Piche Resources (ASX:PR2) has confirmed that RC drilling at its Cerro Chacón gold project in Chubut Province, Argentina, is set to start in October.
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The company has secured the drill rig, completed the necessary payments, and confirmed weather conditions are now favourable for the launch of its maiden drilling program at the site. The upcoming campaign will cover 8,500 metres and is designed to evaluate high-priority targets across three project areas situated within a 12-kilometre structural corridor. According to the company, each of these areas contains multiple zones of interest with strong discovery potential.
Cerro Chacón is interpreted to host a large, low-sulphidation epithermal gold-silver system. The geological characteristics of the project have been described as comparable to multi-million-ounce gold deposits found in Argentina’s Santa Cruz Province, specifically those hosted in Jurassic volcanics such as Cerro Negro and Cerro Vanguardia.
These analogies provide a geological framework that supports the company’s view of the project’s potential scale and mineralisation style.
Drilling will test the extent and grade of mineralisation to refine Piche Resources’ understanding of the system and identify potential development pathways. The decision to commence drilling follows a period of preparation that included logistical arrangements and technical planning.
With favourable conditions now in place, the Australian explorer now sees all requirements to initiate the program as having been met.
The 8,500-metre RC program represents the first substantive exploration undertaken by Piche Resources at Cerro Chacón. Results are expected to provide the company with its initial dataset to assess the potential economic viability.
While specific timelines for reporting results were not disclosed, drilling activity commencing in mid-October suggests that initial outcomes may follow in subsequent months, subject to operational progress.
PR2 headed into Thursday’s trade selling at around 14cps.
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