First round finished at Pan de Azucar

Vancouver An 11-hole drill program by Mindoro Resources (MIO-V) and Australian-based Delta Gold on the Pan de Azucar property has returned some promising copper-gold grades from the Valderama target on the Philippine project.

The first round of drilling on the project tallied 1,041 metres. The best results in the first nine holes included 37.1 metres grading 0.8% copper and 1.87 gram gold per tonne in hole 3, and 41.5 metres averaging 0.12 % copper and 1.2 grams gold in hole 6. Hole 7 returned 4.7 metres grading 0.99% copper, 0.5 gram gold, 13.43 grams silver and 1.24% zinc. Hole 9 tallied 2.7 metres grading 2.2% copper, 1.97 grams gold, 31.1 grams silver and 1.3% zinc.

Hole 10 was collared 40 metres east of hole 9 and returned no signiifcant values.

Hole 8 was deepened from its initial 33 metres depth hitting disseminated chalcopyrite and sphalerite from 55.75 to 113.2 metres. A 40.3 metre section from 55.75 to 96 metres returned 0.69% copper, 1.21 grams gold, 4.34 grams silver and 0.63% zinc. Included in this interval was a higher grade portion running 1.1% copper, 1.19 grams gold, 6.49 grams silver and 1.19% zinc over 19.3 metres.

Mineralization at the Valderama zone is described as a high-sulphidation style pyritic sulphide overprinted by low-sulphidation events. The zone is exposed at surface at Valderama Hill where it is approximately 20 metres thick. The extent of the mineralized zone has not been determined but based on geophysics the mineralization covers an 800-by-200 metre area.

Delta Gold funded the drill program as part of its option to earn a 65% interest in the project. The Pan de Azucar deal calls for Delta to spend A$4.5 million on exploration over four years to earn 45%. The junior can earn an additional 10% by completing a bankable feasibility study within the following three years, and another 10% by paying half of the gross value of the reserves outlined to a minor Philippine partner.Assuming all goes as planned, Mindoro would be left with a 25% participating stake, which can be converted to a 2% net smelter return royalty (NSR).

Pan de Azucar covers 10.8 sq. km of Panay Island in the central Philippines.