EV Resources' Promising Drill Results and Strategic Moves in Peru - Q2 2024 Update
EVR (EVR) Share Update July 2024 Sunday 28th
EV Resources Reports Promising Drill Results at Parag Project
EV Resources Limited (ASX: EVR) has released an encouraging update on its exploration activities, highlighting significant copper-molybdenum drill results from its Parag Project in Peru.
Instant Summary:
- 1980 metre HQ diamond core drilling programme completed at Parag Project.
- Significant copper-molybdenum intercepts indicate potential for shallower porphyry mineralisation.
- Key intercepts include 476m at 0.31% Cu and 0.14% Mo, and 148m at 0.54% Cu, 0.35% Mo, and 8.87g Ag.
- Planning for a Geophysics campaign in progress.
- Extension of option to purchase remaining 50% of Don Enrique project for US$850,000.
Parag Copper-Molybdenum Project
EV Resources announced the results of its 1980 metre diamond drilling campaign at the Parag Project in Peru. The results exceeded expectations, revealing lengthy high-grade intercepts of copper and molybdenum from the Trinchera Este breccia. The assays also indicated significant intercepts of adjacent porphyry intrusive mineralisation, suggesting a shallower porphyry system than previously thought.
Key intercepts from the drilling programme include:
- Hole APG-001: 476m at 0.31% Cu and 0.14% Mo from 3.2m, including 348m grading 0.40% Cu and 0.20% Mo.
- Hole APG-002: 258.8m at 0.40% Cu and 0.14% Mo from 1m, including 130m at 0.60% Cu and 0.30% Mo.
- Hole APG-003: 211.5m at 0.40% Cu and 0.20% Mo from 3m, including 160m grading 0.50% Cu and 0.20% Mo.
- Hole APG-DDH-005: 148m at 0.54% Cu, 0.35% Mo, and 8.87g Ag from 0.2m.
Don Enrique Copper Project
EV Resources has agreed to a one-year extension of the option to purchase the remaining 50% of the Don Enrique project for US$850,000. This extension comes with a commitment to either spend US$500,000 during the option period or make a US$100,000 payment to the JV partner at the end of the period. EVR plans to drill at Don Enrique in the second half of 2024.
Additionally, EVR secured the Estrella licence adjacent to Don Enrique, which appears to host an extension of sulphide mineralisation based on IP surveys.
Corporate and Financial Updates
EV Resources reported a cash balance of $404,000 as of 30 June 2024. During the quarter, the company spent $943,000 on exploration activities and made payments totaling $52,000 to related parties. The company also sold all of its shares in Balkan Mining and Minerals Limited (ASX: BMM), no longer holding an indirect interest in the Serbian permits.
EVR is currently planning a Geophysics campaign to commence in July 2024 and is working on securing long-term drill permits for more extensive drilling activities at the Parag Project.
The promising drill results from the Parag Project are likely to positively impact EV Resources' stock price as investors react to the potential for significant copper-molybdenum mineralisation. The extension of the option to purchase the remaining 50% of the Don Enrique project also positions the company for further growth and development in Peru.
Investor Reaction:
Analysts have noted the potential for significant returns from the Parag Project, given the high-grade intercepts reported. Investor sentiment appears positive, with many looking forward to the results of the upcoming Geophysics campaign and further drilling activities.
Conclusion:
Investors should keep an eye on EV Resources' ongoing exploration activities and strategic moves in Peru. The company's recent drill results and acquisition plans suggest a promising future for its copper-molybdenum projects. Stay tuned for further updates and consider the potential long-term impacts on your investment portfolio.