Diablo Completes Maiden Drilling and Secures $2M Capital for Utah Copper Expansion
Diablo Resources has completed its maiden drilling at the Phoenix Copper Project in Utah and secured $2 million in fresh capital to accelerate exploration and expand its US critical minerals portfolio.
- Maiden drilling program completed at Phoenix Copper Project with assay results due Q4 2025
- Secured permits for up to 36 drill holes at Stateline Claim Block, drilling to start soon
- Raised $396,000 during the quarter and a subsequent $2 million placement
- Expanded land holdings with additional claims staked along key mineralised faults
- Relinquished Devil’s Canyon Project to focus on higher-priority US critical minerals assets
Exploration Milestones at Phoenix Copper Project
Diablo Resources has marked a significant step forward with the completion of its maiden drilling program at the Phoenix Copper Project in Utah. The program comprised nine holes totaling 646 meters across the Philadelphia and Trenton prospects, areas that had not seen recent drilling activity. These initial holes targeted high-grade copper mineralisation identified through surface sampling, with assay results expected in the fourth quarter of 2025.
The Phoenix Project is strategically located near the producing Lisbon Valley Copper Mine, within a renowned mining district. The company’s focus on sediment-hosted copper mineralisation along the Philadelphia Fault and other regional structures underpins its exploration strategy.
Expanding Footprint and Drilling Plans
During the quarter, Diablo expanded its land position by staking 18 additional claims covering approximately 360 acres along the southwestern extension of the Philadelphia Fault. This move consolidates a highly prospective structural corridor and supports ongoing soil sampling programs aimed at refining drill targets.
Importantly, the company secured Bureau of Land Management permits for up to 36 drill holes across 12 pads at the Stateline Claim Block, with drilling logistics underway and operations scheduled to commence imminently. This next phase will test shallow-dipping mineralisation along the Fair Dinkum Prospect and other regional targets identified through recent stream sediment sampling.
Capital Raising to Accelerate Growth
Financially, Diablo Resources raised $396,000 during the quarter through a placement to professional investors, supplemented by a subsequent $2 million capital raise completed post-quarter. The latter placement, priced at A$0.034 per share, was strongly supported by institutional and sophisticated investors and is earmarked to fund the acquisition of the Star-Range Silver-Antimony Project in Utah, as well as to advance exploration at Phoenix and evaluate further critical minerals opportunities in the US.
To conserve cash, the board and CEO agreed to receive accrued fees in equity, reflecting a disciplined approach to capital management amid active exploration.
Strategic Portfolio Focus
In a strategic pivot, Diablo relinquished its Devil’s Canyon Project in Nevada to concentrate resources on higher-priority critical minerals projects within its US portfolio. This decision underscores the company’s commitment to focusing on assets with the greatest potential to deliver value in the rapidly evolving critical minerals sector.
With a cash balance of $124,000 at quarter-end, bolstered by the recent placement, Diablo is well positioned to execute its exploration and acquisition plans in the coming months.
Bottom Line?
As assay results and new drilling commence, Diablo’s US critical minerals ambitions are poised for a defining phase.
Questions in the middle?
- What will the maiden drilling assay results reveal about the copper grades and mineralisation continuity?
- How will the acquisition of the Star-Range Silver-Antimony Project impact Diablo’s portfolio and valuation?
- What are the timelines and expected outcomes for the upcoming drilling at the Stateline Claim Block?
