Xali Gold Commences Work on Pico Machay Gold Project in Peru

Core Viewpoint - Xali Gold Corp. has initiated work on the Pico Machay Gold Project following its acquisition, focusing on community engagement and preparing for technical field work and environmental studies to obtain drilling permits [1][2]. Company Overview - Xali Gold is a gold and silver exploration company targeting opportunities in the Americas, with a focus on advancing the Pico Machay project towards near-term production [10]. Project Acquisition - The acquisition of Pico Machay was completed on December 24, 2025, and the company has begun community engagement activities immediately after the acquisition [2][3]. Project Details - Pico Machay is located in a well-established mining area within the Southern Peru Epithermal Gold-Silver Belt, with a historical measured and indicated resource of 264,600 ounces of gold and an inferred resource of 446,000 ounces [4][6]. - The project has potential for low-cost open pit heap-leach operations, with previous studies conducted by Aquiline Resources indicating strong upside potential based on a long-term gold price of $700 per ounce [5][6]. Resource Estimation - Historical resource estimates at Pico Machay are based on prior data and reports, with a total of 154 reverse circulation holes drilled before 2009, and nine additional high-potential exploration targets remain untested [6][9]. Strategic Plan - Xali Gold's strategy for advancing Pico Machay includes detailed geological studies, environmental assessments, a new Preliminary Economic Assessment (PEA), and negotiating a 20-year community agreement [8].