FINWIRES · TerminalLIVE
FINWIRES

Challenger Gold's First Gold-Silver Doré from Argentina Project Marks Transition to Gold Producer, Euroz Hartleys Says

By

Challenger Gold's (ASX:CEL) first gold-silver doré from its Hualilán project in Argentina marked the company's transition to a gold producer from an explorer, Euroz Hartleys said in a Tuesday note.

The first pour, under a toll milling agreement with Austral Gold (ASX:AGD), produced around 200 kilograms of doré estimated to contain 500 ounces of gold and 6,000 ounces of silver from around 15,000 tonnes of ore.

The agreement provides the company with an annual guaranteed processing capacity of 150,000 tonnes and a total secured capacity of 450,000 tonnes over three years.

The Hualilán toll milling pre-feasibility study used recoveries of 84% for gold and 66% for silver at nearly 100% payability, implying revenue potential of roughly $2.7 million.

There are no changes to the modelling assumptions for the initial toll milling operations, the financial services firm said.

Euroz Hartleys reaffirmed its speculative buy recommendation and AU$0.40 price target on Challenger Gold.

Challenger Gold shares rose more than 3% in midday trade on Wednesday, while Austral Gold shares were down 4%.

Related Articles

Asia

PhosCo Identifies Phosphate Mineralization at DOH Prospect Within Tunisia Project; Shares Up 3%

PhosCo (ASX:PHO) said it identified phosphate mineralization at the DOH prospect within its Gasaat project in Tunisia, according to a Wednesday Australian bourse filing.The results were up to 12.5 meters at over 20% phosphorus pentoxide from 93.3 meters, including 2.4 meters at over 23% phosphorus pentoxide from 95.3 meters and 3 meters at about 25% phosphorus pentoxide from 99.7 meters.The company said the phosphate horizon was intersected at an average thickness of 13 meters, extending over a strike length of 1.3 kilometers and a width of more than 600 meters, with the latest drilling also returning results from the KM deposit and the GS prospect.The company's shares rose almost 3% in recent Wednesday trade.

$ASX:PHO
Asia

Chilwa Minerals Identifies New Heavy Mineral Sands Target in Malawi

Chilwa Minerals (ASX:CHW) said hand augering and panning of material from shallow pits supported by interpreted geophysics identified a new heavy mineral sands target at Mpyupyu West in Malawi, within two kilometers of its Nakombe niobium-rare earth element discovery, according to a Wednesday Australian bourse filing.Mpyupyu West target covers an area of around five square kilometers. The exploration efforts also identified a potential extension to the identified resources at Bimbi and Bimbi Northeast.After a break in drilling due to Malawi's rainy season, resource drilling restarted with two sonic drill rigs.

$ASX:CHW
Asia

Anax Metals to Raise AU$6 Million via Share Placement; Shares Down 3%

Anax Metals (ASX:ANX) received firm commitments to raise about AU$6 million through the placement of 176.4 million new shares at AU$0.034 apiece, according to a Wednesday filing with the Australian bourse.Proceeds will be used for a high-impact exploration drilling program targeting near-mine and extensional opportunities at the company's Whim Creek project in Western Australia, the filing said.Shares fell 3% in morning trade on Wednesday.

$ASX:ANX