Vancouver-based mining company Latin Metals Inc. announced that it has fulfilled the necessary payment obligations to secure a 71% ownership stake in the Cerro Bayo and La Flora exploration projects, located in Argentina’s Santa Cruz Province. This acquisition strengthens its precious metals portfolio in a highly prospective area, amid a strong wave of investor interest in Argentina’s mining hubs. The company also retains an option to acquire 100% of the properties, subject to a 0.75% NSR (Net Smelter Return) royalty.
By Panorama Minero
The Cerro Bayo and La Flora projects, previously explored by Barrick Gold, are situated in the Deseado Massif, a region known for its high-grade gold and silver deposits. Initial geological studies suggest the presence of low-sulfidation epithermal systems with potential bonanza-type vein mineralization at accessible depths of between 150 and 200 meters. This geological model suggests similarities with Cerro Negro, Newmont’s high-grade mine located just 70 kilometers to the north.
A major west-northwest trending structural system crosses Cerro Bayo, defining a favorable structural zone approximately 6 km wide. Surface samples have shown significant gold-silver ratios, ranging from 10:1 to 200:1, and trace elements such as arsenic, antimony, mercury, and molybdenum have been identified. “Higher-grade gold is estimated to be concentrated between 100 and 150 meters below the paleosurface, highlighting the project’s potential for future discoveries,” stated the company’s geological team.
Drilling Permits and Strategic Partnerships
Latin Metals is currently working to obtain a drilling permit for Cerro Bayo, with expectations to finalize the process in the fourth quarter of 2024. The company is also actively seeking a strategic partner to carry out a comprehensive exploration program, which would include geophysical studies as well as initial drill testing scheduled for 2025.
Latin Metals also clarified that although the Cerro Bayo project is located near Cerro Negro, it has no interest in this mine or its resources. The geographical proximity does not necessarily imply that Cerro Bayo has similar resources, nor does it guarantee comparable economic results in the future. “With this new stake, Latin Metals strengthens its commitment to exploration in Argentina, reinforcing its position in one of the country’s most promising regions for precious metal discoveries,” concluded the Canadian firm.
