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Mogotes’ flagship is the Filo Sur project on the Chile-Argentina border in the Vicuña district, immediately south of BHP and Lundin Mining’s Filo del Sol deposit. Since our last conversation, the company has added two more projects: Beskauga in Kazakhstan and Copper Cliffs in Montana (the latter an option agreement with Rio Tinto). This conversation focused on the partial assays from discovery hole 16 at the Aurora zone, the rationale for adding two projects mid-season, the cash position, and what the rest of the drill program might reveal.

TL;DR

The headline is a partial assay from hole 16 at the Albor target showing high-grade copper, gold, molybdenum, and silver intercepts starting from near surface, with the bottom portion of that hole and 13 other holes still pending. Stephen described the mineralization as classic prograde porphyry potassic alteration (biotite, K-feldspar, anhydrite with chalcopyrite and possibly bornite in breccia matrix) overprinted by an epithermal hypogene enrichment event, the same telescoping sequence seen at Filo del Sol and Lunahuasi. They drilled around 6,500 metres across the season at total cost of roughly C$24 million versus an initial budget of C$20 million. Approximately C$40 million Canadian remains in the bank. Of the program, roughly 3,681 metres (over 50 percent and as much as 65 to 70 percent of holes) is still pending assay, with results staggered through to early July. The company spent more than planned because hot drilling market conditions forced them to mobilize four rigs instead of two and run two separate camps on both sides of the border. Allen was explicit that Filo Sur remains the priority and that decisions to add Beskauga and Copper Cliffs were unrelated to the drilling outcome, having started months before the campaign began.

What have they done for shareholders lately?

The big deliverable was the partial assay from hole 16 at Arbor released last week, which Stephen called a discovery intercept characterized by outcropping mineralization at one metre of scree cover. They also completed extensive surface work on the Chilean side this season including drone mag, ground mag, VIP MT geophysical surveys, and DDIP follow-up lines that defined what they describe as a 3.5 to 4 kilometre coherent geophysical and alteration corridor running from the property boundary toward Filo del Sol through to Aurora. They earlier reported five holes from the Cruz Sur prospect on the Argentine side as a second discovery on the same season. They signed two new project deals: Beskauga in Kazakhstan and the Copper Cliffs option-to-JV with Rio Tinto in Montana. Carmel Daniele was added to the board.

How much money do they have and what are they spending it on?

Roughly C$40 million Canadian in the bank as of the close of the Filo Sur campaign, after spending around C$24 million on the season versus an initial C$20 million budget. There are approximately 193 million warrants and options outstanding at strikes between 10 and 53 cents, with most warrants at 40 to 53 cents. If those warrants exercise, the next financing could be pushed well out. Provisional 2026 budget allocation is roughly C$5 million for Kazakhstan, C$5 million for Montana, and around C$20 million for the next Filo Sur drilling campaign. All-in cost per metre at Filo Sur is well above the target of C$1,000 per metre once camp, geophysics, road building, and high-altitude logistics are layered in. About 60 to 70 percent of capital raised has come directly from institutional shareholders rather than through brokers, including CD Capital, Braun family syndicate, with institutions holding roughly 70 percent of the company.

Upcoming catalysts

Technical: remaining bottom portion of hole 16 plus 13 other Filo Sur holes (roughly 3,681 metres outstanding) reporting through to early July 2026, with no commitment to ordering and partial holes possible if results are material; updated news flow; future drill plans and target generation work at Filo Sur once full assays are in. Operational: late July through October 2026 focus shifts to Beskauga in Kazakhstan and Copper Cliffs in Montana drilling and updates, including up to 15,000 to 20,000 metres possible in Kazakhstan within a C$3 million budget; next Filo Sur drill campaign mobilizes in November 2026 weather permitting. Corporate: pending bilateral Chile-Argentina treaty accession that would allow equipment movement across the border and consolidate camps, potentially landing before next season.

Risks

Most of the assay information is still in the lab and could change the story in either direction. Stephen explicitly declined to comment on what the rest of hole 16 looks like, on hole 19 from the same pad, or on which targets he is most bullish on. The grades reported so far are nowhere near Filo del Sol’s best intercepts (858 metres at 1.7 percent copper equivalent) or Lunahuasi’s (7.5 percent copper over 60 metres), and Allen was explicit that they are not claiming a Filo equivalent yet. The fully diluted market cap above C$400 million now requires further drill success to be justified. Adding three projects across three jurisdictions adds management complexity, even if Allen says it is mostly project-allocated cost rather than G&A. Drilling cost inflation, labour shortages, and weather disruptions are recurring through Andean campaigns.

Mogotes Metals CEO Interview

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