PTX Metals: Laying the foundation for a successful 2026 now

Northern Ontario is known as a world-class mining area. Many well-known companies in the industry are represented here with their own projects due to the rich mineral resources, and PTX Metals Inc. (CSE: PTX, FSE: 9PX, WKN: A0MVNG) is also developing several attractive projects in Ontario. The W2 project, for example, hosts deposits for copper, nickel and the platinum group metals. In recent years, PTX Metals has steadily acquired claims, creating a property of more than 22,700 hectares, which is capable of attracting the interest of the major companies in the industry simply because of its size.

A little further south in the region’s well-known Ring of Fire, PTX Metals is developing two interesting gold projects with the Shinning-Tree project and the new Heenan Mallard discovery. In the medium term, they could be spun off into a separate company. Investors who want to get involved in the area of critical metals, which are currently strongly in focus, and in Canadian gold mining will find that PTX Metals is a company that not only covers both areas, but is also surrounded by majors who are constantly increasing their footprint in the region.

On the W2 project, PTX Metals can draw on the extensive work of previous owners. They invested more than 25 million Canadian dollars (CAD) here. As early as the 1970s, Inco drilled the first of a total of 20,000 meters that have been sunk on the W2 project to date. The work was continued in the 1990s and early 2000s by KWG and Aurora Platinum. Over time, it was possible to identify several mineralized zones in the center of the project. Since 2024, PTX has completed two drilling programs, published an extensive exploration target resource model in accordance with NI 43-101 standards, and conducted modern geophysical surveys to demonstrate the expansion potential.

PTX Metals is already starting metallurgical studies to clarify and improve processing issues, which are being carried out by Carleton University in Ottawa. Initial work at W2 showed that copper occurs almost exclusively in chalcopyrite and nickel in pentlandite.

With a cut-off grade of 0.70% copper equivalent, a resource of 59 million tons of rock could be delineated. If the cut-off grade is reduced to 0.30% copper equivalent, the resource already increases to 284 million tons. Rising prices for copper, nickel and the platinum group elements therefore have a significant impact on the economics of the entire project. PTX Metals currently sees its primary task on the W2 project as increasing confidence in the historical drilling, determining the type of mineralization present in the ground more precisely and further increasing the existing resource overall.

To achieve this goal, metallurgical test series have already been started. They will provide information on the extent to which the existing elements can be extracted from the ore in a later processing process. A large-scale geophysical survey campaign is also in the works. The metallurgical work by SGS will develop flowsheets and confirm methods such as gravity separation, which will improve the yield of palladium, platinum and gold mineralization. It is expected to deliver improved results, particularly at depth, and help to determine the exact extent and depth potential of the deposits more precisely.

Based on the metallurgical tests, a first design for a possible open-pit mine is to be developed in a second step. The exciting question will be whether the cut-off grades can be lowered and, if so, to what extent. Depending on the results of the metallurgical tests, it will also have to be decided whether further drilling is required at certain points in order to further increase confidence in the resource and increase the technical certainty for a future mining operation.

A New Drilling Phase is Being Prepared

The focus of the current investigations is also on the age of the geological formations. It should help to answer the question of whether the Ring of Fire also extends into this part of Ontario. In a second step, PTX Metals is planning a detailed work program on the ground.

If the drills then turn again on the W2 project in the third phase, PTX Metals will initially focus on confirming important results from the historical drilling. However, step-out drilling is also planned to increase the resource. Preferred target zones will be the already identified occurrences of massive sulfides.

Interestingly, the drilling program from March to April 2025 confirmed that the large deposit (CA 1) also has significant mineralization of palladium, platinum and gold, similar to the AP zones. This was achieved through more consistent sampling of platinum group metals (PGMs) and gold throughout the boreholes compared to Inco. It was found that in addition to the widespread copper-nickel mineralization, there was a significant improvement in PGM mineralization in both the CA1 and CA2 zones. In addition, deeper drilled boreholes extend the mineralization by over 100 meters, and the drilling confirmed the excellent continuity of the CA1 and CA 2 zones, which are located over 3 kilometers along the strike.

The question of whether the gaps between the individual deposits can be reduced or even closed completely will also be interesting. This appears possible, as the drilling is to be carried out in the direction of strike and there is also further potential at depth.

If everything goes according to plan, the drills could be turning again on the W2 project as early as November. An initial drilling phase, which will comprise approximately 1,500 meters of drilling, is scheduled to last until mid-December. This will be immediately followed by a second drilling phase. Around 3,500 meters of drilling and a drilling time until the end of January 2026 are planned for this.

In Southern Timmins, PTX Metals is Playing in Concert with the Major Players in the Industry

The two gold projects that PTX Metals holds in the southern Timmins region are also very promising. They are being developed in a joint venture with Fancamp, with PTX Metals holding the leading role in this joint venture with 75%. Extensive work has already been carried out by the previous owners on the total of 28,000 hectares controlled here, on which PTX Metals can now build with its own work. The company therefore expects that it will be able to come up with new discoveries more quickly than with a start without preliminary work.

The region is very promising, as no fewer than five mines and processing plants operate within a radius of 100 kilometers. They are operated by Iamgold and Aris Gold, among others. A multi-stage approach is also planned here: First, the extensive database of the previous owners is to be viewed and evaluated. After that, it is planned to map the structural data and enter the preparation phase for drilling planning.

In the end, Shining Tree and Heenan Mallard are also to be drilled, with PTX Metals expecting quite favorable drilling costs of $250 per meter plus the extra costs on the ground. A total budget of CAD 500,000 is calculated for the work scheduled in southern Timmins.

The capital required for the activities on all projects is already largely available, as PTX Metals has been carrying out a capital increase in several tranches since the beginning of September. The most recent third tranche was successfully completed this week on October 15 and the final fourth tranche is expected to follow shortly. Equipped with the fresh funds and the support of its shareholders, PTX Metals should be able to attract attention again and again with new news in the coming weeks and months.