Jangada Mines (LSE:JAN) has announced encouraging geological results from its ongoing diamond drilling campaign at the Molly Gold Project in Brazil’s Tapajós Gold Province. All 13 drill holes completed so far have intersected quartz veining and/or disseminated sulphides linked to gold mineralisation. The exploration programme has been expanded to approximately 2,480 metres and is fully funded, with the goal of upgrading and significantly expanding the project’s existing 130,000-ounce JORC inferred resource. Initial assay results from 44 samples are expected in mid-April, followed by an updated resource estimate.
Step-out drilling at the Molly 2 target, along with additional drilling east and west of the Molly 1 zone, has highlighted the broader district-scale potential of the project. In response to these results, the company has decided to exercise its option to acquire 100% of the 6,656.2-hectare Molly project from BGold. The transaction will begin with an initial consideration of US$350,000 in a mix of cash and shares, subject to regulatory approvals. Phase 1 drilling is expected to conclude in early April, after which Phase 2 exploration—including mapping, geophysical surveys, geochemical sampling and trenching—will continue through to late 2026. Management believes the project could ultimately develop into a multi-pit, high-grade gold system, potentially strengthening Jangada’s resource base and positioning within one of Brazil’s key gold regions.
The company’s outlook remains constrained by its early-stage financial profile, characterised by a lack of revenue, recurring losses and ongoing cash burn, although it currently carries no debt. On the technical side, the share price is trading above key moving averages with moderately positive momentum indicators. However, valuation metrics remain limited by the company’s loss-making position and the absence of dividend support.
More about Jangada Mines PLC
Jangada Mines plc is an AIM-listed natural resources development company focused on projects in Brazil. Its portfolio includes the high-grade Molly Gold Project, the Paranaíta Gold Project and the fully owned Pitombeiras vanadium titanomagnetite project. Drawing on industry expertise, financial resources and local operational knowledge, the company aims to advance its existing assets while identifying and progressing additional resource opportunities across Brazil to build long-term shareholder value.
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