Mindoro Resources Ltd. (TSX VENTURE:MIO) (FRANKFURT:WKN 906167) today announced that drilling has commenced on its Pan de Azucar Project, Iloilo Province, Philippines.
An initial program of approximately 1,000 meters will further evaluate the Valderama massive sulphide body where promising gold, copper, silver and zinc values were intersected by Mindoro in two scout-drill programs. The program will also lead to a preliminary options study on the suitability of the massive pyritic sulphide as feedstock for sulphuric acid production for processing of the Agata nickel laterite resource.
Pan de Azucar Island covers an intensely altered volcanic caldera hosting the Valderama pyritic massive sulphide body and Asparin Hill porphyry copper-gold prospect. Fourteen drill holes in two programs partially outlined the Valderama sulphide body, a flat-lying and near-surface sheet of massive pyritic sulphides carrying significant base and precious metal values. Drill results included PDA-03 with 37.1 meters of 0.82% copper, 1.88 g/t gold from 16.3 meters depth; PDA-06 with 37 meters of 0.14 % copper, 1.25 g/t gold from 6 43 meters depth; PDA-08 with 40.25 meters of 0.69 % copper, 1.21 g/t gold, 4.34 g/t silver, and 0.63% zinc from 55.75 meters depth. The mineralization is hosted within a body of nearly pure pyrite containing from 36 to 42 percent sulphur. For further information regarding previous Pan de Azucar drill programs, refer to press releases on Mindoro's website dated October 2 and December 3, 2001; January 9, October 2, and November 7, 2002; and January 23, 2003.
The Valderama sulphide body is typically between 10 to 40 meters thick. Based on drilling, mapping and geophysical expression, Valderama is estimated to be approximately 200 meters wide by 800 meters long. The mineralization is open to the north for a further 250-300 meters, to the property boundary, where gossanous outcrops are present.
The Pan de Azucar Mineral Production Sharing Agreement covers 535 ha on Pan de Azucar Island and adjacent Panay Island. Under a 1997 agreement with a private Philippines company, Mindoro may earn a 75 percent interest in the Pan de Azucar Project through phased exploration expenditures and issues of shares. Mindoro has earned a 40 percent interest to date and has recently extended its right to earn the additional 35 percent to bring it to a total 75 percent interest, which will be attained during the current program.
Tony Climie, P.Geol, is Mindoro's Qualified Person as defined by National Instrument 43-101, who is responsible for monitoring the supervision and quality control of Mindoro's regional exploration programs and who has reviewed and verified the technical information contained in this news release.
Source: Mindoro Resources Ltd.