Cazador increases Slocan holdings

The historic Hewitt-Van Roi property in the Slocan Mining division in southern British Columbia was recently purchased by Cazador Explorations (VSE), significantly increasing the company’s holdings in the area.

Cazador agreed to pay owners Sabina Resources (VSE) 300,000 common shares, plus 400,000 three-year warrants exercisable at 45 cents in the first year, 60 cents in the second year, and 75 cents in the third year. Cazador will also pay Sabina $22,500 in three equal installments over 18 months. Under the purchase deal, Sabina is entitled to a 1.5% net smelter return and a 10% net profits interest.

The Hewitt-Van Roi lode is made up of two to three fissure veins which were mined over widths averaging four to five feet over a strike length of 6,000 ft. and a depth of 1,200 ft.

Production from the mine since the late 1800s is estimated at 507,000 tons for a yield of 21.6 million lb. of lead, 22.7 million lb. of zinc, 43,000 lb. of cadmium, 4.7 million oz. of silver and 421 oz. of gold.

John Chapman, president of Cazador, said the company hopes to acquire additional ground in the Slocan area as a long-term investment in lead and zinc.

Other company holdings in the area include the Arlington Silver mine, a former silver-lead-zinc mine which produced about 750,000 oz. of silver from 1898 to 1902.

Cazador also owns the Wonderful property, an intermittent past producer of over 3.5 million lb. of lead, 2.6 million lb. of zinc, and 415,000 oz. of silver.

Despite what he described as an environmentally hot area, Chapman sees excellent potential in setting up a small mill to process ore from the three properties.

Chapman noted that preliminary metallurgical studies indicate recoveries would be excellent and the company is in contact with a local realtor regarding potential mill sites.