Lara drills 79.29 metres of 1.04% CuEq in Brazil

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Lara Exploration Ltd. [LRA-TSXV] on Monday released results from the first five holes completed on the newly optioned Tariana license, which lies adjacent to the company’s Planalto copper project in northern Brazil.

Drilling highlights include hole 21-002, which returned 341.3 metres of 0.65% copper equivalent (CuEq), and hole 21-005, which intercepted 339.75 metres of 0.53% copper equivalent, including 79.29 metres of 1.04% copper equivalent. Both intercepts included wide zones at a higher grade.

Lara is a prospect and royalty generator with a focus on the identification, acquisition and exploration of precious metal, base metal, industrial metal and other resource opportunities in South America. Its portfolio of properties is located primarily in Brazil and Peru.

The Planalto project consists of 4,726-hectares of exploration licenses, covering meta-volcanic sedimentary sequences and intrusives of early Proterozoic-age with IOCG-type mineralization located near Vale SA’s [VALE-NYSE] Sossego copper mine and Oz Minerals Ltd.’s Antas and Pedra Blanca copper mines in Carajas Mineral Pronvinces.

Lara has a staged earn-in agreement with Capstone Mining Corp. [CS-TSX], allowing Capstone to earn up to a 70% interest in the project by funding exploration, feasibility studies and electing to finance, build and manage a commercial mining operation. Under the deal, Lara would repay its pro-rata share of production financing out of cash flow.

Lara has said the Tariana license will form part of its staged earn-in agreement with Capstone. The company said its due diligence outlines a potential extension of the Homestead target for a further 1,500 metres to the north.

Back in July, 2019, the company said it had completed a 15-hole drill program at Homestead, covering 2,773. Metres and consisting primarily of infill drilling on the shallower part of the target. At that time, Lara said copper-gold mineralization is recognized to underlie an area with a dimension of more than 350 metres north-south and 350 metres east-west and is open down dip and to the west of the drill grid.

Drill holes 21-002 and 21-005 are located 300 metres to the north of the Homestead target and demonstrate that there is potential to substantially increase is size and grade.

Copper equivalent values in the table were calculated using a gold price of US$1,820 an ounce and a copper price of US$3.75 a pound.

On May 13, 2022, Lara shares closed unchanged at 72 cents and currently trade in a 52-week range of 85 cents and 48 cents.

Lara recently signed a deal to increase its stake in the Mantaro Phosphate Project from 33% to 70% by investing US$500,000 by the end of 2025. The project is located near the town of Sincos in the Junin Department of central Peru.

Lara said its priority is to inform the surrounding communities of the benefits of this non-metallic mining project to produce phosphate rock, a natural product used for organic farming to improve farming yields.

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