Peruvian Metals Corp. (TSXV: PER) (OTC Pink: DUVNF) has commenced underground development at its 100%-owned Palta Dorada Gold-Silver property in Peru's Ancash department, targeting high-grade gold-silver sulphide mineralisation in the San Juan Vein. The company has completed portal rehabilitation, purchased equipment, and mobilised workers to begin a new 50-metre crosscut at the 910-metre level. Previously reported assay results from the sulphide zone returned a weighted average of 10.51 grams Au per tonne, 329 grams Ag per tonne, and 1.74% copper, underscoring the project's potential interest for investors watching junior precious metals developers.

Key Points

  • Peruvian Metals Corp. (TSXV: PER) (OTC Pink: DUVNF) announced the commencement of underground development at Palta Dorada
  • Portal rehabilitation on the San Juan Vein is complete at two level locations; a 50-metre crosscut has been initiated at the 910-metre level
  • Previously reported sulphide chip samples graded up to 24.1 g Au/t, 865 g Ag/t, and 4.94% Cu; metallurgical tests confirmed 89% gold and 75% silver recoveries via flotation
  • Investors may be watching for updates on the commencement of mineral processing and the planned property-wide exploration programme

San Juan Vein Portal Rehabilitation and Infrastructure Upgrades at Palta Dorada

The company reports that work carried out from May to the end of August re-established two main access points to the San Juan Vein. The primary portal at the 883-metre level provides entry to a 180-metre-long drift that has been cleaned and fitted with new support infrastructure. A second working involves a 53-metre-deep shaft at the 940-metre level, situated 320 metres along strike east-northeast of the lower portal. The shaft is also accessible via a 20-metre adit at the 920-metre level, marking the oxide-sulphide transition zone. Road access across the 2,250-hectare property has been significantly improved, and camp facilities have been expanded to accommodate additional personnel.

High-Grade Assay Results and Strong Metallurgical Recoveries Supporting Development Case

The release references previously announced chip sample results from the shaft's sulphide zone, with individual assays ranging from 3.06 to 24.1 grams Au per tonne and 36 to 865 grams Ag per tonne over an average width of 0.60 metres. A metallurgical sample independently assayed by Certmin S.A. returned 11.10 grams Au per tonne and 145 grams Ag per tonne, with flotation recoveries of 89% for gold and 75% for silver. Oxide material from the adit above the transition zone assayed 35.1 grams Au per tonne, with agitated cyanide leaching showing 82% gold and 58% silver recoveries over 48 hours.

Crosscut Development and Sulphide Material Haulage to Aguila Norte Plant

The initial underground development programme centres on a 50-metre crosscut collared at the 910-metre level, designed to intersect the sulphide zone exposed in the shaft and create two simultaneous mineralised working faces. An industrial winch installed at the 940-metre level surface position is rated to haul half a metric tonne of material per load. Sulphide material extracted will be transported approximately 140 kilometres to the company's Aguila Norte processing plant for production of a gold-silver concentrate. The San Juan Vein has a known strike length of 840 metres and remains open in both directions.

North 1 Structure and Planned Property-Wide Exploration Programme

In addition to the San Juan Vein, the company states it will re-establish old workings on the North 1 structure on the opposite side of the valley. Twelve previously announced samples from oxide material across approximately 450 metres of strike returned a weighted average of 7.92 grams Au per tonne and 102 grams Ag per tonne. Bottle-roll metallurgical testing on oxide material from North 1 showed recoveries of 92% for gold and 65% for silver over 36 hours. The company states a property-wide exploration programme covering at least four mineralised structures will commence once mineral processing begins at the site.