In what is being flagged as a near-term catalyst, NewPeak Metals Ltd (ASX:NPM, OTC:NPMFF, FRA:NPM) will start drilling later this month at its 100% owned Las Opeñas Gold Project in San Juan Province, Argentina.
This is one of South America's premier gold districts, with Las Opeñas on the same set of structural trends that host Barrick/Shandong's multi-million-ounce Veladero Mine and Pascua-Lama deposits.
Las Opeñas location.
NPM has engaged Argentine contractor Ecominera for a minimum 2,500-metre diamond drilling program at Las Opeñas, with scope to expand the campaign depending on results, ongoing mapping, historical geochemical review and funding considerations. Early site works are already underway, including road access upgrades and the establishment of a camp near Malimán de Abajo.
The program has been designed to test a large breccia target mapped across about 800 metres by 600 metres at surface, with the main breccia zone identified as the principal follow-up target after a 2025 geological review.
“The Board and I are excited to commence drilling at Las Opeñas, with preparations already well underway and major suppliers engaged. Las Opeñas has immense potential given its geologic setting, and historic drill intercepts support potential for a large-scale gold deposit similar to others in the district such as Barrick/Shandong’s Veladero mine which lies further west on the El Indio Belt,” NPM managing director, Mark Purcell, said.
“We are targeting a major gold-dominant epithermal system with the potential for broad bulk-tonnage mineralisation at depth, consistent with deposit styles found in the El Indio Belt. The minimum 2,500m program is designed to systematically test the breccia target, while retaining optionality to expand.
“We are also expecting to receive assay results from recent drilling at our Tansey Gold Project in south-east Queensland during mid-late April. These results also have the potential to progress the discovery of a large, high-grade gold deposit located in proximity to an old underground gold mine that was abandoned in the 1940s and was mined to depth in excess of 80 metres.
Targeting the El Indio Belt in San Juan
Las Opeñas sits in the eastern frontal cordillera of the El Indio Belt, a prolific South American gold district that hosts major deposits including Veladero and Pascua-Lama. NewPeak is targeting a gold-silver-polymetallic system and believes the geology points to potential for a large-scale mineralised system.
Historic drilling completed between 2012 and 2014 returned broad mineralised intersections, including 115 metres at 0.58 grams per ton (g/t) gold, 3.5 g/t silver, 0.24% lead and 0.65% zinc from 18 metres to end of hole, as well as 29 metres at 0.57 g/t gold and 9.9 g/t silver from 65 metres. The company said these results support the scale potential of the breccia area.
NewPeak’s review has outlined two mineralisation phases at the project: a broad, silver-dominated phase in phreatic breccias and a later gold-silver-polymetallic phase in discrete hydrothermal breccias that appears to strengthen at depth.
What comes next
Beyond the late-April drilling start at Las Opeñas, investors can expect several near-term updates from NewPeak.
Assay results from recent drilling at its Tansey Gold Project in south-east Queensland are due in mid to late April, while a Las Opeñas drilling progress update is expected in May to June and first assays from the Argentine campaign are anticipated in July to August.
Taken together, the upcoming drill start, follow-up updates and Tansey assays give NewPeak a string of short-term exploration milestones as it advances its gold-focused portfolio in Argentina and Australia.
“With multiple upcoming catalysts, and unique funding flexibility, NewPeak is well positioned to create meaningful value uplift for shareholders,” Purcell said.