LAC cuts 145 ft. of 0.29 oz. at Rosebud full results held back

Drilling on the Rosebud property has cut a 145-ft. intersection grading 0.29 oz. gold and 0.94 oz. silver per ton from 637 ft. to 782 ft. The hole including a 60-ft. section grading 0.62 oz. gold and 1.93 oz. silver from 637 ft. to 697 ft. The Rosebud property, owned 51% by LAC Minerals (TSE) and 49% by Equinox Resources (TSE), and is about 46 miles west of Winnemucca, Nev.

LAC drilled the hole from its 100% owned adjoining claim to the north. The hole entered the joint venture ground at 637 ft., the beginning of the high-grade intersection.

Although LAC has not disclosed results from drilling on its ground, market rumors indicate the intersection started well up the hole and the released assays represent less than half the actual intersection.

Ross Beaty, president of Equinox, said the mineralized zone has been traced for about 1,000 ft. of strike on the Rosebud property, is flat-lying, and varies in width from 50 ft. to 150 ft. He noted, however, that there are still some unanswered questions and the actual geometry and extent of the mineralized zone has not yet been determined.

LAC is now seeking bids from independent engineering firms for a prefeasibility study on the zone including a preliminary reserve estimate and economic evaluation.

Beaty said the gold-silver mineralization on the main zone is low- sulphide, and readily amenable to cyanide leaching. He said the deposit would lend itself to open pit mining if found economic, with the higher grade material milled and surrounding lower-grade mineralization heap leached.

With the drilling on the main zone essentially complete, LAC will concentrate on drilling exploration targets in the new year. The primarily area of interest is on the eastern area of the property where widely spaced drilling has encountered numerous gold intercepts including one grading 0.2 oz. gold per ton over 45 ft.