Asarco options Col copper bet!!

A recent agreement between a unit of Asarco< (NYSE) and

Kookaburra Gold< (VSE) will provide for ongoing exploration of the Col copper-gold property north of Fort St. James, B.C. The agreement allows Asarco to earn up to 70% of the property from Kookaburra by spending $10.35 million by the end of 1997. Should the major decide to continue to feasibility after earning its interest, it must provide all funds to produce a bankable feasibility study although it will be reimbursed by Kookaburra upon completion.

The geological setting of the Col property is reported to be similar to Placer Dome’s Mt. Milligan copper-gold porphyry deposit 48 km to the southeast.

The Col property was explored as a porphyry copper target by a unit of Falconbridge Ltd. in the early 1970s. It is reported to contain a widespread copper resource, and one satellitic zone containing about two million tons grading 0.6% copper. More recent work has shown the presence of gold on the property.

Since taking on the project, Kookaburra delineated several geophysical (IP) and soil gold and copper anomalies within an 800×1,700-metre area. The 1991 work program to be carried out by the junior will include further geochemical sampling, IP surveys and diamond drilling.