Challenger Exploration (ASX:CEL) delivers exceptional gold results

The Challenger Exploration Ltd (ASX: CEL) share price is 5% higher after releasing outstanding gold sampling results

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Challenger Exploration Ltd (ASX: CEL) has announced that it has hit outstanding sampling results at its flagship Hualilan Gold Project in Argentina. A positive stream of high-grade mineralisation news has pushed the Challenger Exploration share price up almost 50% this year. Although the company is in its early exploration days, the positive news continues to add to its overall growth strategy. With this in mind, Challenger aims to become a globally significant gold producer.

Challenger Exploration share price up 5% on sampling results 

Challenger Exploration revealed its first results from its Main Manto rock saw channel within the Hualilan project. The results include the following: 

  • 71.0m at 10.8 g/t AuEq2 – 9.2 g/t Au, 22.5 g/t Ag, 3.0% Zn in combined Zone 1 and Zone 2

Commenting on the results, Challenger Explorer Managing Director, Mr Kris Knauer said: 

These near surface results are exceptional and continue to reinforce our belief we have a significant gold system at our flagship Hualilan Gold Project in Argentina. We can see that mineralisation is wider than expected near surface and has A strong correlation with high-grade drill hole results down dip and Historical sampling based on the presence of visual sulphides missed broader near surface zones. This is a further important step in delivering on our strategy to become a globally significant gold producer initially targeting high grade shallow mineralisation.

Company overview 

Challenger Exploration possesses two gold projects, the Hualilan Gold project in Argentina and El Guayabo/Colorado V Project in Ecuador. 

The Hualilan project was previously locked up in a dispute 15 years prior to Challenger's ownership. The company believes there is a historical resource of 627,000 ounces of gold at 13.7 g/t. Albeit a non-JORC compliance resource. Continued sampling and drilling are expected to extend the project's existing mineralisation. Additionally, it will support multiple resource upgrades in the near term. 

Challenger Exploration has undertaken extensive exploration over the past 12 months. The intention behind the exploration is to generate targets for drilling and land acquisition at El Guayabo. The project is a step behind the Hualilan project with ongoing channel sampling and assaying. The company is looking to finalise its targets for the upcoming drilling program. 

Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News

Two smiling work colleagues discuss an investment or business plan at their office.
Broker Notes

Which beaten down ASX 200 share did Goldman Sachs just upgrade to a buy rating?

The broker has become more bullish on this stock following last week's update.

Read more »

Hand holding Australian dollar (AUD) bills, symbolising ex dividend day. Passive income.
Best Shares

The best ASX shares to invest $1,000 in right now

Analysts think that putting your money into these stocks could be a smart move.

Read more »

green etf represented by letters E,T and F sitting on green grass
Share Market News

4 ASX ETFs to buy for FY25 and beyond

Could these ETFs be top options for investors looking for long term picks?

Read more »

A smiling woman sips coffee at a cafe ready to learn about ASX investing concepts.
Opinions

How I'd invest $10,000 in ASX shares right now

I’m bullish about the prospects of these stocks.

Read more »

A fortune teller looks into a crystal ball in an office surrounded by business people.
Share Market News

What's the outlook for shares vs. property in FY25?

Generally speaking, there is optimism among the experts for both shares and property in FY25.

Read more »

Happy shareholders clap and smile as they listen to a company earnings report.
Best Shares

Top ASX shares to buy before earnings season

It's almost time to take a look at the books!

Read more »

sad party goer sitting alone after celebration
Share Market News

Here are the top 10 ASX 200 shares today

The ASX 200 had a horrible end to its trading week this Friday.

Read more »

A young female investor sits in her home office looking at her ipad and smiling as she sees the QBE share price rising
Broker Notes

3 ASX shares brokers tip for significant outperformance in FY 2025

Leading brokers expect some significant outperformance from these three ASX shares.

Read more »