February 20, 1997
332,820 OUNCES PLACER GOLD
Anglo Swiss is pleased to release the results of a report dated February 19, 1997 compiled by Geoffrey Garcia, P.Geo., on his field evaluation of Anglo Swiss' Catamayo River Gold Property in Southern Ecuador. Anglo Swiss owns 100% of this gold property, through its wholly owned subsidiary, Compania Minera "Canadamin" S.A.
Estimated ore reserves along the two concessions known as the Catamayoro and Trapichillo have been calculated to contain 9.24 million cubic metres of gravel containing 332,820 ounces of unrefined placer gold. Using a .866 fineness factor, this calculates to approximately 288,000 ounces of pure gold. From the above figures, the estimated grade of the deposit is around US $10.90 per cubic meter. Initial cash-flow from this property is projected to be US $10,000 per day with costs estimated at 25% or $2500, leaving a net positive cash flow of US $7,500 per day.
Anglo Swiss has purchased the necessary excavation equipment and is currently constructing a 100 cubic metre per hour processing plant which is scheduled to begin production upon completion. Anglo Swiss is currently sourcing additional production facilities to further increase the scope of the project in the near future. Exploration on the 3900 hectare "Rio Playas" in situ gold property, located near the placer operation, is forthcoming.
In Canada, Anglo Swiss is currently developing the multi-million carat Blu Starr Sapphire deposit near Slocan, B.C. and is planning to expand the gold resource at the historic Kenville Gold Mine near Nelson, B.C., through exploration of a newly discovered free gold-bearing vein system.
Anglo Swiss is aggressively negotiating to add further gold/gemstone properties to its strategic land position in Canada and South America.
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