The survivors of the raw materials bear market of recent years are now often the most exciting companies. Norsemont Mining (CSE: NOM; Germany: L1Z) clearly falls into this category. While many explorers had to give up during the lean period, Norsemont used the time to take its flagship Choquelimpie project in northern Chile to a new level. With a massive resource, existing infrastructure, and the entry of “smart money” such as Crescat Capital, the company is positioning itself as one of the most promising gold-silver-copper players in the current hot commodity cycle!
A historic asset with modern potential
The Choquelimpie project in northern Chile is not an unknown quantity. In the late 1980s and early 1990s, it was one of the country’s most important gold and silver mines, operated by heavyweights such as Shell and Northgate Minerals. At that time, over 415,000 ounces of gold and 2 million ounces of silver were produced. However, as is often the case with historic mines, mining did not end when the ore ran out, but due to low commodity prices and the technological limitations of the time.
Today, with gold prices chasing new records almost daily and a copper market facing a structural deficit, Choquelimpie offers a whole new dynamic. And Norsemont holds a 100% interest in this exciting project through its Chilean subsidiary SCM Vilacollo.
The unbeatable infrastructure advantage: Ready to Go
One of the biggest pitfalls for junior mining companies is the massive capital expenditure (capex) required to build a new mine. Norsemont elegantly circumvents this problem: infrastructure worth hundreds of millions of dollars already exists on the Choquelimpie site.
These include:
- A fully equipped processing plant (mill) with a capacity of 3,000 tons per day.
- Existing road access that is usable all year round.
- Secured electricity and water rights (four private wells on site).
- A fully functional camp including offices, laboratories and warehouses.
In an environment where approval processes for new facilities can take decades, this inventory is a strategic asset. It significantly shortens the path back to production and considerably reduces the dilution risk for shareholders.
The resource: Substance in black and white
In April 2025, Norsemont also released an updated resource estimate in accordance with Canadian standard NI 43-101, which caught the market’s attention. The asset has:
- Indicated Resources: 2.18 million ounces of gold equivalent (AuEq) at an average grade of 0.83 g/t.
- Inferred Resources: 557,000 ounces of gold equivalent at 0.69 g/t.
These figures are based on a gigantic database of over 1,700 historical drill holes and more than 140,000 meters of drilling. But that’s just the beginning. The current resource is contained in the first 70 meters of depth, only, while the deposit extends to a depth of 300 meters! The true “blue sky” potential for a potential multiplication of the resource therefore lies at depth – and laterally.
Exploration Upside: Just the tip of the iceberg
The entire Choquelimpie alteration system covers an area of approximately 27 square kilometers. However, only about 5 square kilometers (less than 20%) have been systematically explored to date. Geologists are convinced that Choquelimpie is a classic world-class porphyry epithermal system.
1. The search for “bonanza grades”
Current drilling programs (Phase 3) aim to expand the high-grade zones in the so-called Vizcacha hydrothermal breccia. Historical sections such as 35 meters at 32.2 g/t gold or 24 meters at 35.1 g/t gold demonstrate the extreme grades that are possible here. Norsemont is working to connect these “pearls” and significantly increase the resource.
2. The copper porphyry target
Below the known gold-silver mineralization, experts suspect a massive copper porphyry system. Chile is the world’s largest copper producer, and projects such as Choquelimpie are located in the heart of the world’s most productive belt. Deep drilling to 600 meters in 2026 should clarify whether an “elephant” of a copper deposit lies dormant beneath the gold. For investors, this means that Norsemont is not just a gold play, but an option on the most important metal of the energy transition!
The strategy: Two-pronged approach to success
Under CEO Marc Levy, management is pursuing a clear plan to generate shareholder value:
Short-term (production path): Norsemont plans to resume production by processing existing stockpile material and near-surface oxide ores. A Preliminary Economic Assessment (PEA) is already in preparation. This could transform Norsemont into a cash flowing producer that finances its own future exploration.
Long-term (exploration): Targeted deep drilling is intended to reveal the full potential of the porphyry system. The goal is to transform the project from one worth tens of millions to one worth billions.
Management and “Smart Money”: Who is behind it?
A first-class project is of little value without the right team. Marc Levy, CEO of Norsemont, has already proven that he can lead companies to success. He was instrumental in building companies that were later sold for hundreds of millions (e.g., the sale of the “old” Norsemont Mining to Hudbay Minerals for $520 million in 2011).
He is supported by experts such as David Flint (senior geologist) and Dr. Quinton Hennigh, who acts as an advisor to Crescat Capital. The fact that Crescat Capital—one of the most renowned and critical commodity funds worldwide—has come on board as a strategic investor and is leading the financing rounds is a huge accolade. It shows that professionals who analyze hundreds of projects see an exceptional risk-return profile in Norsemont.
Market environment 2026: Gold, silver and copper in focus
The timing could not be better for Norsemont. In an environment of geopolitical uncertainty and looming inflation, investors are seeking security in tangible assets. Gold has regained its role as the ultimate currency. Silver benefits twice – as a precious metal and as an indispensable component in photovoltaics.
Copper, in turn, is facing a massive boom in demand due to the expansion of power grids and electromobility. Analysts at Citi and other major banks see gold prices beyond the 3,000 or even 5,000 US$ mark and copper prices at record levels, too. In such an environment, companies with advanced assets in secure jurisdictions such as Chile are being massively revalued.
Conclusion: Why Norsemont now?
Norsemont Mining is not a typical “lottery ticket” explorer. Thanks to its existing resource of over 2.7 million ounces AuEq (indicated + inferred) and its massive already existing infrastructure, the foundation has already been laid. The current market capitalization does not reflect the value of the existing assets and drilling results adequately, yet, in our opinion.
Investors will find a rare combination here:
- Security through an already defined, massive resource.
- Leverage on rising gold, silver and copper prices.
- Explosive potential through deep porphyry drilling.
- An experienced team that knows how to bring projects to production or sell them profitably.
For risk-conscious investors who want to bet on the next big commodity cycle, Norsemont Mining should definitely be on their watch list – at the very least. Once the “sleeping giant” in the Andes has fully awakened, the current entry prices are likely to quickly become a thing of the past.
Especially since Norsemont is basically located at two different promising points of the famous Lassonde curve (which shows the typical valuation development of raw material companies) with Choquelimpie, which also indicates that the company may be ripe for a revaluation!
