Golden Arrow Resources Corp (CVE:GRG) said its Puna joint venture is making good progress, as the Chinchillas silver-zinc-lead deposit in Argentina continues to ramp up.
Puna, a joint venture that combines the Chinchillas project with SSR's producing Pirquitas operation in Argentina, was formed in May last year. Golden arrow owns 25% of the venture.
In the third quarter, Puna produced 700,000 ounces of silver, more than doubled zinc production to 3.2 million pounds and successfully test-processed Chinchillas ore, Golden Arrow said in today's statement.
"Prestripping activities at the Chinchillas site continued to advance during the quarter," the company added.
"Approximately 2.1 million tonnes of waste and 0.3 million tonnes of ore were mined, with ore grades reconciling well to the geological model.
"Approximately 73,000 tonnes of ore from the Chinchillas pit were delivered to the Pirquitas site, of which approximately 39,000 tonnes were processed in two separate test runs as part of the project execution.
"The tests successfully validated metallurgical performance of the ore and produced saleable lead-silver and zinc concentrates."
It's been a busy week for the group.
Yesterday, the company told investors it was expanding its footprint into Chile with an agreement to acquire the 3,450 hectare Atlantida copper-gold project.
"Atlantida is an advanced project which combines mineral rights from two separate owners and includes an extensively drilled copper-gold deposit with an historic resource estimate," the firm said.
"By consolidating the land package, Golden Arrow believes there is potential to identify new mineralization and define a significant copper-gold resource."
The Atlantida project consists of two separate land packages that Golden Arrow has consolidated into a single project, through signing two agreements.
Golden Arrow shares eased 3.29% in Toronto to $0.285.