Firetail pumped by BHP funding in Peru, seeks porphyry mineralisation

Firetail Resources (ASX:FTL) has identified a high-priority target through reconnaissance lithology and alteration mapping – just two activities being undertaken at the Picha copper-silver project in Peru as part of the company’s accelerated exploration after its selection in a BHP (ASX:BHP) exploration program earlier this month.

On January 6, Firetail announced Picha was included in BHP’s Xplor 2025 Program, meaning it will receive a one-off, non-dilutive grant of up to US$500,000. The company is also able to access in-kind services, mentorship, and networking opportunities with the mining giant and other industry experts and investors.

The project – which Firetail is progressing through a 70% earn-in (with Thunderbird Resources holding 30%) – is in southern Peru, 17 kilometres northeast of Compania de Minas Buenaventura S.A.A’s San Gabriel gold-copper-silver project, which holds reserves of 14.9 million tonnes with 4.04 grams per tonne (g/t) of gold and 6.43g/t silver, for 1.94 million ounces of gold.

Following the discovery of the high-priority target at Pichu, Firetail will be launching several activities to define it, including a property-wide gravity survey, porphyry alteration mapping, maiden soil sampling and geochronology and geochemistry mapping.

Managing director Glenn Poole said the company’s focus on Pichu had been influenced by the recent funding and support boost.

“The recent inclusion of Firetail and the Picha Project in the BHP Xplor program has led to a significant step change in the exploration approach and activities,” he said.

“The technical support that forms part of the Xplor program has provided us with new approaches to the mineral systems we are working in at Picha, leading to the definition of the new target area.

“This new area, previously identified as a spectral target, has now been reinforced with lithology, mineralisation and alteration mapping. In addition, the prospectivity justified increasing the surrounding landholding through direct licence application to encompass the prospective target in its entirety.”

Firetail shares have been trading flat at 7 cents.

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