Capstone Mining Corp. (CS: TSX) today announced assay results for forty-two, 2010 holes from the Wildfire / Copper Keel deposit at the Minto Mine.
These are the final 2010 drill holes to be reported for this deposit and work on a first resource estimate for Wildfire / Copper Keel is underway and should be completed sometime in February.
Highlights of Recent Drilling at Wildfire
"The stacked nature of multiple copper bearing horizons makes Wildfire / Copper Keel an efficient target to explore. It is also an attractive geometry for mining and Capstone will focus exploration in this area in the first half of 2011" said Brad Mercer, Vice-President of Exploration for Capstone. A preliminary mineral resource estimate for Wildfire / Copper Keel is expected in the first quarter of 2011, to be followed by an updated resource before year-end, once the deposit is fully drilled off. This more robust estimate is expected to add further impetus to our ongoing feasibility work aimed at increasing mineral reserves and where Capstone is exploring a balance between mine expansion and increased mine life" he added.
Capstone's 2011 Exploration Plans
Capstone's 2011 exploration budget is currently set at $12.9 million and 72,000 metres of exploration drilling. As in prior years the Company will consider increasing these amounts should results warrant. Exploration drilling is now ramping up again for 2011 and by mid-January will resume at Cozamin using 5 rigs, which will be followed with 3 rigs starting at Minto in February and a single rig at Kutcho in July or August.
Capstones exploration priority in 2011 is to expand the Wildfire / Copper Keel deposit at Minto and the Mala Noche Footwall Zone at Cozamin. Both deposits have mineral resource estimates in progress and both remain open to expansion so additional resource estimates are anticipated for later this year. The aim is to have both new deposits drilled to a standard to support a minimum of Indicated Class Mineral Resource that could support mine planning for feasibility considerations. In addition to these near term resource additions other exploration targets such at Inferno at Minto and the Mala Noche Vein West at Cozamin will be aggressively tested as well.
Mineral resources that are not mineral reserves do not have demonstrated economic viability. Mineral resource estimates do not account for mineability, selectivity, mining loss and dilution. There is also no certainty that mineral resources will be converted to mineral reserves through further drilling and once economic considerations are applied.
Source: Capstone Mining Corp.