Challenger Exploration Limited announced further results from its 5 rig, high impact, 45,000 metre drilling program at the Company's Hualilan Gold Project, located in San Juan Province, Argentina. Results are reported for a series of holes targeting the large intrusion-hosted gold system which underlies, and is adjacent to, the historical high-grade skarn mineralisation. This round of drilling predominantly targeted the Gap Zone with the majority of drilling focussed on the 150 metres south of the Company's earlier drill holes GND-088 (39.0 metres at 5.7 g/t AuEq) and GNDD-025 (88 metres at 1.0 g/t AuEq) which identified a significant zone of mineralisation hosted in intrusives. Drilling comprised fences of 4-5 holes drilled on 50 metre spacings along strike. More widely spaced reconnaissance drilling, consisting of single holes, was also extended a further 400 metres south into the middle of the Gap Zone to provide information on the underlying geology. Similar to earlier drilling, this has effectively been blind stratigraphic drilling with the 1-kilometre Gap Zone located between Cerro Sur and Cerro Norte entirely under cover and virtually undrilled prior to exploration by the Company. Despite the stratigraphic nature of the drilling, the results from these follow-up drill holes has again significantly exceeded expectations. These latest results confirm the presence of a large intrusion-hosted gold system containing significant zones of high-grade mineralisation extending south of earlier CEL drilling. Intercepts include 227.0 metres at 1.0 g/t AuEq, including 84.0 metres at 2.0 g/t AuEq (GNDD113A); 207.5m at 0.8 g/t AuEq, including 32.0m at 1.6 g/t AuEq and 29.0m at 1.3 g/t AuEq GNDD-139); and 209.0m at 1.1 g/t AuEq, including 49.0m at 3.0 g/t AuEq (GNDD-155). These holes, and the earlier drilling by CEL, define a continuous zone of mineralisation which is 50 to 100 metres wide, dipping 60-70 degrees to the east, covering 200 metres of strike which remains open along strike and down dip. Mineralisation has been defined from near surface to 300 metres down dip with the scale of the mineralisation illustrated by the broader intercept of 314m at 0.8 g/t AuEq in GNDD-113A. Additionally, limited scout drilling in this program returned broad zones of mineralisation in intrusives a further 400 metres south. Assays for many of the holes further south in the Gap Zone remain pending and two rigs are continuing to drill new holes targeting the intrusive hosted mineralisation. The aim of this ongoing drilling is to determine if the intrusive hosted mineralisation, intersected in GNDD-157 (131m at 2.5 g/t AuEq) and GNDD-032 (116 metres at 1.2 g/t AuEq) covering 500 metres of strike across the Magnata Fault forms a continuous zone of mineralisation across the 1 kilometre Gap Zone up to GNDD-113A (227.0 metres at 1.0 g/t AuEq including 84.0 metres at 2.0 g/t AuEq) and GNDD-088 (39.0 metres at 5.7 g/t AuEq). The Company has completed 29,100 of 45,000 metres with 5 rigs continuing on site. Results from 67 completed drill holes remain pending with holes GNDD-200-204 currently drilling ahead. The Company expects to continue to clear the backlog of assays results over the coming weeks which is likely to result in reporting additional drilling results in a timelier manner. Prior to the first 10,000 metres of the current 45,000 drill program the Company had limited control on the distribution of the intrusives or their gold content, given previous explorers policy of not sampling the intrusives and generally terminating holes upon reaching them. Further, the Gap Zone lies completely under cover and had seen minimal drilling by prior explorers. Accordingly, the current drill program that was designed to test for extensions of intrusive hosted mineralisation consists of fences of 4 to 5 diamond core holes covering at least 200-250 metres east-west (down-dip) drilled at 50-100 metre spacing extending south along strike. Complete fences of holes have now been extended a further 100 metres immediately south of the earlier CEL drilling that intersected mineralisation hosted in intrusives. Reconnaissance drilling, predominantly only involving single drill holes every 50-100 metres along strike, has been extended a further 400 metres south into the Gap Zone with several fences to be completed. Reconnaissance drilling is also extending north from the mineralised intrusives which straddle the Magnata Fault to determine if these two zones form one zone extending over 1.5 kilometres of strike. The Company has two drill rigs dedicated to targeting the intrusive hosted mineralisation with drilling ongoing and assays from 67 holes pending. The current drill program has been amended with the aim to determine if a large resource may be present at the Hualilan Project, and if so, assess the limits of the system. The Company deems this appropriate given recent results which point to Hualilan being a system with significant scale. The percentage of significant intercepts in drill holes targeting mineralisation in intrusives in the Gap Zone of almost 50% is pleasing. When the Company moves to targeted resource drilling it would expect a higher percentage of the targeted holes to intersect mineralisation than the current 1-2 holes in each fence of 4-5 holes which should intersect a 50-100 metre wide zone of mineralisation under cover.