Element 29 Res Stock Price, News & Analysis

Element 29 Resources Inc. (OTCQB: EMTRF), also trading on the TSX Venture Exchange under the symbol ECU and on the Bolsa de Valores de Lima (BVL) as ECU, is an emerging junior resource company focused on copper exploration in Perú. According to the company, its management team and board are highly experienced and are focused on exploring and potentially developing Tier-1 copper deposits in what it describes as one of the lowest-cost, lowest-risk mining jurisdictions globally.

The company’s principal objective is to explore and potentially develop its flagship Elida Porphyry Copper-Molybdenum-Silver (Cu-Mo-Ag) Deposit in west-central Perú. Elida is described as a porphyry Cu-Mo-Ag deposit occurring along the east side of a large block of contiguous mineral concessions that are 100% owned by Element 29. Various company disclosures note concession blocks totaling on the order of tens of thousands of hectares, with Elida situated within a phyllic hydrothermal alteration footprint of approximately 2.5 km by 2.5 km at surface.

Flagship Elida Porphyry Cu-Mo-Ag Deposit

Elida is located in west-central Perú and is road accessible from Lima via the Pan American Highway to the coastal city of Barranca and then inland along a secondary road with paved and unpaved sections. Company materials emphasize that Elida is well located for future mine development, with nearby infrastructure such as transportation routes to coastal shipping ports and access to power infrastructure, including a hydroelectric generation facility situated approximately 15 km from the property. The project lies at a moderate elevation between about 1,500 m and 2,000 m.

Technical descriptions provided by Element 29 characterize Elida as a Cu-Mo-Ag mineralized multiphase porphyry system associated with Eocene-aged quartz monzonite stocks emplaced into Cretaceous volcano-sedimentary rocks and a granodiorite member of the Peruvian Coastal Batholith. The company notes that Elida is one of the first Eocene-age mineralized porphyry systems discovered in Perú. Previous drilling by Element 29 has intersected multiple long intervals of porphyry Cu-Mo-Ag mineralization traced to depths greater than 900 m and, in later programs, to depths exceeding 1,000 m, where mineralization remains open.

Element 29 reports that most of the Cu-Mo mineralization at Elida is carried in A-, B- and C-type veins formed during the waning stages of potassic alteration, with a significant secondary amount of copper carried in later veins and retrograde chlorite-epidote alteration. Company disclosures also describe carbonate replacement deposit (CRD)-style massive to semi-massive sulfide intervals and intermediate-sulphidation mineralization in some drill holes, as well as evidence suggesting proximity to a potential higher-grade copper core at depth in certain areas of the system.

Mineral Resource and Exploration Focus

Based on diamond drilling totaling more than 14,000 m at Elida, Element 29 completed an independent pit-constrained Inferred Mineral Resource Estimate for the project. Company news releases state that this initial inferred Mineral Resource Estimate outlines 321.7 million tonnes grading 0.32% Cu, 0.029–0.03% Mo and 2.61 g/t Ag at a 0.2% Cu cut-off grade, with a modeled strip ratio of 0.74:1. The Mineral Resource Estimate is documented in an NI 43-101 Technical Report titled “NI 43-101 Technical Report, Mineral Resource Estimation of the Elida Porphyry Copper Project in Perú” with an effective date of September 20, 2022, prepared in accordance with Form 43-101F1 by an independent Qualified Person.

Element 29 has continued to advance Elida through successive drilling phases. Company updates describe Phase-III drilling programs designed to potentially expand the current pit-constrained inferred Mineral Resource and increase overall Cu-Mo-Ag grades. Drilling campaigns have included step-out and deeper holes to test for resource expansion beyond the existing pit shell to depths exceeding 1,000 m, as well as infill drilling to strengthen confidence in the Mineral Resource. In some holes, the company reports broad intervals of Cu-Mo-Ag mineralization starting at bedrock surface and extending to depths of more than 1,000 m, with certain holes ending in higher-grade mineralization.

Element 29 has also undertaken a large-scale magnetotellurics (MT) geophysical survey at Elida. According to company disclosures, this MT survey generated a high-resolution, three-dimensional resistivity model of the subsurface to depths exceeding 2,000–3,000 m. The model outlines an east-west trending high-resistivity anomaly correlating with the Elida porphyry intrusive complex, straddled by several large low-resistivity anomalies within and beyond the mapped phyllic alteration footprint. The company notes that Cu-Mo-Ag mineralization correlates strongly with the high-resistivity anomaly, with higher-grade copper mineralization occurring along the transition from high to low resistivity. These MT anomalies are being used to guide deeper and step-out drilling and to prioritize targets both within and outside the current pit-constrained resource shell.

Permitting, Community Agreements and Environmental Approvals

Element 29 has highlighted several permitting and community milestones at Elida. The company reports that it has operated under an existing drill permit approved through a Ficha Técnica Ambiental (FTA) environmental certification, which authorized up to 20 drilling platforms and supported earlier phases of drilling. To support continued and expanded exploration, Element 29 submitted a Declaración de Impacto Ambiental (DIA) environmental approval application to the Peruvian Ministerio de Energía y Minas. The company states that the DIA is intended to significantly expand drill capacity, increasing the number of authorized drilling platforms from 20 to 40 and enabling drilling activity to continue for an additional five-year term under a new Programa de Inicio de Actividades (PIA) drilling permit.

In later disclosures, Element 29 announced that it received environmental certification under the DIA from the Peruvian Ministerio de Energía y Minas, describing this as a significant milestone in its application for a new PIA drilling permit at Elida. The newly approved DIA is reported to be valid for up to five years and to provide a comprehensive review of potential environmental impacts associated with exploration activities, along with mitigation measures for up to 40 drilling platforms. The company views this approval, together with a renewed surface access agreement, as satisfying critical requirements for the new PIA application.

Element 29 has also reported the renewal of a five-year surface access agreement with the host community at Elida. Company communications describe this agreement as securing long-term access to support current and future exploration activities and as a key requirement for the DIA-based drill permit application. Element 29 notes that it has employed community members in activities such as the MT geophysical survey and plans to involve them in ongoing drilling programs, emphasizing collaboration with local rightsholders and communities.

Additional Copper Projects in Perú

Alongside Elida, Element 29 reports that it has three early stage, highly prospective porphyry copper projects in Perú, collectively covering more than 25,000 hectares of titled concessions. These include:

• The Flor de Cobre porphyry Cu-Mo prospect, situated in the Southern Perú Copper Belt, approximately 26 km from the Cerro Verde copper mine (operated by Freeport-Buenaventura, as referenced in company materials). Company disclosures note that information about adjacent properties such as Cerro Verde is not necessarily indicative of mineralization on Element 29’s properties.
• The Paka porphyry Cu skarn prospect.
• The Pahuay porphyry Cu skarn prospect.

According to Element 29, the Paka and Pahuay prospects are related to potential tertiary-aged, mineralized porphyry complexes intruding along the eastern margin of the Peruvian Coastal Batholith. Across its portfolio, the company emphasizes that all projects are well located for potential future mine development and would benefit from nearby infrastructure, including roads, powerlines, ports, water and a skilled workforce.

Corporate and Capital Markets Profile

Element 29 Resources Inc. identifies itself as a junior resource company. It is listed on multiple exchanges: the TSX Venture Exchange (TSXV: ECU), the OTCQB market in the United States (OTCQB: EMTRF), and the Bolsa de Valores de Lima (BVL: ECU). Company announcements reference corporate developments such as investor relations and marketing agreements, stock option and restricted share unit grants, and changes in senior financial roles. These activities are described as supporting the company’s efforts to enhance investor visibility and to advance its exploration programs at Elida and its other Peruvian copper projects.

Investment Perspective and Risk Considerations

Element 29’s disclosures characterize the company as focused on exploring and potentially developing copper deposits, with a particular emphasis on advancing Elida toward what it describes as a potential Tier-1 copper project or discovery. As a junior resource issuer, its value proposition is closely tied to exploration results, resource expansion potential, permitting progress, community agreements and broader market conditions for copper and related metals. Company news releases include cautionary notes regarding forward-looking information and emphasize that there has been insufficient exploration to confirm whether further work will result in increases in tonnage or grades beyond the current inferred Mineral Resource.

Investors reviewing Element 29 Resources Inc. (EMTRF) may consider the technical characteristics of the Elida deposit, the scale of the inferred Mineral Resource as reported by the company, the status of environmental and community agreements, and the presence of additional early stage copper projects in Perú. Company disclosures highlight access to infrastructure and the geological setting within recognized copper belts as key contextual factors for its exploration strategy.