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Gold/Mining/Energy : EXCELLON (VSE:EXN). The Next Big Mexican Silver Play? -- Ignore unavailable to you. Want to Upgrade?

To: s.jennings who wrote (16)	1/27/1999 10:27:00 AM
From: Claude Cormier	Respond to of 126

<<WWhen you spoke to the company Claude, did they say whether these holes are being drilled in the area of known mineralization to verify the grades or outside of the area? >> I don't know the exact location of the new drill holes. But the property has never been drilled. There are some old workings that gave very high grade. My guess is that they would drill in the vicinity of the old workings. But I am getting their promo stuff. Will check if there is a map of some sort and call them back for more details. I assume you read the press release concerning the agreement with APEX...so you know the potential of this prospect.

To: s.jennings who wrote (16)	1/28/1999 12:27:00 AM
From: Claude Cormier	Read Replies (1) \| Respond to of 126

Looks like the assays will be available soon: Excellon Resources Inc EXN Shares issued 6,699,805 1999-01-26 close $0.23 Wednesday Jan 27 1999 Mr. A. Douglas MacKenzie reports Excellon has been advised by Apex Silver Mines Limited that it has completed five diamond drill holes totalling approximately 800 metres on the Platosa property. Four holes were drilled from east to west below existing underground workings along a northwest/southeast strike length of approximately 165 metres and the fifth hole was drilled vertically approximately 25 metres to the east. Drill program assays are pending and further information will be released once received from Apex. The Platosa property (approximately 20,000 acres) is five kilometres northwest of Bermijillo, Durango State, Mexico and lies 1.5 kilometres from a major paved highway, railroad and electric supply. The following paragraph is a summary taken from a December 1997 report prepared by Excellon's geological consultants. Mineralization observed at Platosa is typical of that seen throughout the 2,200 kilometre long belt of replacement-skarn deposits that crosses northern Mexico. Platosa lies centrally within this belt and offers attractive possibilities for containing additional economic base metals-rich and precious metals-rich skarn replacement ores. The area lies only 25 kilometres from the Ojuela mine at Mapimi which produced five to six million tons of ore grading in excess of 3.5 grams per tonne Au, 475 g/t Ag, 15 per cent Pb, 10 per cent Zn and 0.2 per cent Cu (Penoles Company data, 1986). There has been previous mining at Platosa where more than 75,000 tons of high-grade ores were recovered from the old workings. Five selected samples were taken from the existing underground workings. Assays from the samples ranged from 0.3 g/t to 9.6 g/t Au, 960 g/t to 1,600 g/t Ag, 12 per cent to 19 per cent Pb, 5.1 per cent to 39 per cent Zn, and 1 percent to 3 per cent Cu. Furthermore, 1970s vintage smelter liquidation sheets for the Platosa mine ores show 0.35 g/t to 1.75 g/t Au, 3,000 g/t to 3,750 g/t Ag, 30 per cent to 40 per cent Pb, and 2.0 per cent to 12 per cent Zn. The fact that these grades and the style of mineralization are similar to those at Mapimi strongly indicates the Mapimi-like ore bodies and/or metals contents might be expected at Platosa. The property has been owned by a Mexican family and until Excellon and Apex's recent involvement has never had modern geological techniques applied to it nor has it ever been drilled. On Aug. 18, 1998 Excellon signed an exploration and development agreement with Apex with respect to the Platosa property. Apex is a worldwide mining exploration and development company with a primary focus on silver. Its shares are listed on the American Stock Exchange. Under the terms of the agreement Apex can earn a 65 per cent direct interest in the property with Excellon retaining a 35 per cent interest. At that point a joint venture would be formed. Should Apex decide to bring the property into production it would provide Excellon with a bankable feasibility study. The agreement provides for property payments by Apex to Excellon of $1.35-million (U.S.) over 4.5 years and minimum exploration expenditures of $1.5-million (U.S.) by Apex over five years with a minimum of $100,000 (U.S.) in the first year. On signing Apex made an initial property payment to Excellon of $75,000 (U.S.) Excellon is responsible for making all property payments (totalling $973,000 (U.S.) over 4.5 years) to the underlying property owners during the option period. (c) Copyright 1999 Canjex Publishing Ltd. canada-stockwatch.com