PRECIOUS METALS — Geomaque extends La Chicharra

Ongoing drilling by Geomaque Explorations (GEO-T) has extended the La Chicharra zone at its producing San Francisco gold property in Sonora state, Mexico.

La Chicharra lies just west of, and along strike with, the San Francisco open-pit deposit, where reserves stand at 18.7 million tonnes grading 1.03 grams gold per tonne. The zone is now known to extend for 400 metres along its southeasterly strike, along which mineralization occurs as multiple intervals with grades comparable to those being mined.

Results from the latest holes include:

• 31.5 metres (starting at surface) grading 1.92 grams (cut), including 3 metres grading 28.74 grams (uncut) in hole 616;
• 7.5 metres (from 4.5 to 12 metres) grading 1.08 grams, 9 metres (16.5-25.5 metres) grading 1.05 grams and 12 metres (31.5-43.5 metres) grading 0.59 gram in hole 612;
• 12 metres (1.5-13.5 metres) grading 1.05 grams in hole 599; and
• 13.5 metres (90-103.5 metres) averaging 1.39 grams in hole 600.

All were drilled 65 to the south, as mineralization dips 45 to the north. Furthermore, hole 600 confirms that deeper intervals exceeding 1 gram do occur. (Most intersections have been above the 70-metre level, though the deepest hole yet drilled

averaged 1.26 grams from 106.5 to 120 metres).

Meanwhile, production in the first three months was a record 19,300 oz., up 47% from the year-ago period. A total of 865,000 tonnes grading 1.07 grams was crushed, and the stripping ratio averaged 3.5-to-1.

San Francisco is Geomaque’s sole producing asset, though the similar-type Vueltas del Rio project in Honduras is expected to start production by year-end. Reserves at the latter project are pegged at 5.1 million tonnes grading 2.51 grams.