TNR Gold Corp (TSX-V:TNR, OTC:TRRXF) has said that, following the news of another multi-million-dollar investment at its Los Azules royalty project, operators McEwen Mining reported new copper values over extensive widths resulting from infill and step-out exploration drilling.
Highlights from the drill results include 1,052 meters (m) of 0.29% copper (Cu), including 480.0m grading 0.42% Cu, which is coincident with a prominent deep geophysical anomaly and showcases the potential to meaningfully expand Los Azules through exploration, according to a release from McEwen.
Delineation drilling also returned 236m of 1.39% Cu and 0.19 g/t gold (Au), including 42m of 2.78% Cu, which the operator said “demonstrates strong internal continuity of the high grade mineralization from the current infill program and further de-risks our geological model.”
TNR holds a 0.4% net smelter returns royalty (of which 0.04% of the 0.4% NSR Royalty is held on behalf of a shareholder) on the Los Azules project, which is located in San Juan, Argentina.
Los Azules was ranked in the top 10 largest undeveloped copper deposits in the world by Mining Intelligence in 2022.
'Strong team performance'
TNR Gold CEO Kirlll Klip told investors that the new exploration results highlight the potential to create additional value for the Los Azules project, adding that the continuity of mineralization in the infill program is de-risking the project.
"Strong team performance is accelerating McEwen Copper Los Azules program in 2023,” Klip said.
Earlier, McEwen Mining announced another US$30 million investment by Nuton LLC, a Rio Tinto venture.
"It's very encouraging to see the opportunity to expand the deposit, and the involvement of Rio Tinto, which may accelerate realizing the enormous potential of the Los Azules project with Rio Tinto's innovative technology,” Klip added.
“Together with Nuton, McEwen Copper is exploring new technologies that save energy, water, time and capital, advancing Los Azules towards the goal of the leading environmental performance.”
Green energy 'rEVolution'
Klip noted that TNR Gold does not have to contribute any capital for the development of Los Azules.
“The essence of our business model is to have industry leaders like McEwen Mining as operators on the projects that will potentially generate royalty cashflows to contribute significant value for our shareholders,” he said.
"Green energy rEVolution relies on the supply of critical metals like copper; delivering ‘green copper’ to Argentina and the world will contribute to the clean energy transition and electrification of transportation and energy industries.”
Contact Angela at angela@proactiveinvestors.com
Follow her on Twitter @AHarmantas