Cozamin makes the grade for Capstone (September 29, 2004)

Vancouver Recent diamond drilling on Capstone Resources’ (CSG-V) Cozamin copper, silver and zinc property in Zacatecas, Mexico, has come up with encouraging results. The company, which can earn a 90% interest in five Mexican mineral projects including Cozamin, from Grupo Bacis, is planning to drill deeper to follow up on these results.

Three of the four latest holes drilled on the Mala Noche vein in the San Roberto sector of the past producing Cozamin mine yielded significant results. These intercepts were found between 190-and roughly 355-metre depths. Hole CG04-18 gave a 14.1-metre wide intercept that graded 3.9% copper, 82.2 grams silver per tonne with 0.4% zinc, that included a 6.4 metre interval grading 7% copper and 145.6 grams silver.

This confirmed the vein’s width and grade in the eastern part of the zone which had returned 4.35% copper and 99.6 grams silver over 14.9 metre true width in hole CG-04-03 and 2.5% copper and 107 grams silver over 9 metres in CG-04-10.

Two more recent holes on this vein returned 3.9 metres of 1.5% copper, 62.2 grams silver and 0.5% zinc; and 6 metres of 1.6% copper, 58.2 grams silver and 2.2% zinc (including 1.7 metres of 4.4% copper, 106 grams silver and 0.5% zinc).

The first hole of the second phase drill program testing the strike projection of the Mala Noche vein beneath the previous San Roberto mine workings suggests that the vein extends over 2 km to at least 450 metre depth and is open in all directions.

The Mala Noche mesothermal vein system also showed comparable grades 500 metres away from the workings. Hole CG-04-20 returned 6.8% copper, 100.3 grams silver and 4.8% zinc including 2.6 metres of 1.9% copper, 138.7 grams silver and 2.7% zinc. The vein system now extends over 5.5 km along strike.

Hole CG-04-20 represents the first of 7,000 metre drill program now underway on the property. One drill rig is now testing the Mal Noche vein to a depth of 400 metres below surface (down to the 2150 level of the mine and east of hole CG-04-20). Another rig will drill five more holes to test the 1900 level (650 metres below surface) and two holes will test a large geophysical anomaly at 1000-metre depth.

In other news, Capstone ended its joint venture with Wheaton River (WRM-T) on the Ventanas gold and silver project in Durango, Mexico after its Phase I program results didn’t justify spending another US$500,000.