New drilling at Latin Resources' (ASX:LRS) rapidly advancing Ilo Este porphyry copper project in Peru has returned visible copper-bearing minerals including green copper oxides.
An initial two holes have been completed by local earn-in operator Compania Minera Zahena, the first of which intersected 522 metres of mineralised Quartz Diorite Porphyry and Porphyritic Andesite with dominantly potassic alteration (secondary biotite) and lesser amounts of propylitic and phyllic alteration.
There is localised brecciation.
Mineralisation is present as a mixture of copper oxides with some sulphides to the depth of oxidation at 193 metres.
Sulphides continue from 193 metres to 522 metres where after passing through a fault zone, weakly propylitic altered and apparently unmineralised granodiorite was intersected to the end of hole at 561.8 metres.
Zahena's third hole is underway in the southern extremity of the exposed part of the mapped Porphyry System and has already reached 217 metres, where copper oxides are also visible.
Copper oxides in this hole become visible from 200 metres, in line with the targeted subsurface extension of anomalous surface geochemistry.
A fourth hole has also advanced 133 metres into sedimentary cover testing for an inferred fault offset extension of the Ilo Este Porphyry.
Ilo Este potential
Latin and Zahena's work at Ilo Este is targeting a region known to host 125 billion pounds of contained copper within 100 kilometres.
Ilo Este is the more advanced of ten target areas generated in Latin’s 100,000 hectares of 100% owned concessions and has produced evidence porphyry copper-gold-molybdenum mineralisation.
The Jurassic volcanics in this area may also have the potential to host skarn replacement or IOCG-style mineralisation proximal to a Cretaceous age intrusive complex. A similar porphyry deposit is located less than 90 kilometres along strike at Tia Maria, which contains 640 million tonnes at 0.39% copper and 0.19 g/t gold.
Latin recently completed three diamond drill holes for a total of 2073.3 metres drilling over 1.1 kilometres of strike within one of two striking intrusive porphyry belts that make up Ilo Este’s overall 3-square-kilometre mineralised system.
Each hole hosted porphyry copper mineralisation, helping to verify the porphyry system as a large and significantly mineralised area with substantial scope for improved grades within the overall envelope of alteration and mineralisation mapped to date.
Analysis
Zahena's first hole at Ilo Este is significant because it demonstrates the continuous mineralisation characteristic of this large porphyry system proximal to the large confirmed resources of the Cuajone, Toquepala and Cerro Verde copper mines.
Potential price catalysts for Latin as the exploration program continues include the testing of a conceptual fault offset target, which promises to significantly enlarge the system as well as potentially increase copper grades.
Investors can also look forward to the continued thorough testing of the 3 square-kilometre exposed porphyry system, which remains mostly untested by drilling.
Ilo Este benefits from first-class infrastructure right in the heart of a major copper producing region, where there are 125 billion pounds of contained copper in published reserves and resources.
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