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Laconia Resources Unearths High Grade Silver At 701 Mile

Laconia Resources (ASX: LCR) has delivered high grade assays of up to 20 grams per tonne (g/t) silver from surface augur drilling at its 701 Mile base metals project in the mineral rich Pilbara region of Western Australia.

The Phase 2 augur program has also identified large clusters of silver anomalism extending over a strike length in excess of 25 kilometres.

Significantly, with silver anomalism and associated lead anomalism at the project extending for such a long strike length, Laconia might be on the crest of a large mineralized system.

The 701 Mile Project has a prime location in a region that hosts a number of other major discoveries including base metals deposits at Kumarina and Abra, as well as basement-hosted gold at Karlawinda Bore.

Demonstrating the prospectivity of the project, 701 Mile lies adjacent to a large crustal lineament interpreted to be the continuation of the Tangadee Linament.

A number of favourable magnetic structures and targets have been shown to be prospective for base metals, gold and uranium.

The auger program was designed to penetrate areas of the project which are overlain by cover, to obtain meaningful geochemical samples.

To date Laconia has completed 2,006 auger holes and 384 soil samples in its geochemistry program at 701 Mile, for a total of 2,390 samples.

Ian Stuart, managing director, commented on the promising discovery: "The company is delighted with the results of the auger drilling program, and the broadly clustered nature of silver anomalism along a 25 kilometre strike length is considered to be highly significant.

"The Webcke anomaly is particularly interesting with a 5 kilometre long +25 parts per million lead anomaly, surrounding a 2.5 kilometre long +0.25 parts per million silver anomaly with peak values of 17 and 20 parts per million silver.

"The 701 Mile project has outstanding exploration potential, and the company will continue to explore with a consistent approach and utilise state-of-the-art exploration technologies."

Validation of 701 Mile potential

Laconia's recognition of the prospectivity of its 701 Mile Project has been further validated with the recent award of a $150,000 grant by the Western Australian Government to assist with exploration.

The company is required to match the WA Government's $150,000 grant, with the co-funded drill testing of coincident geochemical and geophysical targets scheduled for the June quarter of 2013.

Laconia has an 80% interest in the 701 Mile project, which covers 350 square kilometres of mesoproterozoic sediments and large mafic sills.

The project is prospective for base metals, gold and manganese mineralisation, and in the December quarter of 2011 Laconia reported high grade silver assays, of up to 23.9g/t silver plus supporting base metal anomalism, from an extensive auger drilling and soil sampling program.

Next exploration steps

Laconia will now review the soil geochemical results to date to determine the best overall surface geochemistry strategy.

The company also plans to follow up with additional surface auger geochemical sampling, and the detailed aeromagnetic coverage will be expanded to cover the whole tenement.

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