Fortbridge Media ReleaseResource Capital Research [RCR] - Company update: Latin Resources Limited (ASX: LRS)Resource Capital Research (RCR) has released a company update on Latin Resources Limited (ASX: LRS).
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According to the report, the proposed A$8.4m Chinese investment in LRS at A$0.28/share (51% premium to previous closing price) and the exploration farm-in of up to A$35m, is a major statement of confidence in LRSs 2013 magnetite/gold/minerals sands production aspirations and exploration upside in Peru.
Investment Points:
Mineral exploration and development company based in Peru, focused on iron ore (skarn and placer deposits).
Guadalupito Project: 2 billion tonne target, magnetite-rich iron mineral sands 10.4% H.M. with 17.4% in sand fraction and 0.55g/t Au in undersize (potential 1moz).
Guadalupito now has a production focus maiden JORC resource and Scoping Study due soon, potential production 2013 (10mtpa Stage 1) magnetite and gold.
Now cashed up Chinese group investing A$8.4m @ A$0.28/share for 16.8% plus farming into exploration tenements with potential A$35m spend.
Iron sands projects are simple, low cost: dry mine or dredge, screen, magnetic and gravity separation. Guadalupito 25km to port or iron smelter.
Ilo Norte: all 8 exploratory drill holes hit Fe/Cu mineralisation in coastal copper-iron belt. Drilling 1Q12.
Mariela, Dylan, large scale mag anomalies (IOCG potential) Chinese farm-in expenditure up to A$35m.
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