Cerro Negro Gold Project

Quick Facts

  • Location:

    Santa Cruz Province, Southern Argentina. 600m elevation.

  • Ownership:

    The project is owned 100% by Andean Resources Limited

  • Mineralisation:

    Low-sulphidation, epithermal gold (and potentially silver) hosted within quartz veins and associated stockworks

  • Current Status:

    As of March 2010, the project contains a JORC and NI 43-101 compliant resource of 3.1 million ounces of gold and 25 million ounces of silver.
  •     Tonnes Grade (g/t) Contained Ounces
    Eureka (at a 3g/t AuEq cutoff) ('000) Gold Silver AuEq Gold (K oz) Silver (M oz)
    Indicated Total/Average 3,608 12.3 179 15.2 1,421 20.8
    Inferred Total/Average 962 7.6 79 8.9 235 2.4
    Vein Zone (at a 1g/t AuEq cutoff) ('000) Gold Silver AuEq Gold (K oz) Silver (M oz)
    Indicated   4,610 3.73 - - 554 -
    Inferred   4,310 2.65 - - 367 -
    Bajo Negro (at a 3g/t AuEq cutoff) ('000) Gold Silver AuEq Gold (K oz) Silver (M oz)
    Indicated Total/Average 1,872 8.74 24 9.14 526 1.4
    Inferred Total/Average 935 6.07 15.7 6.33 183 0.47

Introduction

Cerro Negro is an advanced stage gold exploration project on the low level Patagonian plains in the southern Argentinean province of Santa Cruz. Project infrastructure is excellent with access to the property via 54 km of bitumen and 80 km of gravel roads from the nearest provincial town of Las Heras (110km NE) which provides the local on-shore oil fields located in Santa Cruz with basic manufacturing and service facilities. The main regional centre of Comodoro Rivadavia (pop. 140,000) has port and airport facilities and is situated 160km north east of Las Heras.

The climate in the region is cool, dry and at times windy with a winter season between late June and mid-September. Temperatures range from 25 degrees centigrade in summer to minus 5 degrees centigrade in the winter months. Average rain fall is approximately 60 cm per annum. The terrain at Cerro Negro has subdued relief at approximately 750m above sea level.

Within the Cerro Negro project boundary (comprising 25,000 hectares) are ten currently identified prospect areas with manifestations of epithermal gold mineralization. Only two of these, the Vein Zone and the Eureka West prospects, have been subject to systematic drilling by Andean. Within the overall Cerro Negro project, at least five zones of known epithermal mineralization are now recognized comprising:-

  • Vein Zone, which was the previous focus of past exploration,
  • Herradura which adjoins Vein Zone to the east and has yet to be systematically drill tested by Andean;
  • Bajo Negro, a recent discovery 2 km to the south-west of the Vein Zone which is the focus of upcoming exploration
  • Eureka Vein, which is located near the western margin of the tenement and has large outcropping quartz veins over some 4 kms of strike and has recorded significant gold grades
  • Mariana, located north of the Eureka Vein area where epithermal veins and extensive areas of argillic alteration have been partially tested by eight RC holes drilled by Pegasus Gold in 1996-97.

Cerro Negro property page on CoreBox:

http://www.corebox.net/properties/cerro_negro/