EXPLORATION ROUNDUP — Inmet, Altavista drill at Wild Mick

Partners Inmet Mining (IMN-T) and Altavista Mines (AIA-M) have intersected gold and silver mineralization at the Wild Mick property in central Zimbabwe.

Seventeen holes, totalling 3,996 metres, were drilled in the Ultimus block of the 22.68-sq.-km property, which lies 22 km southeast of Gweru in the southern Kwekwe greenstone belt.

The drilling was designed to test induced-polarization anomalies, which correspond with soil geochemical anomalies associated with large shear zones, porphyry-type mineralized zones identified in a granitic intrusion, and several iron formations.

Highlights include:

* 50.5 metres (from 63.5 to 114 metres) grading 0.97 gram gold and 0.5 gram silver per tonne in hole 5;

* 1.5 metres (from 75 to 76.5 metres) of 5.04 grams gold and 4.5 grams silver in hole 7;

* 10.5 metres (from 188 to 198.5 metres) of 1.11 grams gold and 1.5 grams silver in hole 8;

* 3.5 metres (from 48.5 to 52 metres) of 0.26 gram gold and 150 grams silver, plus 1 metre (from 52 to 53 metres) of 2.03 grams gold and 0.8 gram silver, in hole 11; and

* 4 metres (from 27.5 to 31.5 metres) of 10.6 grams gold and 2.1 grams silver in hole 12.

Hole 5 was drilled into the porphyritic and sericitic Ultimus granite, which contains quartz stockworks; hole 11 was drilled into a silicified, sericitized quartz sandstone with about 5% pyrite and 10% quartz veins; and hole 12, drilled on the same section as hole 11, tested the centre of a deformation corridor and the depth extension of the former Good Heart mine.

Hole 12 will be a priority target in next year’s drilling.

The release of these latest results was delayed because 17% of the pulps had to be reassayed at the Swastika Laboratory in northern Ontario. The original assaying was performed at the SGS Zimlab in Harare, Zimbabwe.

Altavista can acquire a half interest in the Wild Mick property from Inmet (which optioned the property in January 1996) by spending $1.6 million by the end of 1998.

Once Altavista has acquired a half interest, a joint venture will be formed.

Should Inmet then decide to withdraw, Altavista will have the option of acquiring the remaining interest by spending a further $1.5 million by the end of 2001 and granting Inmet an option to acquire up to 1 million Altavista shares for $2 each by that time. If Altavista acquires a full interest, Inmet can buy back its half interest and become operator by spending $3 million, or by financing all work required to bring the project into production. Though Altavista is funding this year’s $800,000 drilling campaign, Inmet will remain the operator until Altavista earns its half interest.