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Gold/Mining/Energy : Zappa Resources ZPA vancouver -- Ignore unavailable to you. Want to Upgrade?

To: dean poets who wrote (153)	11/13/1997 9:22:00 AM
From: morrie	Read Replies (2) \| Respond to of 3198

Dean I thought I'd post that reference you referred to as it takes so long to load and the next viewers can read morrie ZAPPA RESOURCES (ZPA) On Vancouver. Recommended April 1996 at $ .70 Interim high $ 1.25 current price $ .36 Rating ( STRONG BUY ) Do not pay more than $.60 per share. Initial target price $3.00 per share. Zappa has four main properties. The 49% La Plata, 50% Papa Grande, 100% Mollopongo and 49% Guadalupe concession. On September 11 Zappa announced the latest results on the La Plata property in Ecuador. Seven holes have been completed. These holes were used to expand the rich lens and better define the structural geology. Hole 97 - 12 was a 50m step out to the east from the high grade hole 96 - 09. 97 - 12 continued to intersect high grade mineralization over good widths. 5.7m of .25 oz ton gold, 2.6 oz ton silver, .3% cu and 4.5% zinc. Holes 97-16 and 97 - 17 were shallow holes drilled near the old mine site. These two holes intersected narrow but high grade sections of 2m to 4m in thickness. Hole 97- 16 intersected 4.2m of .66 oz ton gold, 4.19 oz ton silver, 8% cu and 4.2% zinc at a depth of 57m. Holes 97 -11 and 97 - 14 intersected a new zone at a depth of 420m. This zone was 10m thick and graded .027 oz ton gold and 1.5oz silver and .9% zinc. Hole 97-13 missed this new zone. This indicates that 97-11 and 97-14 intersected the edge of a new lens. Further drilling will prove if this new lens could be economic or not. This latest drilling shows that mineralized lenses remain to be found and defined. Lenses always occur in clusters, the question always is where are they and are they economic to mine. This recent drilling now extends the high grade lens to 500 ft along strike and 500 ft in width with an average thickness of 20 ft. This lens remains open to the east for what appears to be at least another 150 ft and wide open to the west, south and at depth. Cambior is completing a road to drill the final three holes of this program. Results for the final three holes are expected by the end of October. These holes will test the western extension of the high grade lens. On the Papa Grande and Mollopongo properties a resource of 1.6 million oz gold at a grade of 1.1g has been delineated to date. This is based on over fifty holes being drilled to date. The potential to increase reserves is excellent. The down side to this deposit is that it is a sulfide deposit so capital costs look to be at least $150 million. Also the price of gold needs to be above $360 U.S. per oz to have a suitable ROI. When Ecuadorian's Gaby deposit and the shared Guadalupe concession with Zappa are put in as one property this whole area becomes a viable low grade open pit mine with a yearly production in excess of 250,000 oz gold per year for over 20 years. Look for a deal to be done so all these properties are rolled into one. The company continues to look at other opportunities to increase shareholder value. Zappa has 24.1 million shares outstanding, and 27.7 million fully diluted. No debt and $300,000 cash. Cambior has 6.4 million shares of Zappa and warrants for 1.8 million more at $ .78 per share. These are included in the shares out standing and fully diluted. For more information contact Mr. Albert Gerry at 1 - 800 - 888 - 7184 Buy Stock Picks (Stocks in this category offer substantial appreciation but must prove potential.)