A MIL IN THE TIL ...
Naneco Minerals Ltd -
$1-million private placement
Naneco Minerals Ltd
NNE
Shares issued 17,668,496
1998-10-19 close $0.25
Tuesday Oct 20 1998
Mr. Archie Nesbitt reports
Naneco Minerals has received the conditional approval of the ASE for the additional
listing of 5,250,000 shares, of which 3,500,000 shares will be issued at 30 cents per
share pursuant to a private placement. The remaining 1,750,000 shares are reserved
for the exercise of warrants at 40 cents per share and expire one year from the date
of closing the private placement. Upon completion of the private placement, Naneco
will have 21,133,496 issued shares.
Terra Fonds ASA, representing a group of savings and loan institutions in Norway
and Yorkton Securities jointly raised $858,000 (Canadian) in this private placement.
Proceeds will be used for continued drilling at the Jiawula project in Inner Mongolia,
China. Naneco has completed a total of 30 confirmation and exploration core holes
to date on Jiawula. Assays will be reported as available. Jiawula forms a major part
of Naneco's rich asset base of polymetallic advanced-stage and other highly
prospective projects.
Based on a review of the Jiawula district conducted by Mark Nelson, a United
States based professional geologist with Naneco Minerals, the resource estimates
calculated by the Chinese National Non-ferrous Metal Corp. are considered to be
conservative at the level of 11,200,252 tonnes grading 189.28 g/t silver, 3.74 per cent
zinc, 2.77 per cent lead and about .40 per cent copper in the drill indicated category.
Naneco conducted confirmation drilling of the resource during the 1998 field season,
results of which substantiate the Chinese data. Numerous zones of high-grade
mineralization were encountered. Some of these results are summarized below.
Combined
Ag Cu Pb-Zn
(m) (g/t) (%) (%)
J-98-1 17.1 171.60 0.21 11.05
J-98-2 2.5 313.04 0.50 27.10
J-98-3 3.0 191.87 0.34 22.77
J-98-4 22.0 147.67 0.55 11.98
J-98-5 12.0 113.80 0.35 13.26
J-98-6 17.1 111.22 0.39 11.89
The potential for additional discoveries of similar mineralization within the district is
high. This is based on over 40 reported zones of similar outcropping mineralization
within the district, numerous coincident geophysical anomalies, and extensions to
known mineralization currently open to depth and along strike.
Seven exploration target areas have been delineated in the district by Naneco's
geologic team. The team has also identified a porphyry target with potential for a
large tonnage bulk mineable deposit on its 700 sq km package. These targets will be
tested in 1999. |
