NGEx Minerals: Drilling into High-Grade Lunahuasi Potential

In the ever-evolving world of mineral exploration, NGEx Minerals has recently reported its Q3 2024 results, highlighting significant progress at the high-grade Lunahuasi project. As an investor with a keen eye on stability and consistent growth, I find NGEx's recent developments intriguing. Let's dive into the details and explore the potential implications for the company and its shareholders.

NGEx Minerals has successfully closed a non-brokered private placement, raising CAD$176.9 million. This substantial influx of capital will strengthen the company's treasury and provide ample funds for ongoing exploration at Lunahuasi. With a cash position of CAD$44.1 million as of September 30, 2024, NGEx is well-positioned to execute its aggressive exploration strategy.

The Phase 3 drill program at Lunahuasi, commencing in October 2024, aims to double the total drill metres completed to date, targeting up to 20,000m of diamond drilling. This expansion will allow for a more comprehensive exploration of the deposit, which remains open in all directions. The increased number of drill rigs, now six in operation, is expected to accelerate the drilling process and potentially shorten the timeline for initial results.



The expanded mineralized volume and open directions of the Lunahuasi deposit significantly influence the scope and strategy of the Phase 3 drill program. With the deposit now measuring at least 900m east-west, 400m north-south, and 960m vertically, the program will focus on step-out and infill drilling to develop an initial Exploration Target under National Instrument 43-101. This strategy will enable NGEx to better understand the high-grade mineral system at Lunahuasi and potentially uncover further discoveries.

As an investor, I am encouraged by NGEx's strategic plans for allocating the new funds. The company aims to maximize exploration success and growth at the Lunahuasi project by drilling 20,000 meters, doubling the total drilled to date. This aggressive exploration strategy, coupled with the strong financial position, demonstrates NGEx's commitment to advancing its understanding of the Lunahuasi deposit and potentially developing an initial Exploration Target.

In conclusion, NGEx Minerals' recent Q3 2024 results and the restart of drilling at the high-grade Lunahuasi project present an exciting opportunity for investors. With a strong financial position, a well-defined exploration strategy, and a promising mineral deposit, NGEx is poised to create significant shareholder value. As a value investor, I will continue to monitor NGEx's progress and consider the potential long-term benefits of this financing for the company's exploration activities and overall growth strategy.