Aldebaran Resources Inc. (TSX-V: ALDE, OTCQX: ADBRF) has announced plans to spin out its exploration assets in northern Argentina into a new company specifically focused on advancing those projects, while Aldebaran will maintain its focus on the Altar copper-gold project in the San Juan province of Argentina. This newly formed subsidiary, referred to as SpinCo, will be a Canadian-incorporated company dedicated to copper, gold, and silver exploration in Argentina’s Salta, Jujuy, and Catamarca provinces.
The decision comes after several years of development at the flagship Altar project, which has seen concentrated attention and significant investment. The spinout will allow Aldebaran shareholders to maintain exposure to the Altar project while receiving shares in SpinCo, which aims to actively advance the northern project portfolio that has been largely dormant during Aldebaran’s recent push at Altar. John Black, Aldebaran’s CEO, expressed confidence that this restructuring will create value for shareholders by unlocking the potential of these promising Argentine exploration properties.
The leadership of SpinCo has been entrusted to Sam Leung, an executive with two decades of experience in mining strategy, due diligence, and mergers and acquisitions, especially within South America. Leung’s background includes senior roles at Adventus Mining Corporation, which was sold in 2024 to Silvercorp Metals Inc., Lundin Mining Corporation, and Hatch Ltd. Notably, he has been instrumental in several large-scale transactions totaling over US$3.7 billion and has contributed to the growth of exploration ventures in the region, including AbraSilver Resource Corp., where he serves on the board.
SpinCo’s initial focus will be on several key projects. The Rio Grande project, located in Salta Province near Fortuna Mining Corp’s Lindero heap leach gold mine, is a significant copper-gold opportunity with an established resource base. The measured and indicated resource totals 71 million tonnes averaging 0.30% copper, 0.36 grams per tonne gold, and 3.2 grams per tonne silver with notable oxide and transition zones potentially suitable for heap leach extraction. Historical drilling has revealed strong copper-gold sulphide mineralization, highlighted by intercepts such as 257 meters grading 0.53% copper and 1.20 grams per tonne gold. Permits for drilling at Rio Grande are anticipated in the first half of 2026.
Another priority is the Aguas Calientes project in Jujuy Province, which features a large strike length of mineralized float boulders indicative of a significant epithermal gold-silver system. Historical drilling, including a 2019 program, showed promising intercepts with gold grades over 1 gram per tonne alongside silver. Drill permits are currently secured for this property, setting the stage for further exploration.
Additional assets included in SpinCo’s portfolio are El Camino and Oscara in Salta Province, which exhibit potential for iron-oxide-copper-gold (IOCG) style mineralization, along with La Frontera in Catamarca Province, noted for historical silver anomalies. The Catua project in Jujuy also offers copper oxide mineralization but requires further exploration work to assess its potential.
The formation of SpinCo will progress through a formal plan of arrangement under Alberta’s Business Corporations Act, with Aldebaran management focusing on their core Altar project and SpinCo establishing its own executive team under Leung. SpinCo plans to secure private financing for a robust 2025-2026 field exploration program, involving geophysical and geochemical surveys to prepare the Rio Grande and Aguas Calientes projects for drilling. Upon completion of the spinout and a possible concurrent public listing, SpinCo intends to raise further funds to support an aggressive drill program to test new targets.
On a related note, Aldebaran updated the timeline for the preliminary economic assessment (PEA) of the Altar project. The announcement of the PEA has been pushed back to the fourth quarter of 2025, allowing time for Nuton Holdings LLC to finish its review in line with the joint venture agreement Aldebaran signed in November 2024. This delay offers Aldebaran a window to refine development scenarios for Altar, including operative strategies that might expedite permitting and maximize tax benefits under Argentina’s RIGI regime.
Aldebaran’s Altar project remains a notable asset within a cluster of world-class porphyry copper deposits in Argentina, alongside well-known projects operated by major firms such as Antofagasta Minerals and Glencore. With Aldebaran’s 80% ownership and Sibanye-Stillwater holding 20%, Altar continues to be a strategic priority as the company navigates its development pathway.
