Lahontan Gold Corp. (TSX.V: LG) (OTCQB: LGCXF) has reported encouraging results from its 2026 Sonic core drilling program at the Santa Fe Mine Project in Nevada. The company announced that nine drill holes in a historic low-grade stockpile averaged 1.96 g/t gold equivalent, including 1.64 g/t gold and 36.2 g/t silver. This stockpile, located adjacent to Heap Leach Pad Two, contains previously mined material that is now being evaluated for potential reprocessing, a method that could be significantly more cost-effective than mining and processing fresh rock.
The results are particularly notable because CN-extractable gold assays averaged 43% of corresponding fire assay values, suggesting that the material may be amenable to conventional heap leach processing. This could reduce capital and operating costs, as the material is already mined and partially processed, potentially shortening the timeline to production.
These findings come as Lahontan Gold advances its flagship Santa Fe Mine project, which has a historical production of 359,202 ounces of gold and 702,067 ounces of silver between 1988 and 1995. The project hosts a Canadian National Instrument 43-101 compliant Indicated Mineral Resource of 1,539,000 oz Au Eq (48,393,000 tonnes grading 0.92 g/t Au and 7.18 g/t Ag) and an Inferred Mineral Resource of 411,000 oz Au Eq (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 Preliminary Economic Assessment, and drill test its satellite West Santa Fe project in 2025. These efforts are part of a broader strategy to leverage the project’s existing infrastructure and resources to maximize value.
The stockpile drilling results are a key component of this strategy, as they could unlock additional value from material that was previously considered low-grade waste. By demonstrating that the stockpile can be economically processed, Lahontan Gold could expand its resource base without the need for extensive new mining operations, reducing environmental impact and improving project economics.
Investors are taking note of these developments, as the potential for low-cost reprocessing could significantly enhance the project’s profitability. The company’s focus on the Santa Fe Mine, which is located in the mining-friendly Walker Lane of Nevada, positions it well to capitalize on the region’s supportive regulatory environment and infrastructure.
Lahontan Gold’s technical team, led by Qualified Person Michael Lindholm, CPG, has reviewed and approved the results, ensuring their accuracy and reliability. The company remains committed to transparent and rigorous technical disclosure, as evidenced by its comprehensive resource estimates and ongoing drilling programs.
For more information on Lahontan Gold Corp., visit their website at www.lahontangoldcorp.com. The full press release is available at https://ibn.fm/F7hVP.
