NGEx only ‘scratching the surface’ at Chilean porphyry target, CEO says.
NGEx Minerals Ltd. [NGEX-TSXV] says it is in a strong position to generate significant shareholder value through further drilling at the Lunahuasi porphyry target in Chile after recently completing an oversubscribed equity financing of $176.9 million.
“Phase 2 drilling at Lunahuasi earlier this year produced some of the highest-grade copper, gold and silver intercepts drilled anywhere in the world,’’ said NGEx President and CEO Wojtek Wodzicki. “Following a short austral winter break, we have now initiated an exciting Phase 3.0 program, which looks to advance our understanding of this unusually high-grade discovery and expand its mineralized volume,’’ he said. “We are confident that we have only scratched the surface at Lunahuasi, and believe that Phase 3.0 drilling has the potential to return more world class results.”
In a press release containing NGEx’s third quarter, 2024 financial results, the company said the 20,000-metre Phase 3.0 drill program commenced in October, 2024 and all six rigs are in operation. Phase 3.0 drilling intends to grow the deposit via step-out drilling and provide enough closer-spaced drilling data to develop an initial Exploration Target. Initial results are expected towards the end of the fourth quarter of 2024. But exact timing will be subject to drilling and assay turn-around times.
Phase 2.0 drilling confirmed the presence of mineralized high-grade structures throughout a volume measuring at least 400 metres by 900 metres by 960 metres. The mineralized volume remains open in all directions and several holes completed at the outer boundaries of the current drill pattern are marked by significant mineralization, such as Northern boundary DPDH002, which returned 60 metres at 7.52% copper equivalent (CuEq) (5.65% copper, 2.04 g/t gold, 44.0 g/t silver).
Located on the company’s Potro Cliffs project, Lunahuasi is the fourth greenfields discovery made by the Lundin Group company within the Vacuna District, joining the Filo del Sol, Los Helados, and Josemaria deposits. Lunahuasi is located approximately 6.0 kilometres north of Filo del Sol, along the same major structural corridor that also controls mineralization at Los Helados 9.0 kilometres further to the northeast.
The Lunahuasi discovery was announced on April 4, 2023, and was highlighted by drill hole DPDH002, which returned 60 metres of 5.65% copper, 2.04 g/t gold, and 44.0 g/t silver. The maiden Lunahuasi drill campaign concluded in May, 2023. with 4,912 metres of diamond drilling completed in eight holes.
On Wednesday, NGEx shares rose 0.527% or $0.06 to $11.44. The shares are currently trading in a 52-week range of $12.14 and $5.98.
The company has a portfolio of exploration projects in Argentina, including the Valle Ancho project in Catmarca province, and the Potro Cliffs, located in San Juan province approximately five kilometres north of, and on the same major northeast trending structure as the Filo del Sol deposit where Filo Mining Corp. [FIL-TSXV, NASDAQ First North] is drilling a major copper-gold discovery