Alvo Minerals Advances Palma Exploration with Strong Touro Drilling Results

Touro Prospect Drilling Confirms High-Grade Mineralisation

Alvo Minerals (ASX:ALV) has wrapped up Phase 1 drilling at the Touro prospect, part of its expansive Palma Copper-Zinc Project in Brazil, with assays revealing encouraging grades that include 2.3 metres at 1.9% copper equivalent (CuEq) from 126.9 metres and a standout 0.5 metres at 3.9% CuEq within that intercept. The mineralisation notably features higher gold and silver grades than typically seen across the Palma project, with gold up to 2.66 g/t and silver reaching 111 g/t.

Drilling encompassed 12 holes totalling 2,208 metres, with mineralised sulphides intercepted in all but one hole, which was stopped prematurely. The mineralisation extends over a strike length of approximately 1.1 kilometres and remains open at depth and along strike, with visual sulphide mineralisation confirmed in hole PDT-132 at Touro North, 200 metres below surface, intersecting 10 metres of semi-massive and disseminated sulphides. Subsequent downhole electromagnetic (DHEM) surveys have identified off-hole high conductance plates, indicating potential for further extensions.

Cutting-Edge Geophysical Survey Enhances Targeting

Palma’s exploration arsenal was bolstered by a drone-based airborne magnetometer survey (“MagDrone”) conducted by the Serviço Geológico do Brasil (SGB), Brazil’s national geological survey, under a zero-cost scientific cooperation agreement. This survey, the first deployment of drone magnetometry by the SGB, covered the C1 and C3 deposits and surrounding prospective ground. Processed results expected in the September quarter will be integrated with previous gravity surveys and Alvo’s geological datasets to refine drill targets across the district.

Advancing Other Prospects and Rare Earth Elements Projects

Beyond Touro, exploration continues at the Esperanza and Entre Rios prospects. At Esperanza, drilling intercepted disseminated copper and zinc sulphides associated with hydrothermal alteration, while deeper geophysical surveys revealed new high conductance targets. Entre Rios remains under evaluation after a single hole intercepted hydrothermal alteration but no significant mineralisation, with assay results pending and the prospect potentially to be downgraded if results are unencouraging.

Alvo also progressed its Bluebush and Ipora Rare Earth Element (REE) projects, focusing on ionic clay-type REEs, an emerging critical minerals frontier in Brazil. Reviews of exploration potential and corporate strategy are ongoing in preparation for further work.

Strategic Placement Strengthens Financial Position

In May, Alvo completed a A$1.25 million placement to strategic investors at a 15% premium to the then share price, boosting its treasury to support ongoing exploration activities. The company reported operating cash outflows of A$997,000 for the quarter, offset by financing inflows of A$1.283 million, resulting in a closing cash balance of A$1.106 million. Alvo Services also completed a geophysical equipment rental contract, with further contract bids underway that could impact future revenues.