Juniors test Mexican target

Partners Sand River Resources (SRL-V) and Spokane Resources (SKN-V) have begun an initial 1,500-metre program of diamond drilling on their Minerales project in the Mexican state of Chihuahua.

Three new polymetallic manto-chimney targets are being tested. The project covers 924 ha and includes portions of the Santa Eulalia East and West camps, where mining dates back 350 years. The mine workings are extensive, consisting of 500 km of tunnels through 22 levels to a depth of 800 metres.

Situated just 15 km from the city of Chihuahua, the Minerales property centres on the past-producing Potosi mine, which ceased operation in 1992 as a result of labour problems and a shortage of working capital. According to the property vendors, the mine hosts a resource of 1.9 million tonnes grading 6% zinc and 3.8% lead, plus 118 grams silver per tonne.

Work to date has identified several fault-controlled areas adjacent to the mine, with anomalous silver, lead, zinc and manganese values. Two of the three targets to be tested are in an area of limestone, coinciding with a 300-by-100-metre, east-west-trending induced-polarization anomaly.

The third target is a strong geophysical anomaly with no surface expression, 500 metres north of the primary targets.

Initially, Sand River and Spokane can acquire a combined 51% interest in the project by spending US$1.6 million on exploration over three years and paying US$100,000 in cash. By paying a further US$2 million, they can acquire an additional 24% stake.