International Goldfields Limited (“IGS”) holds 93% ownership in a private UK exploration company, Latin Gold Limited (“Latin Gold”). Latin Gold is the 100% owner of a major gold project holding 2,976km2 with 36 granted exploration licences located in Mato Grosso state, Brazil. The Project area is hosted by the highly mineralised and under-explored Alta Floresta Mineral Province located on the southern portion of the Juruena Belt. The Juruena Belt is host to gold and copper mineralisation associated with quartz veining in the district. The known mineralisation of the Juruena belt has epithermal style characteristics and the regional metalogeny suggests potential for larger, undiscovered porphyry style mineralisation.
The Latin Gold Project has advanced dramatically since IGS began earning into the project at the end of 2010. Drilling in 2011 more than doubled the strike length of mineralisation at the Pe Quente Prospect to over 350m of strike on quartz vein-hosted gold and copper mineralisation that remains open in all directions. Regional diamond drilling programs completed into early 2012 resulted in the discovery of high-grade gold veins associated with Au-Cu shear hosted mineralisation at the Ana Prospect. The Ana drill intercepts are centred in a 2.5km by 4km surface gold geochemistry anomaly, that is haloed by significant Copper-Molybdenum anomalism identified 6km north west along structural trends from initial drill intercepts into porphyry copper style mineralisation at the Jaca Prospect. The surface geochemistry and Q3, 2012 drill programs indicate potential to extend gold mineralisation at the Ana Prospect with strong indications for significant, near surface porphyry style mineralisation in the Project area. Ongoing work continues to both expand existing targets and define new targeting on the extensive land holding.
The Alta Floresta Mineral province portion of the Juruena belt is particularly under-explored with modern-day exploration commencing only in the last ten years. The discovery of gold mineralisation by Vale in 1999 in a roadside cutting on the edge of a major highway (BR163) highlights the potential of this area. Alluvial mining activities by the Garimpeiros remain significant with new areas continually being opened and small underground workings scattered throughout the Alta Floresta Mineral province exploiting both alluvial and elluvial sources of gold. Gold production is estimated at over 5Moz gold recovered by the Garampeiro activities during the period 1980 to 1999 within the limits of the Alta Floresta Mineral province.