OceanaGold walks away from exploration projects in Argentina

Australia’s OceanaGold (ASX, TSX: OGC) has withdrawn from two exploration projects in Argentina in which spent about $4.5 million (C$6m) over the past two years as explorations results have not met the miner’s expectations.

Mirasol Resources (TSX-V:MRZ), the owner of La Curva and Claudia prospects in Argentina’s Santa Cruz province, said that while results to date weren’t what OceanaGold expected, it believed the work completed has identified “compelling targets” that warrant further testing.

The Claudia gold-silver project is located about 20km to the south of AngloGold Ashanti’s majority owned Cerro Vanguardia gold-silver mine.

La Curva gold project, in turn, is part of a newly recognized precious metal district in a region that already has five operating multi-million ounce gold and silver mines.

OceanaGold spent almost $34 million on global exploration last year and it’s been especially successful in New Zealand, where it made a high-grade discovery only 10 km north of its Waihi gold mine.