Solaris Resources (TSX: SLS; NYSE: SLSR) shares gained about 6.4% to C$3.16 on Thursday after new drill results extended high-grade copper at its Warintza project in southeastern Ecuador.
One highlight hole, SLS-86, returned 57 metres of 0.77% copper, 0.05% molybdenum and 0.13 gram silver per tonne for 1.11% copper-equivalent. It was among results that confirmed strong copper-equivalent grades near surface, and was part of an ongoing 60,000-metre campaign. .
“As a relatively consistent thematic from Warintza drilling, higher grades were encountered near-surface, and as delivered from a number of holes from a step-out platform that extended mineralization to the northwest,” BMO Capital Markets mining analyst Rene Cartier said in a note to clients. “A number of the holes highlight stronger copper-equivalent grades.”
The results came almost one month after Solaris released an updated resource estimate for Warintza, and before an upcoming pre-feasibility study for the project, expected in the second half of 2025.
Using eight rigs, the company’s drill program has expanded the known mineralization to the north, northwest, and southeast of the current resource estimate. This extension indicates the potential for a larger resource base and could lead to a more extensive mining operation, Solaris said.
Another highlight hole, SLS-84, returned 69 metres of 0.82% copper-equivalent, while SLS-82 encountered 69 metres of 0.77% copper-equivalent. These results suggest the presence of high-grade copper in previously unexplored areas, the company said.
Solaris is also exploring a large molybdenum soil anomaly to the southeast, which remains open for further exploration. The company plans to use these results to support next’s year anticipated pre-feasibility study.
The Warintza project hosts 909 million measured and indicated tonnes grading 0.53% copper equivalent. There’s a further 1.4 billion inferred tonnes at 0.37% copper-equivalent, at a base case cut-off grade of 0.25% copper-equivalent.
Applying a higher cut-off grade of 0.5% copper-equivalent to reflect the near-surface, higher-grade mineralization, the resource would total 427 million measured and indicated tonnes at 0.71% copper-equivalent and 177 million inferred tonnes at 0.62%.
Solaris shares are down 49% over the past 12 months, having touched C$2.82 and C$6.17 over the past 12 months. It has a market capitalization of C$515.1 million.
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