OPW 1998-11-03 (provided courtesy of Canadian Corporate News.)
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Opawica Reacquires Valle Del Cura Properties Within 10 km of Argentina Gold
Corp (60 percent) and Barrick's (40 percent) Veladero Gold Discovery
TORONTO, ONTARIO--
Stock Options: 445,000 at $.70
Warrants: NIL
Shares Issued: 6,658,933
Opawica Explorations Inc. ("Opawica" / the "Company") announces
that its wholly owned subsidiary, Opawica Argentina S.A. ("Opawica
S.A.") has reinstated substantially all of its land holdings in
Argentina, South America, representing approximately 1,500 sq. km
of precious and base metal exploration prospects.
Specifically, the recent discovery by Argentina Gold Corp. ("ARP")
on its 60 percent owned (40 percent Barrick Gold Corp.
("Barrick")) Veladero Project has led to the increased exploration
focus on the Valle del Cura area of the El Indio Gold Belt, San
Juan Province, Argentina. In this regard, Opawica S.A. has
reacquired an option to earn up to a 100 percent interest in the
Los Despoblados, La Ortiga Norte, Los Banitos, Arroyo Sepultura
and Las Maquinas properties covering an aggregate area of
approximately 23,000 ha.
LOS DESPOBLADOS (APPROX. 8,000 HA); This property is located in
the Choiyoi Group felsic volcanics as well as the Cerro Tortolas
andesitic formation. The property hosts two alteration zones
identified from Landsat Imagery and limited ground reconnaissance
during late 1996. The alteration zones cover an area of about
3,700 ha and one zone has a known gold occurrence on the eastern
boundary of the property. Los Despoblados is located
approximately 10 km south-east of the ARP / Barrick Veladero gold
discovery where drill hole results of up to 212 meters of 3.67 g/t
of Au have been reported. Los Despoblados is contiguous to the
eastern boundary of ARP's Rio Frio property.
LA ORTIGA NORTE (APPROX. 5,500 HA); This area is located in the
Choiyoi felsic volcanics and Dona Ana Formation. The geologic
environment is similar to the Pascua Lama project (11 million oz
gold), located within 10 km west, along the same alteration belt
and approximately 9 km northwest of the ARP / Barrick Veladero
discovery. 1997 reconnaissance work identified several silica
caps that require further exploration.
LOS BANITOS (APPROX. 4,200 HA); Los Banitos also adjoins ARP's
Rio Frio project and is situated 5,000 m south of Los Despoblados.
It is located within the same basic geologic environment as Los
Despoblados and is known to host a 500 ha color anomaly from 1996
Landsat Imagery.
ARROYO SEPULTURA (APPROX. 3,500 HA); This property is located
approximately 6,000 meters south of Los Banitos and situated
within the Cerro Tortolas andesites and displays several color
anomalies encompassing about 800 ha. These color anomalies were
identified by Opawica during 1996 Landsat Imagery analysis.
The Los Banitos and Arroyo Sepultura properties are surrounded by,
and contiguous to, the Rio Frio property of ARP and the Jaguelito
Property of Penoles S.A.
LAS MAQUINAS (APPROX. 3,000 HA); This area is located throughout
the Dona Ana, Banos del Toro and Cerro Tortolas formations.
Satellite imagery displays several colour anomalies covering
almost 600 ha along the western side of this property. These
colour anomalies are contiguous with the Del Carmen Project of ARP
and Barrick.
Opawica immediately plans an initial surface field program
consisting of reconnaissance, rock chip sampling, and geological
assessment. Most field work will focus on the key alteration zones
which are known to host significant gold mineralization in the
region.
NW ARGENTINA MASSIVE SULFIDE PROGRAM (APPROX. 75,000 HA); During
1996 and 1997 Opawica carried out a surface exploration program in
the provinces of Salta, Jujuy and Catamarca to evaluate the NW
Argentina Ordovician basin potential for hosting SEDEX and/or
other type of sediment-hosted and/or volcanogenic-related
deposits. This land position is held 100 percent by Opawica S.A.
CHUBUT RIVER PROJECT (APPROX. 60,000 HA); Chubut River is located
in the Rio Negro Province, approximately 25 km southeast of the
city of Bariloche. Artisanal miners have worked in the area since
the 1950s until the 1980s. Small galleries and trenches developed
in Pb-Ag and Cu-Au veins are common along a NNW-SSE trend. A
complete summary of this property and the NW Argentina massive
sulfide program is contained in the Company's 1997 Annual Report.
To place Opawica Argentina S.A. in good standing with the entire
1,500 sq km land position including the reacquired Valle del Cura
properties noted above, the Company will initially issue 100,000
shares and pay US$65,000 in cash and other costs. Opawica may earn
up to a 100 percent interest in Los Despoblados, Los Banitos,
Arroya Sepultura, La Ortiga Norte and Las Maquinas by making
further firm and optional payments of up to US$95,000 in cash over
the next 24 months. The vendors of the four Valle del Cura
properties shall retain a 1 percent net smelter royalty and said
royalty may be purchased at any time by Opawica Argentina S.A. for
US$1,000,000. The foregoing transactions are subject to
regulatory approval.
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FOR FURTHER INFORMATION PLEASE CONTACT:
Opawica Explorations Inc.
Dan M. Clark
President
416-597-1480
416-597-1479 (FAX)
Email: opawica@istar.ca
Website: canadianfinance.com
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