Mithril (ASX:MTH) picks up Mexican momentum with cornerstone investment

Mithril (ASX:MTH) picks up Mexican momentum with cornerstone investment

June 26, 2024 Off By Jack Baker

Mithril Resources has the cornerstone backing of a major minerals player to fast track drilling and produce a resource upgrade from its Copalquin District Mining Concessions in Mexico.

The $3.7 million raising came at 20c a pop and a 29 per cent premium to its last-traded price, with Jupiter Gold and Silver Fund jumping in with $2 million for a stake of about 10% as a cornerstone investor.

Jupiter has around a billion dollars worth of assets under its management and must have liked what it saw in the Mexican operation from a recent field trip.

Drilling is already underway but will now be more than doubled to 9000 metres, to run near-on continuously through to year’s end.

A maiden campaign returned a 2.416 million tonne resource at 4.8 grams per tonne gold and 141g/t silver from 15 months of drilling at an all-in discovery cost of US$14.30 an ounce gold-equivalent.

Mithril Resources Managing Director and Chief Executive John Skeet said the company was very happy to welcome Jupiter to the register.

“In October 2023, we hosted Jupiter on a site visit at our Copalquin project in Mexico and they obviously liked what they saw given this A$2 million or about 10 per cent investment,” he said.

“The additional funding allows Mithril to continue drilling at Copalquin throughout the remainder of 2024.

“Placing us on track to update the high-grade resource at the Target 1 area in Q1 2025, aiming (to) 2x current Target 1 resource, and to test adjacent targets.”

The last drilling in the Target 1 area returned very encouraging intercepts to the tune of 80.3g/t gold and 705g/t silver over 8.26m and deep high-grade intercepts which brought mineralisation closer to potential access.

The 70 square kilometre landholding contains dozens of historic operations and sits within a Sierra Madre gold-silver trend active with large North American miners.

And Mithril intends to join them on a continental exchange, expecting to begin its dual-listed status on the Toronto Venture Exchange by as soon as August 2024.

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