Cerro Negro Gold Project
Eureka Vein
The Eureka West Veins are on the western end of the Company’s 100% owned Cerro Negro project (approximately 250 square kilometres in size) in Santa Cruz province, southern Argentina. Based on all the infill and exploration drilling completed at Eureka up to April 14, 2009, Andean released an updated resource estimate on June 9, 2009 with the following highlights:
- Updated independent Resource Estimate for Eureka Veins delivers:
- a 38% increase in the Indicated gold Resource to 1.4M oz Au; and
- a 20% increase in the global gold Resource at Eureka
- Eureka West indicated resource zone diluted grade of 12.5 g/t Au and 184 g/t Ag gives a combined grade of 15.6 g/t AuEq (gold equivalent), making Eureka one of the highest-grade undeveloped gold projects in the world
- A very high-grade core to the mineralization exists with approximately 2.5 million tonnes at 17.2 g/t Au and 223 g/t Ag of indicated material identified to date
- Further upside potential remains at Cerro Negro, following the recent high-grade Bajo Negro vein discovery (not included in the estimate)
| Indicated | Tonnes | Grade (g/t) | Contained Ounces | ||||
|---|---|---|---|---|---|---|---|
| (at a 3g/t AuEq cutoff) | (‘000) | Gold | Silver | AuEq | Gold (K oz) |
Silver (M oz) |
AuEq (K oz) |
| Eureka West Veins | 3,469 | 12.5 | 184 | 15.6 | 1,399 | 20.5 | 1,741 |
| 721 Vein | 99 | 4.7 | 50 | 5.5 | 15 | 0.2 | 18 |
| Eureka Main Vein | 40 | 5.4 | 82 | 6.8 | 7 | 0.1 | 9 |
| Total/Average | 3,608 | 12.3 | 179 | 15.2 | 1,421 | 20.8 | 1,768 |
| Inferred | Tonnes | Grade (g/t) | Contained Ounces | ||||
| (at a 3g/t AuEq cutoff) | (‘000) | Gold | Silver | AuEq | Gold (K oz) |
Silver (M oz) |
AuEq K oz) |
| Eureka West Veins | 229 | 13.9 | 104 | 15.6 | 102 | 0.8 | 115 |
| 721 Vein | 285 | 6.8 | 43 | 7.5 | 63 | 0.4 | 70 |
| Eureka Main Vein | 448 | 4.9 | 89 | 6.4 | 70 | 1.3 | 91 |
| Total/Average | 962 | 7.6 | 79 | 8.9 | 235 | 2.4 | 275 |