La Quinta Resources Announces 43-101 Compliant Resource on Its Easter Project
June 09 2010 - 4:02PM
Marketwired
La Quinta Resources Corporation ("La Quinta" or "The Company") (TSX
VENTURE: LAQ) is pleased to announce that it has received an
independent National Instrument (NI) 43-101 compliant mineral
resource estimate from SRK Consulting U.S. Inc. ("SRK") for the
Easter project located 10 miles SW of the town of Caliente in SE
Nevada. The resource is confined to the shallow portions of the
Main Vein at the Easter project, and is based on modeling of data
from historical drilling, assays and metallurgical studies on the
project.
In its Technical Report on Resources, SRK estimated an Indicated
Resource of 2.64 million short tons (tons) containing 1.32 grams
per metric tonne (g/t) (0.038 oz/t) gold and 14 g/t (0.4 oz/t)
silver using a 0.35 g/t gold- equivalent cutoff (0.01 oz/t). The
mineral resource statement is presented in Table 1.
Table 1: Easter Mine Project Mineral Resource Statement
Resource Au Ag
Classifi- AuEq Cut- Tons AuEq Au Ag Contained Contained
cation off (ppm) (x10(6)) (ppm) (ppm) (ppm) (koz) (koz)
---------------------------------------------------------------------------
Indicated 2.64 1.542 1.323 14 101.7 1,077
0.35
Inferred 0.20 1.321 1.142 12 6.7 71
Note: Mineral Resources are reported within a potentially economic open pit.
Mineral Resources which are not Mineral Reserves do not have demonstrated
economic viability. The estimate of mineral resources may be materially
affected by environmental, permitting, legal, title, socio-political,
marketing, or other relevant issue.
The SRK resource estimation is based on a geologic model of
mineralization hosted within a 0.3ppm Au grade shell constructed
using LeapFrog software. The grade shell was used to constrain the
resource estimation using an inverse distance squared algorithm.
The resource estimation is supported by 127 drillholes, totaling
42,284ft of drilling. The majority of the drilling type is reverse
circulation with the remainder diamond drill core. The
mineralization consists of a hydrothermal quartz-adularia vein and
stockwork system hosted within a tabular zone striking east-west
and dipping -51 degrees north.
The resources were classified according to CIM guidelines as
Indicated and Inferred Mineral Resources. The Indicated Mineral
Resource is defined by a wireframe solid constructed about the core
of the mineralization where most drilling is spaced 25-50ft apart.
All blocks located outside of this solid are classified as Inferred
Mineral Resources.
SRK sampled available drill core for density determinations as
part of the study, and found that the mineralized material is less
dense than historically estimated. The resultant tonnage estimates
were consequently less than historical estimates. In addition, SRK
capped the raw drill assays prior to compositing into 15ft bench
composites. Gold was capped at 6.5ppm (0.19 oz/t) and silver was
capped at 70ppm (2 oz/t). Resources stated in Table 1 above fall
inside a conceptual pit shell(s) using the Lerchs-Grossman open pit
optimizing algorithm. Economic parameters used in the pit
optimization are presented in Table 2.
Table 2: Parameters Used for AuEq Calculation and Conceptual Pit Design
----------------------------------------------------------------------
Parameter Factor
----------------------------------------------------------------------
Gold Value $1,200/oz
----------------------------------------------------------------------
Silver Value $18/oz
----------------------------------------------------------------------
Gold Recovery 90%
----------------------------------------------------------------------
Silver Recovery 90%
----------------------------------------------------------------------
Mining Cost $2.00/ton
----------------------------------------------------------------------
Process Cost $8.00/ton
----------------------------------------------------------------------
Admin Cost $1.00/ton
----------------------------------------------------------------------
NSR 3%
----------------------------------------------------------------------
Refinery Pay For 99%
----------------------------------------------------------------------
Pit Slope 51 degrees
----------------------------------------------------------------------
This resource estimate does not include the outcropping part of
the Main Vein that hosts the old Taylor Mine, which had limited
test production prior to 1942 of 204 tons grading 0.67 oz/t gold
(23 g/t) and 3.2 oz/t silver (109 g/t). The outcropping part of the
Main Vein is exposed along approximately 1,000 ft of strike and 200
ft upslope, with thickness ranging from 10 - 70 ft, but has not
been drilled.
La Quinta's President Walter Martin said, "La Quinta plans to
drill this exposed mineralization in detail during its summer drill
campaign with the intention of adding this material to the
resource. La Quinta's long term plan is to drill out the downdip
extension of the Main Vein as well as other veins currently
identified on the Easter property to continue to add to the Easter
resource."
The Technical Report includes inferred mineral resources that
are considered too speculative geologically to have the economic
considerations applied to them that would enable them to be
categorized as mineral reserves, and there is no certainty that the
these resources will be mined.
A copy of the full resource estimation and Technical Report will
be available on the SEDAR website within 45 days. The NI 43-101
mineral estimate was prepared by SRK, an independent consulting
firm. Dr. Bart Stryhas, and J.B. Pennington C.P.G. are the
qualified persons as described under NI 43-101 responsible for the
Easter deposit resource estimate.
The information contained in this news release has been
reviewed, approved and deemed relevant by Mark J. Abrams, P.G., a
qualified person as defined under National Instrument 43-101.
About La Quinta Resources Corporation
La Quinta is a junior exploration company actively seeking
mineral opportunities for the benefit of all our stakeholders.
Currently the Company is focused on exploring for gold and silver
on its Easter Project and Black Jack property in Nevada. The Easter
Project is underlain by a quartz-adularia vein stockwork system
within Tertiary volcanic rocks of the Caliente Caldron Complex of
southeastern Nevada. Numerous drill programs were conducted over
the past 27 years by several operators and 121 holes outlined an
area of gold mineralization with a strike length of at least 6,450
feet and widths up to 90 feet. Significant prior intercepts include
up to 0.194 oz. Au / ton over 90 feet (including 0.549 oz. Au / ton
over 15 feet) and 0.084 oz. / ton over 110 feet (including 0.534
oz. Au / ton over 5 feet).
On behalf of the board
Glen Watson, CEO and Director
This document includes forward- looking statements. When used in
this document, the words "potential", "plan", "could", "estimate",
"expect", "intend", "may", "should", and similar expressions are
intended to be among the statements that identify forward-looking
statements. Although La Quinta believes that their expectations
reflected in these forward-looking statements are reasonable, such
statements involve risks and uncertainties and no assurance can be
given that actual results will be consistent with these
forward-looking statements.
SEC 12G file#82-35061
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Contacts: La Quinta Resources Corp. Glen Watson CEO and Director
1(604) 803-5229 / 1(604) 684-4653 info@laquintaresources.com
www.laquintaresources.com Investor Cubed Inc. Neil Simon (647)
258-3310 / (888) 258-3323 (416) 363-7977 (FAX)
nsimon@investor3.ca