Lara Exploration Ltd.

Lara Exploration Ltd.

March 15, 2007 08:30 ET

Lara Exploration Ltd. Vila Oito Nickel Update

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 15, 2007) - Lara Exploration Ltd. ("Lara" or the "Company") (TSX VENTURE:LRA) reports that Xstrata Brasil Exploracao Mineral Ltda. ("Xstrata") has relinquished its earn-in rights to Lara's Par Nickel properties in northern Brasil. The 43,000 hectare property covers the Vila Oito discovery, where Falconbridge Brasil Ltda. ("Falconbridge") drilling in early 2006 intercepted near-surface nickel lateritic and silicate mineralization. The relinquished property also includes the Conceicao de Araguaia nickel sulphide target where surface sampling and airborne geophysics has outlined a 10 kilometer-long nickel-copper sulphide anomaly.

Vila Oito

Falconbridge completed 19 diamond drill holes for a total of 661 meters into the Vila Oito target in early 2006, resulting in the discovery of a 1.0 kilometer by 1.4 kilometer near-surface nickel silicate-laterite body (Lara press release May 15, 2006). The best drill result was received from hole FPB-06-09 which intersected 21.95 meters at 1.36% nickel from a depth of 2 meters including 8.9 meters at 1.78% nickel. The Vila Oito mineralization extends off Lara's property to the south, but is open to the north within the property.

Conceicao de Araguaia

Reconnaissance work in 2005 encountered outcropping ultramafic rocks with sulphide minerals and subsequent soil sampling by Falconbridge has outlined a 10 kilometer discontinuous nickel and copper anomaly. In mid-2006 an airborne VTEM (electro-magnetic) survey was flown that outlined a series of geophysical targets coincident with the surface geochemical anomalies.

Regional Exploration

Given Falconbridge's success at Serra da do Tapa and Vale dos Sonhos deposits as well as the success at Vila Oito and Conceicao de Araguaia, Lara initiated a regional exploration program and registered additional claims within the Araguaia district. Including the properties returned by Xstrata, Lara now holds approximately 300,000 hectares of mineral rights within the district. Through 2006 a reconnaissance program was completed over these areas and in late 2006 airborne geophysical and photo-geological datasets were acquired from Falconbridge. The Company is currently processing this data to produce an integrated study of geophysics, satellite imagery and field data to define targets within this extensive land package.

Quality Control

Michael Bennell, Lara's Vice President Exploration and a member of the Australasian Institute of Mining and Metallurgy (AusIMM), is a Qualified Person as defined by National Instrument 43-101, and is responsible for the preparation and verification of the technical information in this release.

Forward-Looking Statement

Some statements in this report contain forward-looking information. These statements address future events and conditions and, as such, involve inherent risks and uncertainties. Actual results could be significantly different from those projected.

About Lara

Lara is a well-funded junior exploration company with fourteen (copper-gold-nickel-tin) projects in Brazil and the Lara oxide copper deposit in Peru. Lara's common shares trade on the TSX Venture Exchange under the symbol "LRA".

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Lara Exploration Ltd.
    Miles Thompson
    (604) 669-8777
    Lara Exploration Ltd.
    Kim Casswell
    Corporate Secretary
    (604) 669-8777
    (604) 688-1157 (FAX)