Lara Exploration Ltd.
TSX VENTURE : LRA

Lara Exploration Ltd.

February 01, 2011 07:00 ET

Lara Reports Copper-Molybdenum Intercepts From the Lara Project in Peru

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 1, 2011) - Lara Exploration Ltd. ("Lara" or the "Company") (TSX VENTURE:LRA) is pleased to report that current drilling at its Lara Project in southern Peru has intercepted 0.57% copper and 0.04% molybdenum (0.81% copper equivalent or "CuEq") over 218 metres, including 0.88% copper and 0.05% molybdenum (1.19% CuEq) over 30 metres.

Results of the best three drill holes are as follows:

  • Step-out hole LA10-35 intersected 218 metres (30-248m) of 0.57% copper and 0.042% molybdenum (0.81% CuEq), including 30 metres (30-60m) of 0.88% copper and 0.051% molybdenum (1.19% CuEq) and 28 metres (206-234m) of 0.74% copper & 0.017% molybdenum (0.84% CuEq).
  • Infill hole LA10-31 intersected 126 metres (44-170m) of 0.43% copper and 0.009% molybdenum (0.48% CuEq), including 30 metres (44-74m) of 0.77% copper and 0.011% molybdenum (0.86% CuEq).
  • Infill hole LA10-30 intersected 126 metres (46-172m) of 0.32% copper and 0.015% molybdenum (0.41% CuEq), including 30 metres (46-76m) of 0.69% copper and 0.015% molybdenum (0.78% CuEq).

"We are very encouraged by these first results and with the discovery that the deposit may carry a significant molybdenum credit," commented Andre Gauthier, President of Lara.

To date 11 diamond drill holes have been completed on this program, including both infill and step-out holes to the existing resource. The program is being operated by Lara on behalf of Redzone Resources Ltd. ("Redzone"), which has the right to earn up to a 75% interest in the Project (see Lara press release of February 12, 2010 for details).

Hole LA10-35 was collared approximately 140 metres east of LRC-21 drilled in 1997 (0.76% copper over 36 metres and stopped in mineralization grading 0.46% copper at 114 metres with no analysis for molybdenum). Along with the copper-molybdenum grades reported above, hole LA10-35 also returned 0.10 gram gold per tonne and 1.9 grams silver per tonne over 22 metres from 212-234 metres down hole.

Hole LA10-30 was collared approximately 380 metres west of hole LA10-35 and 40 metres west of hole LDD-14 drilled in 1997 (the hole was terminated at 108 metres with the final 39 metres returning 0.87% copper, with no analysis for molybdenum), while hole 31 was collared approximately 150 metres to the south of hole LA10-30.

Hole LA10-29 was collared 90 metres west of hole LA10-31 and intersected an aplite dyke that terminated mineralization at 47.4 metres down hole, while hole 28 was collared 60 metres north-northwest of hole LA10-29 and was terminated in lower grade mineralization (0.25% Cu) at 90.2 metres down hole.

Initial 2010 Lara Copper-Molybdenum Drill Results:

Drill Hole # From (m) To (m) Length (m) Cu % Mo % CuEq
LA10-28 33.40 90.20* 56.80 0.27 NSV 0.27
including 38.85 43.85 5.00 0.56 NSV 0.56
LA10-29 4.00 47.4 43.40 0.22 NSV 0.22
including 35.50 39.25 3.75 0.41 NSV 0.41
LA10-30 46.00 223.00* 177.00 0.28 0.013 0.36
including 46.00 172.00 126.00 0.32 0.015 0.41
including 46.00 76.00 30.00 0.69 0.015 0.78
LA10-31 44.00 170 126.00 0.43 0.009 0.48
including 44.00 74.00 30.00 0.77 0.011 0.86
LA10-35 30.00 248.00 218.00 0.57 0.042 0.81
including 30.00 60.00 30.00 0.88 0.058 1.24
including 206.00 234.00 28.00 0.74 0.017 0.84
Table notes:
1. All holes drilled vertically and all intervals are core lengths; Cu equivalent in per cent calculated using $2.50 (U.S.) per pound copper and $15 (U.S.) per pound molybdenum, and the following formula: (percentage Cu times 22 times price Cu per pound) plus (percentage Mo times 22 times price Mo per pound)) divided by (price Cu per pound times 22).
2. (*) end of hole
3. Metallurgical recoveries and net smelter returns are not considered.

Quality Control

The Company follows industry standard quality assurance and quality control procedures for all its samples, under the supervision of Noel Díaz, General Manager Peru. The QA/QC program includes the insertion of blanks, duplicates and certified standards into the sample stream. Core is photographed on site and subsequently sawn in half, with one half sent for analysis and the other half stored for future reference and assay verification. All samples are shipped to a CIMM certified laboratory in Lima, with duplicates sent to ALS Chemex laboratory, where they are analysed for copper (Total and Soluble), gold, and multi-element ICP. André Gauthier, P. Eng., President of Lara Exploration Ltd., is the Qualified Person and responsible for the preparation and content of this press release pursuant to NI 43-101.

About Lara

Lara is an exploration company following the prospect generator business model, which aims to minimize shareholder dilution and financial risk by generating prospects and then exploring them in joint ventures funded by partners. The Company currently holds a diverse portfolio of prospects and deposits in Brazil, Peru, Colombia and China, with eight in actively funded joint ventures. Lara's common shares trade on the TSX Venture Exchange under the symbol "LRA".

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Lara Exploration Ltd.
    Miles Thompson
    CEO
    +1 604-669-8777
    or
    Lara Exploration Ltd.
    Andre Gauthier
    President
    +1 604-669-8777
    +1 604-688-1157 (FAX)
    or
    Lara Exploration Ltd.
    Chris MacIntyre
    Investor Relations
    +1 416-346-7660
    info@laraexploration.com
    www.laraexploration.com