Lahontan Gold Corp. (TSXV: LG) (OTCQB: LGCXF) has unveiled an updated Mineral Resource Estimate (MRE) for its Santa Fe Mine in Nevada, revealing a 22% increase in project-wide pit-constrained resources compared to the 2024 MRE. The updated estimate now includes 1.195 million indicated gold equivalent (Au Eq) ounces and 1.19 million inferred Au Eq ounces, underscoring the growing potential of the flagship property.
The Santa Fe deposit itself saw a more than 26% increase in resources, while indicated and inferred oxide resources at the Slab and York deposits jumped by over 37%. These gains are particularly significant for the company's strategic plans, as the updated MRE will serve as the foundation for a forthcoming preliminary economic assessment (PEA) that will examine open-pit mining, heap-leach processing, and potential future processing of Santa Fe sulfide resources. Lahontan is targeting 2027 for mine construction.
According to the company, the updated resource estimate reflects a detailed evaluation of the project's geology and mineralization. The Santa Fe Mine, which spans 26.4 square kilometers, has a rich history of production, having yielded 359,202 ounces of gold and 702,067 ounces of silver between 1988 and 1995 from open-pit operations using heap-leach processing. The new MRE, compliant with Canadian National Instrument 43-101, reports indicated resources of 1,539,000 oz Au Eq (48,393,000 tonnes grading 0.92 g/t Au and 7.18 g/t Ag, together grading 0.99 g/t Au Eq) and inferred resources of 411,000 oz Au Eq (16,760,000 tonnes grading 0.74 g/t Au and 3.25 g/t Ag, together grading 0.76 g/t Au Eq), all pit-constrained.
This resource upgrade is a critical milestone for Lahontan Gold, as it enhances the project's economic viability and de-risks the path toward production. The company plans to continue advancing the Santa Fe project, update its PEA, and drill test the satellite West Santa Fe project during 2025. These efforts are aimed at further expanding resources and optimizing the project's development timeline.
The news is particularly relevant for investors and industry observers, as it signals a growing confidence in the Santa Fe Mine's potential to become a significant gold and silver producer. The increase in resources, especially in oxide material, which is typically more amenable to heap-leach processing, could lead to improved project economics and a more robust mine plan.
Michael Lindholm, CPG, an independent consulting geologist to Lahontan Gold, reviewed and approved the technical content of the announcement. He confirmed that the grade and ounces in the press release match those in the Technical Report, which is available on the company's website and SEDAR+.
For more information on Lahontan Gold Corp., visit the company's website at www.lahontangoldcorp.com. The full press release can be accessed at https://nnw.fm/OPm3C.
