Here’s why the Chalice Mining share price slid 8% today

The miner has had a rough start to the week.

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a female miner looks straight ahead at the camera wearing a hard hat, protective goggles and a high visibility vest standing in from of a mine site and looking seriously with direct eye contact.

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Key points

  • Chalice Mining shares finished 8% in the red today
  • Investors were selling off Chalice Mining shares today amid the release of the company's quarterly activities report
  • In the last 12 months, the Chalice Mining share price has remained steady

The Chalice Mining Ltd (ASX: CHN) share price slipped 8% on Tuesday. Investors sold off or reduced their positions in Chalice today following the release of the company’s quarterly activities report.

The Chalice Mining share price closed at $6.50, after gliding down from a high of $6.85 early this morning.

The graph below shows the company’s share price has been on a downward trajectory since it spiked in November 2021.

TradingView Chart

Chalice share price slides on quarterly results

Highlights from the quarter include:

  • Wide spaced step-out drilling is continuing at Gonneville with another Mineral Resource update targeted for June 2022.
  • Eight of 70 planned sites have been drilled at Hartog to date, with final approvals imminent on access restrictions
  • A new magnetic feature identified at the Flinders target at Gonneville
  • Scoping Study for initial mine development at Gonneville targeted for Q3 2022
  • Ended the quarter with approximately $54.5 million in cash.

What else happened this quarter for Chalice Mining?

The company says that resource definition and extensional drilling at the Gonneville deposit continued on company-owned farmland during the quarter.

Additional drilling outside of the deposit has revealed further mineralisations and “extend[ed] the high-grade zones up to 400m beyond the limit of the current Resource pit shell,” Chalice notes.

The release notes that Chalice is also in ongoing “access discussions” to obtain what it calls “the Julimar State Forest, Bindoon Training Area and private farming properties”.

Otherwise, Chalice gave an in-depth presentation of each of its resource estimates and updates on each of its respective assets.

What’s next for Chalice?

Chalice says that it is continuing baseline environmental surveys at its Julimar site. These include ground water, surface water, flora, fauna, and dieback studies, according to the company.

“The intention is to compile sufficient baseline environmental data to support a potential project referral, expected in early 2023,” it mentioned.

With respect to exploration drilling at its Hartog target, a total of 70 drill sites are planned across the target area. This will extend from Hartog to Dampier.

Chalice notes that high-priority targets will be drilled and tested once final permitting approvals have been received.

Chalice Mining share price snapshot

In the last 12 months, the Chalice Mining share price has remained even.

This year to date, though, it has fallen 32% into the red after a 12% loss this past month.

Motley Fool contributor Zach Bristow has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. 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.

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