Latin American Minerals (TSX-V: LAT) delivered some encouraging news for shareholders today, reporting several high grade gold intersects from drilling at the company’s Paso Yobai license.
Latin American Minerals completed 11 holes at Paso Yobai, and reported that had intersected gold mineralization in all of the holes. Gold grades varied widely from 100 parts per billion to as high at 111.15 grams per tonne over widths from ½ meter to 3.8 meters.
The gold exploration junior went on to say that the most significant result cam from drill hole DDH-LAT-43 which cut 1.27 meters averaging 45.3 grams per tonne gold from 84.5 meters, including just under ½ meter grading 111.15 grams per tonne gold.
“Based on the encouraging exploration results, management believes the project has excellent exploration potential and has quantified this potential by defining a Potential Mineral Deposit at Paso Yobai,” the company added. “Latin American Minerals estimates the 1,200 meter long Discovery Zone may contain a Potential Mineral Deposit ranging from 450,000 to 900,000 tonnes with grades ranging from 4.0 to 7.0 gpt gold.”
Extrapolating even further, Latin American noted that the gold trend had been traced over a strike of 8 kilometers, which could host between 3.5 and 7 million ones of ore of a similar grade.
The ‘Potential Mineral Deposit’ is based on two years of exploration activity included 14,000 geochemical samples, 450 meters of trenches, 47 diamond drill holes and both electromagnetic and magnetometer surveys.
“The potential quantity and grade of the Potential Mineral Deposit is conceptual in nature as there has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource,” the company stressed.
Shares in Latin American Minerals climbed 12% on the news.