Perpetua makes tungsten discovery in Idaho

Perpetua Resources (TSX, Nasdaq: PPTA) said Thursday it has identified gold and antimony exploration targets with the potential for extensions of the permitted pits within its Stibnite project in Idaho, as well as potential sources of tungsten.

Recent drilling between the permitted Yellow Pine and West End reserve pits reveals compelling new mineralization, including multiple high-grade gold intervals and a new gold-tungsten discovery, Perpetua said. Significant high-grade gold intercepts, including a gold-tungsten intercept, have been identified in the Clark Tunnel Fault Zone (CTFZ) located along the southeastern edge of the proposed Yellow Pine pit, while additional occurrences of scheelite, a tungsten-bearing mineral, have been observed in ongoing drilling in the CTFZ.

The latest drill results “highlight exploration upside across the Stibnite project,” RBC Capital Markets mining analyst Harrison Reynolds said in a note. “The tungsten results add meaningful strategic optionality as a second critical mineral, consistent with historical district production and current U.S. supply priorities.”

Stibnite remains on track for first gold production in 2029, he added.

Huckleberry fault zone 

Widely spaced drilling and surface sampling at the Huckleberry Fault Zone (HFZ) returned broad intervals of gold mineralization, Perpetua said. Lying immediately adjacent to the Yellow Pine reserve pit limits, the HFZ spans over 100 metres in width and has been traced across 500 metes of strike length, with historic data indicating higher-grade lenses can occur.  

At the Hangar Flats deposit, drilling at the NDMEA zone encountered additional high-grade gold, while critical mineral-focused drilling at Hangar Flats returned significant antimony-tungsten intercepts. 

These results collectively demonstrate further opportunities to grow and unlock the 3.1 million oz. of indicated and inferred gold resources and 99.8 million lb. of antimony resources that are located outside current reserves, Perpetua said.

Tungsten is a critical mineral that has the highest melting point of any metal, and extreme density. That makes it essential for heavy industry, aerospace engineering, advanced electronics, and military defense systems like armor-piercing ammunition.  

Tungsten production in the United States ceased in 2015. Tungsten mining was no longer commercially viable due to low prices and competition from China. China now dominates global tungsten production, accounting for over 80% of last year’s total output of 81,000 tons, according to the United States Geological Service. 

Previous drilling

Perpetua’s targets are based on previous drilling, historic mining activities and recently defined prospects across the broader, prospective land package. Any activity outside the scope of the currently permitted project may require additional regulatory review, the company said.

“Our focus is on drilling areas that align with our currently planned mining sequence with potential to directly add value,” Perpetua CEO Jon Cherry said in the company’s statement.  

“Our priority is testing higher-grade gold and antimony targets within our three permitted pits that could supplement our existing Stibnite gold project mine plan with the aim of sustaining or exceeding our estimated annual average production level of 463,000 gold oz. beyond our first four years of production.”