ASX-Listed Junior Gold Miners Consider Moneyness of Exchange Options; Progress Across Projects

  • Oct 01, 2019 AEST
  • Team Kalkine
ASX-Listed Junior Gold Miners Consider Moneyness of Exchange Options; Progress Across Projects

Gold prices are under slight pressure in the international market; however, the prices are still high enough to support the operations of ASX-listed junior gold miners. Gold prices are hovering around its new base of USD 1,500 per ounce, which is prompting the gold miners to consider their exchange options for the moneyness.

Hot Chili Limited (ASX: HCH)

Hot Chilli is an ASX-listed junior gold miner who owns and operates the Productora project with a resource base of 1.5 million tonnes of copper and 1 million tonnes of gold.

The company recently received the 1st results from CRP0017D which extended the current high-grade, bulk tonnage, copper-gold to 300m further at the Cortadera copper-gold porphyry.

As per the company, the 350m drill intersection is anticipated to return shortly of assays for a further 90m of strongly mineralised porphyry, which would register CRP0017D as the third stand out result received by the company at Cortadera copper-gold porphyry in Chile.

Hot Chili believes that the ongoing drilling would place the prospect as one of the most substantial global gold discoveries of recent times.

CRP0017D Assays Result
  • The company received the assay results for the first 350m second diamond drill hole under the Phase 2 of the drilling programme at the copper-gold prospect, which is 600km north to the Santiago, along the Chilean coastal range.
  • The results of 440m of the diamond core are pending; however, the assay results from CRP0017D already delivered stand-out drill results and recorded 350m grading 0.6 per cent copper and 0.2 gram per tonnes of gold from 344m down-hole.
  • The Company anticipates that the pending assay results would confirm further strong mineralisation porphyry, which would be followed by poor mineralised zone to the end of the hole and increase the width of the drilling intersection by 90m from CRP0017D.
  • The CRP0017D intersections contain a high-grade mineralised zone of 184m @ 0.7 per cent Cu and 0.3 gram per tonne of Au from 430m down-hole.
  • The assay results received by HCH confirmed that the high-grade zone extends from the northern to the southern flank of the main porphyry over 300m from the discovery diamond hole CRP0013D, which grades 0.9 per cent copper and 0.4 gram per tonne for 188m and from the down-hole depth of 516m.

Drill Locations at Cortadera Porphyry Discovery (Source: Company’s Report)

Cortadera copper-gold porphyry
  • Cortadera is a privately-owned copper-gold prospect along the Chilean coastal range and is surrounded by the world-glass copper projects.
  • The company recently acquired a 100 per cent interest in the prospect through a formal Option Agreement and started a drilling programme of 17 holes.

The drilling at the site confirmed and extended the enriched surface areas and high copper-gold mineralisation at depth. The recent two drill holes at the Cuerpo 3, which is among the four largest porphyries discovered till date, returned various substantial intercept such as below:

  • The company received 750m of 0.6 per cent copper and 0.2 gram per tonne of gold from 204m down-hole depth, which further includes 188m of 0.9 per cent copper and 0.4 gram per tonne of gold.
  • 848m of 0.4 per cent copper and 0.2 gram per tonne of gold from 112m down-hole depth, which further includes 184m of 0.7 per cent copper and 0.3 gram per tonne of gold.
  • 864m of 0.4 per cent copper and 0.1 gram per tonne of gold from 62m down-hole depth, which further includes 348m of 0.6 per cent copper and 0.2 gram per tonne of gold.

The company’s recent confirmation of high-grade bulk tonnage puts it in the unique position to take advantage of the high gold prices.

Share Price Actions

The share price of the company rose from the level of $0.009 (Day’s low on 18 January 2019) to the level of $0.052 (Day’s high on 30 September 2019). The stock of the company is an uptrend from the level of $0.009 and enchased the rush in gold prices. On 1 October 2019, HCH is trading at $0.043, down by 4% as compared to its previous closing price (AEST: 1:19 PM).

The stock has delivered a return of 133.76 per cent over the last one year, and a return of 114.29 per cent in the last six-month The YTD return delivered by the stock stood at 390.89 per cent.

Also Read: Global Gold-Backed ETFs Pushes Gold; ASX-listed Gold Stocks Under Pressure Over Bearish Signs

Talisman Mining Limited (ASX: TLM)

TLM is an ASX-listed junior gold miner, who owns and operates Lachlan Copper-Gold, Doolgunna Copper-Gold, Lucknow Gold, and Sinclair Nickel and many more projects.

Doolgunna Copper-Gold Project

The company entered a conditional Share Sale Agreement with Sandfire Resources NL (ASX: SFR) to sell Talisman A Pty Ltd- the subsidiary which holds 30 per cent of the company’s interest in the Doolgunna Copper-Gold Project.

Lachlan Copper-Golf Project

In January 2019, the company completed a comprehensive geological and exploration review of the Lachlan Copper-Gold project, which generated the datasets and TLH collected additional geological information from the external resources.

TLH identified multiple potential exploration targets, which is estimated by the company to host significant gold or base metal mineralisation and warrant further exploration activities.

The targets are classified as per the corroborating geological information and are as below:

The Stage 1 targets are conceptual.

The prospect areas with anomalies defined from surface sampling programs are under the Stage 2 targets.

The prospect areas with known gold or base metal mineralisation intersected in drilling with coincident surface geochemical anomalism are Stage 3 targets.

The prospect areas with economic grade mineralisation and/or economic width intersection are Stage 4 targets.

The prospect areas with economic grade and width mineralisation that are subject to targeted resource drilling are Stage 5 targets.

The on-ground exploration activities witnessed a number of testing conducted by the company on these targets and incorporated further regional geochemical sampling, infill and extension sampling, regional geophysical surveys (incl both airborne and ground-based), first-pass RC drill testing of new targets, and follow-up RC drilling of the existing target.

Share Price Actions

The share prices of the company rose from the level of $0.067 (Day’s low on 19 February 2019) to the level of $0.140 (Day’s high on 5 September 2019), which in turn, underpinned the growth of over 108 per cent. On 1 October 2019, TLM is trading at $0.105, trading unchanged as compared to its previous closing price (AEST: 1:19 PM).

The stock delivered a return of 42.73 per cent over the last one year and a return of 40 per cent in the last six-month. The YTD return delivered by the stock stood at 48.82 per cent.


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