AFRICA SPECIAL — Casmyn expands position in Africa

Reno, Nev.-based Casmyn (CMYN-Q) has high hopes for the Zambian copper property it recently added to its portfolio of African exploration plays.

Situated in the heart of the country’s copper belt, the Luswishi property comprises 4,388 sq. km and is currently being drilled in a program budgeted at US$5 million.

Casmyn is looking to outline a deposit containing more than 100 million tonnes grading 2-4% copper.

Amyn Dahya, Casmyn’s president, admits it sounds like a tall order. “But,” he adds, “there are nonetheless quite a few of those deposits out there.” For example: the Konkola deposit — a consortium between Anglo-American, Falconbridge and Gencor — contains 360 million tonnes of 3.8% copper; the Nchanga mine, operated by Zambian Consolidated Copper Mines (ZCCM), has 178 million tonnes of 4.6% copper; and the Bancroft mine, operated by ZCCM, has 105 million tonnes of 3.7% copper. All three are within 50 km of the Luswishi property.

Previous drill results at Luswishi include 1.4 metres grading 11.7% copper and 2.4 metres of 1.8% copper. The drilling also encountered significant uranium and cobalt values. In addition to these other elements, Casmyn will evaluate the potential for byproduct gold, as well. No testing for gold has been conducted on the property, though nearby Kansanshi-style deposits can contain values ranging from 0.5 to 1 gram per tonne.

Plans call for drilling of induced-polarization targets identified a year ago, as well as additional exploration to prove up soil anomalies.

Meanwhile, at the Turk mine operations in Zimbabwe, Casmyn produced 4,200 oz.

gold in 1996.

The company is in the process of ramping up production to 3,000 oz. per month following a US$12-million plant expansion. In the meantime, exploration continues to encounter ore-grade intercepts.

In December 1996, Casmyn discovered two new prospective ore zones adjacent to the Barberton vein, the main producing vein at the company’s Dawn mine.

In total, more than 5 million oz. of gold resources are contained in the Turk and Dawn mines, both of which were acquired from a local family in February 1996.

In the past three years, Casmyn has explored for the source of diamonds from the Schweizer alluvial field in South Africa, where more than 2 million high-quality gemstones were recovered. The largest stone found at Schweizer measured 139 carats.

Casmyn’s geologists have narrowed down a 38-ha area, which they consider to be the most likely source of these stones. The company recently acquired options on the mineral rights for 50 ha, and plans to drill six holes into the target.

“If we hit something, it will be a case of persistence because we’ve already been working here for quite a while,” Dahya says.

Casmyn is also conducting grassroots exploration in Ghana, through a joint venture with locally based Ages Mines. The 300-sq.-km property is near the border with Ivory Coast.