Caza Gold off to an active start

Recently listed Caza Gold (CZY-V) is off to a determined start at its early stage gold projects in Mexico and Nicaragua.

The company re-capped its first quarter activities and outlined where it is heading in the coming months.

One of the key developments of the first quarter was the doubling of the Balleza gold
target area at its Balleza-La Cienega project in Mexico. The target size grew thanks to stellar assay results from its rock sampling program.

Balleza, in Mexico’s Chihuahua state, hosts a gold target that is 1,200 metres long and up to 400 metres wide.

The company says over 300 samples have been collected by three companies, including Caza in recent years and that 134 of them assay higher than 0.3 grams gold per tonne with an average grade of 1.6 grams gold.

The first phase of drilling at the site calls for 3,000 metres focused on the Balleza zone.

The zone lies within the much larger Balleza-La Cienega district on the Moris property which covers a mineralized structure zone over 7 km long. The district hosts at least 14 historic mine workings and 30 additional known mineralized zones.

Capital for exploration at the site will come out of an equity financing that raised $8.15 million, enough, Caza says, to complete the first phase of drilling at Balleza.

The company also plans to allocate some money for work on its Los Andes property in Nicaragua where it has identified several trace element anomalies associated with high gold values and high sulfidation. It will look to delineate drill targets in the coming months.

The alteration zone at the project covers a 45 sq. km area and measures over 12 km long by up to 6 km wide.

Such scale made Caza bullish enough on the area to stake 11 new properties which cover
multiple large hydrothermal alteration zones that it says are similar in size and nature to Los Andes. The new grounds sit within the Central Nicaragua Gold Belt between B2 Gold’s (BTO-T) El Limon and La Libertad gold mines.

Drilling will also get underway at its Santiago project which is also in Chihuahua, where the company recently discovered a high-graded outcrop 400 metres northeast of a previous target. Caza plans to drill 2,000 metres at the project.

In Toronto on Apr. 12 Caza shares were off 4% or 2¢ to 56¢ on 33,799 shares traded.