target .23TGR: Ubika recently put out a press release on La Quinta’s high-grade copper intersection on the Carruthers Pass project in British Columbia. Basically, one drill intersected about 14% copper near surface. That news has not done a lot for the share price. Why not?
VR: Let’s talk about the news first. La Quinta acquired a prospective project in B.C. four or five months back. Carruthers Pass is a volcanogenic, massive sulphide deposit. This type of deposit can be very high grade and typically has multiple metals. La Quinta did the Induced Polarization survey and some initial drilling. That intersected close to 14% copper near surface. On a weighted average basis, the copper was closer to 6%. It also has good gold values and very high silver values.
We now know, very early in the project, that there is strong mineralization. La Quinta can use that information to prepare a three-dimensional model and find a baseline target to drill. The geologists are very excited at the potential for a very big deposit. This hasn’t caught the attention of many people because it is still very early stage.
La Quinta’s Easter gold project, in Nevada, is its most advanced project. It has an NI 43-101 resource. I think by spending an additional $500,000 on a drilling program, it could easily double or triple that resource.
Its third project is Black Jack, a silver project in Nevada, about 400–500 km from Easter. Right now, if it got the necessary permits and spent some money, Black Jack can have potential for a bulk-sampling scenario, where you grab bulk samples, ship the ore, process it and get some cash. With silver prices at $40/oz, it is a very lucrative thing to do. La Quinta could use that cash to explore the project. However, the real potential is related to the exploration. This appears to be a very good project to build high grade silver resource amenable to mining.
In terms of the risk/reward ratio, La Quinta presents a very good opportunity for sophisticated investors.
TGR: What is the model price on La Quinta?
VR: [b]We have a model share price of
.23 on La Quinta.[/b]
https://etfdailynews.com/2011/11/04/vikas-ranjan-junior-gold-equities-to-watch-gdx-gdxj-gld-abx-gg/