Second Drill Hole at Chancho al Palo Hits Visible Copper and Gold Mineralisation

Exploration Progress at Chancho al Palo

Solis Minerals Limited (ASX – SLM) has reported encouraging progress at its 100% owned Chancho al Palo copper-gold project located in Peru's prolific coastal copper belt. The company recently completed a second diamond drill hole, reaching a depth of 697 metres, which intersected visible copper mineralisation and gold. This follows the initial drill hole that identified fault-bounded iron oxide copper-gold (IOCG) and porphyry-style mineralisation, suggesting a complex and potentially significant mineralised system.

Geological Context and Targeting Strategy

The Chancho al Palo project lies near established copper infrastructure, including Southern Copper’s refinery and smelter, and is close to major mines such as Anglo American’s Quellaveco and Southern Copper’s Toquepala. The drilling targets coincident geophysical anomalies; magnetic and induced polarisation (IP); interpreted to represent IOCG and porphyry-style mineralisation systems. The coexistence of these mineralisation styles, supported by alteration features and geochemical indicators, validates Solis Minerals’ targeting approach and highlights the potential for a sizeable copper-gold deposit.

Drilling Details and Mineralisation Observations

The second drill hole, CAP-002-2025, intersected multiple geological units including brecciated tuffs with malachite (copper oxide) mineralisation, propylitically altered andesite, and silicified hornfels containing finely disseminated visible gold. Visual estimates suggest copper grades around 0.5% in some intervals, though these are preliminary and await laboratory confirmation. The hole ended in tuffs with pyrite concentrations supporting the chargeability anomaly. The presence of gold and alteration in hornfels points to a significant late-stage intrusive event, potentially linked to the IOCG mineralisation phase.

Next Steps and Broader Exploration Program

Solis plans to drill three to five holes at Chancho al Palo to further test geophysical anomalies and structural controls such as cross-faults known to localise mineralisation. The third hole will be drilled from the same site as the first two but oriented to intersect a regional cross-fault, a known vector for porphyry mineralisation. Assay results from ALS Global’s laboratory in Lima are expected in July/August 2025 and will be critical to confirming the economic potential of the mineralisation.

Following completion of the current program, the drill rig and team will be mobilised to the Ilo Este project, another 100% Solis Minerals asset located 17 kilometres southeast, where similar mineralisation styles have been identified.

Tenement Portfolio and Strategic Positioning

In addition to exploration updates, Solis provided a tenement status report, confirming it holds 74 tenements across Peru, covering 63,400 hectares. The company has strategically focused its portfolio by relinquishing less prospective tenements and competing successfully for key claims. This extensive landholding positions Solis well to capitalise on Peru’s status as a major copper producer and exporter.