Ecuador copper explorer Sunstone welcomes investor DGR Global as major shareholder
Mining investor DGR Global has acquired a strategic 10% shareholding in ASX-listed copper and gold explorer Sunstone Metals through a placement of new shares, together with the right to nominate a director to the Sunstone board.
DGR's investment, totalling A$4.9-million for 28.4-million shares, marks a cornerstone investment in Sunstone's overall share placement of 25% of its issued share capital at a price of $0.17 apiece.
Sunstone is raising A$9.9-million to boost copper exploration on the El Palmer-Verde Chico and Bramaderos projects, in Ecuador.
Through its 14-year exploration experience in Ecuador, DGR aims to assist Sunstone in the discovery of major copper/gold porphyry deposits.
DGR says its investment in Sunstone is consistent with the group's long-standing strategy of identifying and supporting high-quality resource projects with exceptional geological and strategic potential, while actively contributing to improving shareholder value through technical expertise, strategic oversight and the opportunity for board participation.
Notably, DGR helped to advance major copper/gold porphyry systems in Ecuador as a result of its involvement in SolGold and its world-class copper gold porphyry at Cascabel in northern Ecuador from 2012 to 2026 when SolGold was sold to Jiangxi Copper Investment Company for about $1.7-billion in March.
The Toachi Fault, in which Sunstone's El Palmar project is located, is recognised as one of Ecuador's premier emerging copper/gold porphyry provinces and hosts several internationally significant mineral systems. The El Palmer project also incorporates the nearby Verde Chico prospect, which hosts numerous previously drilled high-grade epithermal gold veins along with strong copper anomalism.
In turn, Sunstone has outlined a mineral resource of about 3.6-million ounces of gold equivalent at the Bramaderos project further to the south.
DGR concludes these projects provide Sunstone with exposure to one of the most prospective copper/gold exploration opportunities currently available in Ecuador.
