Lancaster Resources Inc (CSE:LCR, OTCQB:LANRF) said it has commenced desk and field work at its Lake Cargelligo gold project in New South Wales, Australia, the first step toward completing its maiden National Instrument 43-101 Technical Report.
The 28,768-hectare project sits in the Lachlan Fold Belt, a region known for high-grade gold and silver deposits.
Initial field activities will include reconnaissance geological mapping and rock chip sampling to refine exploration targets and prepare for a focused drill program.
“Commencing field work at Lake Cargelligo represents a pivotal moment for Lancaster,” said Andrew Watson, CEO. “Our maiden NI 43-101 Technical Report for Lake Cargelligo will be the foundation for systematic exploration, guiding our strategy toward resource definition and value creation for our shareholders.”
Historical work on the project has returned positive results, including rock chip samples with grades up to 204 grams per tonne (g/t) gold and 273 g/t silver, as well as channel sampling intercepts reaching 16 meters at 5.83 g/t gold and 7.20 g/t silver.
Lancaster said it expects to complete the technical report by the end of August.
Shares of Lancaster Resources gained 8.3% on Thursday afternoon in Canada, reaching just over C$0.06 at midday.