Contango confirms Torbrit–North Star silver link as drilling adds unmodeled growth

Contango is using cash flow from its 30% Manh Choh producing interest to advance a portfolio of exploration-stage assets, with Kitsault Valley positioned as a large silver-gold growth project. The standing plan was already a 2026 resource update followed by extensive drilling to support a preliminary development plan, so the program itself was known; the new information is that drilling is beginning to convert separate deposits into a potentially larger mine-planning unit.

The key result is geological continuity, not just another isolated high-grade hit. Step-out drilling between Torbrit and North Star intersected mineralization below the valley floor, and the release says the two deposits now form a connected system. 〔0〕 That matters because a continuous corridor can improve the geological model and potentially support shared development infrastructure rather than treating the deposits as entirely separate bodies.

The grades reinforce the connection with meaningful silver intervals. Torbrit returned 506 g/t AgEq over 13.90 meters, including 881 g/t AgEq over 2.30 meters, while North Star returned 807 g/t AgEq over 4.96 meters, including 2,254 g/t AgEq over 1.00 meter. 〔1〕 The broader Torbrit result was 304 g/t AgEq over 25.00 meters, and another hole delivered 262 g/t AgEq over 33.50 meters plus a 66.35-meter lower zone at 165 g/t AgEq. 〔2〕

The upside is not yet in the imminent resource update. Management says the 2026 drilling is excluded from the Mineral Resource Estimate update expected later in September, meaning this release could add future resource-growth potential beyond the near-term estimate rather than merely validate numbers already being published. 〔3〕 That makes the result more consequential than routine infill, although the resource impact remains unquantified until additional assays and modeling are completed.

The main limitation is stage, not assay quality. The company reports that 34 holes are included, most of the 2026 program remains pending, and reported lengths are downhole intervals approximating 80% to 95% of true width. 〔4〕 Kitsault remains an exploration-stage property with no declared mineral reserves, so the results strengthen continuity and resource potential but do not yet establish economic viability or a mine plan.

Bottom line: This is a meaningful upgrade to Kitsault’s geological story: the drilling supports treating Torbrit and North Star as one connected silver system, with additional growth outside the upcoming resource update. The direction was expected from the 2026 program, but the confirmed corridor and thick, high-grade intercepts make the details materially better than a routine exploration update.