Troy Minerals Says No Material Change, Issues Drill Results Half Hour Later
Troy Minerals Inc. (CSE:TROY) witnessed a tumultuous day in the market on Friday as its stock plummeted by a staggering 60%. Investors found themselves grappling with the abrupt downturn, prompting speculation and concern over the company’s performance.
Addressing the market frenzy, Troy Minerals issued a statement yesterday, asserting that there were no significant alterations within the company’s operations to warrant such a drastic decline.
In their official communication, Troy Minerals stated, “At the request of CIRO, Troy Minerals Inc. wishes to confirm that the Company’s management is unaware of any material change in the Company’s operations that would account for the recent increase in market activity and decrease in share price.”
However, merely a half hour later, the company released drill results, unveiling findings from the initial two drill holes conducted in the fall of 2023 at the Lac Jacques rare earth element (REE) property. This revelation came amidst a backdrop of investor unrest, leaving many questioning the timing and implications of the announcement.
Situated approximately 250 kilometers north of Montreal Quebec, Canada, and about 40 kilometers northeast of the town of St. Anne du Lac, the Lac Jacques property holds potential, as evidenced by recent drill results.
Rana Vig, President and CEO of Troy Minerals, expressed optimism in light of the positive drill results, stating, “With the first positive drill results of Lac Jacques coming in, our 2024 exploration season is getting off to a great start. We are aware of the recent market volatility; however, we are very confident that with a healthy treasury of over $3 million; no debt; in the money warrants; allocation of $1 million dedicated to quickly advance our high-grade rare earths project; and our planned work this summer on our highly prospective Vanadium/Titanium Lake Owen project, we expect many catalysts in the coming months to drive shareholder value.”
The 2023 drill program, which encompassed four drill holes, aimed to probe beneath and along the strike of the discovery trench. Notably, drill holes LJ-23-01 and LJ-23-02, the focus of the recent announcement, yielded promising outcomes. These drill holes intersected multiple zones of anomalous REE mineralization associated with pegmatitic syenite to granite intrusives. The mineralization observed in both drill holes exhibited varying characteristics, indicating the presence of potentially significant resources.
William Cronk, Geologist for Troy Minerals, underscored the significance of the initial drilling phase, stating, “Our first phase of drilling at Lac Jacques is very promising.” Cronk emphasized the importance of understanding the orientation of mineralized zones and downhole lithologies, which are critical for delineating mineralization at depth and further along strike. The company is poised to commence its 2024 Phase One program, which will focus on expanding drilling activities along strike and targeting newly identified anomalies.
Notably, the rare earth mineralization discovered at Lac Jacques is heavily enriched in light rare elements, with an average composition of 90%. Additionally, magnetic rare earth oxides comprise an average of 18% of the total rare earth oxide, further highlighting the property’s mineral potential.
While the minerals hosting the mineralization have yet to be definitively identified, preliminary analysis has identified fluorite and apatite, with bastnaesite being a potential candidate. Petrographic analysis is currently underway to confirm the presence of these mineral species.
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