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One of Spain’s Most Promising Copper Discoveries Keeps Getting Better

Jonathon Brown Jonathon Brown, The Market Online
1 Comment| July 13, 2021

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(La Romana geophysics targets and drill hole locations with selected highlights. New drill hole results highlighted in orange. Map via Pan Global Resources Inc. Click to enlarge.)

Click to enlarge

Gold prices have seen a correction from its recent highs of $1,900 /Oz. and higher and while it is still a solid play for commodity investors, the copper story has been gathering great interest, having recently risen above $4 / lb ($9,500+ per tonne) on the Comex market in New York.

The third most consumed metal after steel and aluminium, copper is widely used in a range of industries including power transmission, electronics, and construction. The trajectory of its value shows it is likely going to continue its climb through the rest of the year. The trick to capitalizing on these gains, is to find an operation with a good source.

(Copper spot price chart – July 2020 to July 2021. Click to enlarge.)

In the hunt for copper, location is key, and you will be hard pressed to find a safer and more stable jurisdiction than Spain. Despite seeing prospecting and mining activity for hundreds of years, Spain is unearthing new geological promise, and a Vancouver-based mining Company is discovering many of these new secrets.

That Company is Pan Global Resources Inc. (TSX-V: PGZ, OTC Pink: PGNRF, Forum), who is actively engaged in base and precious metal exploration in southern Spain and is pursuing opportunities from exploration through to mine development.

At PGZ’s Escacena Project, drilling continues to expand the La Romana copper target with significant near surface high grade intercepts of copper and tin mineralization. La Romana is located approximately 6 km southwest of the former Aznalcollar open pit mine and approximately 15 km west of the Las Cruces copper mine, in the Iberian Pyrite Belt, southern Spain.

The drill program is testing extensions in all directions of the volcanic hosted massive sulphide associated mineralization. The latest drill results come from nine new holes in the Phase 4 drill program at the La Romana discovery.

Highlights include:

  • 30.0 metres at 1.0% CuEq (0.50% Cu, 0.14% Sn, 2.1g/t Ag, 0.01g/t Au) from 19.5 metres in LRD45, including;
  • 14.4 metres at 1.7% CuEq (0.83% Cu, 0.27% Sn, 3.2g/t Ag, 0.011g/t Au) from 23.1 metres
  • 14.7 metres at 1.38% CuEq (1.24% Cu, 5.8g/t Ag, 0.03g/t Au) from 33.6 metres in LRD58, including;
  • 7.65 metres at 2.38% CuEq (2.17% Cu, 10g/t Ag, 0.04g/t Au) from 34.6 metres
  • 46.5 metres at 0.73% CuEq (0.50% Cu, 0.05% Sn, 3g/t Ag, 0.01g/t Au) from 33 metres in LRD55, including;
  • 7.35 metres at 1.37% CuEq (1.06% Cu, 0.06% Sn, 5g/t Ag, 0.012% Co) from 42 metres, and
  • 4 metres at 1.29% CuEq (0.93% Cu, 0.08% Sn, 5g/t Ag, 0.012% Co) from 56 metres

Tin is present as a secondary metal The copper and tin mineralization is associated with elevated levels of gold, silver, and cobalt. Supergene chalcocite copper ore mineral is also evident in several recent drill holes and most significant in hole LRD58 with 14.7 metres at 1.24% Cu where chalcocite is the principal copper mineral.

From the CEO:

In a July 2021 news update for investors on the project, the company’s President and Chief Executive Officer, Tim Moody, explained that the new drill holes at La Romana continue to deliver some excellent results with near surface high grades of copper over wide intervals, including additional supergene enrichment style mineralization, pointing to open pit potential for the project.

“Step-out holes in the west have extended the strike length of the mineralization to more than 800 metres and remains wide open. Results for 21 additional drill holes are pending and drilling is continuing. We fully expect to further expand the area of mineralization with the ongoing program.”

(Selected summary drill hole cross sections with new drill holes LRD43 and LRD45 (Section 736285 E) and LRD55 (Section 736335 E). Map via Pan Global Resources Inc. Click to enlarge.)

Investment summary:

While the path to production for most operations is 15 – 20 years, Pan Global’s is just five years. These drill results show potential for a structure that could likely be vaster than initially believed, meaning the richest ground has yet to be reached.

The PGZ team knew they were on to something impressive awhile ago and have been working to quickly accelerate and expand the Phase 4, 4,500-metre, 20-hole drill program targeting the high-grade mineralization in all directions at La Romana. This included extending the near surface copper mineralization along strike to the east and west and down dip and further test the continuity of the high-grade massive chalcopyrite to the northeast which remains wide open in most directions in this area.

As Sprott Equity Research noted in its March 2021 report on the Company, this represents a rare situation where shareholders are about to receive a major “double dip” – rising copper prices and rising asset value as every drill hole yields impressive discoveries.

Many analysts believe that copper prices will continue to climb higher as the global economy works to rebound from the COVID-19 pandemic. Investors who want in on this action sooner than later and are looking for a stable play in a safe jurisdiction where results have already been impressive would be wise to deepen their due diligence into this Company.

To learn more about Pan Global Resources and its projects, visit the Company’s website here.

FULL DISCLOSURE: This is a paid article produced by Stockhouse Publishing.

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