Calibre Mining Corp‘s (TSE: CXB) (OTMRKTS: CXBMF) performance at its Leprechaun open pit mine in Valentine Gold Mine has successfully beaten the projections from its 2022 Mineral Reserve model.
The company announced on Wednesday that it finished drilling approximately 21,500 meters on a 9 x 9 metre spacing. It also pulled 29 per cent more ore tonnes at 1 per cent higher grade for 30 per cent more gold than in its 2022 mineral reserve model.
Calibre’s CEO and president, Darren Hall, also noted the company’s progress on structural, mechanical and piping activities in the grinding, reagents and gold room areas. For instance, the company has advanced pre-commissioning at the crusher and the various e-rooms. Specifically, he stated the company accomplished this without requiring changes to Valentine’s initial CAD$744 million pricetag and the company is on track for its full gold delivery in Q2 2025.
“Importantly, the grade distribution as seen in Table 1 indicates that applying a higher cut-off grade will result in processing higher grade material,” said Hall.
“At a 0.70 g/t cutoff, the reserve model estimated 660kt at 2.02 g/t whereas the ore control model, for a similar tonnage, results in 18 per cent higher grade by increasing the cutoff to 1.0 g/t. This is an extremely positive result which could result in increased metal production while simultaneously extending mine life.”
Table courtesy of Calibre Mining.
The table above demonstrates the correlation between the ore control block model. The block model is also supported by the closer spaced 9 x 9 metre drilling, and the 2022 Mineral Reserve Block Model from the Feasibility Study.
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Calibre had 10 to 15 drills active
The previous year was big for Calibre and its exploration activities in Nicaragua and beyond were among its biggest highlights. The company produced some huge drill results, which reinforced the importance of its investments in resource expansion.
Calibre had 10 to 15 drill rigs active in Nicaragua at any given time.
“We’re into some very prospective areas, and we’ve come out to the market with some excellent results throughout the year,” said Ryan King, the senior vice president of corporate development and investor relations.
“We’ve been drilling at the Eastern Borosi project, which we’ve announced results on,” he adds. “We’ve also been drilling new targets at the Libertad property.”
“It’s been a very exciting time for us,” says Ryan King, senior vice-president of corporate development and investor relations at Calibre. “This asset will produce approximately 195,000 ounces of gold per year for 12 years of a 14-year mine life. And we’ve been guiding the market for first gold in Q2 of 2025, so we’re right around the corner from this.”
Furthermore, one of the biggest highlights of 2024 was exploration.
“It’s very important for a company of our size to work toward replacing our depletion, but also look toward expanding our resources and reserves,” King says.
The latest exploration results from Limon Mine include a significant discovery. The team intercepted 12.5 grams per tonne of gold over seven metres in the Talavera gold zone, nearly a kilometre from the past-producing Talavera underground mine. This discovery presents a strong resource expansion opportunity.
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Newly launched exploration campaign produces keen results
Meanwhile, the company has continued to find new areas of mineralization at the VTEM Gold Corridor. Some with incredible grades and widths.
“We intercepted 13 grams per tonne of gold over a width of almost 20 metres,” King says. “This is exciting because it’s a new vein system located approximately 30 metres from the surface. This tells us that maybe we’re into a new high grade open pit opportunity.”
This year, the company also launched a 100,000-metre exploration resource expansion and discovery drill program for the Valentine Gold Mine. The program has already delivered promising results, intercepting significant mineralization beyond the property’s known resources.
“These are some of the best results the property has seen,” King says. “The results prove the thesis for demonstrating the significant additional gold discovery potential across the property, and we’re looking forward to a transformational 2025.”
Furthermore, Calibre Mining has managed to surpass expectations while maintaining its commitment to ESG principles. The company continued to strive to sustainability in each of its claims throughout 2024 without sacrificing shareholder value.
In 2024, the company developed its first-ever climate report alongside the release of its annual sustainability report, reinforcing its commitment to setting and achieving climate-specific goals. Calibre’s ongoing sustainability efforts led to an MSCI ESG rating upgrade from BBB to A. Additionally, the company also met year 4 compliance with the World Gold Council’s Responsible Gold Mining Principles, a key industry benchmark that highlights environmental stewardship, social responsibility, and strong governance practices.
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joseph@mugglehead.com
