Minefinders plans Mexican program

The search for gold and silver deposits in established North American mining camps has taken Minefinders (VSE) to Nevada, Arizona and North Carolina in the U.S. and Chihuahua state in Mexico.

The junior showcased its property assets here at a booth at the recent “Investing in the Americas” conference.

“Primarily we’re going to be focused on the southwestern U.S. and Mexico and concentrate on large-tonnage, heap-leach projects,” President Marc Henderson told The Northern Miner.

On May 1, Toronto-based Minefinders was to have started an exploration program on its Dolores gold property in Chihuahua state, 35 miles northeast of Placer Dome’s Mulatos deposit. Mapping and sampling will be followed by a minimum 10,000-ft. reverse circulation drilling program.

“We just didn’t acquire claims, we acquired a whole camp,” Chairman Dale Hendrick said in reference to the 5,000-acre Dolores property, which has not be drilled previously although it is situated in a large gold-producing district.

Just across the Mexican border in Arizona, the junior is making exploration plans for its optioned Oro Blanco mining district property, a former producer. The property hosts three zones which have undergone previous drilling. Mark Bailey, vice-president exploration, said drill targets have been chosen for a new program.

In Nevada, the company can earn up to a 70% interest in three gold properties, one on the Carlin Trend and the other two within the Battle Mountain Trend. And in North Carolina, Minefinders recently completed a second phase of drilling on its Sawyer gold property.

A recent private placement involving 500,000 units at $4.20 per unit will give the company (on a fully diluted basis) seven million shares outstanding. Henderson said Minefinders has a cash position of about $3.5 million. “We’re in good financial shape to do all the work we want to do in the next 12-18 months,” he said.