Corner Bay restarts drilling at Alamo Dorado
Corner Bay Minerals Inc BAY
Shares issued 8,808,207 Jun 21 close $0.62
Tue 22 Jun 99 News Release
Mr. Peter Mordaunt reports
Drilling has resumed on the Alamo Dorado silver/gold property in Sonora, Mexico. The program includes 6,400 metres of reverse circulation drilling in 27 proposed drill holes. The company has filed a notice of private placements with the Toronto Stock Exchange and subject to this regulatory approval, a total of $600,000 will be raised by issuing 1,090,909 units at 55 cents per unit. Each unit consists of one common share and a half warrant, with full warrants exercisable for one year to purchase a common share at 75 cents.
The purpose of the drilling is threefold. First, infill drilling will focus on drilling between sections previously drilled, to better define the minable reserve calculated by Mintec Inc. Of significance, are the proposed up-dip holes close to surface that will provide a clearer understanding of the true width of the silver/gold-rich secondary mineralization. All previous up-dip holes have understated the true width of the silver and gold mineralization and there is a need to extend the new holes between sections to determine the true width (that is all up dip-holes stopped in silver and gold mineralization).
Second, the down-dip extension of the known mineralized horizon will be drilled to increase the depth of the minable reserve. There appears to be obvious potential down-dip toward the southern end of the mineralized zone where additional reserves could be outlined while maintaining a low strip ratio for open pit mining.
The third objective of the program is concerned with drilling the recently-mapped extension of the mineralized horizon to the northwest. Over the past three months, Corner Bay has completed geological mapping of the property and has identified additional zones of interesting surface alteration at the property. It appears that the northern extension of the silver and gold-bearing horizon is offset by a crosscutting fault. Across this fault to the north and west is what is believed to be the strike extension of the mineralized horizon. Surface mapping has shown that similar oxidized rocks exist for an additional 425 metres in strike length. This may have positive implications for additional reserves and will be tested during the drill program. Surface exploration is continuing at the 5,374-hectare property.
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