Lahontan Gold Corp. has released initial analytical results from its 2025 Phase Two drilling program at the Santa Fe Mine Project in Nevada's Walker Lane region. The company reported six reverse-circulation drill holes totaling 994 metres that delivered significant gold intercepts at both the York and Slab zones, potentially expanding mineralization beyond current resource boundaries.
The drilling highlights include a broad intercept of 114.3 metres grading 0.33 grams per tonne gold equivalent at the York zone, which includes higher-grade mineralization of 18.3 metres grading 0.90 g/t gold equivalent. This intercept expands mineralization north of the current resource pit shell, suggesting potential for resource growth in that direction. At the Slab zone, the company reported both shallow and deeper oxide gold intercepts that may support a deeper conceptual pit design and additional resources in an updated Mineral Resource Estimate expected later this year.
The Santa Fe Mine Project represents a significant gold and silver exploration property covering 26.4 square kilometres in mining-friendly Nevada. Historical production at the site between 1988 and 1995 yielded 359,202 ounces of gold and 702,067 ounces of silver from open pit mines utilizing heap-leach processing. The project currently holds a Canadian National Instrument 43-101 compliant Indicated Mineral Resource of 1,539,000 ounces gold equivalent and an Inferred Mineral Resource of 411,000 ounces gold equivalent, all pit constrained. These resources are reported using a cut-off grade of 0.15 g/t AuEq for oxide resources and 0.60 g/t AuEq for non-oxide resources, based on assumptions including a gold price of US$1,950 per ounce and silver price of US$23.50 per ounce.
The technical content of the announcement has been reviewed and approved by Michael Lindholm, CPG, Independent Consulting Geologist to Lahontan Gold Corp., who is a Qualified Person as defined in National Instrument 43-101. The company plans to continue advancing the Santa Fe Mine project toward production, update the Santa Fe Preliminary Economic Assessment, and drill test its satellite West Santa Fe project during 2025. Additional technical details are available in the full press release and the Preliminary Economic Assessment, NI 43-101 Technical Report for the Santa Fe Project, which is available on the company's website and SEDAR+.
These drilling results have implications for the mining industry and investors, as they demonstrate continued mineralization expansion at a project with established historical production and existing resources. The potential for an updated Mineral Resource Estimate later this year could significantly impact the project's economic viability and development timeline. For the mining sector in Nevada's Walker Lane region, successful exploration results contribute to the area's reputation as a productive mining district and may attract additional investment to the region. The company's progress also highlights the ongoing importance of systematic exploration programs in extending the life and value of mining projects, particularly in established mining districts with existing infrastructure.
