Resources round-up: ECR, Condor, Herencia, Orosur

ECR Minerals has announced that it has so far completed eight drill holes out of nine at the Sierra de las Minas gold project area in Argentina. Samples from six of these have been sent for testing, with results expected in two to three weeks. The current programme is planned to consist of 12 holes totaling 1,000 metres, with the option of drilling a further 1,000 metres.

Another gold explorer, Condor Resources, has updated its resource estimate for the La India Project by 37%, which now stands at 8.94m tonnes (indicated plus inferred) of mineral resources for 1.62m ounces (oz) of gold. Of this, 0.59m tonnes is inferred at the Cacao site, at 3.0 grams (g) per tonne for 58,000 oz of metal, and 0.98m tonnes inferred at 6.7g per tonne for 209 oz of metal is for the Espinito mine.

Mining firm Herencia has posted a good set of results from its 70% owned Paguanta Project in northern Chile. The best intersections found included 6.25 metres at a 9.1% zinc grading, and a 3.6% lead gradng as well as 209g per tonne (g/t) silver; 5 metres at 10.2% zinc, 4.2% lead and 244g/t silver, and 4.00 metres at 4.4% zinc, 4.1% lead and 218g/t silver. Managing Director Michael Bohm said: "Looking to the future, I am particularly encouraged that holes such as PTDD095 confirm that the Cathedral Vein remains open at depth with an excellent grade profile."

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

Orosur Mining confirmed the historically identified grades on the Veta II site at its Mahoma gold project in Uruguay and is now planning to expand its drilling programme which will be aimed at defining a resource during the current year. The firm expects that this resource will provide the basis of a feasibility study for mining a total of 25,000 ounces per year. The firm is attempting to offset a delay earlier in the year by accelerating alternative open pit mining, but said this has affected cash costs. Total sales for the quarter ended March 31st were $26.0m compared to $21.6m for the corresponding period of the previous year. The firm's cash position at the end of the quarter was $15.4m, $0.1m higher than at February 28th 2011.

NR