AusQuest Launches Major Drilling Push at Cangallo Copper-Gold Discovery
AusQuest Limited has kicked off an extensive new drilling campaign at its Cangallo copper-gold project in Peru, aiming to expand mineralisation and uncover higher-grade copper sulphides beneath the surface.
- Over 6,000 metres of RC drilling underway to expand copper-gold mineralisation
- Deep diamond drilling planned to test higher-grade hypogene sulphide targets
- Current mineralisation extends 1,500m along strike and up to 400m deep
- Permitting for further southern extension drilling expected by Q3 2026
- Potential for heap leach processing supported by shallow oxide copper zones
AusQuest Advances Cangallo Exploration
AusQuest Limited (ASX:AQD) has commenced a significant new phase of reverse circulation (RC) drilling at its wholly owned Cangallo copper-gold discovery in Peru. The program, targeting over 6,000 metres across 14 to 16 drill holes, aims to expand the known footprint of mineralisation and test for higher-grade copper sulphides beneath the oxide zones already identified.
The Cangallo project has already demonstrated a large-scale mineralised system, with broad-spaced drilling revealing a continuous corridor of copper and gold extending more than 1,500 metres along strike, 250 to 500 metres wide, and to depths exceeding 400 metres. Notably, many intervals have returned copper grades above 0.3%, with some zones exceeding 0.5%, highlighting the potential for economically significant mineralisation.
Testing for Higher-Grade Mineralisation
This latest drilling phase is designed not only to delineate the extent of oxide copper mineralisation but also to probe beneath it for hypogene sulphide mineralisation, which typically carries higher copper grades. Following the RC drilling, AusQuest plans to initiate deep diamond drilling to test these sulphide targets, potentially unlocking richer ore zones that could enhance the project's value.
Importantly, the shallow oxide mineralisation, extending from surface to depths of around 200 to 250 metres, transitions into mixed oxides and secondary sulphides down to 300 metres. This geological setting supports the potential for heap leach processing, a cost-effective extraction method that could improve project economics.
Looking Ahead
Permitting is underway for a Stage 4 RC drilling program targeting the southern extension of the Cangallo porphyry system, with final approvals anticipated in the third quarter of 2026. AusQuest’s Managing Director, Graeme Drew, expressed optimism about the project’s trajectory, noting the expanding mineralised footprint and emerging higher-grade zones as promising signs for the discovery’s future.
As drilling progresses and assay results come in over the coming months, the market will be watching closely to see how these developments translate into resource growth and potential project advancement.
Bottom Line?
AusQuest’s ongoing drilling at Cangallo could soon redefine the scale and grade of this promising copper-gold discovery.
Questions in the middle?
- Will the upcoming diamond drilling confirm the presence of higher-grade hypogene copper sulphides?
- How might the expanded mineralisation footprint impact AusQuest’s resource estimates and valuation?
- What are the potential timelines and hurdles for advancing from exploration to development at Cangallo?
