11:19 AM EST, 01/22/2025 (MT Newswires) -- (Adds analyst comment and updates shares.)

NGEx Minerals ( NGXXF ) on Wednesday provided an update on the Phase 3 drill program at the Lunahuasi copper, gold and silver project in Argentina.

The program has been expanded to 25,000 meters from 20,000 meters due to positive initial results, the company said. Two more drilling rigs were added, bringing the total to eight.

Highlights of the results include 205.35 meters at 5.08% copper equivalent, including 51.1 meters at 13.84% copper equivalent at drill-hole DPDH028.

The zone in which DPDH028 is located is characterized by very high grades, especially with respect to gold, including an 8.2-meter interval at 39.11 grams per tonne of gold.

Chief executive Wojtek Wodzick said, "DPDH028 is a remarkable hole which is a significant step-out below previous drilling and includes the widest high-grade copper-gold intercept to date, with results for the final 1,000 (meters) of the hole still pending. We are highly encouraged by the results to date."

National Bank of Canada maintained its outperform, speculative-risk, rating and $17.00 price target at following the company's release.

National Bank the speculative risk rating comes as a significant portion of NGEx's thesis is contingent on exploration success and an M&A exit.

The bank also cited several de-risking initiatives for the company which remain ahead, including exploration as well as permitting and eventual development.

NGEx shares were last seen up $0.285 to $14.885 on the Toronto Stock Exchange.

Price: 14.86, Change: +0.26, Percent Change: +1.75