SOURCE: La Mancha Resources

February 01, 2011 10:06 ET

La Mancha's VMS Exploration Program at Hassai: Preliminary Results Show New Mineralization at First Target

PARIS--(Marketwire - February 1, 2011) -


  • Results for the first 40 holes drilled appear to confirm the 2009 resource
  • Copper intercepts in the pit walls suggest that the resource may extend beyond the current boundaries
  • New gold and copper intercepts suggest the presence of scattered higher grade pockets throughout the orebody
  • The drilling program remains on track to fully delineate the first two targets by the end of 2011


  • 25.7 m at 2.27 g/t Au, 1.46% Cu from 360 m, including 2.0 m at 8.91 g/t Au and 1.30% Cu
  • 11.5 m at 2.05 g/t Au and 3.03% Cu
  • 55.0 m at 0.15 g/t Au and 0.88% Cu from the wall rock

La Mancha Resources Inc. (TSX: LMA) (hereinafter "La Mancha" or "the Company") is pleased to report that the first round of drill results for the Hassaï volcanogenic massive sulphide (VMS) structure appear to confirm the 2009 resource estimate. The Hassaï South structure was the first of two VMS structures tested by La Mancha at its Hassaï property in northeastern Sudan in 2007 and 2008. The resulting inferred resource was used in the preparation of a scoping study released in the fall of 2010.

Moreover, the discovery of new mineralization in the south wall of the Hassaï South pit, as well as high-grade intercepts at depth, suggest the potential to improve the resource, both in terms of size and grade. These preliminary drill results, which are part of the 100,000-metre VMS drilling program started in October 2010, brings more confidence with respect to the low geological risk associated with both converting the resource currently in the Inferred category to the Measured and Indicated category and significantly growing the resource.

Dominique Delorme, President and CEO of La Mancha, commented that "We are pleased with these initial results as they provide more evidence of our project's strong potential while underscoring the conservative approach of our positive Preliminary Economic Assessment ("PEA"). The high-grade drill results obtained recently from outside the supergene zone indicate that the deposit grades may be above those used in our PEA. Furthermore, the discovery of new mineralization in the south wall of the Hassaï South pit, previously thought to be waste material, is very exciting, as it suggests that the underground mining assumption used in our PEA may have been conservative as an eventual resource in Hassaï South's pit walls could further improve the economics of the project."

Figures 1 and 2 show that mineralization was found outside the main lenses in the south wall rocks in the western part of the Hassaï South pit, with a 55-metre intersection at 0.88% Cu.

Moreover, it is important to highlight that the high-grade deep-hole intercept (2.0 m at 8.90 g/t Au and 1.30% Cu in the D235 at 375m) suggests the presence of locally-enriched gold and copper zones outside the supergene zone in the primary zone. Furthermore, the shallow, high-grade intercepts (6.4 m at 1.73 g/t Au and 3.49% Cu, and 5.0 m at 3.23 g/t Au and 1.30 % Cu) obtained at the lower limit of the supergene zone reconfirm its existence.

To date, the VMS resource delineated on the Hassaï property includes an Inferred resource of 51.4MT (20.6MT attributable to La Mancha) at 1.31 g/t Au and 1.23% Cu. This Inferred resource has been delineated in the VMS lenses found under the first two of six visually-identified VMS targets, the Hassaï South and Hadal Awatib pits. Following the publication of a positive PEA on September 7, 2010, a 12-month, 100,000-metre drilling program was launched with the intent of upgrading the Inferred resource to the Measured and Indicated category, increasing the current resource at the first two targets, and testing the potential of the VMS structure identified at the third target. As of January 31, a total of 17,837 metres had been drilled, with five rigs in operation. The pace is expected to accelerate as two more rigs are scheduled to begin drilling during February 2011. Preliminary drill results for the Hassaï South target, representing 20 diamond drill holes and 20 RC precollars, are presented in Table 1 in the appendix.

The VMS exploration program will continue as planned, with results disclosed as they become available. The Hadal Awatib (target #2) drilling campaign started in mid-December 2010, and the Hadayamet (target #3) drilling campaign is scheduled to begin in the coming weeks. At Hassaï South, exploration of the extensions at depth which started in January will continue as described in Figure 3. The Company expects to complete all the drilling in September 2011, and to use the last months of the year to compile the results and update the resource model.

Meanwhile, the feasibility study for Hassaï's CIL project is progressing according to schedule and should be released by the end of the first quarter.

In accordance with the development plan presented in the PEA in September 2010, La Mancha intends to develop Hassaï in two phases: 1) the upgrade of the current heap leaching facility to a CIL plant by 2013 and 2) the construction of a flotation plant to address the mine's VMS potential from 2015 onwards.

The Hassaï mine is located in the Red Sea Hills desert of northeastern Sudan, some 450 km from Khartoum. Inaugurated in 1992, it is Sudan's first and only gold mine in production. Twelve pits have been mined over the years, generating a cumulative production of more than 2 million ounces of gold. La Mancha owns 40% of the mine through a subsidiary and is the mine manager. Hassaï's ongoing exploration program represents a budget of $18 million to be spent over an 18-month period ($7.2 million attributable to La Mancha). The Hadal Awatib pit is located at 13 km from the Hassaï camp and comprises three main pits (see schematic map in the appendix) where around 1.1 million ounces have been mined since the creation of AMC, a La Mancha subsidiary, in 1992.

The technical information in this news release was prepared under the supervision of Dan Hamer and Jean-Jacques Kachrillo, the Qualified Persons under NI 43-101. Mr. Hamer is Hassaï's exploration manager and a full-time employee of La Mancha. Mr. Kachrillo is Vice President, Exploration and a full-time employee of La Mancha Resources. Both have sufficient experience in the style of mineralization and type of deposit to qualify as a Qualified Person as defined in "National Instruments 43-101, Standards of Disclosure for Mineral Projects". Messrs. Hamer and Kachrillo have consented to the content of this press release in the form and context in which it appears. Messrs. Hamer and Kachrillo have read National Instrument 43-101 and have ensured that this press release has been written in compliance with that instrument.

The analysis of these recent samples meet with all aspects of the La Mancha-established Analytical Quality Assurance Program put in place to control and assure the analytical quality of assays in the Company's gold exploration. Specifically, this program includes the systematic addition of blank samples, pulp duplicates and internal material references ("standards") to each batch of samples sent for analysis. Blank samples are used to check for possible contamination in the laboratory and duplicates allow the overall precision to be quantified, while standards determine analytical accuracy. The diamond drill samples are half HQ or NQ diamond drill core sampled on a one-metre basis. Samples were assayed at Intertek laboratory in Indonesia, which is ISO 17025 certified, using fire assays on 30 g samples followed by AAS for gold, and triple acidic digestion followed by AAS for base metals. The average true widths for these results are more than 70% of the intersection length. In terms of RC chip analysis for the precollars, 5 m composite samples are assayed using the same Intertek procedure.

La Mancha Resources Inc.
is an international gold producer based in Canada with operations, development projects and exploration activities in Africa, Australia and Argentina. La Mancha's shares trade on the Toronto Stock Exchange (TSX) under the symbol "LMA". For more information, visit the Company's website at

Caution Concerning Forward-Looking Statements
This press release contains certain "forward-looking statements", including but not limited to statements regarding the quantity of mineralization in place and its Au and Cu grades, the mineable nature of the drill results, mining exploration risks, calculation and evolution of mineral resources, potential for additional resources, the market price of gold, future work programs and objectives associated therewith, drill targets and anticipated results, interpretation of work results, development plans and anticipated timetables, in particular as regards the economic and technical potential for a mining and milling operation. Forward-looking statements express, as at the date of this press release, the Company's plans, estimates, forecasts, projections, expectations or beliefs as to future events and results. Forward-looking statements involve a number of risks and uncertainties, and there can be no assurance that such statements will prove to be accurate. Therefore, actual results and future events could differ materially from those anticipated in such statements. Risks and uncertainties that could cause results or future events to differ materially from current expectations expressed or implied by the forward-looking statements include, but are not limited to, factors associated with fluctuations in the market price of precious metals, mining industry risks, risks associated with foreign operations, environmental risks and hazards, uncertainty as to calculation of mineral reserves and other risks referred to in La Mancha's 2009 Annual Information Form filed with the Securities Commissions and the Toronto Stock Exchange. 

Drill Hole   From (m)   To (m)   Width (m)   Au (g/t)   Cu (%)   Comments
HASS_D208   35.0   50.0   15.0       0.79   5m composite on RC chips
HASS_D210   0.0   55.0   55.0       0.85   5m composite on RC chips
HASS_D211   0.0   55.0   55.0   0.15   0.88   5m composite on RC chips
HASS_D231   152.2   162.3   10.1   1.43   0.79   1m composite of DDH
174.8   182.5   7.7   1.12   2.70   1m composite of DDH
HASS_D233   230.0   253.0   23.0   1.17   1.70   1m composite of DDH
HASS_D234   190.1   202.0   11.9   1.20   1.12   1m composite of DDH
209.8   218.8   9.0   1.03   1.36   1m composite of DDH
HASS_D235   360.0   385.7   25.7   2.27   1.46   1m composite of DDH
Inc. 375.0   377.0   2.0   8.90   1.30   1m composite of DDH
HASS_D236   14.0   16.0   2.0       2.08   1m composite of DDH
62.3   69.6   7.3   1.16   1.49   1m composite of DDH
71.4   82.9   11.5   2.05   3.03   1m composite of DDH
HASS_D237   192.2   196.0   3.8   1.33   0.80   1m composite of DDH
199.0   204.8   5.8   0.79   1.30   1m composite of DDH
212.5   220.0   7.5   1.20   1.82   1m composite of DDH
HASS_D238   12.0   15.0   3.0       2.06   1m composite of DDH
78.6   88.0   9.4   1.21   1.52   1m composite of DDH
89.0   90.0   1.0       2.29   1m composite of DDH
93.6   100.0   6.4   1.73   3.49   1m composite of DDH
HASS_D240   58.0   63.0   5.0   3.23   1.30   1m composite of DDH
67.0   80.1   13.1   0.83   2.05   1m composite of DDH
HASS_D241   225.0   230.0   5.0   1.55   0.98   1m composite of DDH
233.0   241.0   8.0   1.16   2.21   1m composite of DDH
HASS_D242   301.0   332.1   31.1   1.52   1.53   1m composite of DDH
333.3   336.0   2.7   1.03   0.27   1m composite of DDH
HASS_D243   81.0   84.0   3.0   1.73   0.40   1m composite of DDH
87.0   88.7   1.7   0.46   0.46   1m composite of DDH
92.0   111.8   19.8   2.24   2.96   1m composite of DDH
HASS_D245   273.0   290.3   17.3   1.54   1.40   1m composite of DDH
296.4   301.9   5.5   1.23   0.64   1m composite of DDH
HASS_D250   325.2   346.7   21.5   2.17   1.53   1m composite of DDH
350.2   354.8   4.6   0.97   0.25   1m composite of DDH
HASS_D251   37.0   60.0   23.0   1.74   1.90   1m composite of DDH
HASS_D252   25.0   30.0   5.0   0.92   0.22   1m composite of DDH
31.0   39.0   8.0   1.00   0.65   1m composite of DDH
40.4   48.9   8.5   2.81   2.90   1m composite of DDH
HASS_D253   238.0   261.1   23.2   1.75   1.36   1m composite of DDH
264.0   266.8   2.8   0.38   0.69   1m composite of DDH
HASS_D256   30.0   43.8   13.8   1.01   0.91   1m composite of DDH
50.6   54.1   1.2   1.91       1m composite of DDH
HASS_D257   58.0   61.9   3.9   1.46   0.06   1m composite of DDH
69.0   72.0   3.0   0.89   0.73   1m composite of DDH
79.4   89.6   10.3   1.28   2.88   1m composite of DDH
HASS_D259   73.2   80.0   6.8   0.90   0.68   1m composite of DDH
84.0   89.8   5.8   1.13   2.02   1m composite of DDH
100.3   108.2   7.9   0.98   2.40   1m composite of DDH
HASS_D261   71.2   82.3   11.0   0.92   1.15   1m composite of DDH
92.7   95.4   2.7   2.20   2.18   1m composite of DDH

Results received as at 31/01/2011. Only positive RC precollars are disclosed, whereas all DDH are presented.

As at January 31, results are available for 20 DDH & 20 RC pre-collars. 
True width is unknown for RC precollars, whereas is comprised between 70 and 100% for DDH, depending on the depth (see cross-section, Figure 3).

Please find attached the most recent La Mancha Resources press release.

Contact Information

  • For additional information, please contact:
    La Mancha
    Martin Amyot
    Vice President Corporate Development
    Tel: (514) 987-5115 ext 25

    Nicole Blanchard
    Investor Relations
    (514) 961-0229