Canada's Daura launches 1,600-meter gold-silver drilling in Argentina

en.Wedoany.com Reported - On October 8, Canadian mining exploration company Daura Gold launched Phase 2 diamond drilling at its La Flora and Cerro Bayo gold-silver projects in Santa Cruz Province, Argentina, planning to complete approximately 1,600 meters in 20 drill holes across four targets. The first batch of drilling has begun at La Flora, marking the project's first-ever drill exploration. This round of drilling is funded by Daura Gold under an option agreement signed with Latin Metals.

La Flora is located in the Deseado Massif of Argentina, where 12 drill holes totaling approximately 900 meters are planned for this round. Previous surface exploration has identified a vein system extending approximately 1 kilometer, containing two veins with gold-silver mineralization. Sampling in 2026 returned grades of up to 63.88 g/t gold and 175.34 g/t silver, while historical samples reached 82.19 g/t and 1,239.28 g/t, respectively. Drilling will employ paired drill hole arrangements to investigate the subsurface geometry and mineralization continuity of the main vein and another vein. The above surface samples are the results of selective sampling and do not represent the average grade of the entire vein system.

After drilling at La Flora is completed, the drill rig will move to the Cerro Bayo project to continue with another 8 drill holes totaling approximately 700 meters. At the Elena target, 2 holes totaling approximately 200 meters are planned to test the extension of near-surface gold mineralization identified in Phase 1; at the Ingrid target, 4 peripheral extension drill holes totaling approximately 350 meters are planned to verify the continuity of existing gold-silver mineralization; at the Gabriela target, 2 drill holes totaling approximately 150 meters will be drilled for the first time to test a northwest-trending mineralized structure extending over 600 meters at surface.

Phase 1 drilling at Cerro Bayo was completed in 2026 for approximately 1,850 meters. At the Elena target, a mineralized intercept of 11.95 meters grading 2.00 g/t gold and 6.8 g/t silver was previously obtained; at the Ingrid target, results of 16.35 meters grading 0.37 g/t gold and 89 g/t silver were obtained, including a 3.60-meter intercept grading 1.43 g/t gold and 321.7 g/t silver. Another drill hole also discovered a high-grade mineralized intercept of 1.8 meters grading 739.53 g/t silver. This round of drilling will continue to test the periphery and extensions of these identified mineralized zones.

Under the option agreement between the two parties, the conditions for Daura Gold to acquire an initial 75% project interest include cumulative payments of US$1.7 million to Latin Metals, assumption of a US$400,000 payment obligation to the original mineral rights vendor, completion of 28,000 meters of drilling, and submission of an NI 43-101 technical report containing a mineral resource estimate. As of this announcement, the company has paid US$300,000 and US$250,000, respectively, and has entered the next round of on-site drilling. After fulfilling the initial interest acquisition conditions, Daura Gold may further increase its stake to 80% under the agreement.