Lahontan Gold Corp. (TSX.V: LG) (OTCQB: LGCXF) has released additional results from its 2026 Sonic core drilling program at the Santa Fe Mine Project, revealing that nine drill holes in a historic low-grade stockpile averaged 1.96 grams per tonne (g/t) gold equivalent, including 1.64 g/t gold and 36.2 g/t silver. The stockpile, located adjacent to Heap Leach Pad Two, contains material that was previously mined and set aside. This development is significant because it suggests the potential for future reprocessing of this material at a lower cost than mining and processing fresh rock, which could extend the mine's life and improve economic returns.
The company reported that cyanide-soluble gold assays averaged 43% of corresponding fire assay values, indicating that the material may be amenable to conventional heap leach processing. This is a crucial finding because it implies that the stockpile could be processed using existing infrastructure, potentially reducing capital expenditures and operational costs. For investors and the mining industry, this could mean a more efficient use of resources and a shorter timeline to production from this material.
Lahontan Gold is a Canadian mine development and mineral exploration company with four top-tier gold and silver properties in the Walker Lane of Nevada, a mining-friendly jurisdiction. Its flagship Santa Fe Mine project has a past production record of 359,202 ounces of gold and 702,067 ounces of silver between 1988 and 1995, using open-pit mining and heap-leach processing. The project currently hosts a National Instrument 43-101 compliant Indicated Mineral Resource of 1,539,000 ounces of gold equivalent (48,393,000 tonnes grading 0.92 g/t Au and 7.18 g/t Ag) and an Inferred Mineral Resource of 411,000 ounces of gold equivalent (16,760,000 tonnes grading 0.74 g/t Au and 3.25 g/t Ag).
The company plans to continue advancing the Santa Fe Mine project towards production, update the Santa Fe Preliminary Economic Assessment, and drill test its satellite West Santa Fe project during 2025. The technical content of this announcement has been reviewed by Michael Lindholm, CPG, an Independent Consulting Geologist to Lahontan Gold and a Qualified Person under National Instrument 43-101.
The implications of these drilling results are multifaceted. For Lahontan Gold, the potential to reprocess stockpile material could provide a lower-risk, lower-cost source of feed for its processing facility, potentially improving project economics and reducing environmental impact by reusing already-mined material. For the broader mining industry, this underscores the growing trend of evaluating historical stockpiles as a viable resource, especially in jurisdictions with established infrastructure. For local communities and stakeholders, successful reprocessing could mean extended mine life and continued economic benefits.
Investors and industry observers will be watching closely as Lahontan Gold advances its plans. The company's ability to capitalize on this stockpile could serve as a model for other operations with similar historical accumulations. For more information on the full press release, visit https://ibn.fm/F7hVP. To access the company's newsroom for updates, go to http://ibn.fm/LGCXF.
