Basic Materials

Thick copper intersection sends Culpeo Minerals 80% higher

Mon 20 Jun 22, 11:57am (AEST)
Coils of copper lying next to each other
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Key Points

  • Culpeo Minerals’ share price has jumped 80% in late morning trade to 36.5c
  • Company reports thick copper mineralisation at the Lana Corina project in Chile
  • Fresh drill results come from previously unexplored area in acreage thought to provide evidence of even larger deposit

Culpeo Minerals (ASX:CPO) has been smashed out of the ballpark in late morning trades with an 80% jump in its share price. 

The dramatic price movement follows Culpeo’s fresh reports of an eighty metre thick intersection of a drill core containing copper. 

Culpeo’s Lana Corina project, where the core was drilled, is located in the Coquimbo region of Chile popular for copper miners. 

The company acquired an 80% stake in the project only months ago in March. 

Whether or not the share price will sustain its newly met enthusiasm remains to be seen. It's worth noting today's results reflect a lower-grade copper than that encountered on the 6th of June earlier this month.

Also worth noting is that Culpeo’s share price spiked nearly first-thing after the morning bell.

A map locating drill targets at Culepo's Lana Corina project (80% interest)
A map locating drill targets at Culpeo’s Lana Corina project (80% interest)

Strong evidence for high grade copper system 

Company management notes the fresh results, which follow another 173m intersection reported earlier this month, provide further evidence of a major copper deposit. 

Through the latest drilling campaign, the company has also discovered a previously unrecorded copper target for future exploration. 

Drill hole CMLCD005 was struck in the north-east sector of the project acreage, targeted after an earlier magnetic survey detected possible mineralisation underground. 

That magnetic survey appears to have paid off. 

Large project size of interest to investors 

More or less immediately after acquiring its 80% interest in Lana Corina, Culpeo Minerals commenced maiden drilling. 

The project is believed to be associated with a geological structure highly prospective for copper with dimensions of some 1,000m strike length and up to 400m wide. 

Assay results for four drill holes have now been returned, with today’s fresh results demonstrating a clear interest from the market. 

Given today’s results are from an area on-site previously unexplored and further out from the other drill holes, Culpeo is hopeful mineralisation extends further than thought. 

The project is also prospective for Molybdenum. 

Hoo boy: a look at Culepo's last three month on the charts versus the materials index (XMJ)
Hoo boy: a look at Culpeo's last three month on the charts versus the materials index (XMJ)

 

What have Culpeo Minerals found in Chile? 

The company is reporting two thick core intersections from drill-hole CMLCD005. The results are: 

  • 49m @ 0.83% copper from 216m depth to 265m depth 

  • 80.87m @ 1.06% copper from 302m depth to 383m depth 

Medium grade copper generally sits between at 0.5% to 1.5% copper.

Anything over 1.5% is considered high grade.

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Written By

Jonathon Davidson

Journalist

Jonathon is a journalism graduate and avid market watcher with exposure to governance, NGO and mining environments. He was most recently hired as an oil and gas specialist for a trade publication.

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