Lahontan Drills 31m Grading 0.90 g/t Au Oxide at Calvada Central
Lahontan’s Calvada Central oxide intercept adds incremental ounces, though low grades keep the result in an encouraging band rather than being transformational.
Lahontan Gold Corp. reported three drill holes from the Santa Fe Mine Project. Diamond hole CAL26-03C at Calvada Central, originally a geotechnical hole, intersected 30.8 m grading 0.93 g/t AuEq, including 10.7 m @ 2.18 g/t AuEq. Two shallow RC holes at South Slab constrained mineralization against the Calvada fault: CAL26-06R returned 15.2 m @ 0.40 g/t AuEq, and CAL26-07R returned 9.1 m @ 0.22 g/t AuEq. The AuEq formula is Au + (Ag/60)×0.70. True thickness is estimated at 80-100% of drilled lengths.
Lahontan Gold Corp. (LG) reported an incremental result, characterized by a slightly better-than-average intercept within a known resource area. While the discovery may add modest ounces at depth, it does not alter the deposit’s footprint or the company’s valuation. The stock price has corrected from a March high of C$0.49 to C$0.38, with the market having already priced in the earlier, more impressive West Santa Fe results and the updated resource/PEA catalyst. Today’s release is unlikely to reverse the downtrend. Furthermore, the company’s going-concern warning and dependency on dilutive financing overshadow a routine infill hole, while the July 21 lawsuit disclosure adds a separate overhang.
Lahontan Gold Corp. holds the Santa Fe Mine project in Nevada’s Walker Lane, a past-producing open-pit heap-leach operation that yielded 359,000 ounces of gold and 702,000 ounces of silver. The project hosts pit-constrained indicated resources of 1.54 million ounces of gold equivalent at a grade of 0.53 grams per tonne, plus 0.41 million ounces inferred. A 2024 preliminary economic assessment yielded a post-tax net present value of US$472 million and an internal rate of return of 66.6% at US$1,950 per ounce of gold, with planned production in 2027.
The West Santa Fe satellite project has returned high-grade oxide intercepts and is being explored for additional open-pit resources. The company’s land package covers 28.3 square kilometers with over 700 permitted drill sites. As of Q1 2026, cash was approximately US$12 million, but the company has a going-concern warning.