Lara Exploration Ltd.: High-Grade Flake Graphite Outlined In Trenching At Caninde, Brazil
VANCOUVER, BRITISH COLUMBIA–(Marketwired - Jan. 14, 2014) - Lara Exploration Ltd. (“Lara” or the “Company”) (TSX VENTURE:LRA) is pleased to report results of its exploration work at the Canindé Graphite Project in Ceará State, Brazil, conducted on behalf of partner Focus Graphite Inc. (“Focus”). Several new flake graphite occurrences, some with relatively high grades, have been identified and initial trenching programs have been carried out on a number of these, as well as on some of the occurrences identified previously by Lara (see Company news releases of December 05, 2011 and April 11, 2012 for details).
The program of shallow trenching into bedrock totalled 538 metres testing 11 target areas. Trench depths depended on the thickness of the soil cover and varied between 0.35 metres and 2 metres depth. The program indicated the presence of significant zones of graphite mineralization that warrant further systematic trenching and drilling, notably the Pedra Preta, Sao Luis, Mariana East and Salgueiro targets.
The more significant intervals of graphite mineralization at each target are shown in the following table:
|São Luis||T1||459020 E|
|30||2.66||Includes 12 m @ 5.5% Cg|
|11||2.94||Includes 6m @ 4.44% Cg|
|8||5.03||Includes 4m @ 8.93% Cg|
|São Luis West||T1||457193 E|
|Pedra Preta||T1||455714 E|
|T1 A||455696 E|
|25.3||13.29||Includes intervals of 4m @ 17.08% Cg; 9.3 m @ 20.76% Cg; 4m @ 16.57% Cg (Estimated true width of the interval ~19m)|
|7.2||13.01||Includes an interval of 5.2 m @ 17.62% Cg (Estimated true width of interval of ~5.0 m)|
|18||1.95||Includes 6m @ 3.67% Cg|
|Barra do Cancan||T1||454400 E|
|Mariana East||CME/T4||448650 E|
|Salgueiro||West Vein||449004 E|
|East Vein||449008 E|
|Barra do Cancan Southeast||T1||4532961 E|
|27||1.4||Includes an interval of 1.2 m @ 20.99% Cg|
|São Salvador||T3||461861 E|
|Iguassu East||T1||459058 E|
|*||Datum SAD-69- UTM Zone 24 M.|
|**||The sample lengths reported for the Salgueiro target are true widths but for all other targets the lengths reported are trench intersection lengths and do not represent true widths).|
Sampling at all of the targets, except for Salgueiro, was by continuous channel samples of nominal 2 metre lengths, however sample lengths varied in places from 0.5 m to as much as 3 m to account for the local geology and structure. It was not necessary to cut any of the channels with a rock saw, as the rock was readily broken using a cutter mattock and the broken rock was collected from the channel using a gardening trowel. The sampling at Salgueiro was a single sample of continuous rock chips across the face of each of the veins.
Under the terms of the agreement with Lara, Focus can earn an initial 51% interest in the project by spending $2.5 million on exploration (including a minimum of 2,000 metres of drilling) and issuing 500,000 common shares to Lara by December 14, 2015. Focus can then elect to earn an additional 9% (for a total of 60%) in the Project by investing a further $4.5 million on exploration (including a minimum of 5,000 metres of drilling and delivering a Preliminary Economic Assessment (as defined under National Instrument 43-101) within 2 years.
Canindé Graphite Project comprises 15,614 hectares of exploration licenses accessible on paved highways from the Ceará State Capital, Fortaleza. The graphite occurrences are hosted within gently dipping schistose rocks and shear zones developed within a complex of felsic gneisses with local meta-sedimentary schist enclaves. The mineralized zones are conspicuously related to a system of sheeted pegmatite veins with individual veins from a few centimetres up to a metre or so in width.
Assaying was carried out by SGS-Geosol an ISO 9001 and 14001 accredited laboratory located in Vespasiano, Minas Gerais, Brazil following sample preparation in Goiania. The sample analysis for graphitic carbon content was by Leco Analysis using infrared detection following an HCl acid attack to remove carbonate minerals and a calcination stage at 4000C for 2 hours to eliminate the organic content (SGS-Geosol protocol CSA05V).
Industry standard quality assurance and quality control procedures have been adopted by Lara for the sampling campaigns, including the insertion of blank, duplicate and in-house reference samples into the batches. SGS - Geosol also inserted a number of different graphite standards as well as blank, duplicate and replicate samples at various stages of preparation and analysis. Special measures were adopted at the preparation stage to avoid contamination by the high-grade samples.
Michael Bennell, Lara’s Vice President Exploration and a Fellow of the Australasian Institute of Mining and Metallurgy (AusIMM), is a qualified person as defined by the National Instrument 43-101 Standards of Disclosure for Mineral Projects and is responsible for the preparation and verification of the technical information in this release.
Lara is an exploration company following the Prospect Generator business model, which aims to minimize shareholder dilution and financial risk by generating prospects and then exploring them in joint ventures funded by partners. The Company currently holds a diverse portfolio of prospects and deposits in Brazil, Peru, Colombia and Chile, where it has signed agreements for twelve Joint Ventures and Strategic Alliances. Lara’s common shares trade on the TSX Venture Exchange under the symbol “LRA”.
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.