Mariana Resources commences drilling at Buenaventura iron-oxide-copper-gold project

South America focused explorer Mariana Resources (LON:MARL) has commenced drilling at its Buenaventura iron-oxide-copper-gold (IOCG) project in Northern Chile to test a number of targets generated by data from previously conducted surveys.

The drilling will be carried out by Mariana’s subsidiary Sociedad Contractual Minera Mariana de Chile (SCM Mariana), which is the vehicle for a joint venture between Mariana and US based resources company Cliffs Natural Resources to explore for IOCG deposits in northern Chile.

The programme consists of up to nine diamond drill holes for approximately 2,000 metres with an aim to test a number of IOCG targets generated from 3D modelling of a high resolution magnetic survey carried out over the property in the June quarter and compilation of previous exploration data.

Targets are located in the Cerro Brecha, Cerro Berta and Cerro Amada sectors of the project. The assay results are expected to be received from late September 2010 onwards.

The 44 sq km (square kilometre) Buenaventura project is located in the highly prospective Atacama Fault Zone. The project is covered by a JV (joint venture) agreement with Sociedad Minera Contractual Buenaventura. Under the agreement, SCM Mariana can earn a 51% interest by expenditure of US$3 million over three years from April 2008, and up to 80% by completing a bankable feasibility study within a further four years.

The JV agreement with Cliffs allows it to acquire a 51% stake in SCM Mariana by funding a US$2 million exploration programme and an additional 19% by spending another US$1 million.

Earlier this month, Mariana hired Argentine company Eco Minera covering a minimum 10,000 metres at its Las Calandrias gold-silver project in the Santa Cruz province.

The drilling programme is expected to take four months, starting in early September 2010, with an aim to produce a maiden resource estimate at the Calandria Sur target.

The company expects to complete the maiden estimate for Calandria Sur by the end of Q4 2010.

http://www.proactiveinvestors.co.uk/companies/news/20084/mariana-resources-commences-drilling-at-buenaventura-iron-oxide-copper-gold-project-20084.html