Collective Mining's Apollo System: A High-Grade Catalyst for Shareholder Value in 2025

Collective Mining Ltd. (CNL) has emerged as a standout in the underfollowed polymetallic exploration sector, with its Apollo system in Colombia's Guayabales Project delivering a string of high-grade drill results that could redefine the company's value proposition. The recent 183.7-meter intercept at 3.01 g/t gold equivalent (AuEq)—a result that includes 0.86 g/t gold, 44 g/t silver, 0.83% copper, and 0.14% tungsten trioxide (WO₃)—is not just a technical milestone but a catalyst for near-term shareholder value creation. This intercept, combined with a fully funded 70,000-meter drilling program and the arrival of a second deep-capacity rig, positions CNL as a high-conviction play in the gold-copper-silver-tungsten space.

A Polymetallic Powerhouse with Open Expansion Potential

The Apollo system, a vertically extensive polymetallic deposit, has demonstrated exceptional continuity from surface to over 1,200 meters depth. The latest drilling results, including the 183.7m @ 3.01 g/t AuEq intercept, underscore the deposit's potential as a bulk-tonnage resource. The AuEq calculation, which incorporates gold, silver, copper, and tungsten, uses conservative metal prices ($2,200/oz Au, $33/oz Ag, $4.62/lb Cu, $15.51/lb WO₃) and recovery rates (97% Au, 85% Ag, 95% Cu, 72% WO₃), ensuring robust economic modeling. True widths of the mineralized zones range from 60% to 100% of the drill core length, further validating the resource's viability.

The shallow drilling program has already expanded the Apollo system's mineralized envelope by 5%, with an average drill hole spacing of 35 meters from surface to 150 meters depth. This systematic expansion, coupled with the discovery of the Ramp Zone—a high-grade subzone at ~1,000 meters depth—has opened new avenues for growth. The Ramp Zone's 57.65m @ 8.18 g/t AuEq intercept, including 18.85m @ 20.21 g/t AuEq, mirrors the characteristics of the nearby Marmato Deeps deposit, a large gold operation operated by Aris Mining. This geological analogy, combined with the presence of bismuth- and tellurium-bearing sulfides, suggests the Ramp Zone could evolve into a standalone underground mining target.

Drill-Driven Upside: A Fully Funded 70,000-Meter Program

Collective Mining's 2025 drilling program is a masterclass in resource expansion strategy. With 10 rigs currently operational and a second deep-capacity rig arriving to test the Ramp Zone, the company is accelerating its exploration of both shallow and deep mineralization. As of July 2025, 93,000 meters of drilling have been completed at the Apollo system, with 31 holes still pending assay results. This backlog of untested data creates a “pipeline” of potential discoveries, which could drive further resource upgrades and investor optimism.

The drilling program's focus on both open-pit and underground scenarios is particularly compelling. The shallow, near-surface mineralization (with a low 1.1:1 stripping ratio) supports a cost-effective open-pit operation, while the Ramp Zone's depth and high grades align with underground mining economics. This dual-path approach maximizes flexibility in project development and mitigates risk by allowing the company to prioritize the most economically viable zones.

Strategic Positioning in Colombia's Undervalued Mining Sector

Colombia remains one of the most underexplored jurisdictions in the Americas, with a growing focus on polymetallic deposits. Collective Mining's Apollo system is uniquely positioned to benefit from this trend, as it combines high-grade gold with by-product credits from silver, copper, and tungsten. The polymetallic nature of the deposit not only enhances its economic resilience but also aligns with global demand for critical minerals like tungsten, used in aerospace and defense applications.

The company's technical team has also demonstrated a disciplined approach to resource modeling. By integrating gravity surveys, metallurgical test work (showing 93.5% gold recovery via leaching), and geological mapping, Collective Mining is building a robust foundation for a future NI 43-101 compliant resource estimate. This transparency and technical rigor are critical for attracting institutional capital and de-risking the project.

Investment Thesis: A Short-to-Mid-Term Catalyst Play

For investors seeking exposure to a high-conviction, drill-driven story, CNL offers a compelling case. The 183.7m intercept is a clear inflection point, but the real value lies in the company's ability to convert this mineralization into a bankable resource. With 70,000 meters of drilling already funded and a team with a track record of discovery (e.g., the 2024 Ramp Zone find), the path to a resource update is well-defined.

The stock's current valuation, trading at a discount to peers in the polymetallic space, reflects its underfollowed status. However, as the drilling program progresses and resource estimates are upgraded, CNL is poised to re-rate. The arrival of a second deep-capacity rig and the pending assay results create a near-term catalyst timeline, with the potential for multiple high-grade intercepts to be announced in Q3–Q4 2025.

Conclusion: A High-Grade, High-Probability Opportunity

Collective Mining's Apollo system is more than a drill hole—it's a blueprint for shareholder value creation. The combination of a fully funded drilling program, open expansion potential, and a polymetallic deposit with both open-pit and underground viability makes CNL a standout in the junior mining sector. For investors willing to capitalize on Colombia's untapped potential, this is a rare opportunity to back a project with the scale and grade to become a mid-tier producer.

Investment Advice: Position CNL as a core holding in a diversified mining portfolio. With a clear catalyst timeline and a disciplined management team, the stock offers asymmetric upside for those who act before the next wave of drilling results.