Orla Mining (TSX: OLA) (NYSE: ORLA) provided an update on its 2022 exploration activities on its Cerro Quema Project and outlined its exploration plans for 2023.
The 2022 exploration campaign started by drill testing the La Pelona and La Prieta regional targets. Both produced positive drill results, including new shallow oxide-hosted gold mineralization at La Pelona and sulphide-hosted gold-copper at La Prieta.
Oxides are a type of gold ore containing high concentrations of other minerals like iron and copper. The output from oxide gold are often used to make jewellery.
Furthermore, exploration at the Caballito and La Pava deposits and the Quemita Norte target in the second half of 2022 produced significant intersections.
Orla completed 20 core drill holes (4,339 meters) including three (599 metres) for a metallurgical study at the Caballito deposit. After which, the company used infill drilling to increase density and better define the geometry and extent of mineralization.
These drill holes helped the company understand the deposit’s core area, including geological controls, continuity and geometry of the mineralization. Also, it helped better define the boundaries of the mineralization.
Caballito deposit. Image via Orla Mining.
Notable results from 2022 drilling include,
- CQDH-22-199: 0.58 per cent Cu, 0.52 g/t Au over 31.4 m (Oxide) from 33.7 m
- CQDH-22-192: 0.04 per cent Cu, 0.69 g/t Au over 34.2 m (Oxide) from 14.2 m and
1.54 per cent Cu, 0.52 g/t Au over 47.8 m (Sulphide) from 100.5 m - CQDH-22-195: 0.03 per cent Cu, 0.61 g/t Au over 85.7 m (Oxide) from 9.0 m and
1.91 per cent Cu, 0.13 g/t Au over 21.2 m (Sulphide) from 94.7 m - CQDH-22-199: 0.58 per cent Cu, 0.52 g/t Au over 31.4 m (Oxide) from 33.7 m
- CQDH-22-197: 2.62 per cent Cu, 0.39 g/t Au over 19.5 m (Sulphide) from 187.7 m
Exploratory drilling started as regional exploration
Cerro Quema is a heap leach gold project presently in the pre-feasibility stage. It’s a copper-gold sulphide resource with a number of exploration targets on a prospective land package. The project is located on a 15,000 hectare concession on the Azuero Peninsula in the Los Santos Province of Southwestern Panama.
Exploration drilling in 2022 started with regional exploration at the La Prieta and La Pelona targets before moving to metallurgical, infill and expansion drilling at Caballito and La Pava mineralized zones. The company drilled 9,044 meters in total in Panama that year.
Drill deposit intersections. Image via Orla Mining.
Orla also completed eight core holes at La Pava in 2022. The campaign targeted potential extensions of sulphide mineralization defined by historical drilling beneath oxide mineralization. The new drill results and the historical results put together show the presence of significant copper-gold sulphide mineralization.
The sulphide Cu-Au mineralization at La Pava is defined over a strike length of 800 meters and a width of 280 meters. It consists of stacked sub horizontal lenticular shapes that are up to 35 metres thick, and beneath oxide gold mineralization. Some of these 2022 holes cut oxide mterial while targeting sulphide mineralization, which confirms the upper oxide mineralization zone.
Orla completes five core holes
The gold target at Quemita Norte is located 200 metres northwest of the Quemit Oxide gold deposit. The company completed five core holes as a continuation of a historical and previously recorded intersection in hole CQDH-17-112.
The 2022 program expanded the copper mineralization over 180 meters on a northwest-southwest drill section and 2010 meters along strike. The mineralization is still open along strike and more drilling is required to define the extent.
Quemita Norte. Image via Orla Mining.
Noteworthy drill results from Quemita Norte include:
- CQDH-22-208: 0.54 per cent Cu, 0.14 g/t Au over 58.1 m, from 30.0 m
- CQDH-22-212: 1.35 per cent Cu, 0.24 g/t Au over 19.9 m from 162.2 m
- CQDH-22-203: 0.38 per cent Cu, 0.18 g/t Au over 28.8 m from 137.2 m and
1.09 per cent Cu, 0.10 g/t Au over 9.5 m from 59.7 m
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Orla Mining plans extensive mining program in 2023
Orla Mining arranged a $5 million exploration budget for Panama in 2023, which includes 5,500 meters of core drilling.
The exploration program follows the results generated at La Pelona and La Prieta targets in 2022. The company will reduce exploration in Panama during the 2023 dry season. Instead, the company will interpret results data in the second half of 2023 while activities are minimal.
Orla Mining shares rose $0.14 today and closed at $5.64 on the Toronto Stock Exchange.
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NevGold Corp. (TSX: NAU) (OTCQX: NAUFF) (FSE: 5E50) is another Vancouver-based gold producer that has been seeing positive intercepts with oxide-hosted mineralization.
NevGold’s Nevada drill program at Resurrection Ridge intercepted more oxide gold on its last assay and expanded its mineralized footprint by more than 100 metres.
“We are looking forward to the 2023 exploration program which will include following up on the near-surface high-grade oxide gold results that we drilled in 2022, and starting to test the newly identified targets within our large 67 square kilometer land package,” said NevGold CEO, Brandon Bonifacio.
NevGold shares closed at $0.355 on the TSX Venture Exchange.
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