380 270 60
VA_S_5 VA_South 523723 7528500 725 260 270 60
VA_S_6 VA_South 523796 7528500 735 320 270 60
VA_S_7 VA_South 523876 7528489 725 380 270 60
VA_S_8 VA_South 523956 7528500 732 380 270 60
Total metres: 5,236

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.

The copper mining industry plays a crucial role in the global economy, with South America being a significant contributor to the world’s copper supply. As the demand for copper continues to grow, driven by the increasing need for renewable energy and electric vehicles, exploration projects in this region have gained momentum along with some of the biggest investment interest in the past few years . In 2024, there are a few important companies actively engaged in copper exploration across various countries in South America, with promising results and future prospects.

Freeport McMoRan in Peru

Freeport McMoRan, a leading copper producer, operates the Cerro Verde copper mine in Peru. However, the company is projected to face challenges in 2024, with sales volumes expected to decrease to 1.13Blb (512,559t) of copper, compared to 1.20Blb sold in 2023. This decline is attributed to lower grades at Cerro Verde and mill recoveries falling below those in the same period of 2022. Despite these challenges, Freeport McMoRan remains committed to its operations in Peru and continues to explore opportunities for growth and optimization.

Lundin Mining Corporation: Consistent Performance and Expansion

Lundin Mining Corporation has demonstrated consistent performance in its copper exploration and production activities across South America. In the second quarter of 2023, the company produced 10,697 tonnes of copper and approximately 13,000 ounces of gold in concentrate. The Chapada mine in Brazil, one of Lundin’s key assets, achieved higher recoveries, resulting in increased copper production compared to the prior year quarter.

Looking at Lundin’s historical performance, the company produced 249,659 tonnes of copper on a consolidated basis in 2022, which was within the guidance range of 250,000 to 274,000 tonnes. In 2023, Lundin Mining achieved a record consolidated copper production of 314,798 tonnes, surpassing the guidance range of 300,000 to 320,000 tonnes.

For the three-year period from 2024 through 2026, Lundin Mining has provided production guidance for copper, with a range of 366,000 to 400,000 tonnes. This guidance is largely in line with the company’s 2023 production guidance, indicating a likely stable outlook for Lundin’s copper exploration and production.

Solaris Resources: Strategic Investments and Resource Expansion

Solaris Resources (TSX:SLS) (OTCQB:SLSSF) has proven itself as one of the most important exploration companies in South America over the past few years, with significant developments at its Warintza Project in Ecuador. The company is preparing for a major mineral resource estimate update, expected in late Q2 2024, which will leverage extensive drilling data to potentially enhance resource size and grade at Warintza Central, East, and Southeast.

In a strategic move, Solaris also announced plans to list its common shares on the NYSE American stock exchange, securing funding for exploration and development programs in 2024 and 2025. Additionally, the company received a significant investment from Zijin Mining, a major Chinese company, which provided crucial capital for ongoing activities at the Warintza Project and highlighted the project’s potential.

Zijin Mining’s investment, announced on January 11, 2024, involves the purchase of approximately 28,481,289 common shares of Solaris Resources at a subscription price of $4.55 per share, representing a 14% premium to the closing price of the common shares on the Toronto Stock Exchange (TSX) on January 10, 2024. Upon closing of the investment, Zijin Mining will own approximately 15% of the common shares on a fully diluted basis.

The investment from Zijin Mining is expected to be used by Solaris Resources to advance and develop the Warintza copper project primarily. This strategic partnership provides financial security for Solaris Resources and the expertise and growth potential of Zijin Mining, one of the most successful major mining companies in the world.

Solaris Resources continues active drilling with six rigs, focusing on resource expansion, infill drilling, and exploration beyond the current resource zones\[2\].

Copper exploration in South America remains strng in 2024, with companies like Freeport McMoRan, Lundin Mining Corporation, and Solaris Resources actively engaged in resource expansion, strategic partnerships, and sustainable operations. As the demand for copper continues to grow, driven by the global shift towards renewable energy and electric vehicles, these projects will be watched ever more closely for major announcements.

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.

 

Figure 1: Upper Antino plan map centred on the Froyo Gold Zone. Cross-section line A-A’ corresponds to Figure 2. C

Founders Metals (TSXV:FDR) has released drill core assay results from its ongoing 2024 drill program at the Antino Gold Project located in southeastern Suriname. The company’s latest drillhole, 24GG04, situated in the northwestern-most part of the Froyo target area, has yielded a significant gold intercept.

Colin Padget, Founders Metals CEO commented in a press release: “Today’s results are some of the best we’ve seen at Antino, and are yet another example of the exceedingly high-grade, near surface gold mineralization at Froyo. Additionally, we have submitted samples for metallic screening to determine gold concentrations using a much larger sample volume. This method can capture coarser gold than fire assay. We expect the result soon. We are also pleased to report that our primary assay lab in Paramaribo has renewed its commitment of two-to-three-week turnaround times on assays. Though assays have often come back much faster, we recognize that with additional drilling, more surface sampling, targeted multi-element geochemistry, and metallic screening of select drill core, we can more reasonably expect two-to-three-week timelines.”

According to the assay results, drillhole 24GG04 intersected 38.0 metres grading 10.90 grams per tonne (g/t) gold (Au). This interval, which contains previously released gold vein photos from the company’s March 4th release, is considered one of the best gold intercepts at the Antino project, with a grade-thickness product of over 410 gram-metres per tonne (gm/t).

The presence of coarse gold in the samples has prompted the company to resubmit them for metallic screening, a process designed to more accurately determine the gold content in samples containing coarse or nuggety gold.

Founders Metals is currently conducting a fully-funded drill program at the Antino Gold Project, which aims to further delineate the extent and grade of the gold mineralization within the project area. The company’s exploration efforts are focused on the Froyo target area, where previous drilling has identified significant gold mineralization.

Figure 2: A-A’ Cross-section through latest Froyo Gold Zone drill results. Source: Founders Metals

The Antino Gold Project is located in southeastern Suriname, a region known for its gold mining potential. Suriname, a small country on the northern coast of South America, has seen increased interest from mining companies in recent years due to its favorable geology and relatively underexplored nature.

As the 2024 drill program at the Antino Gold Project continues, the company is expected to release further assay results and updates on its exploration activities. The high-grade gold intercept from drillhole 24GG04 underscores the potential for significant gold mineralization within the project area and may encourage additional exploration and investment in the region.

Highlights from the results are as follows:

  • Hole 24GG04 intercepts 38.0 m of 10.90 g/t Au from 149.0 m down hole, with metallic screening results pending (Table 1, Figures 1&2)
  • Results are from Founders’ furthest northwest drilling at the Froyo Gold Zone
  • Gold mineralization remains open toward high-grade historical auger sampling results

Table 1: Drilling Results and Highlights. Results shown for ADH071 are historical.

Hole ID From (m) To(m) Core Length* (m) Au (g/t)
24GG03 128.00 137.00 9.00 1.58
24GG04 134.00 139.00 5.00 1.8
and 149.00 187.00 38.00 10.9
ADH071 53.50 55.00 1.50 25.01
and 63.50 75.50 12.00 4.99

*Intervals are core length and estimated to represent 85% or more of true width based on current drill data

 

 

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.
Figure 1: Geological map of the Normétal Volcanic Complex, with the location of the Perron Property and the QF Zone. Modified from Lafrance et al., 2000. Source: Amex Exploration

Amex Exploration (TSXV:AMX) has announced assay results from a metallurgical hole drilled down dip in the QF Zone at its 100% owned Perron Gold Project in Quebec. The hole reported 3.43% Copper, 34.00 g/t Silver, 1.80% Zinc, and 0.30 g/t Gold over 20.80 m, with a secondary mineralized lens also returning 1.19% Copper, 7.44 g/t Silver, 0.15% Zinc, and 0.11 g/t Gold over 15.70 m.

Jacques Trottier, Chairman of the Board of Amex Exploration, commented in a press release: “While we do not plan to include the QF Zone in our upcoming resource, the metallurgy is still very important to us as this zone represents additional upside to the project. We have only just begun to define this target which is looking very similar to the past-producing Normétal Mine. The main important difference between our deposit and the historical mine, is that our system is more copper-rich rather than more zinc-rich.”

The QF Zone, a recent discovery by Amex, is a volcanic massive sulfide (VMS) body situated approximately 200 m northeast of the Team Gold Zone and 5 km from the past-producing Normétal Mine. The Normétal Mine, which lies within the same geological unit as the QF Zone, produced over 10.1 Mt of 2.24% Cu, 5.41% Zn, 0.53 g/t Au, and 44.45 g/t Ag during its operational history.

Assay results for the metallurgical hole were obtained from ALS Laboratories in Val d’Or, and metallurgical test work on the composites is set to begin, with results expected in the coming months.

The Perron Gold Project, located approximately 110 kilometres north of Rouyn-Noranda, Quebec, consists of 117 contiguous claims covering 4,518 hectares. The project is well-serviced by existing infrastructure, situated on a year-round road, 10 minutes from an airport, and just outside the town of Normétal (~8 km). Additionally, the project is in close proximity to several major gold producers’ milling operations.

Since January 2019, Amex Exploration Inc. has intersected significant gold mineralization in multiple gold zones and discovered copper-rich VMS zones at the Perron Project. The project hosts both bulk tonnage and high-grade gold style mineralization.

Figure 2: Geological map displaying the location the QF Zone along the Normétal Mine Sequence at Perron with the collar location of today’s drillhole. Source: Amex Exploration

The discovery of high-grade copper, silver, zinc, and gold mineralization at the QF Zone further highlights the potential of the Perron Project. The proximity of the project to the past-producing Normétal Mine and its location within the same geological unit suggests the possibility of similar mineralization and tonnage.

As Amex Exploration Inc. continues its exploration efforts at the Perron Project, the company aims to further delineate the extent and grade of the mineralization at the QF Zone and other prospects within the project area. The upcoming metallurgical test work results will provide valuable insights into the recoverability and processing characteristics of the mineralization encountered in the QF Zone.

The Perron Project’s location, with its access to existing infrastructure and proximity to major gold producers’ milling operations, positions Amex Exploration Inc. well for potential future development should the exploration results continue to be favorable.

Highlights from the results are as follows:

Table 1: Assay results of today’s released metallurgy hole from the QF Zone at Perron

Hole ID From
(m)		 To
(m)		 Core
length
(m)		 Cu
(%)		 Zn
(%)		 Au
(g/t)		 Ag
(g/t)		 Vertical
depth
(m)
PEX-23-189W1 585.20 606.00 20.80 3.43 1.80 0.30 34.00 ~575
Including 585.20 588.55 3.35 3.57 8.06 0.30 45.78
Including 591.00 595.15 4.15 3.45 0.52 0.20 30.72
Including 597.85 599.30 1.45 4.82 0.52 0.55 56.26
Including 601.00 603.75 2.75 6.92 0.42 0.60 62.77
And 625.40 641.10 15.70 1.19 0.15 0.11 7.44 ~610
Including 627.60 640.20 12.60 1.27 0.16 0.12 7.93
Including 631.90 638.15 6.25 1.76 0.23 0.15 10.25
Including 633.45 638.15 4.70 0.89 0.18 0.10 5.15
Including 639.00 640.20 1.20 0.14 0.08 0.02 1.00

Table 2: Collar details of today’s released hole from the QF Zone at Perron

Hole Id Azimuth
(°)		 Dip
(°)		 Start
(m)		 End
(m)		 Length
(m)		 Easting
(m)		 Northing
(m)		 Elevation
(m)
PEX-23-189W1 325 -80 401 705 304 615682 5430884 354

 

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.
Source: Azincourt Energy

Azincourt Energy (TSXV:AAZ) has announced the mobilization for its winter drill program at the East Preston uranium project located in the Athabasca Basin, Saskatchewan, Canada.

VP Exploration, Trevor Perkins, commented in a press release: “Following up the clay alteration in the K- and H- Zones is a high priority. This alteration is what would be expected where a uranium deposit is present. This area between the K- and H zones is a zone we need to drill test further, and all indications are that we are vectoring in on something. A significant number of deposits in the Athabasca Basin have been found by identifying and chasing these types of alteration patterns.”

The program will involve up to 1,500 meters of drilling in a maximum of five diamond drill holes. The primary focus will be on the area between the K and H Zones, where clay alteration with elevated uranium was identified in 2023. This area is considered a high priority due to its resemblance to alteration zones typically found near uranium deposits.

The program will utilize a helicopter-supported drill rig and a local contractor camp to minimize environmental impact. Drilling is expected to begin by the end of March and be completed by mid-April. The budget for the program is estimated between $1.5 million and $2 million.

The main target areas on the East Preston project are two conductive corridors: the A-G Trend and the K-H-Q Trend. These selections are based on various geophysical surveys and drilling programs conducted between 2018 and 2022.

Previous drilling confirmed that these conductors are zones with structural disruptions containing graphite, sulphides, and carbonates. Additionally, these zones exhibit signs of hydrothermal alteration, anomalous radioactivity, and elevated uranium levels.

Azincourt has also obtained permits for exploration activities at East Preston until summer 2026. The company acknowledges the importance of consulting with local communities and aims to maintain a close working relationship with relevant groups. They emphasize addressing potential impacts and concerns while ensuring the communities benefit through local business involvement, employment opportunities, and community program support.

Local businesses have already been engaged to provide services and supplies, and members of the Clearwater River Dene Nation and surrounding communities have been employed on site. Azincourt views community involvement as crucial for the project’s advancement.

Source: Azincourt Energy

Azincourt holds a majority 86.1% interest in the East Preston project, which covers over 20,000 hectares. The property features three prospective conductive corridors with a total length exceeding 25 kilometers. Ground exploration identified anomalies in outcrops, soil, biogeochemical samples, and radon levels, all considered significant indicators for unconformity uranium deposits.

The East Preston project exhibits characteristics similar to known uranium deposits in the region, including long linear conductors and structural complexities. The project ground is situated along a trend parallel to established uranium deposits.

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.
Figure – Drill Hole Plan. Source: Mako Mining

Mako Mining (TSXV:MKO) has provided an update on the ongoing reverse circulation (RC) drill program at its Las Conchitas mining area, located south of the company’s San Albino gold mine, which is currently in commercial production. Since the most recent mineral resource estimate (MRE) at the San Albino Project was defined in December 2023, Mako has completed 9,951 m in 176 RC drill holes as part of the resource expansion drill program.

Akiba Leisman, CEO of Mako Mining, commented in a press release: “this is another spectacular result from our exploration team. This exceptionally wide and high-grade intercept outside of our current MRE, is another clear example of the expansion potential of our current resource. We have been mining this area at Las Conchitas since last November. Therefore, this result will likely be turned into cash flow over the course of the next two years through normal mining operations. When we began mining the San Albino project over 4 years ago, the intent was to use the cash flow generated from the plant to reinvest in exploration without the need for any outside capital beyond what it would take to commission the mine. The Company has not raised equity since July of 2020, nor has it required any net capital since the commissioning of the plant. Now that the Company has significant cash flow, with a pristine balance sheet, and hundreds of exploration targets across our 188 square kilometer land package, we will be taking advantage of the new bull market in gold to grow our company significantly.”

The drilling campaign focused on gaining a higher level of confidence in the grade and geometry of gold mineralization within six areas of interest where the Company has received a permit to process material through the San Albino plant. The drilling also aimed to identify gold mineralization for potential resource expansion beyond the current MRE.

The 2024 drilling has successfully identified potential extensions of the El Limon and Mango mineralized structures. Drill hole LC24-RC282 intersected one of the widest, high-grade zones reported to date, located outside of the current MRE. The 9.0 m interval (ETW) assayed 13.43 g/t Au and 36.8 g/t Ag, starting at 57m from surface. This drill hole is situated between two other drill holes, LC22-475 and LC19-101, which also intersected high-grade intervals.

At the El Limon zone, drill hole LC24-RC276 intersected a 2.0m wide (ETW) interval containing 9.65 g/t Au and 11.8 g/t Ag at 42.0m vertical depth, confirming a 31m SW strike extension of high-grade mineralization previously intersected by drill hole LC22-467.

Recent drilling in the Mango zone supports the potential for additional, high grade, low strip ratio, mineral resources. Drill hole LC24-RC283 intersected the Mango 2 zone, grading 7.30 g/t Au and 14.9 g/t Ag over 1.0 m (ETW), at 97m vertical depth and outside the current open pit resource in the MRE. This high-grade intercept represents a significant down dip extension from previous drill holes LC20-149 and LC20-148.

The drill results from Las Conchitas confirm the potential for resource expansion beyond the Company’s current MRE and have the potential to extend the current resource base and mine life. Mako’s exploration team continues to advance drilling in the area with the goal of identifying further extensions of the mineralized zones, while the mining team has begun plans to expand the pit in the high-grade areas.

Highlights from the results are as follows: 

  • Results of 12 RC drill holes, completed in 2024, in the southern portion of Las Conchitas (“LC-S”), together with prior results drilled since the MRE, support the potential to expand the high-grade, gold mineralization within the currently defined open pits as well as potential extensions outside of the current MRE. The Mango intercept below is one of the widest mineralized, shallow, high-grade intervals reported to date.
    • 13.43 g/t Au and 36.8 g/t Ag over 9.0 m (Estimated True Width – ETW) – Mango vein
    • 9.65 g/t Au and 11.8 g/t Ag over 2.0 m (ETW) – El Limon vein
    • 7.30 g/t Au and 14.9 g/t Ag over 1.0 m (ETW) – Mango 2 vein

Table – Assay Results Reported in This Press Release

Note: The mineralized intervals shown above utilize a 1.0 g/t gold cut-off grade with not more than 1.0 m of internal dilution. *Widths are reported as drill hole lengths. Unless otherwise stated, true width is estimated to be between 75% and 100% of the downhole width. In addition to the drill holes presented in the table above, the following drill holes returned only anomalous values: LC24-RC274 and LC24-RC280. In addition to the drill holes presented in the table above, the following drill holes returned no significant values: LC24-RC275, LC24-RC277 and LC24-RC278. Source: Mako Mining

 

 

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.

Gold seems to be everywhere these days. Point your TV remote, and a liquid crystal screen lights up with an infomercial pitching gold coins. Check the business channels, and you’ll find multiple panels discussing the pace of gold’s price acceleration, and its benefits as an inflation hedge in perilous times.

Surf the Web and you’ll see charts chronicling gold’s incredible rise from around $300 an ounce in the 1990s to over $2,000 today. Tune in to talk radio, and you’ll quickly notice that many of the most prominent sponsors are companies selling gold as a sound diversification option.

It’s truly a golden age, with retail investors, central banks and governments around the world swelling demand and bidding up prices.

In this 21st-century gold rush, everyone is looking for an anchor: something solid and tangible that will moor their money to a bedrock of timeless value.

Across the ages, gold has always been that anchor. Alchemists have tried to create it. Imperial powers have set out to plunder it. Royal families have hoarded and squandered it. The world’s oldest surviving currency, gold will always be synonymous with value.

Currencies may come and go, but gold survives — and adapts. An example of its adaptability is the way some cryptocurrencies have attempted to link their digital value to gold.

Many investors in this cyber-investment sector have wondered: What is the basis of value for a cryptocurrency that is not backed by hard assets? At times it seems there’s only a handful of people in the financial industry — and perhaps in the world — who truly understand how value is conjured from the kaleidoscope of equations that create a single bitcoin. To skeptics, it seems like a high-tech magic trick, in which the coin that you thought was in your pocket finds its way into the palm of an illusionist. A Dogecoin or Ethereum token backed by gold seems less ephemeral, and certainly more reassuring.

Similarly, retirement accounts have increasingly sought to offer the stability and security inherent in gold. Companies such as Los-Angeles-based Fisher Capital Group specialize in establishing self directed IRAs that allow customers to add precious metals to a retirement account, and to periodically adjust the amount of gold or silver held within that IRA. This has been particularly attractive to seniors on fixed incomes, many of whom spent a lifetime saving for retirement, only to see inflation erode their portfolios at the very moment when they need to make regular withdrawals. 

Fisher Capital Group is a company that subscribes to traditional family values and supports conservative political views. This value set resonates with a large segment of the prime consumer demographic interested in owning gold within their investment portfolio. 

Celebrities are often spokespeople for investing in gold. Radio personalities Glenn Beck, Mark Levin and dozens of small- and medium-market broadcasters discuss the benefits of gold on their programs and endorse particular companies. Rising cable network Newsmax sometimes displays a split screen when covering political rallies, with a graphic advertising gold prominently posted on the right.

In the case of Fisher Capital Group, Roger Stone is a visible supporter, and the company is also an active participant in events hosted by Turning Point USA’s Charlie Kirk.

Politics has come a long way from the days of William Jennings Bryan, who as a presidential candidate in 1896 famously declared:

“If they dare to come out in the open field and defend the gold standard as a good thing, we shall fight them to the uttermost, having behind us the producing masses of the nation and the world. Having behind us the commercial interests and the laboring interests and all the toiling masses, we shall answer their demands for a gold standard by saying to them, you shall not press down upon the brow of labor this crown of thorns. You shall not crucify mankind upon a cross of gold.”

The precious metal wasn’t even slightly dented by the white-hot rhetoric. History records that William Jennings Bryan lost — three times — and that gold triumphantly endured as a cornerstone of stable money, prudent business decisions, and sound policymaking.  

 

 

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.

Source: Galway Metals

Galway Metals (TSXV:GWM) has announced the results of its diamond drilling program at the Southwest Deposit, part of the company’s 100%-owned Clarence Stream gold project in New Brunswick, Canada. The drilling program has successfully extended high-grade gold mineralization and confirmed the potential for further expansion of the Southwest, South, and North Deposits, which remain open in all directions. The Clarence Stream gold project is believed to have district-scale potential with an exploration strike length of approximately 65 kilometres.

The drill holes reported are located within the Southwest Deposit, which straddles the Sorrel Ridge Granite near the brittle-ductile Sawyer Brook Fault Zone. Holes BL-251 and BL-252 were drilled to test the down dip expansion of high-grade gold mineralization and intersected visible gold within sericite altered quartz veining. These holes extended the deposit 106 metres from previous high-grade intercepts (BL-72 and BL-87). Holes BL-249, BL-250, and BL-253 through BL-258 tested up-dip extensions to bring gold mineralization to the surface, which was confirmed by the assay results. The intercepts highlighted were all outside the area included in the 2022 Mineral Resource Estimate.

Rob Hinchcliffe, President and CEO of Galway, commented in a press release: “We are excited about these new results from the Southwest Deposit because they demonstrate good gold continuity. More specifically we are seeing extensions of mineralization at surface and at depth including a high-grade intercept extending the Southwest Deposit 106 metres with spectacular visible gold (Link to figure 1). With gold prices trading close to an all-time high we remain bullish on the Company’s 2024 outlook”.

The results suggest a strong potential for additional gold discoveries along the boundaries with felsic intrusions and in structures parallel to the Sawyer Brook Fault at the Clarence Stream gold project. Galway Metals acknowledged the financial support from the New Brunswick Junior Mining Assistance Program, which partially funded the drilling of the Southwest Deposit.

Source: Galway Metals

The Clarence Stream deposits are characterized as intrusion-related, structurally-controlled, quartz-vein hosted gold deposits. These deposits consist of quartz veins and quartz stockwork within brittle-ductile fault zones that include adjacent crushed, altered wall rocks and veinlet material. The mineralized systems are hosted in intrusive and metasedimentary rocks within high strain zones controlled by regional fault systems. Pyrite, base metal sulphides, and stibnite occur in these deposits along with anomalous concentrations of bismuth, arsenic, antimony, and tungsten. Alteration in the host rocks is confined within a few metres of quartz veins and occurs mainly in the form of sericitization and chloritization.

As Galway Metals continues its exploration efforts at the Clarence Stream gold project, the company remains optimistic about the potential for further discoveries and the expansion of the existing deposits. The successful drilling program at the Southwest Deposit highlights the project’s potential and reinforces the company’s commitment to developing the Clarence Stream gold project.

Highlights from the results are as follows:

Extended Mineralization at Depth

  • BL-251 intersected 114.1 g/t gold over 2 metres including 447.0 g/t gold over 0.5 metres
    • Extending mineralization 106 metres at depth from previously released high-grade intercepts of 44.1 g/t gold over 9.5 metres (BL-87) and 20.7 g/t gold over 9.45 metres (BL-72)
  • BL-252 intersected 7.43 g/t gold over 6 metres including 20.95 g/t gold over 1.0 metre and 3.08 g/t gold over 7.5 metres

Extended Mineralization to Surface

  • BL-253 intersected 0.94 g/t gold over 6.5 metres beginning 12.7 vertical metres from the surface
  • BL-249 intersected 0.53 g/t gold over 10 metres beginning at 19 vertical meters from the surface

Two Additional Areas were Explored to Test

  • The down-dip and western extensions of the Southwest Deposit
  • Hole BL-220 intersected 0.84 g/t gold over 21 metres and 0.79 g/t gold over 6 metres, confirming gold mineralization below the known resource
  • Hole BL-202 intersected 2.23 g/t gold over 1.0 metre, which is over 1 kilometre SW of the Southwest Deposit.
  • Gold in soil anomalies on the western side of the Sorrel Ridge granite. Sediments on the southeastern side of the Sorrell Ridge granite host the Southwest Deposit where gold zones are parallel to the granite contact
    • Hole PL-01 intersected 2.39 g/t gold over 0.8 metres

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.

Source: Cartier Resources Inc.

Cartier Resources (TSXV:ECR) has announced the results of its ongoing drilling program at the Chimo Mine Project, located 45 km east of the Val-d’Or mining camp. The project, which comprises the Chimo Mine and East Cadillac properties, is 100% owned by Cartier. The company began exploring the East Cadillac property, acquired on April 7, 2022, in 2024.

Philippe Cloutier, President and Chief Executive Officer, commented in a press release: “This third set of high-grade results from the VG Structure since August 2023 puts us on track to start a new drilling phase on the VG Zone to further increase its size and continue the search for other gold zones along the prospective 15 km strike of the project.”

The drilling program yielded high-grade gold intersections in the VG Zone at depths of 35 and 45 meters. The company also reported high gold grades 275 meters to the west and 550 meters to the east of the VG Zone, defining the VG Structure along a strike length of 850 meters.

The Chimo Mine Project has shown promising results, with a positive Preliminary Economic Assessment (PEA) indicating an after-tax Net Present Value (NPV) of CA$388 million at a 5% discount rate and an Internal Rate of Return (IRR) of 21%. The project also has a Mineral Resource Estimate (MRE) of 720,000 ounces of gold in Indicated Resources and 1,633,000 ounces of gold in Inferred Resources.

The company’s projects are located in Quebec, which is consistently ranked among the world’s best mining jurisdictions. Cartier is actively advancing the development of its flagship Chimo Mine Project while also exploring its other projects. The company has a solid cash position of $4.2 million and significant corporate and institutional support, including investments from Agnico Eagle Mines, O3 Mining, and provincial investment funds.

As Cartier Resources Inc. continues its drilling program and exploration efforts at the Chimo Mine Project, the company aims to further delineate the gold mineralization and advance the project towards potential development.

Highlights from the results are as follows:
New results from the VG Zone:
    • 13.2 g/t Au / 2.3 m including 46.1 g/t Au / 0.5 m
    • 7.5 g/t Au / 2.0 m including 20.6 g/t Au / 0.5 m

Table 1: Details of the new results

Hole Coordinates
UTM (m)		 Azimuth (°)/
Plunge (°)		 From
(m)		 To
(m)		 Au
(g/t)		 Length
(m)		 Gold Zone Gold Structure
Location: West Nordeau Sector – Confirmation of the VG Gold Zone
CH24-97 333540/5319781/349 227/-79 47.0 49.3 13.2 2.3 VG VG
including 48.3 48.8 46.1 0.5
CH24-98 145/-58 40.5 42.5 7.5 2.0
including 41.0 41.5 20.6 0.5

The widths of the mineralized intersections are presented as downhole lengths.
The true widths of the mineralized intersections are estimated at 55% to 70% of the reported core length interval.

Table 2: Details of the historical results

Hole Coordinates
UTM (m)		 Azimuth (°)/
Plunge (°)		 From
(m)		 To
(m)		 Au
(g/t)		 Length
(m)		 Gold Zone Gold Structure
Location: West Nordeau Sector – Confirmation of the VG Gold Zone
CH23-93 333527/5319849/351 164/-45 97.7 100.7 15.7 3.0 VG VG
including 99.7 100.2 75.9 0.5
CH23-88 183/-47 93.0 94.0 14.2 1.0
CH23-92 166/-51 107.5 109.5 6.4 2.0
CH23-84 197/-68 118.5 119.3 10.7 0.8
NW08-12 333526/5319848/352 176/-77 132.7 133.3 18.8 0.6

The widths of the mineralized intersections are presented as downhole lengths.
The true widths of the mineralized intersections are estimated at 75% to 95% of the reported core length interval.

 

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.
Figure 1: Kingfisher prospect location; approximately one kilometer east of the Sunbird deposit. Source: Fortuna Silver Mines

Fortuna Silver Mines (TSX:FVI) released an update on its exploration programs at the Séguéla Mine in Côte d’Ivoire and the recently acquired Diamba Sud Gold Project in Senegal.

At the Séguéla Mine in Côte d’Ivoire, a 2,040-meter, 20-hole program was completed at the newly discovered Kingfisher prospect, identifying three lodes along a 1.9-kilometer strike, all of which remain open along strike and at depth. Notable results include drill hole SGRC1762 intersecting 2.9 g/t Au over an estimated true width of 19.6 meters from 106 meters downhole, and drill hole SGRC1763 intersecting 2.9 g/t Au over an estimated true width of 16.1 meters from 136 meters downhole. The Kingfisher prospect is hosted in a set of quartz veins along a moderately sheared contact between a series of basalt-dolerite units, which also hosts the Boulder and Agouti deposits, one and three kilometers, respectively, to the north, with a steep easterly dip consistent with the majority of other deposits at Séguéla. Additional drilling at Kingfisher is scheduled in the second quarter of 2024 to further test its strike and depth potential.

Paul Weedon, Senior Vice President of Exploration at Fortuna, commented in a press release: “Emphasizing the exploration potential at Séguéla, the team has continued their impressive run-rate of discoveries with the new Kingfisher prospect. This follows the Barana, Badior and Kestrel discoveries made during 2022 and 2023.” Mr. Weedon continued, “In addition to the exploration success at Kingfisher, drilling for Koula underground mining potential has resulted in several high-grade intersections. This includes 68.0 g/t Au over an estimated true width of 2.1 meters in SGRD1783, as part of a larger interval of 22.5 g/t Au over an estimated true width of 9.8 meters, highlighting the opportunity for underground mining. With the initial campaign of confirmatory drilling wrapping up at Area A and Area D, exploration focus is progressing towards testing the satellite opportunities. Early success at the Moungoundi, Western Splay, and Kassasoko satellite prospects highlight the potential of Diamba Sud.” Mr. Weedon continued, “In addition to improving the confidence at Area A, Area D, and Karakara, drilling intersected several mineralized zones extending beyond the historic pit optimization shells. These extensions will be incorporated into a resource model to be prepared later in 2024.”

A 3,106-meter, 12-hole program was also completed at the Koula deposit in December 2023. As part of the support for potential underground mining, the program was designed to infill and further improve the understanding of the structural controls on the central and hanging wall high-grade lodes. Results such as 22.5 g/t Au over an estimated true width of 9.8 meters from 208 meters downhole, including 68.0 g/t Au over an estimated true width of 2.1 meters from 215 meters downhole in drillhole SGRD1783, highlight the potential of Koula. Drilling continues to expand Koula’s underground potential and the further delineation of the hanging wall lodes.

At the Diamba Sud Gold Project in Senegal, the initial 10,945-meter, three-drill rig drilling program, which started on October 8, 2023, was extended into the 2024 budget of $9.2 million, consisting of a 42,700 meter RC and diamond drilling campaign. The current program has seen the completion of 181 drill holes totaling 23,170 meters since December 2023. The objectives of the 2024 drilling program are to conduct selected confirmatory drilling to improve resource confidence at Area A, Area D, and Karakara, drill to test for extensions to the existing historic resource in support of project development and advancing further economic studies, advance prospective areas such as Moungoundi, Kassasoko, Western Splay, Area A North, and others, and improve understanding of key geological controls including controlling structures, favorable lithologies, alteration, and secondary enrichment zones.

Figure 2: Kingfisher prospect long section (looking west). Source: Fortuna Silver Mines

Early-stage drilling returned encouraging results from Moungoundi, located approximately two to four kilometers south of Karakara. Hosted in a shear zone traversing a sediment/granite contact, Moungoundi remains open at depth where additional follow up drilling is planned in the second quarter of 2024. Results include 2.1 g/t Au over an estimated true width of 20.3 meters from 31 meters in drill hole DSR551, and 5.4 g/t Au over an estimated true width of 6.8 meters from 88 meters in drill hole DSR558. Encouraging results were also received from first pass drilling at Kassasoko, with highlights including 1.0 g/t Au over an estimated true width of 18.75 meters from 29 meters in drill hole DSR613 and 1.5 g/t Au over an estimated true width of 11.25 meters in drill hole DSR604. Similar results were also returned from first pass drilling at Western Splay, including 2.1 g/t Au over an estimated true width of 13.5 meters from drill hole DSR584, and 7.4 g/t Au over an estimated true width of 7.5 meters from drill hole DSR598.

Figure 3: Koula deposit long-section showing select recent results (looking west). Source: Fortuna Silver Mines

Highlights from the results are as follows:

Séguéla Mine, Côte d’Ivoire – Kingfisher prospect

SGRD1724: 5.2 g/t Au over an estimated true width of 8.4 meters from 98 meters, including
14.8 g/t Au over an estimated true width of 2.1 meters from 100 meters
SGRC1728: 1.9 g/t Au over an estimated true width of 17.5 meters from 41 meters
SGRC1762: 2.9 g/t Au over an estimated true width of 19.6 meters from 106 meters
SGRC1763: 2.9 g/t Au over an estimated true width of 16.1 meters from 136 meters
SGRC1764: 2.4 g/t Au over an estimated true width of 16.8 meters from 125 meters, including
19.2 g/t Au over an estimated true width of 1.4 meters from 147 meters

Koula deposit

SGRD1781: 20.3 g/t Au over an estimated true width of 2.1 meters from 110 meters
SGRD1783: 22.5 g/t Au over an estimated true width of 9.8 meters from 208 meters, including
68.0 g/t Au over an estimated true width of 2.1 meters from 215 meters, and
40.7 g/t Au over an estimated true width of 1.4 meters from 220 meters
SGRD1784: 4.9 g/t Au over an estimated true width of 7.7 meters from 268 meters, including
33.7 g/t Au over an estimated true width of 0.7 meters from 276 meters
SGRD1806: 11.6 g/t Au over an estimated true width of 2.8 meters from 36 meters

Diamba Sud Gold Project, Senegal – Area A

DSR515: 3.5 g/t Au over an estimated true width of 23.4 meters from 74 meters
DSDD140: 6.2 g/t Au over an estimated true width of 11.2 meters from 126.6 meters
Area D
DSDD163: 6.0 g/t Au over an estimated true width of 32.0 meters from 7 meters, including
39.4 g/t Au over an estimated true width of 2.2 meters from 31 meters
DSDD173: 3.5 g/t Au over an estimated true width of 44.8 meters from 8 meters
DSDD176: 4.4 g/t Au over an estimated true width of 15.6 meters from 36 meters, including
20.6 g/t Au over an estimated true width of 2.4 meters from 38 meters
DSDD196: 6.3 g/t Au over an estimated true width of 18.4 meters from 3 meters, including
20.9 g/t Au over an estimated true width of 1.6 meters from 16 meters
DSDD206: 4.6 g/t Au over an estimated true width of 19.0 meters from 48 meters, including
70.7 g/t Au over an estimated true width of 0.8 meters from 63 meters

Karakara
DSDD205: 2.0 g/t Au over an estimated true width of 6.8 meters from 20 meters, and
5.2 g/t Au over an estimated true width of 14.4 meters from 74 meters
DSDD207: 8.5 g/t Au over an estimated true width of 9 meters from 79 meters, including
36.2 g/t Au over an estimated true width of 1.5 meters from 80 meters
DSR541: 4.2 g/t Au over an estimated true width of 12.8 meters from 92 meters
DSR546: 2.8 g/t Au over an estimated true width of 14.3 meters from 79 meters, and
4.5 g/t Au over an estimated true width of 11.3 meters from 117 meters
Moungoundi
DSR551: 2.1 g/t Au over an estimated true width of 20.3 meters from 31 meters
DSR558: 5.4 g/t Au over an estimated true width of 6.8 meters from 88 meters
DSR563: 2.7 g/t Au over an estimated true width of 14.2 meters from 45 meters
DSR568: 30.7 g/t Au over an estimated true width of 11.3 meters from 46 meters, including
146.0 g/t Au over an estimated true width of 2.25 meters from 46 meters
Kassasoko
DSR604: 1.5 g/t Au over an estimated true width of 11.3 meters from 29 meters
Western Splay
DSR584: 2.1 g/t Au over an estimated true width of 13.5 meters from 17 meters
DSR598: 7.4 g/t Au over an estimated true width of 7.5 meters from 56 meters, including
19.6 g/t Au over an estimated true width of 1.5 meters from 61 meters

 

 

 

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.

Figure 1: Wharekirauponga Plan View of Geology, Drill Traces and Distribution of 3 Main Vein Zones. Source: OceanaGold Corporation

OceanaGold (TSX:OGC) has announced results from ten drillholes completed as part of the ongoing exploration and resource conversion program at its Wharekirauponga (WKP) project in New Zealand. These holes, drilled after the cut-off date for the December 31, 2023 Mineral Resources estimate, continue to intersect high-grade mineralization in the East Graben (EG) Vein system.

The December 2023 Mineral Resources estimate outlined an Indicated resource of 1.0 million ounces at a grade of 15.9 g/t gold. The recent drilling has targeted both the southern and northern shoots of the EG Vein system, with opportunities remaining for up-plunge, down-plunge, and along-strike extensions of the vein. High-grade intercepts remain open, and step-out drilling in hole WKP100, the most southerly hole on the EG Vein, confirmed mineralization of comparable width occurring a further 200 metres along strike of the currently defined high-grade southern shoot. The company is awaiting final approvals for a new drill site to enable more effective drill testing of this strike extension.

The EG Vein system remains the primary, near-term target for drilling, with 11,300 metres planned in 2024, focusing on resource conversion and growth.

In related news, OceanaGold has welcomed the announcement by New Zealand’s recently elected Government to create a new one-stop-shop fast-track consenting (permitting) regime. This new bill aims to promote streamlined processes for regional and national projects of significance and accelerate the development of major projects. The Company believes that its Waihi North Project, which includes the development of Wharekirauponga, has the potential to meet the requirements for consideration under this new regime.

Figure 2: Long Section of the EG Vein Drill Intersections (new holes in blue font). Source: OceanaGold Corporation
Figure 3: Inset Long Section of the EG Vein Drill Intersections (new holes in blue font). Source: OceanaGold Corporation

The Waihi North Project is expected to create significant socio-economic contributions for the communities in the Coromandel region and for New Zealand as a whole. This includes substantial in-country investments and a significant increase in direct and indirect employment opportunities. OceanaGold aims to develop a mine that aligns with its objective of reducing its carbon footprint and has a history of operating to the highest environmental and social standards, enabling it to run a successful and responsible mining business in New Zealand for over three decades.

The Company has lodged a resource consent application for its proposed Waihi North Project with Hauraki District Council and Waikato Regional Council.

Gerard Bond, President & CEO of OceanaGold, commented in a press release: “Today’s drill results align with our strategy of adding value through near-mine resource conversion and growth. Much of 2023’s drilling was focused on converting resources at Wharekirauponga and today’s results continue to demonstrate the excellent grade and continuity within the EG vein. Ongoing and planned drilling in 2024 will step out to the south on the EG vein to further define the extent of high-grade mineralization of this exceptional deposit. The recently announced introduction of the Fast Track Approvals Bill signals a new focus by the New Zealand government to facilitate the delivery of significant development projects, including mining. In its introduction into parliament, the Bill received strong support from the Minister for Regional Development and for Resources. We look forward to learning more about the Government’s criteria and process for fast-track approvals, given the potential for accelerated permitting of the Waihi North Project, which includes Wharekirauponga. Development of Wharekirauponga has the potential to contribute significantly to the New Zealand economy, while maintaining a strong focus on environmental and social stewardship.”

Highlights from the results are as follows: 

  • 61.9 g/t Au over 4.0 m from 534.4 m, EG Vein (WKP118C)
  • 31.0 g/t Au over 5.2 m from 513.7 m, EG Vein (WKP124A)
  • 58.5 g/t Au over 2.5 m from 474.7 m, EG HWS Vein (WKP118C)
  • 19.0 g/t Au over 6.3 m from 471.9 m, EG Vein (WKP113A)
  • 11.3 g/t Au over 6.7 m from 523.0 m, EG Vein (WKP111D)

Table 1: Wharekirauponga drill intersections subsequent to the December 31, 2023 resource update.

Drill Hole ID

From (m)

To (m)

True width (m)

Au (g/t)

Ag (g/t)

Vein

WKP111D

523.0

531.8

6.7

11.3

9.9

EG

WKP118C

474.7

478.3

2.5

58.5

96.6

EG HWS

WKP118C

534.4

540.7

4.0

61.9

80.0

EG

WKP113A

471.9

479.6

6.3

19.0

18.8

EG

WKP113B

478.4

487.5

7.5

7.4

5.7

EG

WKP122

306.0

308.3

1.4

14.0

33.8

EG

WKP123

307.3

310.4

2.0

8.9

27.2

EG

WKP124A

513.7

520.5

5.2

31.0

41.7

EG

WKP125

320.9

322.2

1.0

16.5

28.5

EG

WKP125

284.4

284.8

0.3

55.1

66.0

EG HW

WKP126

298.3

299.6

0.8

2.3

7.0

EG

WKP127

365.6

369.4

1.9

6.4

20.8

EG

 

 

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.

Source: SolGold

SolGold (TSX:SOLG) has announced a joint declaration with the Government of Ecuador, paving the way for the execution of the Complementary Investment Protection Agreement (IPA) for the Cascabel copper-gold project in Ecuador. The signing took place at the Prospectors and Developers Association of Canada (PDAC) convention in Toronto, marking a significant milestone in SolGold’s commitment to the project and its partnership with the Ecuadorian government.

The Complementary IPA, signed by the Minister of Production, Foreign Trade, Investments and Fisheries, Ms. Sonsoles García, and Scott Caldwell, CEO of SolGold, represents a total investment of US $3.2 billion over the coming years in activities related to the Cascabel mining concession. This investment is in addition to the US$311 million already addressed by the current IPA, showcasing the immense scale and importance of the project for both SolGold and the Ecuadorian mining sector.

SolGold’s CEO and President of SolGold Ecuador, Scott Caldwell, commented in a press release: “The Complementary Investment Protection Agreement not only reinforces the protections for our key investment in Ecuador but also symbolizes a deepening of our relationship with the Ecuadorian State. President Noboa’s attendance and insightful speech at the PDAC convention were warmly welcomed by the mining community and underscores the significant support of his administration for responsible mining in Ecuador.“

The Cascabel project, SolGold’s flagship venture, has been the focus of the company’s efforts to unlock its potential as a multi-generational asset. A recent pre-feasibility study (PFS) released in February revealed that the company had managed to reduce upfront costs significantly, with pre-production capital for initial mine development, the first process plant module, and infrastructure now estimated at $1.55 billion, down from $2.75 billion in the April 2022 PFS.

Despite the project’s potential, investors have expressed concerns about SolGold management’s ability to deliver the project to its full potential. The company’s share price has halved over the past year, and SolGold has had to cut spending to stay afloat, leading to a strategic review of its assets.

The size of the entire resource at Cascabel indicates the mine’s potential to be one of the 20 largest copper-gold mines in South America, with mine construction set to commence in 2025. The Complementary IPA, representing the largest mining investment in Ecuadorian history, underscores the significance of the project and SolGold’s commitment to its development.

As SolGold continues to navigate some of the remaining challenges of bringing the Cascabel project to production, the investment from the Ecuadorian government and the potential for the mine to become a major producing mine in South America will be the driving force for the company and its stakeholders.

 

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.
Figure 1. Exploration target areas, Razorback property. Source: CopperCorp Resources

CopperCorp Resources (TSXV:CPER) has provided an update on its ongoing diamond drilling campaign at the Razorback rare earth and copper property in western Tasmania, Australia.

The first diamond drill hole at the South Darwin prospect, SDD007, was completed, reaching a depth of 553 meters. Further drilling at South Darwin is currently on hold while the Company awaits assay results from SDD007 to refine targeting for subsequent drill holes. The drill rig remains on site and will undergo maintenance during this waiting period.

Logging and sampling of SDD007 are well underway. Samples from the initial 200 meters are already at the laboratory, and the remaining priority core sections are scheduled for sampling and dispatch within the coming week. Initial gold assay results are expected within 1 to 2 weeks, while prioritized rare earth element (REE) assay results are anticipated within 3 to 4 weeks. A comprehensive update on SDD007 and any future drilling will be provided once the assays are received and analyzed.

Early geological logging indicates that SDD007 successfully intersected zones of rock with characteristics similar to those containing REE and copper-gold mineralization found in historical hole SDD005. However, at this early exploration stage, visual inspection of the drill core cannot definitively determine the potential REE content. Assaying is necessary to confirm the extent and grade of any potential REE mineralized zones encountered.

Concurrent with the drilling program, the Company is continuing surface mapping and rock sampling programs across the Razorback property. Reprocessing and modeling of geophysical data over priority target zones (Darwin, Hydes, and Jukes Zones) are also ongoing. The company expects to provide updates on this work in March.

Drill hole planning, environmental surveys, and permitting are underway for proposed drilling programs at the Jukes and Jasper Hills copper-gold prospects. These programs will be discussed in more detail in upcoming news releases.

Figure 2. Magnetics (left) and thorium in radiometrics (right) image with Ce in historical surface rock sampling, Darwin Zone target area. Historical rock chips samples were mostly not assayed for full suite REE and Ce values are used as an indicator for REE mineralization. The magnetic anomalies are due to magnetite associated with IOCG style mineralization, while thorium is a common indicator for possible REE mineralization. Source: CopperCorp Resources

The South Darwin prospect is situated within the larger Darwin Zone target area, defined by a 7-kilometer-long north-south trending anomaly identified through magnetic and potassium-thorium radiometric surveys. Historical drilling into a portion of this anomaly at South Darwin intersected significant mineralization characteristic of iron-oxide-copper-gold (IOCG) deposits. This mineralization was associated with north-south trending hydrothermal breccias and hosted in intensely altered volcanic rocks. The historical drilling only covered less than 10% of the extensive anomaly, and the mineralization at South Darwin remains open at depth and along strike. Considering these factors, the Company believes the Darwin Zone holds significant potential for further discoveries of REE and copper-gold mineralization.

The IOCG-style mineralization encountered in historical drilling at South Darwin included veins, breccia zones, and semi-massive to massive magnetite-pyrite-chalcopyrite. The best intercept reported was 13.0 meters at 1.2% copper and 0.45 grams per tonne gold from 345 meters in hole SDD005. This same hole also intersected significant REE mineralization, including 30.0 meters at 2.26% total rare earth oxides (TREO) from 296 meters.

Highlights from the update are as follows:

Drill Hole SDD007

SDD007 was designed to test for depth extensions approximately 130 to 150m below high-grade REE and Cu-Au mineralization intercepted in historical hole SDD0052:

SDD005:

  • 72.0m @ 1.13% total rare earth oxides (TREO) from 286m, including
    • 30.0m @ 2.26% TREO from 296m, including
      • 10.0m @ 3.0% TREO from 307m
  • 13.0m @ 1.2% Cu and 0.45g/t Au from 345m

 

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.
Figure 1. Plan View of 2023 Fazenda do Posto Drill Holes Showing Lithology & Gold Assay Results. Source: Lavras Gold

Lavras Gold (TSXV:LGC) has announced positive results from six new drill holes testing the Fazenda do Posto gold discovery, located on its LDS project in southern Brazil. These latest findings contribute to Lavras Gold’s ongoing exploration program aimed at defining an economically viable gold resource on the project.

Lavras Gold President & CEO Michael Durose commented in a press release: “These new drilling results are consistent with previous drill results and demonstrate the excellent near-surface gold grade and continuity of Fazenda do Posto. The large lateral and vertical extent of the hydrothermal alteration points to a sizable gold mineral system for which the full potential remains to be tested. Results like these have the potential to materially enhance the economics of a combined Butiá-Fazenda do Posto near-surface bulk tonnage open-pit type of gold project. Fazenda do Posto is not only demonstrating very good continuity and gold grade at depth, but also laterally, where it remains open in several directions. Two drills are actively working in the area, drilling off the Fazenda do Posto area in a grid with vertical holes on 50 metre centres.”

Drilling Confirms Extensive Gold Mineralization at Fazenda do Posto

The six new drill holes, numbered 23FP007 through 23FP012, were designed to investigate the characteristics and scope of gold mineralization and hydrothermal alteration associated with the Fazenda do Posto discovery. This recent drilling program adds to the six holes previously disclosed, bringing the total to 12 holes drilled for a cumulative length of 3,309 meters.

All assay results are presented in Table 1 of the company’s press release, while drill-collar coordinates are summarized in Table 2. Figures 1 and 2 included in the press release illustrate the drill hole locations and a cross-section, respectively.

Initial findings indicate a substantial gold mineral system featuring near-surface, bulk-tonnage disseminated gold mineralization. This gold is hosted within hydrothermally altered granitic rock and lies strategically positioned 150 meters west of the adjacent Butiá gold deposit, which boasts a measured, indicated, and inferred gold resource of approximately 0.5 million ounces and is also open for potential expansion.

Drilling Highlights Favorable Characteristics for Future Development

The latest drilling campaign yielded encouraging results, encountering extended intervals of gold mineralization with zones of higher grades. The host rocks exhibit extensive hydrothermal alteration, and the gold itself is typically found within disseminated sulfide minerals like pyrite and arsenian pyrite, hosted within episyenite or mineralized perthitic granite. Notably, instances of visible gold have been observed in association with these sulfide minerals.

The current exploration program suggests the mineralization is bulk-tonnage in nature, extending to depths exceeding 400 meters with a lateral extent of at least 200 meters in two directions: northeast-southwest and northwest-southeast.

Exploration Program Moving Forward with Defined Objectives

Figure 2. Cross Section of 2023 Fazenda do Posto Drill Holes (Looking West) Showing Lithology and Assay Results. Source; Lavras Gold

The primary objective of this drilling phase was to delineate the geometry and distribution of alteration and gold mineralization at Fazenda do Posto. Although the program is still in its early stages, the initial findings are highly promising, showcasing the discovery of a large, disseminated, bulk-tonnage, intrusive-hosted gold system.

The lateral extent and intensity of the hydrothermal alteration zone have now been traced over significant distances, exceeding 200 meters in two directions and reaching depths surpassing 400 meters. Additionally, gold mineralization has been identified across extensive, continuous intervals spanning hundreds of meters.

At Fazenda do Posto, a core zone of higher-grade gold mineralization appears to be developing at depth, surrounded by a halo of lower-grade gold. The mineralization is typically associated with disseminated sulfides (pyrite and arsenian pyrite) commonly hosted within the vuggy spaces of pervasively altered granitoids. The mineral system remains open in several directions, warranting further exploration through extensive drilling.

Significance of Fazenda do Posto in Relation to Butiá Gold Deposit

A crucial aspect of the exploration program is understanding the potential connection between the Fazenda do Posto discovery and the neighboring Butiá gold deposit. The newly defined gold mineralization at Fazenda do Posto lies 150 meters west of the Butiá deposit, which currently holds a NI 43-101 compliant measured, indicated, and inferred gold resource of 0.5 million ounces. Both deposits hold the potential for future expansion, and it is conceivable that they could be developed as a unified mining project in the future. Figures 4 and 5 in the press release depict the relative positions of the Butiá gold resource and the Fazenda do Posto discovery.

Next Steps and Future Exploration Plans

The next phase of the drilling program will involve systematically drilling Fazenda do Posto on a 50-meter grid using vertical holes. This approach aims to gain a clearer understanding of the size, geometry, and grade distribution of the discovery. This drilling strategy will also be selectively applied to the Butiá gold deposit as the program progresses, with further refinements potentially incorporated based on ongoing results.

Lavras Gold’s primary short-term objective is to define an economically viable gold resource on the LDS project, with a particular focus on Fazenda do Posto and the adjacent Butiá gold deposit.

The ongoing drilling program utilizes two diamond drill rigs currently operating on-site and is anticipated to continue uninterruptedly until the first half of 2025. Lavras Gold has budgeted for approximately 10,000 meters of drilling to explore Fazenda do Posto. Additional drilling on these targets may be conducted based on promising results. The second half of 2024 is slated for exploration drilling of other targets on the LDS property, with the ultimate goal of uncovering new commercially viable gold deposits.

Highlights from the results are as follows:

Hole 23FP011:

  • 173.0 metres grading 1.0 g/t gold from 69.0 metres and including:
    • 2.0 metres grading 2.1 g/t gold from 99.0 metres
    • 94.8 metres grading 1.4 g/t gold from 126.0 metres (about 109.0 metres vertical),
    • including 2.0 metres grading 3.6 g/t gold from 126.0 metres, and
    • 3.0 metres grading 2.5g/t gold from 135.0 metres, and
    • 6.0 metres grading 2.0 g/t gold from 209.0 metres

Hole 23FP008:

  • 123.0 metres grading 1.1 g/t gold from 228.0 metres including:
    • 78.0 metres grading 1.4 g/t gold from 228.0 metres and
    • 35.0 metres grading 2.5 g/t gold from 231.0 metres and
    • 4.0 metres grading 2.7 g/t gold from 331.0 metres and
    • 3.0 metres grading 3.5 g/t gold from 332.0 metres and
    • 1.0 metre grading 8.8 g/t gold from 334.0 metres
  • Drill hole 23FP011 was collared in the northeastern portion of Fazenda do Posto (see Figure 1). The hole was drilled at an inclined angle of 60 degrees on an azimuth of 200 degrees. The purpose was to test the lateral continuity of mineralization and gold grade continuity at depth towards the southwest. A long continuous interval of bulk-tonnage disseminated gold mineralization was encountered starting at 69.0 metres (60.0 metres vertical depth) to 242.0 metres down the drill core (vertical depth of 210 metres) within mineralized episyenite as detailed below. Generally, this long interval of continuous mineralization has multiple higher-grade intervals. Highlights are as follows:173.0 metres grading 1.0 g/t gold from 69.0 metres including:
    • 4.0 metres grading 1.2 g/t gold from 75.0 metres
    • 6.0 metres grading 1.1 g/t gold from 97.0 metres
    • 2.0 metres grading 2.1 g/t gold from 99.0 metres
    • 94.8 metres grading 1.4 g/t gold from 126.0 metres
    • 2.0 metres grading 3.6 g/t gold from 126.0 metres
    • 3.0 metres grading 2.5 g/t gold from 135.0 metres, and
    • 8.0 metres grading 1.6 g/t gold from 153.0 metres
    • 14.9 metres grading 1.7 g/t gold from 166.1 metres
    • 13.0 metres grading 1.5 g/t gold from 191.0 metres
    • 6.0 metres grading 2.0 g/t gold from 209.0 metres, and
    • 2.0 metres grading 2.0 g/t gold from 239.1 metres

Drillhole 22FP008 was collared in the northeast portion of Fazenda do Posto and drilled on an azimuth of 200 degrees at an inclined angle of 80 degrees (see Figure 1). The purpose was to better understand the nature and continuity of gold mineralization at depth. Continuous gold mineralization was encountered over long intervals in episyenite and mineralized perthitic granite. Higher-grade intervals have been found at depth. A summary of assay composites is as follows:

  • 123.0 metres grading 1.1 g/t gold from 228.0 metres including:
    • 78.0 metres grading 1.4 g/t gold from 228.0 metres
    • 35.0 metres grading 2.5 g/t gold from 231.0 metres
    • 20.0 metres grading 0.6 g/t gold from 325.0 metres
    • 4.0 metres grading 2.7 g/t gold from 331.0 metres
    • 3.0 metres grading 3.5 g/t gold from 332.0 metres

Drillhole 23FP010 was positioned in the central portion of Fazenda do Posto, above the trace of drillhole 23FP002 (see Figure 1 & Figure 2). The hole was drilled on an azimuth of 110 degrees and inclined at 60 degrees. The purpose was to better understand the nature of the geology and the extent of alteration and possible mineralization along a southeast direction perpendicular to the azimuth of drill hole 23FP002. Figure 3 shows an example of near-surface mineralized episyenite from 23FP010. A continuous zone of intense albite alteration interspersed with zones of bulk-tonnage and disseminated style of gold mineralization consisting mainly of disseminated pyrite +- arsenian pyrite within episyenite and perthitic granite was encountered from 3.0 metres to 147.0 metres – a drillhole length of 144.0 metres. Further highlights are as follows:

  • 144.0 metres grading 0.6 g/t gold from 3.0 metres including:
    • 41.0 metres grading 1.0 g/t gold from 3.0 metres and including
    • 21.0 metres grading 1.3 g/t gold from 23.0 metres and
    • 9.0 metres grading 2.2 g/t gold from 31.0 metres and including
    • 4.0 metres grading 3.5 g/t gold from 31.0 metres
    • 2.0 metres grading 1.6 g/t gold from 78.0 metres
    • 4.4 metres grading 1.2 g/t gold from 107.0 metres

Drillhole 23FP012 was collared along the northwest edge of the Fazenda do Posto mineralized footprint and drilled on an azimuth of 110 degrees and inclined 60 degrees (see Figure 1). The purpose was to test the central western extension of hydrothermal alteration and mineralization. The hole encountered very intense albite alteration with moderate intervals of gold starting at 4.0 metres depth. Significant long intervals of higher gold grades were found at 58.0 metres along the drill core after intersecting a lamprophyre dyke. Several long intervals of disseminated gold mineralization were encountered and including multiple higher-grade subintervals as follows:

  • 115.0 metres grading 0.6 g/t gold from 58.0 metres including:
    • 53.0 metres grading 0.9 g/t gold from 118.0 metres and
    • 26.0 metres grading 1.1 g/t gold from 130.0 metres, and including
    • 15.0 metres grading 1.2 g/t gold from 130.0 metres, and
    • 6.0 metres grading 1.1 g/t gold from 162.0 metres

Table 1. Summary of Drill Hole Composites from Fazenda do Posto Gold Discovery

Drill Hole From To Interval Gold grade Comment
(metres) (metres) (metres) (grams/tonne)
23FP001 77.00 153.00 76.00 0.17 Drilled peripheral to main target
85.00 86.00 1.00 0.32 Along southeast edge of FP
90.00 93.00 3.00 0.33
96.00 97.00 1.00 0.57
102.00 104.00 2.00 0.34
109.00 110.00 1.00 0.42
113.00 118.00 5.00 0.23
135.00 137.00 2.00 0.47
143.00 144.00 1.00 0.26
23FP002 58.00 59.00 1.00 0.18 Extensive albite alteration
117.00 457.00 340.00 1.09 Mineralized episyenite
Including 199.00 359.00 160.00 1.79 Brick red colouration (Ba, Fe)
Including 208.00 235.00 27.00 2.07
Including 293.00 361.00 68.00 2.09
23FP003 24.00 27.00 3.00 0.71 Extensive albite alteration
87.00 294.00 207.00 0.49 Mineralized episyenite
including 87.00 227.00 140.00 0.67 Extensive albite alteration
Including 87.00 195.00 108.00 0.80 Mineralized episyenite
Including 87.00 151.00 64.00 0.91 Brick red colouration (Ba, Fe)
Including 106.00 145.00 39.00 1.17
23FP004 No Significant Values Fresh granodiorite, perthitic granite, drilled SW
23FP005 118.00 119.00 1.00 0.26 Extensive albite alteration
131.55 135.00 3.45 1.01 Mineralized perthitic granite
139.00 140.00 1.00 0.99 Mineralized perthitic granite
143.00 146.00 3.00 1.21 Mineralized perthitic granite
159.00 161.00 2.00 0.26 Mineralized perthitic granite
171.00 172.00 1.00 0.33 Mineralized perthitic granite
176.00 177.00 1.00 0.30 Mineralized perthitic granite
181.00 182.00 1.00 0.33 Mineralized perthitic granite
23BT006 31.06 261.00 229.94 0.86 Drilled southwest into target
including 31.06 235.00 203.94 0.95 Mineralized episyenite
including 31.06 222.00 190.94 1.00 Mineralized episyenite
including 149.00 214.00 65.00 1.94 Mineralized episyenite
including 149.00 187.00 38.00 2.03 Mineralized episyenite
including 154.00 164.00 10.00 2.96 Mineralized episyenite
including 190.00 205.00 15.00 2.05 Mineralized episyenite
23FP007 No Significant Values Fresh granodiorite, perthitic granite, drilled NE
23FP008 104.00 105.00 1.00 0.27 Mineralized episyenite
114.00 115.00 1.00 0.42 Mineralized episyenite
106.00 229.00 123.00 1.12 Mineralized episyenite
including 228.00 306.00 78.00 1.36 Mineralized episyenite
including 231.00 266.00 35.00 2.46 Mineralized episyenite
325.00 345.00 20.00 0.60 Mineralized perthitic granite
including 331.00 335.00 4.00 2.67 Mineralized perthitic granite
including 332.00 335.00 3.00 3.49 Mineralized perthitic granite
23FP009 1.00 3.00 2.00 0.49 Pervasive albite alteration
15.00 16.00 1.00 0.40 Pervasive albite alteration
23.01 37.00 13.99 0.79 Pervasive albite alteration
Including 29.00 38.00 9.00 0.91 Pervasive albite alteration
40.00 40.94 0.94 0.25 Pervasive albite alteration
75.00 77.00 2.00 0.72 Pervasive albite alteration
93.00 96.00 3.00 0.44 Pervasive albite alteration
131.00 132.00 1.00 0.41 Pervasive albite alteration
149.00 152.00 3.00 0.44 Pervasive albite alteration
157.00 160.00 3.00 0.43 Pervasive albite alteration
162.00 163.00 1.00 0.25 Pervasive albite alteration
164.00 168.00 4.00 0.30 Pervasive albite alteration
23FP010 3.00 147.00 144.00 0.58 Pervasive albite alteration, episyenite, Perthitic granite
Including 3.00 44.00 41.00 1.00 Mineralized episyenite
Including 3.00 4.00 1.00 1.06 Mineralized episyenite
Including 23.00 44.00 21.00 1.29 Mineralized episyenite
Including 23.00 26.00 3.00 1.07 Mineralized episyenite
Including 31.00 40.00 9.00 2.17 Mineralized episyenite
Including 31.00 35.00 4.00 3.46 Mineralized episyenite
Including 50.00 51.00 1.00 1.14 Mineralized episyenite
Including 64.00 65.00 1.00 1.28 Mineralized episyenite
Including 72.00 79.00 7.00 0.89 Mineralized episyenite
Including 78.00 80.00 2.00 1.55 Mineralized episyenite
Including 83.00 90.00 7.00 1.02 Mineralized episyenite
Including 107.00 111.41 4.41 1.21 Perthitic granite
Including 139.00 142.00 3.00 0.97 Mineralized episyenite
23FP011 32.00 33.00 1.00 0.29 Mineralized episyenite
69.00 242.00 173.00 0.95 Mineralized episyenite
Including 75.00 79.00 4.00 1.16 Mineralized episyenite
Including 97.00 103.00 6.00 1.07 Mineralized episyenite
Including 99.00 101.00 2.00 2.08 Mineralized episyenite
Including 126.00 220.83 94.83 1.37 Mineralized episyenite
Including 126.00 128.00 2.00 3.56 Mineralized episyenite
Including 135.00 138.00 3.00 2.47 Mineralized episyenite
Including 153.00 161.00 8.00 1.64 Mineralized episyenite
Including 166.10 181.00 14.90 1.66 Mineralized episyenite
Including 191.00 204.00 13.00 1.46 Mineralized episyenite
Including 209.00 215.00 6.00 2.01 Mineralized episyenite
Including 239.13 241.13 2.00 1.97 Mineralized episyenite
23FP012 4.00 5.27 1.27 0.29 Mineralized episyenite
12.00 14.00 2.00 0.32 episyenite
58.00 60.00 2.00 0.27 episyenite
63.00 64.00 1.00 3.19 Mineralized episyenite
58.00 173.00 115.00 0.59 Mineralized episyenite, albite alteration
Including 83.00 84.00 1.00 2.26 Mineralized episyenite
Including 87.77 89.92 2.15 0.95 Mineralized episyenite
Including 102.16 104.00 1.84 1.06 Mineralized episyenite
Including 107.00 108.00 1.00 0.95 Mineralized episyenite
Including 110.00 111.00 1.00 1.10 Mineralized episyenite
Including 118.00 171.00 53.00 0.86 Mineralized episyenite, intermittent perthitic granite
Including 118.00 119.00 1.00 1.09 Mineralized episyenite
Including 121.00 169.00 48.00 0.91 Mineralized episyenite, intermittent perthitic granite
Including 130.00 156.00 26.00 1.08 Mineralized episyenite, intermittent perthitic granite
Including 130.00 145.00 15.00 1.24 Mineralized episyenite
Including 162.00 168.00 6.00 1.09 Mineralized episyenite
  • Assumes 0.25 g/t gold cut-off grade, no top cut.
  • The Company has been targeting larger intersections of greater than 0.25 g/t gold. Intersections lower than this threshold may provide exploration insight and may therefore be disclosed.
  • Intervals represent drill core interval; true widths have not been determined at this time.

Table 2. Fazenda do Posto Drill Hole Coordinates

Drill Elevation Azimuth Dip Start Depth Final Depth
Hole Easting Northing (metres) (Degrees) (Degrees) (metres) (metres)
23FP001 217907 6586453 378 20 -60 0 214.1
23FP002 217858 6586480 385 20 -60 0 464.6
23FP003 217892 6586568 379 0 -90 0 332.2
23FP004 217826 6586607 387 200 -60 0 201.3
23FP005 217935 6586309 397 20 -60 0 248.2
23FP006 217932 6586677 377 200 -60 0 308.3
23FP007 217928 6586677 377 20 -60 0 161.4
23FP008 217931 6586675 382 200 -80 0 401.4
23FP009 217910 6586591 383 290 -60 0 232.9
23FP010 217910 6586581 384 110 -60 0 288.0
23FP011 217926 6586674 380 220 -60 0 280.0
23FP012 217845 6586647 386 110 -60 0 177.0

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.
The Warintza Project. Source: Solaris Resources

The Warintza Project in southeastern Ecuador, operated by Canadian copper mining company Solaris Resources (TSX:SLS) (OTCQB:SLSSF), has become a model for sustainable mineral exploration and development. Solaris adheres to a “Participatory Mining” model that engages government, communities, and the company in an alliance governing the strategic socio-economic development alongside the project. This inclusive approach is based on transparency, dialogue, and building trust between stakeholders with the goal of improving quality of life in a sustainable manner.

For example, the company has explicit community consent for the Warintza Project through legally-binding community agreements with the Warints and Yawi Shuar communities that host the Project on their Ancestral Lands. These Ancestral Lands are legally-defined and have been registered with the Government of Ecuador since 2002. The timeline of agreements includes:

  • January 2019: Memorandum of Understanding signed with the Warints and Yawi communities
  • September 2020: Impact and Benefits Agreement, the first signed in the country with Shuar communities
  • March 2020: Impact and Benefits Agreement for Project advancement and scope expansion
  • Late 2022: Completed an Environmental Impact Assessment on the Project

This formal consent demonstrates the strong relationship and trust built between Solaris and the local communities through open dialogue and mutually beneficial partnerships. The participatory model ensures the indigenous populations are informed, engaged, and ultimately benefit from the development of their ancestral territory.

Solaris’ commitment to sustainability is also embedded in its policies and participation in the UN Global Compact. They strive to minimize environmental impacts by going beyond required guidelines, using robust monitoring, and integrating protection into daily practices. Compliance with regulations, biodiversity management, community involvement, efficient resource use, responsible waste management, and education on best practices foster environmental stewardship. Proactive efforts like their greenhouse gas reduction plan and partnerships demonstrate Solaris’ dedication.

Central to the sustainability strategy is the Citizen Participation Process where local populations are informed of potential impacts and can provide input that gets incorporated into environmental studies. This participatory mechanism for consultation and dialogue ensures community engagement and consent, legitimizing the project. Solaris maintains high corporate governance standards so decisions align with their core values of sustainable development.

The 2024 drilling program at Warintza recently commenced, with plans to have six rigs operating by February. An updated mineral resource estimate is expected by late Q2/24, likely showing major growth. Drilling will continue beyond this as permitted, with some holes serving other purposes like metallurgical testing. Exploration is also underway regionally to define additional drill targets.

Solaris also recently closed US$40 million in financing, including equity and initial drawdown of their debt facility, to fund 2024-2025 baseline programs. The major C$130 million strategic investment by Zijin Mining Group will allow aggressive expansion of programs this year to significantly advance the project. The partnership with successful global miner Zijin will provide technical expertise and capacity to realize Warintza’s potential as a premier copper district.

Solaris’ ethical, sustainable model aligned with their financing strategy demonstrates a promising approach for the future of mineral development. The Warintza Project aims to create value responsibly and improve local communities, setting a positive example for the industry.

 

 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.

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