On March 11, shares of Excellon Resources Inc. (EXN) were up by a massive 133.67% in the premarket, at the last check. Yesterday the company provided an update of the ongoing review of high-grade gold opportunities from Idaho’s Kilgore Project. Another reason that seems to have contributed to the bullish momentum is the hike in the price of gold along with other precious metals like nickel.
In the previous trading session, EXN stock remained in the green with a gain of 12.85%. The stock closed the session at a price of $0.98 per share as 1.32 million shares traded hands. The volume remained 1,647% of the average. In the following premarket session today, the stock’s bullish momentum escalated multiple folds. At the time of writing, the stock was trading at $2.29 apiece in the premarket, while 1.3 million shares exchanged hands.
The mineral properties explorer and developer, Excellon Resources Inc. was founded in 1987. Currently, its 33.05 million outstanding shares trade at a market capitalization of $28.89 million.
Kilgore Project Review Update
The company acquired the Kilgore Project in 2020, which is a caldera-related epithermal gold deposit in Clark County, Idaho. The company is reviewing historical exploration of the Kilgore Project for high-grade gold opportunities currently. As per the historic results, many high-grade intervals were noted throughout the deposit lithology. These are usually associated with silicified zones but with minimal associated structural analysis. Thus, EXN proposed the following exploration plans for 2022 at Kilgore:
- Growing and increasing the grade of the existing mineral resource.
- Defining vertical and sub-vertical high-grade zones within the existing resource.
Additionally, structural features associated with gold mineralization and further drill targets would also be defined through geophysical surveys.
EXN’s Recent Developments
On March 07, the company announced labor action at the Platosa Mine in Durango, Mexico, by the Sindicato Nacional Minero Metalúrgico (Platosa Union). Furthermore, the labor action was ordered despite the company’s agreement to the terms of 2022 collective bargaining after multiple concessions. According to EXN, its worker at Platosa have one of the most generous compensation structures in the Mexican mining industry. Moreover, the company announced it is open to discussions for a positive resolution.
On January 17, the company reported Q4 and 2021 production results from the Platosa Mine. In 2021, EXN’s production from the mine increased by 25% YOY to 2.0 million oz. This included AqEq production of 491,013 oz in Q4 2021. Thus, the Q4 production reported a decline of 12% YOY.
