Lachlan Star (ASX: LSA) is focused on the wholly owned gold producing CMD Mine in Chile. The company also has operations in Australia, including the Bushranger copper and gold project in New South Wales and Princhester magnetite deposit in Queensland.
Lachlan Star (ASX: LSA, TSX: LSA) has intersected further broad zones of gold mineralisation at its wholly owned CMD Mine in Chile.
The significance of these latest results is that they continue to demonstrate the near surface, bulk tonnage nature of the gold mineralisation around the Tres Perlas deposit.
The holes, which were drilled into the El Sauce and Natalia areas of the Tres Perlas deposit, returned intersections of 79.5 metres at 1.24 grams per tonne (g/t) gold, 16.6 metres at 0.94g/t and 60 metres at 0.8g/t.
Gold mineralisation at Tres Perlas is up to 200 metres thick at a cut-off grade of 0.15g/t.
Managing director Declan Franzmann said the recent drill results continue to confirm the belief that the Tres Perlas area contains a major mineralised system.
“The area is under drilled and our recent drilling is indicating good gold grades over wide intervals, with potential to increase the contained ounces,” he said.
The gold mineralisation at Tres Perlas is open down dip to the southeast and along strike to the northeast, and sits beneath copper mineralisation that is an extension of the copper deposit being mined by Teck Resources' (NYSE: TCK) at the Carmen de Andacollo mine.
Interestingly, the additional copper being discovered by Lachlan Star is at similar grades to that being mined at the Carmen de Andacollo mine.
“The presence of material copper grades in association with gold is also encouraging given the proximity to Teck’s Carmen de Andacollo copper‐gold mine on the adjacent tenements,” Franzmann said.
Tres Perlas has an Indicated Resource of 1.72 million ounces of gold and an Inferred Resource of 1.25 million ounces of gold.
The unhedged producer has continued an aggressive drilling campaign at the CMD Mine, targeting an upgrade of the Inferred Resource to the Indicated category, as well as infilling the gaps in the February 2012 Resource.