Venidero Project, Santa Cruz, Argentina

Rugby’s Venidero project covers 7,996 hectares in the west of the Deseado Massif, Santa Cruz Province, Argentina, located 60 km south of Newmont’s Cerro Negro gold mine (Reserves of 2.56 million ounces of gold grading 8.89 grams per tonne – 2021 Newmont Reserves Release).

Venidero contains gold vein mineralisation host in the same Jurassic Chon Aike volcanic formation that hosts Cerro Negro. Textures and geochemistry indicate that the undrilled veins are exposed at a high level within an epithermal gold vein system and drilling is required to test the mineralisation at deeper levels. Surface rock chip sampling has returned grades up to 4.45 grams per ton gold.

In October 2022 Rugby completed a 132-line kilometre ground magnetic program that showed that the main Gorgonzola vein structure continues for an additional 10 kilometres to the south with a strong magnetic low structure bifurcating from the main trend toward the southeast. During the survey 7 zones containing blocks of vein material up to 1 meter in diameter were observed, 6 of these being related to the strong southeast trending magnetic low.

Venidero is emerging into an extensive epithermal vein field with new veins being discovered every time we undertake work on the project. An exploration campaign comprising geological mapping and geochemical rock chip planning is scheduled for early 2024.