- Forge Resources has completed 2,792 metres of drilling across six holes at its Alotta gold-copper project in Yukon, with assays pending.
- The company has completed the underground ramp at its La Estrella coal project in Colombia and is advancing towards the first coal seam.
- Management aims to use future coal revenue to finance exploration in Yukon, potentially reducing shareholder dilution.
Forge Resources (CSE:FRG; OTCQB:FRGGF) is advancing two projects at different stages of development, combining gold and copper exploration in Yukon with plans to begin coal production in Colombia.
In the latest episode of The Capital Compass, Ricki Lee speaks with Forge Resources CEO PJ Murphy about the company’s 2026 drilling campaign at its Alotta Project and progress towards revenue generation at La Estrella.
At Alotta, Forge completed six drill holes totalling 2,792 metres across a mineralized trend extending approximately four kilometres. Murphy says drilling encountered increasingly strong porphyry-style alteration and veining at depth, with assay results expected to guide future exploration.
This content has been prepared as part of a partnership with Forge Resources and is intended for informational purposes only.
Meanwhile, Forge has completed the underground ramp at its permitted La Estrella coal project. Work is progressing on a crosscut towards eight coal seams, with initial extraction, surface stockpiling and deliveries to an offtake partner identified as upcoming milestones.
Murphy says the company’s longer-term strategy is to reinvest cash generated in Colombia into exploration at Alotta, potentially reducing its reliance on equity financing.
With Yukon assay results pending and Colombian coal production yet to begin, both projects could provide significant operational updates over the coming months.
Watch the full interview above to hear about Forge’s exploration plans, production milestones and growth strategy.
Transcript
This transcript has been lightly edited for clarity and readability.
Ricki: What if one junior resource company could combine the discovery potential of a large-scale gold and copper system with a second project approaching revenue generation?
Hello, I’m Ricki Lee, and this is The Capital Compass.
Forge Resources is pursuing two very different opportunities.
In Yukon’s Dawson Range Gold Belt, the company has just completed its 2026 drill program at the Alotta Project, where drilling has pointed to multiple potential porphyry centres across a roughly four-kilometre trend, with assays now pending.
Meanwhile, in Colombia, Forge is advancing its fully permitted La Estrella coal project, where the underground ramp has reached operational depth and work is progressing towards the coal seams.
Joining me to discuss both projects and the catalysts ahead is Forge Resources CEO PJ Murphy.
PJ, welcome to The Capital Compass.
PJ: Thanks for having me on, Ricki. I really appreciate this opportunity to update investors and introduce new people to the Forge Resources story.
There’s been lots of progress over the last 12 months, and I’d like to walk everyone through four major catalysts coming within the next few weeks to months.
Ricki: Well, let’s get the ball rolling then.
For investors discovering Forge Resources for the first time, you have an exploration-stage gold and copper project in Yukon alongside a coal project approaching revenue generation in Colombia.
How do these two very different assets fit together within the Forge Resources strategy?
PJ: The package Forge holds has high-upside exploration with our gold-copper project in Yukon, and we combine that with near-term revenue potential in Colombia.
We’ve got a fully permitted coal project in Colombia.
That combination of having gold-copper exploration upside, backed and funded through our near-term coal project in Colombia, really gives us something that very few junior miners have.
So, near-term revenue as well as a way to explore without dilution.
Our money from the Colombian coal operation will fund our exploration. So, non-dilutive, high-upside exploration in Yukon, all being funded from our coal operation in Colombia.
Ricki: Speaking of Yukon, you’ve now completed 2,792 metres of drilling across six holes at Alotta, and your latest work points to multiple potential porphyry centres across roughly four kilometres.
What has this year’s drilling taught you about the scale of the system, and what has given you confidence that you could be looking at something significant here?
PJ: This past summer, our drill campaign was a huge success up in Yukon.
We continue to hit top-to-bottom mineralization in every single hole over an enormous footprint.
As you mentioned, we’ve got four kilometres by 1.5 kilometres.
This drill campaign, we went and drilled our deepest holes yet.
Traditionally, we end up getting excellent mineralization and excellent porphyry-style alteration in the range of surface to 350 metres.
We spent the winter with a world-renowned expert on porphyry systems.
They took all of our previous data points, our geophysics, geochemistry and induced polarization data, and put them into their model.
They ended up producing this 3D model of our property, showing that there are likely two different centres of this very large porphyry system.
That’s where we drilled.
And what we found is that the deeper we got, the better the veining became: denser stockwork veining, more alteration and better porphyry alteration.
Again, really rich, dense polymetallic sulphide quartz veins, increasing with depth.
So assays are pending. We’re very excited.
And what we anticipate is that we will be seeing two different centres of this extremely large, very mineral-rich system in Yukon.
Ricki: The drill is now off-site, the samples have been submitted, and investors are waiting for assays, as you just alluded to.
What specifically will you be looking for in those results, and when should investors expect to start seeing them?
PJ: What we’re expecting is a follow-up to our already excellent results.
In previous drill campaigns, we ended up getting 3.4 grams per tonne of gold over 45 metres and two grams per tonne of gold over 78 metres.
And again, all spread out, all step-out holes. We haven’t done any infill drilling at all.
So we’re expecting, based on the visuals from the core that we’ve gotten back, that there will be continued excellent results, both with gold and copper.
That information we’re going to be getting from these assays will further inform our drilling next summer and beyond.
So, when are we going to get them back?
As most of your viewers will know, Yukon, and especially where we are in the Dawson Range, is one of the hottest areas for exploration in the world.
As a result, the labs that we use, and that other drillers use, are significantly backed up.
We’re in regular contact with the lab, and we’re anticipating that we’ll finally start getting some results rolling in.
But we expect multiple catalysts with these assays returning over the fall, and we’re very excited to share that with our investors.
Ricki: Let’s move over to Colombia for a second, because La Estrella is at a very different stage.
You’ve completed the underground ramp to operational depth and started the crosscut towards the coal seams.
How close does that bring you to production, and what are the remaining milestones you need to achieve before La Estrella can begin generating revenue?
PJ: Ricki, I’m really excited to share this with your viewers.
As you mentioned, we completed our underground ramp.
So, a major accomplishment for our company.
Completing the underground ramp now allows us to make a 90-degree turn, the crosscut that will get us to our eight coal seams.
The coal seams run parallel to that underground ramp.
As we make that right-hand turn, we’ll just keep going through the coal seams.
So we’re a mere tens of metres away from the first coal seam.
Once we get there, we end up taking the coal, extracting it from that coal seam and bringing it to surface.
And for investors in Canada who may not have invested in coal before, I’ll give you a little bit of background.
These coal seams run for kilometres. So, nice, large, six-foot-by-three-foot coal seams.
They run for kilometres, and that’s why what we’re building underground is going to have a 45-year mine life.
So again, fully permitted, near-term revenue.
Once we get to that coal seam, which will be fairly soon, we’ll be able to extract that, stockpile it on surface, and then we already have an offtake partner.
Our offtake partner is one of the largest coal producers in the world.
They’ll be travelling right on-site to our coal project, picking it up, and then we’ll be generating revenue.
So when we look at La Estrella, and what we’re doing in Colombia, we’ve got four major catalysts coming.
Number one, we get to the coal seams.
Number two, we extract the coal and get it on surface.
Number three, our offtake partner comes and takes that shipment, and will continue taking shipments.
And then number four, we’re generating revenue.
So, a junior mining company in revenue, and the mine life is 45 years.
Ricki: Finally, PJ, you’ve discussed some potentially significant catalysts coming from both sides of the business.
Looking over the next six to 12 months, what would successful execution across those two projects look like for Forge Resources?
PJ: What it looks like is delivering value to our investors.
So, continuing on from our excellent results in Yukon when those assays come in, sharing that with our investors, and with the execution in Colombia, getting the revenue and producing value for our investors.
And ramping up that revenue throughout 2026 and 2027.
We’ve got two projects.
In Yukon, huge upside, gold and copper, lots of upside with that project.
And then in Colombia, that revenue that will be coming, producing continued revenue and a road towards profitability down in Colombia.
The combination makes us very unique as a junior miner.
Going forward, delivering value to our investors also includes non-dilutive exploration in Yukon.
So our own cash from Colombia funding our exploration in Yukon, and further delivering value to our investors.
Ricki: Well, PJ, thank you so much for joining us today and giving us an update on Forge Resources.
PJ: My pleasure, Ricki, and I look forward to coming back in the future and giving you more updates as we continue to execute both in Yukon and in Colombia.
Ricki: And we look forward to seeing you again.
For investors who want to learn more about the company and its projects, you can visit forgeresourcescorp.com.
This has been The Capital Compass. I’m Ricki Lee.
Thank you for watching, and I’ll see you again next time.