Xali Gold (TSX-V:XGC) has completed an environmental permit application covering up to 20,000m of drilling at its Pico Machay Gold Project in Huancavelica, Peru.
The company expects to submit the Ficha Técnica Ambiental (FTA) application to Peru’s Ministry of Energy and Mines on 21 or 22 October.
Submission is awaiting ministry documentation confirming attendance at the public information workshop held with the Comunidad Campesina de Salcca Santa Ana on 7 October.
The application covers resource confirmation and exploration drilling from up to 20 platforms. Xali says it initially plans approximately 3,000m of diamond drilling, including about 2,000m to twin selected historical reverse circulation holes within the historical resource area.
President and CEO Joanne Freeze says the program is intended to support an updated mineral resource estimate and subsequent preliminary economic assessment (PEA).
“The program is planned to verify historical drilling results and improve our understanding of the controls to gold mineralisation, providing a stronger foundation for the resource update,” Freeze says.
“The PEA will evaluate potential development options and project economics, helping us define the next steps for advancing Pico Machay.”
Xali has appointed DKT Geosolutions for resource estimation, AGP Mining Consultants for mine engineering, and Transmin Metallurgical Consultants for metallurgical work.
The application follows completion of the community workshop. Regulatory approval remains required before drilling can proceed.
Pico Machay sits within the Southern Peru Epithermal Gold-Silver Belt and hosts a historical resource alongside several untested exploration targets.
Xali Gold is a Canadian gold and silver explorer focused on the Pico Machay project in Peru.
Write to France Pinzon at Mining.com.au
Main image: Xali Gold
