Challenger Gold has started transporting ore from its Hualilán Mine to the Casposo Plant in Argentina's San Juan, marking a significant step in its Toll Milling pathway.
The operation involves moving feed-grade ore to the plant under controlled logistics that facilitate a gradual expansion of the milling process.
The Hualilán gold project is situated in the San Juan province.
Its initial mineral resource estimate (MRE) indicates a total of 2.8 million ounces (moz) of gold equivalent within a renowned mining area.
Included in this estimate is a high-grade core containing 1.6moz at a concentration of five grams per tonne gold equivalent.
For the first fortnight, ore will be moved at a rate of around 500 tonnes per day (tpd). After this period, the volume will rise to around 1,000tpd as operations extend to include both day and night shifts.
The ore is transported along Provincial Route 149 for roughly 130km, bypassing Calingasta town via a recently completed 3km route, before reaching the Casposo Plant around 32km away.
Local contractors Mi Viejo, MTZ and Terra Logística have been engaged for the haulage, aligning with Challenger's objective of supporting local employment and community engagement.
Safety measures have been implemented for the haulage operations, including experienced drivers, mandatory load coverings to reduce dust emissions, and the installation of communication and tracking systems on each vehicle.
To further ensure safety, patrol vehicles monitor the route at approximately four-hour intervals and signalmen manage traffic around key areas.
Until a new river crossing is completed in the second quarter of 2026, Challenger’s subsidiary Golden Mining is collaborating with Calingasta's local authorities to use an existing bridge for crossing the Río de los Patos.
Currently, each truck's cargo is restricted to 25t per load.
In anticipation of expanded operations, the company is conducting a structural assessment of the town's bridge with engineering oversight approved by San Juan authorities.
The Hualilán project secured environmental impact assessment approval in the province in October 2024.
