Solid company, well financed, looks like a good one to pick up as it is getting dumped below it's cash value of .25/share. Company has solid management and good portfolio of properties.
MINDORO RESOURCES LTD ("MIO-Y;MNODF-L")
- Increases Interest And Identifies New Gold Potential
- In Myanmar Project
Mindoro Resources Ltd. ("Mindoro") is pleased to announce it has
acquired an additional 20% interest in its Concession 11 Project (the
"Project") in Myanmar, bringing Mindoro's interest to 50%, the remaining
50% interest held by the Government of Myanmar.
Mindoro acquired its additional interest pursuant to a Conveyance
Agreement and a Royalty Agreement between Mindoro and Leeward Capital Corp.
("Leeward") dated December 19, 1997, effective December 12, 1997, whereby
Leeward conveyed all of its interest in the Project for US$76,865; that
being an amount equal to its project-related outstanding indebtedness to
Mindoro. The transaction is subject to a regulatory condition which relates
to Leeward. Leeward will retain a 5% net profits interest royalty (NPI) on
Mindoro's 50% interest. Mindoro has the option, until feasibility study
stage, to acquire Leeward's 5% NPI for a purchase price of US$303,914; that
price being equal to all monies previously expended by Leeward on the
Project. Mindoro will undertake to replace Leeward's US$40,000 performance
guarantee with the Government of Myanmar.
Mindoro assumed operatorship from Leeward in July, 1997, and commenced
exploration at the beginning of the dry season in November. This work has
focussed on the Kyaukkyi Prospect, in two adjacent creeks named R-70 and
R-72, where the previous operator had located an extensive pan concentrate
gold anomaly and gossanous boulders with values of up to 4.6 grams per
tonne (g/t) gold, 2.3% copper, and 18.3 g/t gold, 0.72% copper and 26 g/t
silver, respectively. Petrography of the R-70 type boulders has identified
native gold, electrum, chalcopyrite and pyrite associated with quartz
within the boxwork-textured gossanous boulders. An epithermal gold
signature is suggested by anomalous values in arsenic (maximum 13 parts per
million (ppm)) and mercury (maximum 5.1 ppm).
Both boulder trains have now been traced to their suspected sources.
R-70 boulders appear to be derived from a poorly exposed quartz-sulphide
vein system, while R-72 boulders, approximately 200 metres to the north,
are derived from a jasperoid-sulphide zone of replacement-style
mineralization. The extents of both these mineralized areas remain to be
more fully defined. Both prospects are hosted by mafic volcanics.
Present work has also located outcrops of dioritic intrusives and
defined extensive and strong propylitic alteration
(epidote-carbonate-chlorite) over at least one kilometre by one kilometre.
Within this are zones of quartz-sulphide stockworking, the sizes of which
are still not fully defined.
It now appears that the R-70 and R-72 showings are part of a larger,
intrusive-related alteration/mineralization system with possible
bulk-tonnage gold potential. Accordingly, the plans to drill-test the R-70
and R-72 showings have been deferred while the Kyaukkyi Prospect potential
is systematically re-evaluated. Rock exposure, in the form of outcrop and
float, is good and the Kyaukkyi Prospect can be brought to a relatively
advanced exploration stage through systematic surface work. Work in
progress includes geological mapping, prospecting, soil geochemistry,
trenching and rock sampling. It is expected that initial results will be
reported in early February.
Similarly, at the Project's Thida copper-gold prospect, which was
originally interpreted as volcanogenic massive sulphide mineralization,
outcrops of intrusive rocks with extensive hydrothermal alteration have
also been located during the current program. This prospect is also now
reinterpreted as an intrusive-related system. Geological and geochemical
work is in progress to redefine the significance of this prospect. In
addition, Mindoro has 15 aeromagnatic and 24 gold-drainage anomalies
elsewhere on the Project where follow-up evaluation is proceeding.
Mindoro is also actively exploring five of its six projects in the
Philippines and three of its eight projects in Indonesia. Mindoro is a
well-financed, Canadian mineral exploration company focussing on gold and
gold-copper exploration in Asia. Mindoro has 13,365,000 shares issued and
outstanding and working capital of approximately $3,200,000.
TEL: (403) 413-8187 Rodney Orr, Senior Vice President or
FAX: (403) 426-2716 Penny Gould, V.P. Corp. Development
E-mail: mindoro@mindoro.com
Internet: mindoro.com |
