JUNIOR MINING SPECIAL — Holmer options Peru gold property

Continuing to expand its portfolio of Latin American properties, Holmer Gold Mines (ASE) has acquired a 1,500-hectare gold property in southern Peru.

The Inca property hosts two gold-bearing breccia zones, 2 km apart, along a major fault. The Halley breccia covers an area measuring 300 by 150 metres and consists of epithermal gold mineralization associated with oxidized pyrite. The pyrite is found as disseminated grains and fracture fillings. The property had limited gold production, but little exploration has been carried out recently. Channel samples collected from old workings returned values of 1-4 grams gold per tonne.

Holmer can earn a 25% interest by paying US$60,000, and spending US$700,000 over two years. In return for the financing, it can lease the remaining 75% interest, subject to a 7.5% net profits royalty.