Los Cerros receives promising results as it hunts for porphyry at Chuscal

By Jonathan Jackson. Published at Dec 7, 2020, in Mining

Los Cerros Limited (ASX:LCL) has completed the Chuscal short hole program on schedule with results providing supporting guidance for targeted porphyry drilling.

Chuscal is about two kilometres south of Miraflores where the company has a resource of 877,000 ounces of gold grading 2.8 g/t which also includes a reserve 457,000 ounces gold at 3.3 g/t gold.

The short hole drilling program at Chuscal achieved management’s objective in terms of providing vectoring information to refine and filter the porphyry targets ahead of porphyry drilling.

It also enhanced management’s understanding of local structures controlling the distribution of mineralisation under the expansive Chuscal surface anomalism.

One of the other main objectives in conducting the program was to explore for strike and depth extensions of near surface vein-hosted epithermal gold that overprints porphyry associated gold throughout Chuscal.

On this note, there were some promising returns, including 6 metres at 2.3 g/t gold from 114 metres including a small intersection grading 15.2 g/t gold and 58.7 g/t silver from CHDDH007.

Another high-grade hit (CHDDH008) was 5.2 metres at 5.4 g/t gold from a shallow depth of 54 metres.

While these were promising intersections, CHDDH009 which was originally designed to test the Corporacion vein corridor 200 metres west of CHDDH008 and is still to be assayed, was intentionally extended in response to the evolving vectoring program suggesting a potential target at depth.

First instance of a likely porphyry intersection

Consequently, this could be the big break that the company was searching for as it is the first occasion that a likely member of the target porphyry suite has been intercepted at Chuscal.

The possibility of a porphyry target was further supported by geological features when the hole intersected approximately 19 metres of early diorite from 333 metres, believed to be part of the target porphyry suite, with potassic alteration and A-type veining.

At 530 metres downhole CHDDH009 encountered encouraging alteration features with increasing sulphide content and increasing occurrence of veining styles and textures attributable to a nearby causative intrusive such as a porphyry as shown below.

Three locations as shown below have been confirmed and refined as targets for porphyry drilling, namely the Corporacion, Guayacanes and Fathom targets.

Los Cerros map

Commenting on the significance of identifying porphyry targets at an early stage, managing director Jason Stribinskis said, “Coming into this current drilling program we had several porphyry targets based on different vectoring inputs from the company’s Colombian geological team and recommendations from our consultants.

“Emerging from this short hole program are refined priority targets which will be the focus of our ‘porphyry hunting’ drill program which is off to a good start with hole CHDDH009 intercepting potassic alteration within an early diorite.

“This is the first time we’ve hit a unit that is potentially part of a target porphyry at Chuscal.

“This, and the deeper zone of features potentially attributable to a nearby porphyry bodes well for deeper targeting within the immediate vicinity.

“It is also important to note that depth of downhole intercepts are from drill pads sited on ridge tops up to 600 metres above valley floors and therefore depths of intercepts are not necessarily a reliable indication of potential economics of accessing the zones of interest.”

Company-owned rig to start at Tesorito

Los Cerros’ own the new Atlas Copco rig that is in the final stages of commissioning and is expected to commence drilling within days.

The rig’s first drill hole will be at Tesorito, working alongside the currently operating rig allowing easy access and the ability to share equipment and parts if required while the team becomes familiar with the new rig.

The Atlas Copco rig will take the company’s drill program to three diamond rigs running concurrently at Quinchia, located in the mid-Cauca porphyry belt, the same structural trend that hosts several multi-million ounce gold discoveries.

The Quinchia Project hosts the aforementioned Miraflores Gold Deposit and within one kilometre of Miraflores is the Tesorito near surface porphyry where the company is currently drilling and has announced multiple near surface gold mineralisation drill intercepts of more than 200 metres.

Management said that assay turnaround times from laboratories have significantly increased over the past few weeks, extending to three or more weeks for receipt of the complete trace element suite critical for porphyry vectoring.


Where to invest $1,000 right now

When the experts at Next Investors have a stock pick, it may pay to listen.

The Next Investors have been investing in ASX small cap stocks for years, with their best small cap picks yielding returns of 1,200%, 1,120%, 900% and 678%.

They have just revealed their hand-picked, FY2021 stock portfolio of high conviction long-term investments.

Click the link below to see what they are currently investing in.


SEE THE PORTFOLIO

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why Finfeed.com is Australia’s leading small cap publication

Founded seven years ago, Finfeed.com is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise.

Finfeed.com provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more.

Finfeed.com is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!

X