Q1 2024 Highlights
During and subsequent to the first quarter of 2024, the Company's highlights included:
- With 14,582m drilled during the quarter, drilling productivity has continued to improve and return long-mineralized intercepts with a goal of expanding the overall deposit size. Assay results were released covering thirteen drill-holes;
- Assay results announced for hole FSDH108 extended the
Bonita Zone another 400m to the north, increasing the Filo deposit length to at least 5.5km. The results extend the entire Filo mineralized trend further north and intersected mineralization at shallower depths than previous holes drilled in this target area.The Bonita Zone remains open in all directions, and additional drillholes are underway to help better define this area of the deposit and the link between it and theAurora Zone to the south; - Assay results announced for hole FSDH103 intersected 1,260.0m from 296.0m in the
Aurora Zone at 0.86% CuEq. The hole intersected a strongly leached zone to a depth of 296m where it entered a strong supergene enrichment zone which continued to 357m and was highlighted by an 8m section at 10.06% Cu. This intersection is just below the PFS resource pit shell, offering the opportunity for an expansion to the oxide resource; - Assay results announced for holes FSDH097, FSDH098 and FSDH100, which span a total distance of 1.6km, expand the Filo deposit to the west along the entire distance between the holes drilled. FSDH100 is an example of the successful
Aurora Zone step-out drilling conducted by the Company, adding over 500m in depth beyond the current resource pit shell and extending the western margin of the deposit by 250m; - Assay results announced for holes FSDH093 and FSDH094, which were collared 500m apart, filled critical high-grade gaps in the Company's interpretation as well as extending Aurora to the northeast.
Q1 2024 Drilling and Assay Results
Drilling and assay results disclosed by the Company during and subsequent to the three months ended
Outlook
Drilling continues to be the Company's primary focus with nine drill rigs operating at site. The planned 2024 drilling program is expected to be the Company's most ambitious program to date, including 40,000m of drilling planned with a renewed focus on exploration and resource growth with multiple step-out targets from zones of known mineralization. Drilling productivity through the end of Q1 2024 exceeded expectations, and the Company has now made seasonal adjustments to continue the drilling program throughout the austral winter.
Drilling will remain a mix of both large and small step out holes in all directions from areas of known mineralization, including both the Bonita and Aurora Zones. The Company continues to maintain a strong focus on improving drill productivity through a variety of initiatives.
Data collected from the current campaign is being used to develop a comprehensive geological model which will guide further exploration and form the basis of an update to the Mineral Resource estimate by year end. The Company is continuing preliminary metallurgical testwork on the sulphide mineralization, as well as environmental and social baseline programs in support of future project permitting.
The Company's plans and timelines are subject to equipment and staff availability, along with being able to operate safely and effectively and in accordance with the Company's health and safety protocols.
Selected Financial Information
Effective
The $CAD/$USD exchange rates used to reflect the change in presentation currency were as follows:
|
Q4-22 |
Q1-23 |
Q2-23 |
Q3-23 |
Q4-23 |
Average rate |
n/a |
0.7398 |
0.7445 |
0.7456 |
0.7344 |
Closing rate |
0.7383 |
n/a |
n/a |
n/a |
0.7561 |
(in thousands of US dollars) |
|
|
|
|
2024 |
2023 (Restated) |
2023 (Restated) |
Cash and cash equivalents |
54,653 |
81,748 |
55,313 |
Working capital |
35,887 |
65,776 |
44,518 |
Mineral properties |
7,618 |
7,618 |
7,189 |
Total assets |
67,869 |
94,049 |
63,470 |
Financial Results
(in thousands of US dollars, except per share amounts) |
|
Three months ended |
|||
|
|
|
|
||
|
|
|
|
2024 |
2023 (Restated) |
Exploration and project investigation |
|
|
|
31,793 |
25,381 |
General and administration ("G&A"), excluding share-based compensation expense(1) |
|
|
|
1,260 |
1,687 |
Share-based compensation expense(1) |
|
|
|
4,076 |
2,381 |
Net loss |
|
|
|
33,154 |
22,129 |
Basic and diluted loss per share |
|
|
|
0.25 |
0.18 |
(1) |
Share based compensation is a non-cash cost which reflects the amortization of the estimated fair value of share options over their vesting period. The fair value of share options is calculated using the Black-Scholes pricing model, which relies heavily on the Company's share price and historical share price volatility. A portion of this expense is included in Exploration and Project Investigation expense. |
|||||
The financial information in this table was selected from the Company's unaudited condensed interim consolidated financial statements for the three months ended |
For the three months ended
Liquidity and Capital Resources
As at
The Company will continue to deploy the majority of its treasury to fund ongoing advancement of the
About Filo del Sol
Filo del Sol is a high-sulphidation epithermal copper-gold-silver deposit associated with one or more large porphyry copper-gold systems. Overlapping mineralizing events combined with weathering effects, including supergene enrichment, have created several different styles of mineralization, including structurally controlled and breccia-hosted gold, manto-style high-grade silver (+/- copper) and high-grade supergene enriched copper within a broader envelope of disseminated, stockwork and breccia-hosted sulphide copper and gold mineralization. This complex geological history has created a heterogeneous orebody which is characterized by zones of very high-grade copper +/- gold +/- silver mineralization within a large envelope of more homogeneous, lower-grade mineralization.
Qualified Persons and Technical Information
The scientific and technical disclosure for the
The field programs were carried out under the supervision of the Mr. Carmichael. Whole core was transported to the Company's core processing facility located near Rodeo,
Samples were delivered to the ALS preparation laboratory in Mendoza where they were crushed and a 500g split was pulverized to 85% passing 200 mesh. The prepared samples were sent to either the ALS assay laboratory in
Mineralized zones within the Filo del Sol deposit are typically flat-lying, or bulk porphyry-style zones and drilled widths are interpreted to be very close to true widths.
Copper Equivalent is calculated based on
About
Filo is a Canadian exploration and development company focused on advancing its 100% owned Filo del Sol copper-gold-silver deposit located in
Additional Information
The Company's condensed interim consolidated financial statements for the three months ended
The Company's certified adviser on the Nasdaq First North Growth Market is
The information contained in this news release was accurate at the time of dissemination but may be superseded by subsequent news release(s). The Company is under no obligation, nor does it intend to update or revise the forward-looking information, whether as a result of new information, future events or otherwise.
This information was submitted by
On behalf of Filo,
President and CEO
For Further Information Please Contact:
info@filocorp.com
www.filocorp.com
www.thelundingroup.com
APPENDIX 1 – Q1 2024 DRILLING AND ASSAY RESULTS
Drilling and assay results disclosed by the Company during and subsequent to the three months ended
Hole-ID |
From (m) |
To (m) |
Length |
Cu (%) |
Au (g/t) |
Ag (g/t) |
CuEq1 (%) |
FSDH093 |
338.8 |
1,788.0 |
1,449.2 |
0.41 |
0.21 |
5.0 |
0.61 |
incl. |
492.0 |
1,144.0 |
652.0 |
0.55 |
0.25 |
8.6 |
0.81 |
incl. |
804.0 |
1,080.0 |
276.0 |
0.66 |
0.31 |
6.7 |
0.95 |
and incl. |
1,674.0 |
1,750.0 |
76.0 |
0.63 |
0.26 |
2.5 |
0.84 |
FSDH094 |
192.0 |
1,490.0 |
1,298.0 |
0.59 |
0.40 |
15.0 |
1.01 |
incl. |
364.0 |
416.0 |
52.0 |
0.59 |
0.47 |
252.4 |
3.15 |
and incl. |
444.0 |
748.0 |
304.0 |
0.84 |
0.53 |
9.4 |
1.30 |
FSDH097 |
368.0 |
1,445.0 |
1,077.0 |
0.52 |
0.25 |
22.4 |
0.89 |
incl. |
368.0 |
1,126.0 |
758.0 |
0.53 |
0.30 |
31.0 |
1.03 |
incl. |
372.0 |
521.0 |
149.0 |
0.35 |
0.10 |
128.0 |
|
incl. |
450.0 |
474.0 |
24.0 |
0.36 |
0.15 |
366.8 |
|
incl. |
466.0 |
474.0 |
8.0 |
0.44 |
0.19 |
725.2 |
|
and incl. |
707.0 |
944.0 |
237.0 |
0.73 |
0.60 |
3.0 |
1.20 |
FSDH098 |
410.0 |
1,363.8 |
953.8 |
0.31 |
0.13 |
2.1 |
0.42 |
FSDH100 |
256.0 |
887.3 |
631.3 |
0.38 |
0.35 |
5.8 |
0.68 |
incl. |
340.0 |
360.0 |
20.0 |
0.42 |
0.29 |
95.8 |
|
FSDH101 |
540.0 |
1,379.5 |
839.5 |
0.31 |
0.11 |
1.8 |
0.41 |
incl. |
550.0 |
972.0 |
422.0 |
0.38 |
0.13 |
2.3 |
0.50 |
FSDH102 |
12.0 |
699.0 |
687.0 |
0.18 |
0.16 |
4.2 |
0.33 |
incl. |
250.0 |
478.0 |
228.0 |
0.34 |
0.15 |
2.4 |
0.47 |
incl. |
250.0 |
349.6 |
99.6 |
0.51 |
0.14 |
2.2 |
0.63 |
FSDH103 |
296.0 |
1,556.0 |
1,260.0 |
0.58 |
0.36 |
2.4 |
0.86 |
incl. |
302.0 |
336.0 |
34.0 |
4.33 |
0.97 |
16.8 |
5.19 |
incl. |
318.0 |
326.0 |
8.0 |
10.06 |
2.36 |
41.3 |
12.14 |
incl. |
534.0 |
1,048.0 |
514.0 |
0.62 |
0.54 |
2.7 |
1.04 |
FSDH104 |
40.0 |
106.0 |
66.0 |
0.17 |
0.15 |
22.4 |
0.48 |
Plus |
744.0 |
1,336.0 |
592.0 |
0.41 |
0.13 |
3.7 |
0.54 |
incl. |
890.0 |
1,062.0 |
172.0 |
0.45 |
0.17 |
5.8 |
0.63 |
FSDH105 |
714.0 |
1,284.0 |
570.0 |
0.34 |
0.10 |
1.4 |
0.43 |
incl. |
820.0 |
1,050.0 |
230.0 |
0.43 |
0.14 |
1.4 |
0.54 |
FSDH106 |
26.0 |
190.0 |
164.0 |
0.15 |
0.10 |
2.3 |
0.24 |
FSDH108 |
69.8 |
79.8 |
10.0 |
0.95 |
0.56 |
36.4 |
1.68 |
incl. |
216.8 |
1,172.0 |
955.2 |
0.36 |
0.15 |
3.9 |
0.50 |
incl. |
382.0 |
1,006.0 |
624.0 |
0.45 |
0.18 |
5.0 |
0.63 |
incl. |
496.0 |
548.0 |
52.0 |
0.66 |
0.28 |
31.6 |
1.14 |
FSDH111 |
No significant intervals |
(1) |
Copper Equivalent is calculated based on |
Additional information on these drilling results is disclosed in the Corporation's press releases. As of the date of this news release, additional holes have been completed with assays pending, which include:
-
FSDH109
-
FSDH114
Assay results for these holes will be released as they are received, analyzed and confirmed by the Company.
Cautionary Note Regarding Forward-Looking Statements
Certain statements made and information contained herein in the news release constitutes "forward-looking information" and "forward-looking statements" within the meaning of applicable securities legislation (collectively, "forward-looking information"). The forward-looking information contained in this news release is based on information available to the Company as of the date of this news release. Except as required under applicable securities legislation, the Company does not intend, and does not assume any obligation, to update this forward-looking information. Generally, this forward-looking information can frequently, but not always, be identified by use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "projects", "budgets", "assumes", "strategy", "goals", "objectives", "potential", "possible", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events, conditions or results "will", "may", "could", "would", "should", "might" or "will be taken", "will occur" or "will be achieved" or the negative connotations thereof. All statements other than statements of historical fact may be forward-looking statements.
The Company believes that the expectations reflected in the forward-looking information included in this news release are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking information should not be unduly relied upon. Information contained in this news release is as of the date of this press release. In particular, this press release contains forward-looking information pertaining to assumptions made in the interpretation of drill results, geology, grade, geochemistry, potential implications of geophysics interpretations, and continuity of mineral deposits; expectations regarding access and demand for equipment, skilled labour and services needed for exploration and development of mineral properties; and that activities will not be adversely disrupted or impeded by exploration, development, operating, regulatory, political, community, economic, environmental and/or healthy and safety risks. In addition, this news release may contain forward-looking statements or information pertaining to: potential exploration upside at the
Statements relating to "mineral resources" are deemed to be forward-looking information, as they involve the implied assessment, based on certain estimates and assumptions that the mineral resources described can be profitably produced in the future.
The forward-looking statements contained in this news release are made as at the date of this news release and Filo does not undertake any obligations to publicly update and/or revise any of the included forward-looking statements, whether as a result of additional information, future events and/or otherwise, except as may be required by applicable securities laws. Forward-looking information is provided for the purpose of providing information about management's current expectations and plans and allowing investors and others to get a better understanding of the Company's operating environment. Forward-looking information is based on certain assumptions that the Company believes are reasonable, including that the current price of and demand for commodities will be sustained or will improve, the supply of commodities will remain stable, that the general business and economic conditions will not change in a material adverse manner, that financing will be available if and when needed on reasonable terms and that the Company will not experience any material labour dispute, accident, or failure of plant or equipment. These factors are not, and should not be construed as being, exhaustive. Although the Company has attempted to identify important factors that would cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated, or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. All the forward-looking information contained in this document is qualified by these cautionary statements. Readers are cautioned not to place undue reliance on forward-looking information due to the inherent uncertainty thereof.
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