In 2024, Cerro de Pasco Resources (TSXV CDPR / Frankfurt A2N7XK) conducted a program of 40 drill holes on the massive polymetallic tailings project Quiulacocha in Peru. The results were so successful that the company is now planning another comprehensive drilling campaign!
Last year’s drilling was carried out in an area of 300 x 1,000 meters, and the analysis results consistently showed high-grade intersections of silver, zinc, lead, copper, and gold mineralization. Moreover, significant concentrations of gallium were detected, a strategic metal that recently came into focus due to export restrictions imposed in China – and whose price has risen sharply in recent months.
Decisive Factors
An important insight from the 2024 drilling program was the high consistency of the metal grades encountered. This was evident both in depth and laterally across the drilled area. This naturally increases confidence in the resource potential of the project. Another interesting point: the concentration of gallium, lead, copper, and gold increased in the southern part of the investigated area.
Also important is the knowledge gained from the 40 drill holes that consistently high grades of silver, zinc, lead, and gallium were encountered. The average grade of all samples was around 171 g/t silver equivalent, composed of 52 g/t silver, 1.5% zinc, 0.9% lead, and 53 g/t gallium. CEO Guy Goulet already explained in an interview with Goldinvest.de in Toronto that these values are even slightly above initial expectations.
The fact that gallium was encountered with this regularity and at these high grades was a welcome “surprise” or discovery. Gallium is a so-called critical metal that is particularly used in cutting-edge electronics and renewable energy technology. According to Cerro de Pasco Resources, the drilled grades increased towards the southern part of the investigated area, and 9% of the samples yielded gallium grades of more than 100 g/t!
And it continues, because according to the company, there is still considerable potential for pyrite. Based on historical mineralogical reports and examination of the current drill cores, pyrite (iron pyrite) makes up about 50% of the tailings. It could thus prove to be an important by-product! Mineralogical and metallurgical studies are already underway to confirm metal recovery rates, including examining the potential of gallium and pyrite to significantly increase the project’s value.
“The successful completion of this drilling campaign represents a significant milestone for Cerro de Pasco Resources,” said CEO Goulet. “We are excited by the assay results, which not only confirm the high-grade nature of the Quiulacocha tailings but also highlight significant gallium concentrations – a critical metal with increasing global demand. The consistency of silver, zinc, and lead mineralization, combined with the potential for valuable by-products such as gallium and pyrite, make this project a cornerstone of our portfolio. We expect copper grades to increase towards the southern part of the deposit, based on historical records of underground copper mining. We are advancing metallurgical testing and further exploration to unlock the full value of the project.”
Next Steps
Cerro de Pasco Resources is now examining representative composite samples to determine the most effective recovery methods for silver, zinc, lead, copper, gold, gallium, and pyrite, thus providing important information for future technical and economic evaluations.
Given the encouraging drilling results from last year, the company is already planning another expanded drilling program for the second half of 2025. This will target the remaining tailings outside the El Metalurgista concession as well as the primary high-grade copper zone further south. So there’s plenty of exciting news to expect from Cerro de Pasco for the rest of the year!
