Lumina Gold Corp (TSX-V:LUM, OTCQX:LMGDF) has unveiled encouraging results from its Cangrejos project in Ecuador, where a drill campaign, for 107 holes and around 30,000 metres (m) spanning this year and last, has now been completed.
The company said a pre-feasibility study for the project is ongoing and the report is expected to be completed in the second quarter of next year, while resource estimate work has now started following the completion of drilling.
"I would like to thank our geological team for completing a well-executed large-scale program on time," said Marshall Koval, the CEO of Lumina, in a statement.
"The drilling campaign appears to have delivered exactly what we set out to do, infill the US$1,100 gold constrained pits that formed the basis of the 2020 PEA, while also completing step-out drilling that should enhance the resource size and overall attractiveness of the project."
Today, the company has unveiled assays from 25 holes, 17 of which are from Cangrejos and eight are from the Gran Bestia ridge.
READ: Lumina Gold announces drill results from ten drill holes at Cangrejos project in Ecuador
At Cangrejos, a highlight hole was one that hit 221.6m from surface grading 0.57 grams per ton (g/t) gold and 0.08% copper, for 0.70 g/t gold- equivalent. This hole is open to the southwest and leaves the deposit open in this direction and to depth, said Lumina.
Meanwhile, at Gran Bestia, seven of eight holes returned long intervals above the previous mineral resource cut-off grade and are expected to add significantly to the Gran Bestia mineral resource estimate for use in the upcoming PFS.
A highlight assay was a hole, which intersected 287m grading 0.59 g/t gold with 0.12% copper for a gold-equivalent of 0.76 g/t gold from 270m depth and remains open to depth.
Lumina also told investors that the supporting geologic and structural models were nearly complete.
Pit slope geotechnical testing and hydrogeologic characterization are also nearly finished.
In addition, metallurgical testing of around 4,700 kgs of drill core is underway at Laboratorio Plenge in Lima. Ongoing field work includes site characterization for project infrastructure and baseline environmental studies, said the company.
Lumina Gold is a Vancouver, Canada-based precious and base metals exploration and development company focused on the Cangrejos gold-copper project in El Oro Province. It is the largest primary gold deposit in Ecuador.
Contact the writer at giles@proactiveinvestors.com