Location and Claims

The La Cruz property consists of one claim totaling 90 hectares lies on the extreme eastern edge of the Sierra Madre Occidental, about .  The La Cruz property is located in the central part of Chihuahua State, approximately 1.5 hours drive south-southwest of the city of Cuauhtemoc, and has good road access to within a few kilometers of the property. The road follows an arroyo for the last few kilometers, but this section can easily be rehabilitated. Geographic coordinates for the mojonera are Latitude 28º 02’ 52.14” and Longitude 107º 09’ 56.94”.

LaCruz Map


Tertiary volcanic rocks underlie the la Cruz claim, with andesites being overlain by rhyolites and ignimbrites. The rocks are intensely fractured and silicified with fracture fillings of grey quartz. Silver sulphide mineralization is present along with iron and manganese oxides. The fractures have predominant trends of north-south, Az 340 and Az 025 with vertical dips and the workings following the northeast trend. A breccia zone that is about 3.5 metres wide on surface characterizes the mineralized trend. Preliminary examination of the old shafts has been conducted to a depth of 45 metres, but they appear to descend to about 80 metres.

The property hosts numerous old underground workings and dumps along a 1.5 kilometre trend. The workings and extensive dumps are associated with two parallel, strongly silicified and brecciated structures separated by a distance of about 200 metres. The structures strike Az 220º, dip 75º N, and average about 2 to 5 metres in width at the surface. The workings, mostly shafts, appear to extend from 25 to 80 metres and preliminary mapping indicates that the structures widen at depth. The main working area occurs on a hill that rises about 250 metres above the adjacent plains. A principal working lies about 75 metres above the base of this hill and appears to be the lowest working level, and the top of the hill lies some 300 metres to the south.

The age of the workings is uncertain, but they are not recent and it appears that no drilling had ever been done on the ground. Ing. Daniel Nofrietta (Golden Goliath Resources) first visited this property about 20 years ago and at that time asked a 70 year old man who was born in the local village of Tajirachic about the mines. The local replied that they were already closed down when he was a boy. Subsequent claim owners (individuals, not companies) only worked the old dumps in a limited way.

Preliminary work by the Company’s geologists included taking 17 chip samples across widths ranging from 1.0 to 2.5 metres and averaging 1.75 metres. The assays for these samples ranged from 11 to 832 grams silver/tonne with an arithmetic average of 237 grams silver/tonne.

Exploration Program

The La Cruz property was staked by Golden Goliath in 2006. Preliminary surface mapping was completed by Golden Goliath, along with underground mapping and sampling of some of the several old mine workings on the property. The property gained the attention Pan American Silver, who conducted at least two property examinations and then entered into an option agreement with Golden Goliath.

Drilling Results

In 2007, Golden Goliath optioned its 100% owned La Cruz property to Pan American Silver, who conducted geochemical sampling and completed several short drill holes totaling about 2,000 metres. The surface results were encouraging but the drill results were not sufficiently encouraging for Pan American to continue with the option. Paul Sorbara commented: “While we are obviously disappointed that Pan American decided not to continue their exploration program at La Cruz, we still see plenty of potential in the property based on both good results from previous surface testing as well as the historical production that occurred on the property. Pan American’s involvement resulted in the expansion of the land package via staking by at least 100% in terms of gross acreage, and we benefit from this as the entire land position will be transferred back to Golden Goliath. As our own exploration capacity is currently being fully utilized at Uruachic, we will probably be looking to option La Cruz out to another joint venture partner in the future.”