NP Energy Inc. makes announcement
VANCOUVER--(BUSINESS WIRE)--March 27, 1997--NP Energy Corporation Inc. has commenced work programs on the Company's two major mining properties in Chile. NP Energy holds a 20% interest in each property and its partner, an 80% interest. The Mina Claudia and the Andacollo are under contract to Sierra la Plata S.A., a wholly owned Chilean subsidiary of the partner in the project.
The Mina Claudia property is located 25 kilometers from the Phelps Dodge 20,000 tonne per day Candalaria copper mine. Ore samples range from trace to 4% copper with pockets as high as 15%. The property is in small production of about 200 tonnes per day. Major work planned for this spring includes surface reconnaissance, mapping, drilling and expanded copper production. Of particular interest in the exploration phase is the development of known and potential silver and gold zones in the manto style mineralization. Crews have been sampling some of these areas during March and as a result of some spectacular silver assays the Company is optioning an adjoining 2000 hectare property.
On the Andacollo properties, Gordon House, P. Geo., reports that the group of claims contain drilled, probable reserves exceeding 3,000,000 metric tonnes of gold ore in the high grade veins and in excess of 3,000,000 metric tonnes in the manto structures. Reports by Malcolm Fraser, B.Sc., MA, economic geology, state the potential of one of the several undrilled properties, the "La Colorada", to be in excess of one million troy ounces of gold. Field crews have been sampling and
mapping the gold bearing manto structures that strike through the properties. Our on site project geologist, Michael Sandich, MSc., reports grab sample assays from the La Colorada claims returned 2.5 g/t, 12.0 g/t and 29.5 g/t. These were selected grab samples taken from the manto structure that strikes through the property and although they do not represent the overall grade they confirm the presence of the gold system. The trend of these mantos is through the Company's property and into adjoining ground which the group is negotiating to acquire. A 12,000 meter drilling program has been contracted and is scheduled to begin shortly. A gold processing facility is being readied for production and a two tonne bulk sample has been shipped to Boise Labs for metallurgical and gold extraction analysis.
For further information call Dave DiRicco, Investor Relations at 415-367-5071
On behalf of the board of directors
Per: Larry Regis Jr., President
CONTACT: Dave DiRicco
415-367-5071 |
