Lahontan Drills 9.9m Grading 2.40 g/t Au and 50.7 g/t Ag in Santa Fe Mine Stockpile
Lahontan’s stockpile grades exceed historic labels despite a low 30% cyanide recovery rate.
Lahontan Gold Corp. has released initial results from a 2026 Sonic drilling program targeting historic heap-leach pads and a low-grade stockpile at the Santa Fe Mine. The company has completed nearly 100 Sonic holes across four pads, with results for six additional holes on the stockpile still pending.
The most significant intercept came from a single hole drilled in the stockpile, which returned 9.9 meters grading 2.40 g/t Au and 50.7 g/t Ag, equivalent to approximately 2.99 g/t AuEq. Across the stockpile, three holes averaged 2.3 g/t AuEq.
Analysis of cyanide-extractable gold, also referred to as cyanide-soluble gold, showed that recoverable gold averaged more than 30% of fire assay values, with individual results ranging from 5% to 87%.
Lahontan Gold Corp. (LG) is advancing its Santa Fe project, which is anchored by a large pit-constrained resource of 1.54 million ounces in the Indicated category and a Preliminary Economic Assessment (PEA) demonstrating robust returns. The project also features the promising West Santa Fe high-grade oxide discovery. Recent drilling on the stockpile represents a minor, incremental upside that could potentially add low-cost supplemental tonnage.
However, the stockpile material faces significant challenges due to very poor cyanide recovery. Unless subsequent testing reveals significantly better leach kinetics, this material is unlikely to impact the project’s overall economics in the near term.
The market had already priced in a general positive exploration environment, with the stock rising from $0.09 to $0.49 on the back of West Santa Fe and permitting catalysts. The latest news presents a mixed signal: while the fire-assay grade exceeds historic classification, it is undercut by an average leach recovery that is barely a third of conventional heap-leach rates. This development does not materially change the company’s fundamental thesis or resource base.
Lahontan Gold Corp. is a junior explorer and developer focused on the Santa Fe Mine project in Nevada’s Walker Lane. The flagship property hosts an NI 43-101 Indicated resource of 1,539,000 oz AuEq (0.92 g/t Au) and 411,000 oz Inferred. A 2024 PEA outlined an after-tax NPV of US$472 M and 66.6% IRR (US$1,950/oz gold, 12,500 tpd).
The company also holds the West Santa Fe satellite project, where 2025-2026 drilling returned high-grade oxide intercepts, including:
- 36.6 m @ 3.11 g/t AuEq from surface
Lahontan is fully funded into 2027 after a C$13.6 M private placement (Q1 2026) but remains a pre-revenue entity with no debt and a going-concern risk.