Condor Resources: 1.6 Moz Gold @ 5.6 g/t
Target is 3 Moz Au at La India
Condor Resources Plc is focused on proving a large commercial reserve on its 100% owned La India Project.
La India is known to have more than 1.6 million ounces of JORC-compliant gold resources grading 5.6 g/t. Condor Resources is targeting in excess of 3 million ounces gold, plus valuable silver credits.
An independent Mining Concept Study completed in March 2012 stated that an 80,000 oz per annum gold mine is both technically feasible and economically viable based on the existing resource of 1.6 MM oz gold.
The La India Project is located in western Nicaragua, approximately two hour by paved highway from the capital, Managua.
The project enjoys outstanding infrastructure. Nearby towns are a ready supply of labour. Graded roads and power traverse the project. And a hydroelectric power plant is located at the edge of the La India concessions.
La India has a history of high grade gold production from epithermal veins located at or near surface.
Most of Condor’s exploration to date has taken place on the southern portion of the project.
18 separate veins have been discovered, totalling 17 km, of which just 8 km has been drill tested.
The majority of the known resource is hosted in three separate vein sets: Mestiza, America and La India.
The Mining Concept Study provides for the three vein sets to feed a centralised mill for 80,000 oz gold production per annum.
Mestiza: 334,000 oz Au @ 7.0 g/t
America: 405,000 oz Au @ 6.2 g/t
La India: 730,000 oz Au @ 5.3 g/t
Resources to feed centralised mill for 80,000 oz gold production p.a.
Additional resources are known and partially tested at Cristalito-Tatescame, Cacao and San Lucas as well.
Cristalito-Tatescame: 34koz @ 5.3 g/t
Cacao: 58koz @ 3.1 g/t
San Lucas: 59koz @ 5.6 g/t
Recent metallurgical lab work confirmed excellent recovery rates from mineralized samples at Cristalito-Tatescame and the La India vein. Testwork achieved overall recoveries of between 90.4% and 94.5% from two 25 kg samples.
Since acquiring the project, Condor Resources has drilled extensively to upgrade to JORC classification the historic Soviet Classification gold resource of 2.4 million ounces.
To date, more than 34,000 metres of drilling has been completed in 238 drill holes, plus 15,000 metres of trenching and more than 9,000 underground grade control samples.
The global resource for the project is 264,000 oz Au grading 7.1 g/t indicated. Plus 1.4 million oz Au grading 5.4 g/t inferred.
Assays have consistently confirmed excellent gold grades and continuity of mineralization.
The La India Vein Set hosts the largest known resource on the project, as well as some of the highest grades.
For example, DH-LI-08 intersected 3.28 metres grading 28.65 g/t Au plus 27 g/t Ag.
Elsewhere in this vein set, LIDC067 intersected 34 metres grading 2.31 g/t Au.
The La India Valley hosts two parallel veins, La India and Hanging Wall.
The La India vein averages 2.5 m in width grading 6.4 g/t Au.
The Hanging Wall vein is averages 9 m wide grading 4 g/t.
These veins extend approximately 1,300 metres by up to 250 metres deep. At present the Hanging Wall mineralization has been proven to within about 100 metres of surface. Drilling is ongoing to confirm that this vein extends to surface as La India does.
HANGING WALL VEIN:
145,000 oz Au
Avg. 9 m @ 4 g/t Au
(Cut off 2.5 g/t Au)
Condor has initiated a 6,800 metre drill program on the La India Vein Set with three aims:
To convert inferred resources to approximately 400,000 oz gold of indicated resource.
Second, to increase the resource of the La India Vein Set to 850,000 oz from 730,000 oz.
And third, to prove the open pit potential of the La India Vein Set.
Condor expects to announce an updated JORC compliant resource for the project by the end of October 2012.
Open pit potential exists elsewhere on the project as well. Previously, trench highlights included 104.5 m at 1.31 g/t gold and 26 m at 2.54 g/t at the Central Breccia zone. The zone has now been defined by 1,391 m of trenching and 886 metres of drilling in 5 drill holes.
Recent trenching and drilling in this zone increased its size from 120 m by 25 m to 300 metres by 150 metres.
These results demonstrate excellent continuity of grade in the zone, with 23m at 3.63g/t gold in trench LITR044.
Among its six mineralized intercepts, drill hole LIDC101 intersected 29.4 m (true width) at 4.24g/t.
This appears to confirm the open pit potential of this zone.
This and other data being collected by the company will be included in a Preliminary Economic Assessment for the La India project due out by the end of Q3, 2012.
Condor Resources PLC is encouraged by the rapid resource growth it has achieved so far at La India and is targeting a 2m oz gold JORC Code Resource by end 2012.
With continued success, this project will be fast tracked to production within a few short years.
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This presentation may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. The Issuer relies upon litigation protection for forward-looking statements. This piece is for information purposes only and is not a recommendation to buy or sell any securities.