Oroco Drills 26.48m of 1.18% CuEq in South Zone
Oroco infill drilling confirms high-grade core at the South Zone, though shallow intervals and lack of true-width disclosure limit the results.
Oroco Resource Corp. (OCO) released the third batch of Phase 2 assay results from its Santo Tomás porphyry copper project. The most significant highlight is hole S033, which returned 26.48 m @ 0.90% Cu / 1.18% CuEq from a depth of 48 m. The same hole also intersected a broad 114.7 m @ 0.44% Cu / 0.54% CuEq interval starting at 35.3 m, which includes a 73.7 m portion grading 0.55% Cu / 0.66% CuEq.
Other reported intercepts include:
- S030: 49 m of mixed oxide-sulphide with 0.80% CuTot
- S032: 13 m oxide-sulphide zone grading 0.80% CuTot
- S027: 10.5 m mixed oxide-sulphide intercept at 0.53% CuTot with 0.17% soluble copper
The company stated that the drilling extends mineralization west of the inferred block-model limits and defines the southern limit of the South Zone through oxide and transition intercepts. Phase 2 is nearing completion in the South Zone, with rigs scheduled to move next to “the Gap” between the North and South Zones.
Oroco Resource Corp. (OCO) released drill results that confirm a previously identified high-grade core within its South Zone. The intercepts serve as an expected validation of the area, which has already shown similar patterns in previous Phase 2 holes, specifically S022 and S023. While the news is positive in the context of the project’s Preliminary Feasibility Study (PFS) work, it does not alter the size or scale of the existing resource, nor does it de-risk the project to a Preliminary Economic Assessment (PEA) level.
The market has already anticipated higher-grade zones in the South Zone. Recent price action reflects a steady decline from C$0.83 to C$0.40 over the last six months. Prior drill results, such as those released on May 21, caused a brief spike to C$0.44 before fading, indicating that the current news is incremental and unlikely to move the stock materially.
Oroco Resource Corp. is advancing the Santo Tomás porphyry copper-molybdenum project in Sinaloa, Mexico, holding an 87.0% net interest in core concessions covering 1,173 ha and an 80% interest in surrounding concessions totaling approximately 6,100 ha. A 2024 Preliminary Economic Assessment (PEA) outlined a 22.6-year open-pit mine based on an Indicated Resource of 540.6 Mt @ 0.33% Cu and an Inferred Resource of 530.3 Mt @ 0.31% Cu. The assessment projected a post-tax NPV(8%) of US$1.48 billion, a 22.2% internal rate of return (IRR), and an initial capital expenditure (CAPEX) of US$1.10 billion.
The company is funding its PFS-stage drilling through a C$23 million bought-deal financing closed in January 2026. The project benefits from fast-track permitting status under Mexico’s Plan Sinaloa and Plan México.