Piche Resources has received formal environmental approval to begin its maiden drilling campaign at the Cerro Chacon gold-silver project in Argentina, targeting a 14 km mineralised corridor with 57 planned drill holes.
- Environmental Impact Assessment approved for Chacon South and Middle
- Maiden reverse circulation drilling program with 57 holes planned
- Targets include high-grade gold assays up to 11.65 g/t and silver over 200 g/t
- Drilling contract negotiations nearing completion
- Project located in a highly prospective region with significant nearby precious metal operations
Regulatory Milestone Unlocks Drilling
Piche Resources Limited (ASX – PR2) has reached a critical juncture in its exploration journey at the Cerro Chacon gold-silver project in southern Argentina. The company announced formal approval of its Exploration Environmental Impact Assessment (EIA) Reports for the Chacon South and Chacon Middle areas, clearing the way for its inaugural reverse circulation (RC) drilling campaign. This regulatory green light follows a thorough review process and a mandatory public consultation period, underscoring the project's commitment to environmental and social responsibility.
Ambitious Drilling Program Targets Multiple Prospects
The upcoming drilling program is designed to test a 14-kilometre-long mineralised corridor characterised by a low-sulphidation epithermal vein system. Piche plans to drill 57 RC holes totaling approximately 7,905 metres across three primary prospects – the Chacon Grid in the northwest, La Javiela centrally, and Toro Hosco to the south. Preparations are well advanced, with 16 kilometres of new access tracks and drill pads for the first 20 holes already completed.
Each prospect presents compelling exploration targets. The Chacon Grid features a well-developed vein and stockwork system up to 50 metres wide, with surface assays showing gold grades up to 7.6 g/t and silver up to 126 g/t. La Javiela offers strong multi-element geochemical signatures, including silver assays reaching 333.7 g/t and notable base metal values. Toro Hosco stands out with the highest-grade gold assay recorded to date at Cerro Chacon, reaching 11.65 g/t, alongside significant silver and base metal anomalies.
Strategic Location in a Proven Mining District
The Cerro Chacon project sits within a prolific gold-silver belt in southern Argentina, home to several world-class deposits such as Cerro Vanguardia and Cerro Negro. These neighbouring operations boast multi-million-ounce gold and silver endowments, highlighting the region's rich mineral potential. Piche's project shares similar geological characteristics, including extensive quartz and chalcedony vein systems and structurally controlled mineralisation, which bodes well for future resource development.
Geophysical surveys, including magnetic and induced polarisation studies, have complemented extensive geochemical sampling, enabling Piche to define robust drill targets. The integration of these datasets has been pivotal in delineating the mineralised corridor and prioritising drilling locations.
Next Steps and Market Implications
With drilling contract negotiations in the final stages, Piche is poised to commence its maiden drilling campaign imminently. The results from this program will be closely watched by investors and industry observers, as they will provide the first direct insights into the project's mineral resource potential. Success here could significantly enhance Piche's standing in the precious metals exploration sector and attract further investment interest.
Bottom Line?
As Piche prepares to drill, the market awaits the first assays that could unlock Cerro Chacon’s true potential.
Questions in the middle?
- When will Piche announce the start date and initial results of the drilling program?
- How will the drilling outcomes influence Piche’s resource estimates and project valuation?
- Could environmental or logistical challenges delay the drilling campaign despite approvals?