Magna Terra Partner Lunex Metals Advances Exploration and Reports Results from Initial Drill Program at the Luna Roja Project in Santa Cruz, Argentina
Magna Terra reports broad low-grade gold-silver epithermal hits at Luna Roja that extend the strike but lack sufficient grade and true width to re-rate the deposit.
Partner Lunex Metals reported assay results from a 2,517.5-meter diamond drill program consisting of 16 holes at the Luna Roja low-sulphidation epithermal Au-Ag project in Santa Cruz, Argentina.
At the Cruz del Sur zone, the drilling returned broad intervals including: - 23.1 m @ 0.36 g/t Au & 61.76 g/t Ag (including 2.0 m @ 1.15 g/t Au & 465.0 g/t Ag) - 19.0 m @ 0.70 g/t Au & 9.38 g/t Ag - 24.6 m @ 0.96 g/t Au & 1.51 g/t Ag (including 9.1 m @ 2.16 g/t Au) - 10.0 m @ 0.63 g/t Au (including 2.0 m @ 2.04 g/t Au)
A second center located 2 km north at Estrella del Norte returned 8.0 m @ 0.23 g/t Au & 44.05 g/t Ag, along with lower-grade intervals. Three holes drilled at Orion did not intersect significant Au-Ag but did intersect the target fault.
The release described the findings as a “potentially significant” epithermal system featuring “broad zones” and a “new mineralized center.” The announcement did not include details regarding true width, cutoffs, capping, or quality assurance and quality control (QA/QC) protocols.
Magna Terra Minerals Inc. (MTT) holds the Luna Roja project under an option agreement with Lunex Metals, a deal that generates $2.375 million in staged cash and shares over four years plus a 1% net smelter return (NSR). Because the option payments are already contracted and the 1% NSR applies to a bulk low-grade deposit far from development, direct value to Magna Terra from a low-grade drill hit is minimal.
The company’s market capitalization of approximately $16 million is driven by its portfolio of projects and its large stake in Gold Hunter Resources, with Luna Roja serving as a small component. These drill results do not materially change the resource base or the strategic outlook.
The market appeared to have no specific expectations for this event, as the stock traded between $0.15 and $0.16 in the days leading up to the announcement, a range well within its six-month trading band. The chart shows no pre-release buildup, and the long-term trend has remained rangebound with no sustained move following any Luna Roja news. As a junior explorer, Magna Terra’s equity is unlikely to re-rate on this release, given that the grades are low, the disclosure is limited, and the project remains in an early stage.
Magna Terra Minerals Inc. (MTT) is a junior exploration company with a portfolio of early-stage gold, copper-cobalt, and silver projects located in Atlantic Canada and Santa Cruz, Argentina. Its Canadian assets include the Humber, Rocky Brook, Cape Spencer, Shellbird, and Great Northern projects, while its Argentine holdings feature the Luna Roja and Boleadora properties, among others. The Great Northern project is currently under a $10.075M option agreement with Gold Hunter Resources, in which Magna Terra holds a ~19% equity interest.
As of February 2026, the company reported $0.33M in cash and $2.4M in working capital. However, Magna Terra flagged a going-concern uncertainty due to accumulated losses and negative cash flows, relying on financing and option payments to fund its exploration activities.