Latin American Minerals (LAT-V) has sold all of its shares in Lithium Americas Corp. (LAC-T) to invest in its prospective Paso Yobai gold project in Paraguay.
The company raised $12.6 million from the sale of 8.4 million shares in Lithium Americas and says it is now fully funded to start an “aggressive exploration and development plan” at the gold project in Paraguay during 2011.
“Paso Yobai is an extremely large footprint, about 100 square kilometers so far, pervasive epithermal gold system that justifies an aggressive exploration strategy,” Latin American Minerals’ president and chief executive, Miles Rideout, said in a prepared statement. on Dec. 6.
Rideout noted that the specifics of a budget and development plan will be set “for a January start” and include provisions for auger and diamond drilling and large-scale trenching.
The budget and development plan specifics will be set immediately for a January start and it will include provisions for auger and diamond drilling and aggressive large scale trenching.
Paso Yobai was discovered by a local prospector in 1996. The property is in eastern Paraguay, about 150 km east of the capital city, Asuncion, and is accessible by paved highways and gravel secondary county roads.
The Paso Yobai property covers an aggregate total of 15,615 hectares that is made up of exploration concessions covering 7,800 hectares and exploitation concessions covering 7,200 hectares. Latin American Minerals own 100% of the exploration concessions and has the right to earn 70% of the exploitation concessions that cover the 8 km-long Paso Yobai gold trend and is fully permitted for production.
The weighted averaged grade of channel samples from trenches on the property returned 21.97 grams gold per tonne over an average width of 1.1 metres, while diamond drilling confirmed the continuity of the gold mineralization to a depth of 100 metres and remains open to depth.
All holes intersected intense alteration associated with gold deposits. Drill highlights include 26.6 grams gold per tonne over 6.5 metres in hole DDH-11 and 45 grams gold per tonne over 1.3 metres in hole DDH-43.
Latin American Minerals is trading at about 25¢ per share and over the last year has traded in a range of 11.5¢-32¢.
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