Latitude launches scoping study as Finnish gold assays shine

After a stellar run with the drill bit Latitude 66 is set to wrap some financials around its exciting Kuusamo Schist Belt (KSB) gold-cobalt project in Finland where it is aiming for a standalone development with scalable options.

Como Engineers has been appointed to run a scoping study on the project that will also explore scalable options based on exploration success.

The company says the study should be finished in March and will build on the existing JORC resource of 650,000 ounces of gold and 5840 tonnes of cobalt grading 2.7 grams per tonne (g/t) gold and 0.08 per cent cobalt.

Although the follow up drilling campaign - looking for extensions down plunge and along strike - has now been wrapped up for the winter season, the latest assay results have yielded significant numbers.

At the K9 prospect the drill bit jagged a solid gold-cobalt intersection of 4.75m at 4.54g/t gold and 0.10 percent cobalt from 165.8m including a 2.6m hit grading 7.5g/t gold and 0.11 per cent cobalt from 167.9m.

Further hits include 5m grading 1.44g/t gold and 0.05per cent cobalt including a 1m section running 3g/t gold and 0.05 per cent cobalt from near surface and a 2m intersection grading 1.8g/t gold and 0.10 per cent cobalt from 137m. K9 is now showing all the hallmarks of a prospect with strong continuity of mineralisation from surface to 170m.

In addition to defining deeper mineralisation at K9, the drilling has expanded it further to the north as well, showing up high-grade gold in a sulphide-rich shear zone. The mineralisation now covers about 150m along strike at surface and 250m in depth, with more potential in both directions.

Although too early to confirm, the projection of the strike seems to continue for at least another 150m north where it could actually join up with the K13 prospect according to management. Further shallow drilling will be needed to firm up that current working theory.

Although K13 was drilled earlier in 2024, new findings from K9 suggest the key part of the anomaly hasn’t been fully tested, making it a priority for future study. The overall understanding of the geology at KSB is evolving with every new discovery.

In light of the new findings, K13 as a target has now been prioritised for further testing to re-examine the structural tenor of the mineralisation.

At the nearby K1NE prospect which sits 700m northeast of the main K1 resource orebody, the assays lit up with a 2m hit grading 4.4 g/t gold from 113.8m and a high-grade intersection of 0.10 per cent cobalt from 57m. The prospect was originally pinpointed after the company discovered historical drill results of 1m running 5.3g/t from a single 1989 hole which married up with a geophysical survey and a fixed-loop electromagnetic survey (FLEM) conducted by Latitude in 2017, when it first acquired the project.

Meanwhile, boulder testing is continuing directly south of the current K1, K2 and K3 resource area and has helped the company pick up two new prospects after marrying up the surface samples with previous geophysics.

Latitude 66 managing director Grant Coyle said: “The KSB Project Scoping Study will provide valuable insights not only for the KSB project development pathway but also potential scale up optionality. The new additional target areas generated demonstrate the untapped, longer-term exploration upside potential of the KSB Project and drilling will recommence following the detailed structural review of the KSB Mineral Resource.”

Latitude’s decision to team up with Como Engineers again to refresh the scoping study should come as no surprise after it successfully completed the earlier work at KSB which involved preliminary design and engineering in addition to significant metallurgical test work and pit optimisation.

In taking a fresh look at the project dynamics the company is hoping to build on the earlier work to refine the existing resource at K1, K2 and K3 and optimise a standalone development while setting the stage for potential expansion.

The outcome of the study will also help Latitude refine its advanced environmental permitting applications and map out the next steps of development.

Drilling at the KSB project will restart once the spring season opens up and once the results from a detailed structural review of the K1 resource are in. The review, being handled by Perth-based Model Earth, is looking at how the mineralisation is controlled by hydrothermal changes, geology and structure.

In a sign of confidence, Latitude has also prioritised extending its exploration footprint by submitting two new tenement applications near its K1 resource area.

As the scoping study progresses and additional assay results are anticipated, Latitude seems to be poised for what could be a transformative year at KSB, with the potential to significantly grow its resource base and solidify its position as a major European player in the critical minerals sector.

Is your ASX-listed company doing something interesting? Contact: matt.birney@businessnews.com.au