Categories: Precious Metals
Topics: Gold Stocks

Daura Gold (TSX-V: DGC) CEO Mark Sumner on Drilling Cerro Bayo & Unlocking Value Across a Multi-Project South American Gold-Silver Portfolio

 

Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the CEO of Daura Gold Corp. (TSX-V: DGC) — Mr. Mark Sumner. Mark, we’re back to $5,000/oz gold and it looks like almost $80/oz silver. How are you today?

Mark Sumner: I’m doing great, Gerardo. How are you?

Gerardo Del Real: I am well. Listen, it’s clear to me that in the precious metals space, the dips are to be bought right now, and I think the same can be said for companies that have multiple material catalysts in 2026. Daura checks that box in spades.

You’ve had a bit of a pullback in the stock with some free-trading paper that hit the market. I always tell people that this is the best time if you’re looking to top off a position or to get going, especially when you combine the fact that the pullback is happening right as you’re starting drilling at the Cerro Bayo Gold-Silver Project in Argentina.

Let’s start there. And then, let’s absolutely get into some of the other catalysts that you have cooking for the next several quarters.

Mark Sumner: Yes, we definitely have a lot going on. And as you said, last time, we spoke about this being sort of a healthy correction. And I think that’s probably true. But it’s also an opportunity to load up because there are a lot of really interesting things happening.

We just mobilized the rig to Cerro Bayo, which is really exciting. We started drilling this week. We’ll be drilling a total of 22 holes for 1,500 meters across 15 priority targets, starting with the Ingrid vein. So it’s a really exciting time.

We expect that program to take about 40 to 45 days, and we should have some news in April. So, incredibly exciting times at Cerro Bayo.

Gerardo Del Real: These targets you’re drilling are pretty shallow. What gives you the confidence that you don’t have to drill much deeper than where you’re drilling?

Mark Sumner: There was a fairly extensive dataset on the project when it was initially worked up by Barrick. We’ve done our own IP profiling, and we’ve been running gradient array surveys in parallel.

The drill-targeting exercise, in addition to using the geochemistry that we have at surface, took us a couple of months to complete. We worked through the geometry. And the program that Stuart Mills designed has drilling that is fairly shallow, up to roughly 100-meter holes.

We’re confident that this is the right first-pass program to test the mineralization of these high-priority targets.

Gerardo Del Real: It sounds like — and you just said it out loud — the team is pretty confident about the work that went into de-risking the targets and getting everything ready.

Mark Sumner: Yeah, definitely. As I said, it’s been a combination of things. Getting the IP program done correctly was important. There was some historical IP but it didn’t cover all of the ground we needed to evaluate, so we completed additional work.

But yes, the work we’ve done leading up to this has left us very confident in this first pass program.

Gerardo Del Real: Beautiful. You have some really important work happening over at Antonella that I don’t think has received the credit it deserves. Can you speak to that as I think it has flown under the radar, and I don’t think it deserves to.

Mark Sumner: Yes, the Antonella project has a historical dataset from the drill program that was run in 2011. Prior to Daura, Antonella was never part of a public company so it hasn’t been recycled or passed around.

As a result, none of this data has really been reviewed through a modern NI 43-101 lens. We’ve obviously done quite a bit of work ourselves. And since the last financing, we’ve been able to step up those efforts.

Under Stuart Mills’ supervision and guidance, we’ve been going through the 2,500 meters of core that we have and conducting infill sampling. In addition to that, we’ve been carrying out a broader reinterpretation of the geological model.

We haven’t talked much about the sampling and assay program just because it was work we wanted to complete quietly. There was quite a bit of core that hadn’t been cut and sampled.

What we’re confident in is that we’re going to substantially improve the drill profile of this project. We’re expecting to have results within the next week or so and will release those to the market.

Our expectation is that this work will help position Antonella more on par with projects like Bonita next door, where wide, high-grade intercepts have been reported.

Historically, criticism of projects in the Ancash region has been high grade but narrow. San Luis next door, for example, has incredible bonanza grades but relatively narrow widths.

We believe the work being done in the district — and the work we’re doing now — will help change that perception.

Gerardo Del Real: Well, if the approach evolves and the results align with what you hope to see, that could be a real game-changer for the region. I have to believe it would open the door to additional opportunities.

Mark Sumner: Yes, and a key priority for us is developing a strong understanding of the geology and structural controls. That will be critical for drill targeting as we move toward our maiden drill program at Antonella, which we expect to permit and launch later this year.

The opportunity to revisit existing drill core and add value is what we consider low-hanging fruit. It’s a relatively inexpensive exercise that can add orders of magnitude more confidence to future programs.

As I said, we’re still working through the assays with the labs, and we expect to have something prepared shortly.

Gerardo Del Real: I’m looking forward to having you back on, Mark, and I’m really excited to see those results and to understand what insights come from that work — particularly whether it influences your approach moving forward.

It’s shaping up to be a very busy first half of the year, and I suspect the second half may be even more active.

Mark Sumner: Absolutely, and, in addition to Antonella, we continue to run our reconnaissance and surface exploration program at Tayacoto, which is another interesting asset in the pipeline. We also have the NI 43-101 maiden resource for Yanamina progressing alongside our ongoing community engagement programs there.

Overall, we’re advancing work on roughly four different fronts across the portfolio. That should set up the second half of the year with significant activity and news flow. It’s going to be a very busy year — and, to be frank, we can’t move fast enough.

Gerardo Del Real: There’s a lot of value potentially to be added over the next several quarters. Mark, thank you again for your time. As always, I look forward to reviewing those Antonella results next week or shortly thereafter.

Mark Sumner: That’s great. Thanks, Gerardo. I really appreciate it.

Gerardo Del Real: Cheers. 

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