Collective confirms Plutus discovery

The company reported assays from two diamond holes in the Plutus Northern Corridor, which forms part of the larger Plutus porphyry centre about 1km east of the Apollo porphyry system.

Drilling highlights included 136.45m grading 1.31gpt gold equivalent in a new porphyry-related breccia discovery with an abundance of CBM vein sulphides flooding the matrix. The hole intercepted three mineralised intervals, including to new zones of mineralisation.

Collective said that the geochemical signature of the mineralisation is interpreted to be at the edge of a major new porphyry system at Plutus. Mineralisation defined to date in the Plutus Northern Corridor measures 285m along strike by 250m width by 375m vertical.

Plutus measures about 1km by 720m metres as outlined by a magnetic high coincident with copper and molybdenum soil anomalies. The Plutus Northern Corridor is within the northern portion of Plutus and coincides with the transitional area between a magnetic high and a magnetic low.

"Making a new discovery in only the second hole drilled in the Plutus Northern Corridor as part of the 2023 exploration programme is a testament to the robust geology of the intrusion complex at the Guayabales project. We remain steadfast in our goal of being aggressive with drilling to unlock as much value as we can in what we firmly believe is an emerging mining district. The area where we operate has all the earmarks of evolving into a series of important and strategic deposits for Colombia," said Collective Mining executive chair Ari Sussman.

PI Financial Phil Kerr, who has a C$10.25 price target on Collective, said he sees Guayabales "having a multi-million-ounce potential and property-wide upside with an emerging porphyry district in Colombia" in a research note.

With little outcrop to guide exploration at Plutus, the company intends to fly an airborne geophysical survey to understand better its potential dimensions to target better future drilling at the central and southern portion of the target area.

Collective has drills operating at Guayabales, with three at Apollo, one at Plutus and one drilling initial reconnaissance holes at the Marmato Extension target. Drilling is expected to begin later this quarter at the Trap target, which displays similar mineralisation styles as Apollo.

The 2023 phase two drilling programme at Guayabales has reported 41 holes with 14 holes awaiting assay results.

Shares in Collective Mining are trading at C$5.20, valuing the company at $315 million.