Xali Gold Concludes 50% of Sampling at Pico Machay in Peru

Why It Matters

The expanded dataset will enable Xali Gold to refine the Pico Machay resource, potentially increasing reserve confidence and attracting financing ahead of a 2026 economic assessment. Strengthening the resource also bolsters Peru’s gold output and positions Xali for future growth.

Key Takeaways

• Xali Gold completed 125 rock chip samples at Pico Machay.
• Sampling split: 36 underground, 89 surface, covering mineralised zones.
• Results aim to upgrade historic resource by Q3 2026.
• Continuous channel sampling mimics horizontal drilling for grade verification.
• Program supports permitting, community backing, and local technical expertise.

Pulse Analysis

The Pico Machay project, nestled in the mineral‑rich Andes of central Peru, became Xali Gold’s flagship asset after the company signed a share purchase agreement in October 2025 to acquire Minera Calipuy. Peru remains one of the world’s top gold producers, and the 2.5‑million‑ounce historic resource at Pico Machay offers a strategic foothold for junior miners seeking low‑cost, high‑grade deposits. Xali’s recent sampling campaign marks the first major field effort since the acquisition, signaling the company’s commitment to de‑risk the project and move it toward a compliant resource estimate.

The sampling program employed systematic rock‑chip extraction, with 2‑ to 4‑meter continuous channels cut both underground and at surface. By targeting the east‑facing walls of two north‑south galleries and cutting perpendicular channels across outcropping mineralisation, the team generated a dataset that approximates the continuity of a horizontal drill‑hole. This approach not only validates historic assay grades but also refines the three‑dimensional geometry of the breccia‑controlled gold system, providing the geologists with higher‑resolution inputs for the upcoming resource model.

With assay results now at ALS Peru, Xali expects to release an updated mineral resource estimate by Q3 2026, a key milestone that will underpin a preliminary economic assessment and likely unlock additional capital. Investors typically view a compliant resource as a prerequisite for financing, and a stronger grade envelope could improve the project’s net‑present‑value calculations. Moreover, the program’s success reinforces Xali’s broader strategy of leveraging local expertise and community support, factors that are increasingly important in Peru’s tightly regulated mining environment.