Challenger Exploration

Quarterly Report For The Period Ended 31 December 2022

Challenger Exploration (ASX: CEL) (“CEL” the “Company”) is pleased to provide its Quarterly Activities Report for the period ended 31 December 2022 (“Quarterly”, “Reporting Period”).


Highlights

  • Hualilan Gold Project - San Juan, Argentina
    • Drilling post CEL's Maiden Mineral Resource Estimate (MRE) of 2.1 million ounces (AuEq)1 continues to significantly expand the mineralisation with results Including (Table 4);
      • 50.0m at 3.4 g/t AuEq1 - 2.4 g/t Au, 16.8g/t Ag, 1.8% Zn from 441.0m including,
        40.0m at 4.2 g/t AuEq1 - 2.9 g/t Au, 20.9 g/t Ag, 2.2% Zn from 441.0m including,
        22.5m at 7.0 g/t AuEq1 - 4.8 g/t Au, 33.5 g/t Ag, 3.8% Zn from 456.5m (GNDD-316 ext)
      • 65.3m at 2.4 g/t AuEq1 - 2.3 g/t Au, 1.7 g/t Ag, 0.2% Zn from 209.0m and
        12.2m at 11.0 g/t AuEq1 - 10.1 g/t Au, 11.7 g/t Ag, 1.5% Zn from 324.9m(GNDD-684)
      • 16.5m at 5.9 g/t AuEq1 - 4.1 g/t Au, 18.9 g/t Ag, 3.4% Zn from 53.0 including,
        10.5m at 9.3 g/t AuEq1 - 6.5 g/t Au, 29.6 g/t Ag, 5.3% Zn from 59.1m (GNDD-670),
      • 94.0m at 0.7 g/t AuEq1 - 0.6 g/t Au, 1.2 g/t Ag, 0.1% Zn from 17.0m including
        2.0m at 8.8 g/t AuEq1 - 8.8 g/t Au, 0.2 g/t Ag, 0.1% Zn from 109.0m and
        45.0m at 0.7 g/t AuEq1 - 0.5 g/t Au, 6.3 g/t Ag, 0.2% Zn from 314.0m (GNDD-661);
    • Additional 50,000 metre drill program (to take total metres at Hualilan to 250,000 metres) more that 50% complete (assays pending)
    • Work on an updated MRE based on approximately 200,000 metres of assays underway with a March completion date to be followed by a third update, based on 250,000 metres, in H2 23.
    • Scoping Study commenced with Mining Plus appointed as managers for the Study.
  • El Guayabo/Colorado V Gold/Copper Projects - El Oro, Ecuador
  • 11 hole exploration program targeting the next 8 regionally significant Au-soil anomalies in Ecuador completed with all holes intersecting mineralisation and discoveries on 4 of the 8 anomalies. Outstanding results from first Phase 2 drill holes on the GY-B anomaly (Table 5):
  • 778.2 m at 0.3 g/t AuEq2- 0.2 g/t Au, 0.6 g/t Ag, 0.01% Cu, 0.8 ppm Mo from 77.3m including;
    171.3m at 0.5 g/t AuEq2 - 0.5 g/t Au, 0.9 g/t Ag, 0.01% Cu, 2.1 ppm Mo from 328.1m including;
    98.4m at 0.7 g/t AuEq2 - 0.6 g/t Au, 0.6 g/t Ag, 0.01% Cu, 2.3 ppm Mo from 328.1m and
    150.8m at 0.5 g/t AuEq2 - 0.4 g/t Au, 0.6 g/t Ag, 0.02% Cu, 3.1 ppm Mo from 688.2m including;
    42.5m at 1.4 g/t AuEq2 - 1.3 g/t Au, 1.2 g/t Ag, 0.1% Cu, 2.4 ppm Mo (GYDD-22-019)
    (First hole CP-A Anomaly - new gold discovery)
  • 638.2m at 0.6 g/t AuEq2 - 0.3 g/t Au, 2.1 g/t Ag, 0.1 % Cu, 10.5 ppm Mo from 10.1m including;
    304.3m at 1.0 g/t AuEq2 - 0.5 g/t Au, 3.4 g/t Ag, 0.3 % Cu, 14.5 ppm Mo from 344.0m including;
    108.5m at 2.4 g/t AuEq2 - 1.3 g/t Au, 7.8 g/t Ag, 0.6% Cu, 20.0 ppm Mo from 344.0m including;
    54.2 m at 4.0 g/t AuEq2-2.2 g/t Au, 12.9 g/t Ag, 1.0% Cu, 24.7 ppm Mo (GYDD-22-024)
    (GY-B Phase 2 drilling - hole ending in mineralisation)

CORPORATE

The exploration expenditure for the quarter was $7.7 million including approximately $0.9m Argentinian VAT which will be recouped. Exploration spend was primarily drilling and assay expenditure which accounted for 70% of the total exploration spend and Scoping Study activities of

$150k.

A total of 11,745 metres were drilled during the December Quarter in Hualilan with 3-rigs utilised full time and rig production ahead of budgeted metres. With the drill out for the Hualilan Mineral Resource Update now completed the rig count has been reduced to 2-rigs with a second rig programmed to depart at the end of the quarter. Budgeted drill metres during the current quarter are approximately 7,500 metres, a 40% reduction.

Total drill metres during the quarter in Ecuador were 7,041 metres. Approximately 4,500 metres remain in the program designed to produce a maiden Mineral resource estimate, in accordance with the JORC Code, over the GY-A and GY-B anomalies. Consequently, the company will move from 2-rigs to 1-rig during February with this program expected to be completed around the end of the quarter.

In line with the current drill programs at both projects nearing completion, budgeted exploration spend is forecast to reduce significantly in the current quarter and again into the June quarter.

Net spend during the quarter was $9.1million which included the exploration spend of $7.7 million and Administration and Corporate costs of $1.2M including approximately $0.9m Argentinian VAT which will be recouped. The $1.2M administration and corporate costs included Interest associated with the Convertible Debenture with QRC of $400k. The balance was related to administration and other corporate costs. Amounts payable for staff costs of ($113k) and exploration staff costs ($91K) were to related parties and their associates. Cash at bank at the end of the quarter was $15.4 million.


Click here for the full ASX Release

This article includes content from Challenger Exploration, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.

CEL:AU
The Conversation (0)
John Feneck, gold bars.

John Feneck: Gold Backdrop Looks “Amazing,” Plus 7 Stocks to Watch Now

John Feneck, portfolio manager and consultant at Feneck Consulting, outlines his updated outlook for gold as the yellow metal continues to reach new highs.

He also discusses seven gold and "special situations" companies that are on his radar.

Keep reading...Show less
Athena Gold

Athena Gold Upsizes Flow-Through Private Placement, Announces Concurrent Hard Dollar Unit Offering

Athena Gold Corporation (CSE:ATHA) (OTCQB:AHNR) ("Athena Gold" or the "Company") is pleased to announce that due to strong demand, the Company has increased the size of the non-brokered flow-through private placement previously announced on April 7, 2025, from $500,000 to $700,000 (the "FT Offering"). The FT Offering, as amended, will now consist of up to 14,000,000 flow-through common shares (the "FT Shares") (increased from 10,000,000 FT Shares) at a price of $0.05 per FT Share. All other terms of the FT Offering remain unchanged.

Non-Flow-Through Unit Private Placement

Keep reading...Show less
Castle Minerals (ASX:CDT)

Analyst Spotlight: Castle Minerals' Path to Significant Gold Discovery in Ghana

A recent research report by Terra Studio highlights Castle Minerals’ (ASX:CDT) investment value proposition as a gold exploration company with significant potential in Ghana's gold-rich region. With an enterprise value of just AU$3.4 million, Terra Studio considers Castle Minerals significantly undervalued given its promising drill results, strong government support for its graphite project, and potential for continued discoveries amid record-high gold prices.

Keep reading...Show less
Gold coin stacks with up arrow.

Gold Price Hits New Record, Breaking US$3,300 for First Time

The gold price reached yet another record high on Wednesday (April 16), breaking US$3,300 per ounce.

The precious metal has gained significant momentum since the beginning of the year. In trading on Wednesday it surged past the US$3,200 mark, climbing as high as US$3,354.10 per ounce. The price retreated below the US$3,300 mark on Thursday (April 17).

The rise comes after statements from US Federal Reserve Chairman Jerome Powell made at the Economic Club of Chicago on Wednesday. In his remarks, he said that he expects US President Donald Trump's tariff policy to negatively impact US economic growth and further fuel inflation.

Keep reading...Show less
Three gold bars on price chart with magnifying glass.

What Was the Highest Price for Gold?

Gold has long been considered a store of wealth, and the price of gold often makes its biggest gains during turbulent times as investors look for cover in this safe-haven asset.

The 21st century has so far been heavily marked by episodes of economic and sociopolitical upheaval. Uncertainty has pushed the precious metal to record highs as market participants seek its perceived security. And each time the gold price rises, there are calls for even higher record-breaking levels.

Gold market gurus from Lynette Zang to Chris Blasi to Jordan Roy-Byrne have shared eye-popping predictions on the gold price that would intrigue any investor — gold bug or not.

Keep reading...Show less
1 ounce gold bullion bar on top of US$100 bill and Tax Form 1040.

US Capital Gains Tax Guide for Gold and Silver Investors

As gold and silver continue to prove their worth as sound investments, market participants should know how precious metals investments are taxed in the US.

While the majority of gold and silver investing comes with a certain degree of taxation, there are different levels of tax based on how market participants decide to invest in these precious metals, how long the investments are held for and the investors individual tax bracket.

Read on for a breakdown of the taxes associated with investing in gold and silver bullion, ETFs and stocks, as well as the forms involved with reporting precious metals investments.

Keep reading...Show less

Latest Press Releases

Related News

×