Highlights included Hole LRGAG-22-145 that intercepted 42.2 metres of 417 g/t silver equivalent (AgEq), including 14.2 metres of 977 g/t AgEq which also contained 6,951 g/t AgEq over 0.5 metres.
“We continue to intersect exceptional metal values with the drill bit at the Eagle deposit within Los Ricos South. These holes, combined with additional drilling in the Los Ricos South Main area, should add value to the upcoming updated Los Ricos South Mineral Resource and Preliminary Economic Assessment,” said Brad Langille, president and CEO. “We expect to have these updated studies on Los Ricos South by the end of June.”
The Eagle Deposit adjoins the Main Deposit and represents a northern extension of the previously defined Mineral Resource Estimate in the Los Ricos South PEA. The Eagle concession covers 1,107 hectares, including the area between the Main Deposit and the company’s Jamaica concession located 3km to the northwest, where the company holds the rights to additional concessions. Drilling at the Eagle has returned the highest grade intercepts to date in the district. These wide high-grade intercepts are consistent with geophysical targets on the new concession.
The company’s two exploration projects at its Los Ricos Property are in Jalisco state, Mexico. The Los Ricos South Project began in March 2019 and an initial Mineral Resource was announced on July 29, 2020, which disclosed a Measured & Indicated Mineral Resource of 63.7 million ounces AgEq grading 199 g/t AgEq contained in 10.0 million tonnes, and an Inferred Mineral Resource of 19.9 million ounces AgEq grading 190 g/t AgEq contained in 3.3 million tonnes. An initial PEA on the project was announced on January 20, 2021, indicating an NPV5% of US$295M. The Eagle Concession was acquired in October 2022 and is adjacent to the Main Area which contains the initial Mineral Resource.
The Los Ricos North Project was launched in March 2020 and an initial Mineral Resource was announced on December 7, 2021, which disclosed an Indicated Mineral Resource of 87.8 million ounces AgEq grading 122 g/t AgEq contained in 22.3 million tonnes, and an Inferred Mineral Resource of 73.2 million ounces AgEq grading 111 g/t AgEq contained in 20.5 million tonnes.
GoGold Resources operates the Parral Tailings mine in the state of Chihuahua and has the Los Ricos South and Los Ricos North exploration projects in Jalisco.