Pampa Metals (CSE: PM) is one of the biggest movers on the day, jumping as much as 85% on the day on volume of 3.12 million shares traded. The equity is currently sitting up 50% at the time of writing, sitting at $0.21 per share.
The jump follows Pampa reporting drill results for its Piuquenes copper-gold project in Argentina, where it has reportedly intersected high grade mineralization within a porphyry. The company claims that it has hit a 160 metre thick zone of supergene copper enrichment between a depth of 220 metres and 380 metres downhole within hole PIU-01.
However results are extremely preliminary in nature. Pampa has indicated it intends to drill the hole to a depth of 900 metres based on its drill plan, with the hole currently sitting at a depth of 600 metres. Primary mineralization is said to begin at 350 metres depth and continue to the current depth of the hole.
Core is reportedly being prepared to be sent for assays currently.
While the market is going crazy over drill core photos yet again – see Aston Bay and Decade Resources as prior examples of this – the company to its credit has provided some insight to the type of mineralization that can likely be expected from the hole.
A drill program conducted by Inmet Mining in the late 1990’s intersected 413.5 metres of 0.47% copper and 0.52 g/t gold for 0.87% copper equivalent within hole P8A, which is similar in trajectory to that of hole PIU-01.
A single unassayed drill hole meanwhile was conducted by Anglo American in 2016 at the project, hole PIU 16, which was assayed this past December by Pampa, posting results of 558.2 metres of 0.38% copper, 0.42 g/t gold and 2.4 g/t silver for 0.73% copper equivalent. That hole included an intersect of 130 metres of 0.81% copper, 0.6 g/t gold and 4 g/t silver for 1.31% copper equivalent.
“We are very pleased to have intersected a thick copper supergene enrichment blanket on the first hole of a multi-campaign exploration program testing the Piuquenes Project’s exceptional potential. We now eagerly await our first assay results and look forward to driving shareholder value over the short, medium, and long-term as we continue to test the depth and lateral extensions of the previously reported high-grade copper-gold intervals at Piuquenes Central, and thereafter drill testing Piuquenes East and other nearby targets on the property,” commented Pampa’s CEO, Joseph van den Elsen, or the preliminary results.
The current program underway is expected to amount to up to four drill holes at the Piuquenes project, including a second deep drill hole that is targeted a depth of 850 metres. The aim of the program is to validate a potential mineral column that is 1,000 metres in depth and 300-500 metres in diameter, while extending the open high-grade to the northeast and southeast of the Central zone.
The question the company, and investors, are now left to ask – is this positive momentum sustainable?
Information for this briefing was found via Sedar and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
As the founder of The Deep Dive, Jay is focused on all aspects of the firm. This includes operations, as well as acting as the primary writer for The Deep Dive’s stock analysis. In addition to The Deep Dive, Jay performs freelance writing for a number of firms and has been published on Stockhouse.com and CannaInvestor Magazine among others.