News Summary
The news release dated December 18, 2025, reports final assays from the inaugural 2025 drilling program at the Rye Project in Yukon. The headline discovery is hole RY-25-04, which intersected 1,465 g/t silver, 0.22% copper, and 0.97% tungsten (WO3) over 1.97 metres. Crucially, the company notes that the hole “bottomed” in this mineralization and was “terminated short” at 277.97 metres due to “drilling difficulties.” Other results include RY-25-06, which intersected a 210-metre wide zone of sheeted veining, though geochemical signatures suggest this area represents a lower-temperature, distal portion of the hydrothermal system. This follows news from December 2, 2025, which reported 1.98 g/t gold over 15 metres and a high-grade spike of 44.3 g/t gold over 0.58 metres in hole RY-25-02.
Material Impact
– The 1,465 g/t silver intercept is exceptionally high-grade and confirms the presence of a polymetallic system with significant “bonanza” potential. However, the materiality is dampened by the fact that the hole was lost precisely when it hit the target. This creates a “tease” scenario where the company must now spend more capital to re-drill a lost target.
– The 210-metre intercept in hole RY-25-06 confirms a massive hydrothermal system, but the “lower-temperature” interpretation means the bulk of the 1,992-metre program likely missed the high-grade “core” of the system.
– Market reaction has been paradoxical; despite “discovery” headlines in early December, the stock price has fallen from a late-November high of $0.43 to $0.25. This suggests the market is skeptical of the continuity or “mineability” of these narrow high-grade hits.
– The Mount Hinton project, previously touted as a major catalyst, returned “no significant results” in September 2025, shifting all pressure onto the Rye project.
Catalysts
– Interpretation of 2025 LiDAR and structural data to refine 2026 drill targets.
– Potential news regarding a 2026 flow-through financing, as the company has a history of raising capital in Q2.
– Any update on the “drilling difficulties” – if the ground conditions are poor, future drilling costs at Rye will be significantly higher.
Materiality Conclusion
The news is material and positive because it proves the high-grade silver potential of the Rye project, but it is also frustrating for shareholders. A “lost hole” that ends in high-grade mineralization is the ultimate exploration double-edged sword: it proves the model but fails to define the scale, requiring more dilutive capital to resolve.
