Avenue Completes Phase-1 Drill Program At São Lourenço
July 16, 2012 (TSX Venture: LRA) - Lara Exploration Ltd., (“Lara” or the “Company”) is pleased to report that its partner, Avenue Resources Ltd., (“Avenue”) has completed 1,200 metres of diamond drilling and additional surface work at the São Lourenço Tin Project in northwest Brazil, confirming the presence of near surface high-grade tin mineralization. Drill results (including TSLD-001-003 that were reported previously) are summarized in the table below:
|Drill Hole ID||Drill Collar Coordinate UTM-E||Drill Collar Coordinate got UTM-N||Hole Angle (degrees)||Hole Direction (degrees)||Hole Depth (metres)||Interval From (metres)||Interval To (metres)||Interval Width (metres)||Tin Grade %|
|TSLD-001||272698||8951075||-50||340||70.15||No Significant Results|
|TSLD-006||271348||8952237||-50||160||136.40||No Significant Results|
|TSLD-008||271391||8952111||-45||160||30.20||No Significant Results|
|TSLD-011||272409||8951360||-45||340||35.20||No Significant Results|
|TSLD-022||272695||8951081||-50||160||82.65||No Significant Results|
|TSLD-023||272757||8951174||-50||340||101.55||No Significant Results|
- Previously reported TSLD-03 with 4.10m at 1.51% tin remains open on strike in both directions and extends down dip, strongly warranting follow-up drilling.
- TSLD-14, collared in an area not previously explored and below a channel sample of 3m @ 0.62% tin, confirmed channel sampling as a reliable exploration tool.
- Mapping proximal to TSLD-14 reveals continuations of the vein system with channel sampling indicating increasing grades along strike, with results returning:
- 20m South East of TLSD-14: 3.5m @ 0.75% Tin
- 35m South East of TLSD-14: 2.2m @ 2.05% Tin
- 20m West of TLSD-14: 1.5m @ 2.56% Tin
- Avenue has extended mapping and sampling over parts of the Irene and Issac Granites not previously explored by Lara, identifying numerous new areas of outcrop with tin mineralisation. Channel sampling of these areas continues with 45 x 1 metres channel samples already at the laboratory.
- Avenue has mobilized additional field crews to accelerate prioritising of drill targets in preparation for the resumption of drilling.
São Lourenço Tin Project:
The São Lourenço Tin Project comprises 7 mining licenses covering a total of 3,408 hectares located approximately 200 kilometres from the city of Porto Velho, in Rondônia State, northwest Brazil. Lara previously mapped and sampled several areas of altered granite with tin mineralization on the Irene and Isaac Hills within the property. Avenue has the option to acquire 100% of Lara’s rights to the project, for 3 million common shares already issued to Lara at closing, US$1 million in cash and/or shares in four annual payments of US$250,000, assuming responsibility for the remaining obligations under the option agreement and undertaking to drill a minimum of 1,500 metres of diamond core drilling by November 24, 2012 - 1,200 metres of which has now been completed. Lara will also receive a 1% net smelter return royalty on any production from the project.
Avenue analyzed samples for the drilling at Sao Lourenco at SGS Geosol Laboratorios Ltda., in Brazil. All samples were analyzed for tin, niobium, tantalum and tungsten using the XRF fluorescence method, with selected samples also analyzed for silver, copper, lead, zinc and bismuth by Atomic Absorption (4 acid digest) and gold by fire assay (50 gram). Avenue’s Quality Assurance Quality Control (“QAQC”) protocol comprised a ratio of 1:20 blank and duplicate samples, in addition to the laboratory’s own internal QAQC. Avenue plans to run umpire samples at a second laboratory at the end of the program.
Michael Bennell, Lara’s Vice President Exploration and a Fellow of the Australasian Institute of Mining and Metallurgy (AusIMM), is a Qualified Person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects and is responsible for the preparation and verification of the technical information in this release.
Lara is an exploration company following the Prospect Generator business model, which aims to minimize shareholder dilution and financial risk by generating prospects and then exploring them in joint ventures funded by partners. The Company currently holds a diverse portfolio of prospects and deposits primarily in Brazil and Peru where it has signed agreements for fifteen joint ventures. Lara’s common shares trade on the TSX Venture Exchange under the symbol “LRA”.
For further information on Lara Exploration Ltd. please consult our website www.laraexploration.com, or contact Chris MacIntyre, VP Corporate Development, at +1 416 703 0010.
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.