Latin Metals Inc. (“Latin Metals” or the “Company”) offers an update on exploration at the Cerro Bayo project (“Cerro Bayo” or the “Project”), situated in the Deseado Massif, Santa Cruz Province, Argentina.
Cerro Bayo is subject to an earn-in agreement (the “Earn-In Agreement”) with a 100%-possessed subsidiary of Barrick Gold Corporation (“Barrick”). Within the terms of the Earn-In Agreement, in the Project, Barrick has the right to obtain a maximum of 85% interest.
Exploration Update & Planned Work
In the first year of the Earn-In Agreement, exploration finished by Barrick has determined a preserved low sulfidation epithermal system and comprised:
- Structural mapping
- Geological and alteration mapping
- 1,000 line-km ground magnetic survey
- 100 rock channel samples
- 759 rock chip samples
Structural mapping is vital in the determination of west-northwest to northwest trending structures that are thought to regulate mineralization in the region. Such faults characterize an extensional basin with a width of 6 km. Rock sampling determined the mineralization of a maximum of around 2 g/t gold. The exploration program is focusing likely bonanza grade silver and gold from the palaeosurface at 150 m to 200 m depth.
For mining activities, the project holds an environmental permit, which enables surface work (excluding trenches). Barrick is examining further exploration work that may comprise:
- Gradient array induced polarization (IP) for around 90 line-kms.
- Totally 30 to 40 trenches of 200 m to 400 m in length for around 10,000 m of trench. The program would create nearly 2,500 samples crossing all of the vein zones found until now.
- Deep CSAMT geophysical survey (single 6 km line).
For advanced exploration, an extra environmental permit needs to be given before these activities can be finished. In April 2023, an Environmental Impact Assessment to conduct the drilling and trenching activities was submitted. The permitting process is believed to take a maximum of six months.
The Deseado Massif, located in southernmost Argentina, is an exposed block of Mesozoic volcanic rocks that host low- to intermediate-sulfidation style silver and gold epithermal deposits made inside an extensional tectonic setting.
Several operating mines are situated within Deseado Massif and there are several development and exploration mines in the region. Mineralization belongs to the late Jurassic era, which makes the Deseado Massif one of the older epithermal metallogenic provinces across the world. In the western portion of the Deseado Massif, Cerro Bayo is situated.