Xali Gold has advanced the Pico Machay project's permitting approval process through two technical meetings with Peru’s Ministry of Energy and Mines, indigenous rights assessments, and preparations for a community workshop.

The company engaged Embellie Advisory to assess indigenous considerations for the Santa Ana community and set a MINEM-facilitated public workshop for early October 2026. Following that workshop, Xali Gold plans to submit the Ficha Técnica Ambiental drilling permit application, with a review and approval period of approximately 10 days expected.

To support a Detailed Environmental Impact Assessment, the company installed a wireless Vantage Pro2 Plus meteorological station at Pico Machay. The site-specific data will validate regional records from Peru's National Service of Meteorology and Hydrology and provide monitoring infrastructure through potential construction and operations.

Xali Gold acquired the project in December 2025 through a Share Purchase Agreement with Pan American Silver Corp. and its subsidiary Aquiline Resources Inc. It subsequently closed a C$1,000,000 private placement in June 2026, allocating about 75% of the proceeds to advance Pico Machay.

The company assembled a multidisciplinary engineering team to simultaneously commence an updated mineral resource estimate and a Preliminary Economic Assessment. Three drilling contractors submitted bids for a planned 3,000-metre diamond drill program, which includes approximately 2,000 metres of resource confirmation drilling designed to twin historical reverse-circulation holes.

“These programs demonstrate that we are moving Pico Machay forward with a clear focus on potential development,” stated Joanne Freeze, President and CEO of Xali Gold. “Our field team is launching a detailed mapping program to follow up on the encouraging high-grade results and new exploration targets generated earlier this year.”

“By assembling the full team now, we can advance much of the mining, metallurgical, environmental and economic work before and during the resource confirmation drilling,” continues Freeze. “The updated resource will form the basis for the PEA, and doing the studies in parallel should shorten the timeline to complete the PEA.”

— Joanne Freeze, President and CEO

Ground exploration and detailed mapping have also resumed to follow up on high-grade gold results from earlier sampling programs, while a Phase 1 metallurgical program is scheduled to commence shortly to support an updated feasibility study. Elsewhere in the surrounding district, Condor Resources secured environmental approval for up to 6,000 metres of drilling at Pucamayo Sur, sharing the same gold commodity.

Read the full announcement: Xali Gold Advances PEA Team and Updated Resource and Development Programs at Pico Machay in Peru