Xali Gold Announces Community Agreement for Advancing the Pico Machay Gold Project
Xali secures community authorization to commence drilling and baseline studies at its Pico Machay project in Peru.
Xali Gold Corp. (XGC) has received formal confirmation and authorization from the local community of Comunidad Campesina de Salcca Santa Ana to proceed with drilling, exploration, and environmental studies at its Pico Machay Gold Project in Peru. The authorization follows an extraordinary assembly on June 28, 2026, reflecting a strengthened community relationship focused on transparency and shared development.
The company will implement a four-pillar social support strategy: health, education, basic infrastructure, and economic strengthening with capacity building. Immediate technical work includes advancing environmental baseline studies, drilling to update the historical resource, geological mapping, resource modeling, and surface/underground sampling to support economic evaluations.
Pico Machay is located in the Southern Peru Epithermal Gold-Silver Belt, previously explored by Aquiline Resources (acquired by Pan American Silver), which targeted an open-pit heap-leach operation based on a $700/oz gold price.
Xali Gold Corp. (XGC) released details on July 9 regarding the social agreement framework and immediate technical work plan, serving as a direct follow-up to the February 22, 2026 announcement where the Santa Ana community initially authorized exploration activities. This release provides formal confirmation of the agreement, validating the company's community engagement strategy and keeping the permitting timeline on track.
The news does not introduce new financial terms, resource upgrades, or unexpected operational shifts. It primarily de-risks the near-term permitting pathway by securing community backing for the Ficha Técnica Ambiental (FTA) drilling permit application. Given the market likely anticipated community alignment as a prerequisite for drilling, this announcement aligns with previous expectations.
Xali Gold Corp. is a gold and silver exploration company focused on advancing the Pico Machay Gold Project in Peru's Southern Epithermal Gold-Silver Belt. The company acquired 100% of Minera Calipuy S.A.C., the owner of Pico Machay, from Pan American Silver and Aquiline Resources in December 2025.
Historical resource estimates include 264,600 oz Au (Measured & Indicated) and 446,000 oz Au (Inferred). These are historical estimates and require NI 43-101 verification.
The company’s strategic goal is to advance Pico Machay to near-term production via a low-cost, low-strip-ratio open-pit heap-leach operation, leveraging untested exploration targets and prior engineering studies. Secondary assets include the El Oro Gold-Silver Project in Mexico, structured through tailings reprocessing and hardrock extraction agreements.