uranium , page-2

Here are some excerpts from the LAT Quarterly which reads quite well.

Note that in addition to the gold mineralization, Paron also contains significant silver credits – a 1995 study estimated the average grade to be 8g/t. The silver assay results from the recently completed diamond drilling programme are expected within the next couple of weeks…which should make interesting reading.

Also what snuck up was the company’s 100% controlled Coyhaique Project in Chile which looks highly prospective for Uranium.

Anyway, here ‘tis:



Latin Gold Ltd (ASX: LAT)
Second Quarter Activities Report for the period ending 31 December 2006


HIGHLIGHTS

• Latin Gold successfully completes diamond drilling programme at Paron gold project in Peru.

• Initial JORC compliant inferred resource of 3.04 Mt at 2.2 g/t for 220,000 ounces announced.

• In-house scoping study commenced to evaluate development options.

• Evaluation of potential of Coyhaique project in highly prospective Chilean Patagonia for base metal and uranium mineralisation commenced.


OPERATIONAL REPORT


1. Paron Gold Project - Peru

• The Paron drilling programme has been completed and the results confirm the existence of an outcropping and near surface zone of disseminated gold and silver mineralisation within the target area.

• Gold intersections were recorded in the majority of holes and the drilling has demonstrated strong lateral continuity to the mineralised zone.

• The drilling programme has highlighted a central core to the mineralised zone where intersections grading over 5g/t gold are common and bulk intersections average greater than 20 metres at +2.5 g/t from surface.

• The drilling programme has also indicated some additional potential for near surface mineralization to extend to the northwest of the mineralised zone.

• Due to difficult ground conditions the deeper porphyry and faulted extension targets were not adequately tested and will require an additional drilling programme with a more powerful rig.


2. Coyhaique Project - Chile

Latin Gold has commenced a re-study of the 100% controlled Coyhaique project in region XI of the highly prospective Patagonian region of Chile.

This project has always been a gold target because of outcropping epithermal vein systems. Whilst a number of gold targets remain to be tested preliminary results from this new study has recognised the potential for the project area to host possible base metal and uranium mineralisation. This is based on both the interpretation of the likely rock lithologies under shallow cover, as well a number of remote sensing surveys, in particular a suite of geophysical data including airborne EM and radiometrics.

Patagonia is rapidly becoming the “hot-spot” for uranium exploration for both geological reasons as well as the fact it is virtually unexplored in terms of uranium mineralisation and given the dramatic increase in the price of uranium in the past two years the Directors of Latin Gold believe that further studies of the project for uranium potential is warranted.


3. Michiquillay copper project-Peru

During the quarter, Latin Gold announced its intension to lead a consortium consisting of Latin Gold, leading Peruvian mining identity Augusto Baertl and an ASX listed mid tier company with a market capitalisation of greater than A$700 million with Latin American experience (who for commercial sensitive reasons does not wish to be named) in bidding for the Michiquillay copper project in the Cajamarca department in Northern Peru.

The bid, which was announced in September by Pro-Inversion, has subsequently been delayed twice now and we are currently awaiting notification of the amended date of the auction and adjudication. As yet the final governing terms of the bid and qualification criteria have yet to be finalised.

The project, which is owned by the Peru government controlled Minero Peru, is a porphyry copper deposit that according to Pro-Inversion, contains “reserves” of 544 Mt grading 0.69% copper, 0.1-0.5 gpt gold and 2-4 gpt silver using a 0.4% cut-off. Latin Gold have closely monitored the progress of the Michiquillay project for over three years and have completed significant due diligence on the project including site visits, data review and discussions with the local communidads. Much of this work has been carried out by the consortium leader Mr. Augusto Baertl, one of Peru’s leading mining figures. Mr. Baertl was formerly CEO of Minero Compania Milpo and Chairman of Minero Compania Antamina. Apart from his vast experience in managing large resource and mining companies and operations, Mr Baertl is considered one of the leading authorities on social relations between local communidads and mining companies in Peru.