NGEx Minerals' Lunahuasi Project: A Copper-Gold Giant in the Making

The Lunahuasi Project in Argentina's prolific Vicuña District is emerging as one of the most promising copper-gold discoveries of the decade. NGEx Minerals ( NGX:TSX ) has unveiled a series of high-grade drill results that not only confirm the project's scale but also reveal its potential to evolve into a multi-million-ounce, open-pit mine. With named zones like Mars, Saturn, and Jupiter unlocking new dimensions of mineralization, and a management team with a proven track record of delivering value, Lunahuasi is primed to become a cornerstone asset for investors in base and precious metals.

Strategic Drilling: Zones of Exceptional Grade Consistency

The recent Phase 3 drill program has delivered results that underscore Lunahuasi's transformative potential. Key highlights include:

1. The Mars Zone: Extended 50 meters northward with DPDH043, intersecting 46.8 meters at 9.55% CuEq, including a 7-meter segment grading 24.86% CuEq. This zone now forms part of a deposit spanning 1.2km north-south and 1.7km east-west, with vertical depth exceeding 1.2km. Gold grades here are staggering, with intervals like 8.6 meters at 69.82g/t Au, rivaling top-tier gold deposits.

2. The Saturn Zone: Expanded to the south with DPDH041 and DPDH042, revealing 89.1 meters at 4.09% CuEq, including a 38.1-meter segment at 7.07% CuEq. Gold tenor here is equally impressive, with 1.1 meters at 151.5g/t Au, reinforcing the project's dual copper-gold value proposition.

3. The Jupiter Zone: While less detailed in recent updates, this core zone remains central to the deposit's high-grade heart. Initial intersections like DPDH002's 60m at 7.52% CuEq set the stage for further exploration.

Crucially, these zones are interconnected and remain open in all directions, with pending assays from 2,360 meters of core likely to further expand the mineralized envelope. The consistency of grades across multiple intervals—25.19% CuEq, 19.05% CuEq, and 13.84% CuEq—suggests a robust, bulk-minable system.

The Open-Pit Potential: Scale Meets Value

Lunahuasi's dimensions—1.2km vertically, 1.7km east-west, and 1.2km north-south—are already larger than many producing mines. With mineralization open at depth and along strike, the deposit's full scale may exceed current estimates.

The project's open-pit feasibility is bolstered by shallow high-grade zones like Mars, which sit within 300–500m depth, ideal for cost-effective extraction. Meanwhile, the deeper porphyry system intersected in DPDH027—ending in mineralization at 2,005m—hints at a large-scale bulk tonnage potential.

Financing and Management: A Proven Track Record

NGEx's ability to execute hinges on its $176.9M private placement in October 2024, which funded an expanded Phase 3 program (25,003 meters across 24 holes). With $124.2M in cash as of Q1 2025, the company is well-positioned to advance to Phase 4 drilling, expected to start in October 2025, without dilution.

Equally critical is the management team's credibility:
- CEO Wojtek Wodzicki led the $4.5B sale of Filo del Sol to BHP/Lundin Mining and has a 30-year record of porphyry discoveries.
- Vice President Exploration Bob Carmichael and Vice President Operations Arndt Brettschneider bring decades of expertise in South American project development.

Their success in turning the Josemaría and Filo del Sol deposits into multibillion-dollar assets positions them to repeat this formula at Lunahuasi.

Near-Term Catalysts: The Countdown to Value

Investors should monitor three key catalysts in 2025–2026:
1. Final Phase 3 Assays (Q3 2025): The remaining 53% of results could reveal further high-grade extensions.
2. Exploration Target Announcement (Late 2025): A NI 43-101-compliant target will define Lunahuasi's upside.
3. Phase 4 Drilling (Q4 2025): Focused on geometric definition of zones and testing isolated intersections like DPDH040's 8m at 11.42% CuEq.

Investment Thesis: Buy Before the Catalysts Strike

Lunahuasi's combination of high-grade intercepts, open-pit scalability, and strong management makes NGEx a rare pure-play copper-gold story. With copper prices near $4/lb and gold at $2,000/oz, the project's economics are compelling.

Risks: Permitting delays, metal price volatility, and assay delays. However, the project's advanced drilling and management's execution history mitigate these.

Recommendation: NGEx is a buy at current levels. Investors should take a position ahead of Q3/Q4 catalysts, which could trigger a re-rating as Lunahuasi transitions from discovery to resource definition. With shares up 200% since 2023, the best gains may still lie ahead.

Conclusion: A Deposit with Giant Potential

Lunahuasi is no longer just a high-grade discovery—it is a multi-million-ounce copper-gold machine in the making. As NGEx unlocks the full potential of the Mars, Saturn, and Jupiter zones, the project's valuation will align with its scale. For investors seeking exposure to a world-class asset with clear upside, the time to act is now.